BofA Premium Rewards Payoff Calculator (2026)

Card data, May 13, 2026

• Issuer: Bank of America
• Network: Visa Signature
• APR: 21.24% to 29.24% variable
• Annual fee: $95
• Rewards:
  • 2x points per dollar on travel (flights, hotels, vacation rentals, car rentals, taxis, rideshare)
  • 2x points per dollar on dining (including delivery apps)
  • 1.5x points per dollar on all other purchases
• Preferred Rewards boost: Up to 75% additional points (Platinum Honors tier with $100,000+ in BofA + Merrill combined assets)
• Annual airline incidental credit: $100 statement credit per calendar year for qualifying airline charges (seat upgrades, baggage, in-flight purchases)
• TSA PreCheck or Global Entry credit: Up to $100 every 4 years
• Foreign transaction fee: 0%
• Late fee: up to $40
• Penalty APR: None
• Minimum payment: 1% of balance plus interest and fees, with a $35 floor
• Typical FICO floor for approval: 720

Source: Bank of America Premium Rewards terms, verified 2026-05-13.

TL;DR

The Premium Rewards sits in the middle of the travel rewards segment. It is more rewarding than the no-fee BofA Travel Rewards (2x vs 1.5x on travel/dining) but less rewarding than the Chase Sapphire Preferred ($95 fee, 3x dining, 2x travel) for non-Preferred Rewards customers.

The card’s distinguishing feature is the Preferred Rewards multiplier. At Platinum Honors tier ($100,000+ in combined BofA banking and Merrill investment assets), the 75% boost lifts the base 2x to 3.5x and the 1.5x to 2.625x. That makes Premium Rewards one of the most rewarding cards on the market for Platinum Honors tier customers.

For non-Preferred Rewards customers, the math is closer to even with Chase Sapphire Preferred and Capital One Venture. The $95 fee is offset by the $100 annual airline incidental credit if you fly at least once a year, so the effective annual fee is near $0 for travelers.

For balance carriers, the APR range of 21.24% to 29.24% is high enough that rewards do not pay for interest. There is no intro 0% offer; for transfers, use BankAmericard.

Math worked example

$6,000 balance at 25% APR (mid range), $300 per month payment:

• 24 months to payoff
• $1,500 in interest
• Total cost: $7,500 + $95 annual fee + $95 second-year fee = $7,690 (assuming 24 month carry)

Same balance transferred to BankAmericard (3% fee = $180, 18 months 0%):

• 18 months at $333 per month
• $0 interest accrual during promo
• Total cost: $6,180
• Savings: $1,510

For balance carriers, BankAmericard wins. Premium Rewards is the right card for new spend, not consolidation.

Why the $95 annual fee can be effectively $0

Two recurring annual credits on the card:

1. $100 airline incidental statement credit: applies automatically to airline charges coded as incidentals (baggage fees, seat upgrades, in-flight food, lounge day passes). Most travelers use this in 1 to 2 transactions per year.
2. TSA PreCheck or Global Entry credit: up to $100 every 4 years, equal to $25 a year amortized.

Net annual cost: $95 - $100 (airline) - $25 (PreCheck) equals -$30 in some years. For active travelers, the card pays for itself before any rewards earning.

The catch: if you do not fly at all in a given year, the airline credit goes unused and the $95 fee is a real cost. Run the math for your actual travel pattern before assuming the credits offset the fee.

Run your specific Premium Rewards numbers

The pillar tool accepts the BofA Premium Rewards APR. Pull the exact rate from your statement.

How Preferred Rewards tier multipliers stack with this card

Bank of America Preferred Rewards has three tiers based on combined BofA and Merrill assets:

• Gold tier: $20,000-$49,999 = 25% boost. So 2x base becomes 2.5x; 1.5x base becomes 1.875x.
• Platinum tier: $50,000-$99,999 = 50% boost. So 2x becomes 3x; 1.5x becomes 2.25x.
• Platinum Honors tier: $100,000+ = 75% boost. So 2x becomes 3.5x; 1.5x becomes 2.625x.

At Platinum Honors, Premium Rewards on $50,000 of annual spend (typical for one household’s primary credit card) at the blended 3.5x/2.625x rate equals roughly $1,400 to $1,500 in points value per year, versus $1,000 at the base 2x/1.5x rate. The 75% boost adds roughly $400 to $500 a year for that household, which dwarfs the $95 annual fee.

Premium Rewards Elite (the higher tier card)

Bank of America also offers a Premium Rewards Elite with a $550 annual fee. The Elite adds:

• 100% Preferred Rewards boost at top tier (so 2x base becomes 4x at Platinum Honors)
• Larger statement credits ($300 airline, $150 video streaming, $150 lifestyle)
• Priority Pass airport lounge access

For households at Platinum Honors with significant travel and dining spending, the Elite can pencil out. For everyone else, the Premium Rewards (non-Elite) is the sweet spot.

Avalanche priority

The Premium Rewards APR range starts at 21.24%, which is above Bank of America’s no-fee cards (18.24% start on Customized Cash and Travel Rewards). If your assigned APR on Premium Rewards is in the high 20s, it is likely your highest-APR BofA card.

Balance transfer math

Bank of America positions BankAmericard (separate card) as the balance transfer specialist with 18-month 0% APR and 3% intro transfer fee. Premium Rewards itself has no intro 0% offer; transfers post at the standard variable APR. For balance consolidation, BankAmericard is the right BofA card.

When Premium Rewards is the right card

Three scenarios where Premium Rewards is the right pick:

1. Preferred Rewards Platinum Honors customer ($100,000+ in combined BofA assets): the 75% boost makes this one of the most rewarding cards on the market
2. Active traveler who uses the $100 airline incidental credit annually: effective annual fee drops to near $0 or negative
3. Household with $30,000+ annual travel and dining spend: the 2x base rate (3.5x boosted) earns significantly more than no-fee 1.5x to 2% flat cards

When Premium Rewards is the wrong card

Two scenarios:

1. Non-traveler with low Preferred Rewards tier: the $95 fee minus the unused credits costs $80 to $95 a year, and 1.5x effective rate loses to a flat 2% no-fee card (Active Cash, Citi Double Cash)
2. Balance carrier: 21.24%+ APR with no intro 0% offer makes this an expensive card to carry

Premium Rewards vs Chase Sapphire Preferred

Both are $95 annual fee mid-tier travel cards. Differences:

• Premium Rewards: 2x travel and dining, 1.5x everywhere else, $100 airline credit, Preferred Rewards stack for BofA bank customers
• Chase Sapphire Preferred: 3x dining, 2x travel, 1x other, $50 hotel credit through Chase, transferable to 14 airline and hotel partners

Sapphire Preferred wins on dining rate and transfer partner network for travelers who use Ultimate Rewards. Premium Rewards wins for Preferred Rewards Platinum Honors customers and travelers who value the $100 airline incidental credit over the Chase $50 hotel credit.

Should you keep Premium Rewards after payoff?

Depends on the Preferred Rewards tier and travel pattern. At Platinum Honors with active travel: keep. At Gold or no tier with infrequent travel: downgrade to BofA Travel Rewards (free, no annual fee). BofA allows product changes within the rewards card family without reapplying.

Other Bank of America cards

• Bank of America Travel Rewards payoff calculator
• Bank of America Customized Cash payoff calculator
• Bank of America Unlimited Cash Rewards payoff calculator
• BankAmericard payoff calculator

Other premium travel cards

• Chase Sapphire Preferred payoff calculator
• Capital One Venture payoff calculator

Related

• Credit card payoff calculator (home), pillar tool
• Credit card payoff by card type, full hub

Frequently asked questions

What is the APR on Bank of America Premium Rewards?

21.24% to 29.24% variable as of May 13, 2026, per Bank of America Premium Rewards pricing. The 21.24% starting rate is higher than the no-fee BofA cards (18.24% on Customized Cash and Travel Rewards) because Premium Rewards is positioned as a premium travel card. Your assigned APR is set at approval and appears on the monthly statement.

Does Bank of America Premium Rewards have an annual fee?

Yes, $95 per year. The fee is offset for most active travelers by two recurring annual credits: a $100 airline incidental statement credit (applied automatically to baggage, seat upgrades, in-flight food, and similar) and a $100 TSA PreCheck or Global Entry credit every 4 years. Net effective fee for someone using both credits: near $0 or slightly negative.

How does the Preferred Rewards boost work with Premium Rewards?

Bank of America Preferred Rewards has three tiers based on combined BofA banking and Merrill investment assets. Gold ($20,000+ assets) provides a 25% boost, Platinum ($50,000+) a 50% boost, and Platinum Honors ($100,000+) a 75% boost. At Platinum Honors, the base 2x travel and dining becomes 3.5x, and the 1.5x base becomes 2.625x. The boost applies automatically; nothing to opt into.

Is there a 0% intro APR offer on Premium Rewards?

No. The Premium Rewards card does not offer an introductory 0% APR on purchases or balance transfers. Balance transfers post at the standard variable APR with a 4% transfer fee. For balance consolidation, Bank of America positions BankAmericard (18 months 0%, 3% fee) as the consolidation card, not Premium Rewards.

Are there foreign transaction fees on Premium Rewards?

No. The Premium Rewards card charges 0% on foreign transactions. Combined with the 2x travel category earning and the Visa Signature benefit package, the card is well-suited for international travel. Visa acceptance is broad globally, so the card works essentially anywhere a credit card is accepted.