Getting Platinum Honors with Bank of America is a fantastic goal for anyone looking to maximize their banking and investing benefits. It's not just a status symbol; it comes with a significant array of perks that can genuinely enhance your financial life. This guide will walk you through every step to achieving and maintaining this elite tier. So, are you ready to unlock a new level of financial advantage? Let's dive in!
The Path to Platinum Honors: Your Comprehensive Guide
Bank of America's Preferred Rewards program is designed to reward clients for their combined banking and investment balances. The Platinum Honors tier is the second-highest, offering a substantial boost to your rewards and discounts.
What is Bank of America Platinum Honors?
Platinum Honors is a tier within the Bank of America Preferred Rewards program. To qualify, you need to maintain a three-month combined average daily balance of $100,000 or more in your eligible Bank of America deposit accounts (checking, savings, CDs) and/or Merrill investment accounts (Merrill Edge and Merrill Lynch).
Why Aim for Platinum Honors? The Incredible Benefits!
Before we get into the "how," let's truly appreciate the "why." Platinum Honors status unlocks some of the most valuable benefits Bank of America offers:
- Credit Card Rewards Boost: This is often the biggest draw! You get a 75% rewards bonus on eligible Bank of America credit cards. This means a card earning 1.5% cash back effectively earns 2.625%, and a 3% category card jumps to 5.25% cash back! This can lead to hundreds, if not thousands, of dollars in extra rewards annually.
- Banking Services: Enjoy no monthly maintenance fees on up to four eligible checking and four savings accounts. Plus, get unlimited no-fee ATM transactions at non-Bank of America ATMs in the U.S. and U.S. territories, with a refund of the ATM operator's fee.
- Loan Discounts: Receive significant interest rate discounts on new Bank of America auto loans (typically 0.50%), home equity lines of credit (0.375%), and reduced origination fees on new purchase or refinance mortgages ($600).
- Savings Interest Rate Booster: Get a 20% interest rate booster on a Bank of America Advantage Savings account, helping your savings grow faster.
- Merrill Guided Investing Discount: A 0.15% annual program fee discount on Merrill Guided Investing.
- Foreign Currency Exchange Discount: Receive a 2% exchange rate discount for mobile and online foreign currency orders, plus free standard shipping.
- Priority Service: Gain access to dedicated specialists for your product and service needs.
Clearly, the benefits are compelling. Now, let's get you there!
Step 1: Assess Your Current Financial Landscape - Where Do You Stand?
The very first and most crucial step is to understand your current financial holdings. This isn't just about counting money; it's about seeing where your assets are located.
Sub-heading: Gather Your Data Points
- Your Existing Bank of America Accounts: Do you have checking accounts, savings accounts, or Certificates of Deposit (CDs) with Bank of America? Note down their current balances.
- Your Merrill Accounts: Do you have Merrill Edge brokerage accounts, Merrill Lynch investment accounts, or 529 plans? Compile the values of these accounts.
- External Investments/Savings: Do you have retirement accounts (IRAs, 401ks) or other investment accounts with other financial institutions like Fidelity, Vanguard, or Schwab? Don't forget these! They can be moved to Merrill to help you qualify.
- Liquid Cash: How much readily available cash do you have in non-Bank of America accounts?
Actionable Tip: Create a simple spreadsheet. List each account, the institution, and its current balance. This visual representation will be invaluable for the next steps.
Step 2: Understand the Qualifying Balance - The $100,000 Threshold
The core requirement for Platinum Honors is maintaining a three-month combined average daily balance of $100,000 or more. This is key: it's not a snapshot, but an average over a quarter.
Sub-heading: What Counts Towards Your Balance?
Bank of America is quite comprehensive in what they include:
- Bank of America Deposit Accounts:
- Checking Accounts
- Savings Accounts
- Certificates of Deposit (CDs)
- Merrill Investment Accounts:
- Merrill Edge Self-Directed Accounts
- Merrill Guided Investing Accounts
- Merrill Lynch Advisory Accounts
- 529 Plans
- IRAs (Traditional, Roth, SEP) held at Merrill
- Taxable Brokerage Accounts held at Merrill
Important Note: Mortgage balances, credit card balances (unless they have a positive credit balance), and certain business accounts typically do not count towards the personal Preferred Rewards tier. Always check the official Preferred Rewards terms and conditions on the Bank of America website for the most up-to-date and specific details.
Step 3: Strategize Your Asset Consolidation - Making Your Money Work for You
This is where you get proactive! If your current combined balance is below $100,000, you need a plan to reach that threshold.
Sub-heading: Option A: Consolidate Existing Assets
- Transfer Funds from Other Banks: If you have significant savings in checking or savings accounts at other banks, consider transferring them to your Bank of America checking or savings accounts.
- Roll Over External Investment Accounts to Merrill: This is often the fastest and most effective way to reach the $100,000 threshold. If you have IRAs, 401(k)s from previous employers, or taxable brokerage accounts elsewhere, initiating a rollover or transfer to Merrill can quickly boost your combined balance.
- Consider speaking with a Merrill financial advisor to discuss the best way to transfer these assets, ensuring it aligns with your financial goals and tax situation. They can guide you through the process, which often involves paperwork and coordination between institutions.
- Pro Tip: Even if you prefer to self-manage your investments, a Merrill Edge Self-Directed account counts towards the balance. You can simply transfer your investments "in kind" (keeping the same stocks/ETFs) without needing to sell them.
Sub-heading: Option B: Increase Your Savings and Investments
- Automate Savings: Set up automatic transfers from your paycheck or checking account into a Bank of America savings account or a Merrill investment account. Even small, consistent contributions add up over time.
- Liquidate Non-Essential Assets: If you have significant cash tied up in less productive assets (e.g., an old car you rarely use, or high-value collectibles you no longer want), consider selling them and depositing the proceeds into your Bank of America/Merrill accounts.
- Adjust Your Budget: Look for areas where you can cut back on discretionary spending and redirect those funds towards your Bank of America or Merrill accounts.
Crucial Consideration: Always ensure that any consolidation or investment strategy aligns with your personal financial goals, risk tolerance, and liquidity needs. Don't put all your eggs in one basket if it compromises your financial security.
Step 4: Monitor Your Average Daily Balance - The 3-Month Window
Once you start consolidating assets, it's vital to monitor your progress. Remember, Bank of America uses a three-month combined average daily balance.
Sub-heading: How it Works
- Your tier qualification is assessed at the end of each calendar month.
- They look at your average daily balance across all qualifying accounts for the previous three calendar months.
- For example, to qualify at the end of June, they would average your daily balances for April, May, and June.
Sub-heading: Staying on Track
- Regularly Check Your Account Balances: Log into your Bank of America and Merrill accounts frequently. While you don't need to track the daily average manually, being aware of your current balances helps.
- Utilize Bank of America's Tools: Bank of America's online banking and mobile app often provide tools or summaries that show your progress towards Preferred Rewards tiers. Look for a "Preferred Rewards" section on your dashboard.
- Avoid Large Withdrawals (Temporarily): While you're working towards the $100,000 average, try to avoid making large, sustained withdrawals that could significantly drop your average balance.
Step 5: Enroll in Preferred Rewards - Activating Your Benefits
Once your three-month combined average daily balance reaches or exceeds $100,000, Bank of America will likely notify you of your eligibility.
Sub-heading: The Enrollment Process
- Online Banking: The easiest way to enroll is usually through your Bank of America online banking portal. There should be a prominent section or banner inviting you to enroll in Preferred Rewards.
- Mobile App: Similarly, the Bank of America mobile app often provides an easy enrollment path.
- Contact Customer Service: If you're having trouble finding the enrollment option, simply call Bank of America's customer service, and they can guide you through it or enroll you directly.
Confirmation: Once enrolled, your benefits typically become effective within 30 days. You'll usually receive confirmation via email or mail.
Step 6: Maximize Your Platinum Honors Benefits - Don't Leave Money on the Table!
Achieving Platinum Honors is just the beginning! Now, it's time to fully leverage the benefits you've earned.
Sub-heading: Optimize Your Credit Cards
- Review Your Bank of America Cards: If you don't already have one, consider a Bank of America credit card that aligns with your spending habits, such as the Customized Cash Rewards or Unlimited Cash Rewards card. The 75% bonus makes these incredibly competitive.
- Redeem Rewards Strategically: Understand how your rewards accumulate and the best ways to redeem them (e.g., direct deposit into a BofA account for cash back, travel credits).
Sub-heading: Utilize Banking Perks
- Enjoy Fee Waivers: Say goodbye to monthly maintenance fees on your checking and savings accounts.
- ATM Freedom: No more worrying about out-of-network ATM fees. Use any ATM in the U.S. and Bank of America will refund the operator's fee.
- Savings Boost: Make sure any savings you have is in a Bank of America Advantage Savings account to benefit from the interest rate booster.
Sub-heading: Explore Loan Opportunities
- Auto Loans: If you're in the market for a new car, remember to apply for your auto loan directly through Bank of America to receive your preferred rate discount.
- Mortgages/Home Equity: Keep Bank of America in mind for any future home financing needs to take advantage of the reduced fees and interest rates.
Maintaining Platinum Honors Status
Once you achieve Platinum Honors, you'll generally maintain your tier status for a full year. After that, Bank of America will re-evaluate your three-month average daily balance. If your balance falls below $100,000, you'll typically be given a grace period to restore your balance before being downgraded to a lower tier.
- Continuous Monitoring: While the initial push is significant, maintaining the status is generally easier. Continue to monitor your combined balances periodically.
- Strategic Holding: If you plan to move funds out, consider the impact on your average daily balance. Some clients strategically move funds back into Bank of America/Merrill accounts for a month or two before their annual review to re-qualify.
10 Related FAQ Questions:
How to check my current Preferred Rewards tier?
You can easily check your current Preferred Rewards tier by logging into your Bank of America online banking account or through the Bank of America mobile app. Look for the "Preferred Rewards" section on your dashboard or navigate to "My Rewards."
How to combine Bank of America and Merrill balances for Preferred Rewards?
Your Bank of America deposit accounts (checking, savings, CDs) and Merrill investment accounts (Merrill Edge, Merrill Lynch, 529 plans) are automatically combined by Bank of America for the purpose of calculating your Preferred Rewards tier eligibility. No specific action is required from your end to "combine" them, provided they are under the same customer profile.
How to transfer an IRA from another institution to Merrill?
To transfer an IRA from another institution to Merrill, you will typically initiate the transfer directly with Merrill. They will provide the necessary forms, often requiring signatures and account details from your current institution. Merrill will then coordinate the transfer of assets on your behalf. It's advisable to speak with a Merrill financial advisor to ensure a smooth, tax-compliant transfer.
How to avoid monthly maintenance fees on Bank of America accounts with Platinum Honors?
Once you are enrolled in the Platinum Honors tier, the monthly maintenance fees on up to four eligible Bank of America checking accounts and four eligible savings accounts are automatically waived. You simply need to maintain your Platinum Honors status.
How to get the 75% credit card rewards bonus?
The 75% credit card rewards bonus is automatically applied to eligible Bank of America consumer credit cards for Platinum Honors members. You don't need to do anything specific other than using your eligible credit card. The bonus will typically appear as an increased rewards rate or a bonus applied at redemption.
How to get loan discounts with Bank of America Platinum Honors?
To receive loan discounts, you must apply for a new auto loan, home equity line of credit, or mortgage directly through Bank of America. Inform the loan officer of your Preferred Rewards status, and the applicable discount will be applied during the underwriting process.
How to contact Bank of America for Preferred Rewards assistance?
You can contact Bank of America's general customer service at 1-800-432-1000. As a Platinum Honors member, you also have access to dedicated specialists; you might find a specific priority service number within your online banking portal or on communications related to your Preferred Rewards status.
How to maintain Platinum Honors status if my balance dips?
Your Platinum Honors status is generally maintained for a full year once you qualify. If your three-month average daily balance falls below $100,000 after this period, Bank of America usually provides a grace period (often three months) to bring your balance back up to the required level before your tier is downgraded.
How to benefit from the savings interest rate booster?
To benefit from the 20% interest rate booster, you need to have a Bank of America Advantage Savings account and be an enrolled Preferred Rewards Platinum Honors member. The booster is applied to the interest earned on that specific savings account.
How to know which accounts qualify for the Preferred Rewards balance calculation?
Generally, all Bank of America personal checking, savings, and CD accounts, along with Merrill Edge and Merrill Lynch investment accounts (including IRAs, taxable brokerage accounts, and 529 plans) under your customer profile, qualify for the combined balance calculation. You can find a detailed list on the Bank of America Preferred Rewards website or in your Personal Schedule of Fees.
