The BankAmericard credit card is a basic card that isn’t likely to wow with its perks. This card wasn’t designed to compete with the likes of an American Express Platinum Card or a Chase Sapphire Reserve. With that being said, it is a solid choice for those looking to establish good spending habits, monitor their credit score, and build a relationship with the 2nd largest bank in the U.S.
An introductory 0% APR on balance transfers could save you a nice chunk of change if you’re carrying an existing balance on another card today. Be mindful to compare the regular APR on this card with the APR that you currently have.
A no annual fee product is a good way to reduce costs on a line of credit you may already have open.
If you have to carry a balance month to month, this card does offer an APR on the lower spectrum for qualified applicants
Credit monitoring is a great way to track what is impacting your credit, and work on turning your good credit score into a great one.
|Current Interest Rate||16.75%|
|Savings (15 Months)||$398.16|
We’re glad you asked. We are as sure as we can be without giving you a guarantee. Everyone’s situation is going to be a bit different and there are laws against making promises we can’t keep. So let’s bore you with some math and a hypothetical situation, shall we? If our chart below doesn't help, you can calculate the savings on your own math wizard. You’ll need 3 numbers to calculate your interest.
1) You need to come up with the Periodic Interest Rate. Banks actually charge you interest daily, based on your average balance during a statement period. To figure this out, you take your APR and divide it by the number of days in a year. We’ll save you from googling. It is 365. If your APR is 16.75%, your Periodic Interest Rate would be 16.75/365, or .0004589014%.
Pro Tip - Naturally, all banks don’t use the same number. Some use 360 days in a year. This information should be available in your account documents.
2) Now we need your average daily balance. Let’s say your balance is $2,000 and you are now in debt pay down mode. Your average daily balance is $2,000.
3) The number of days in your current billing cycle.
Good. We have numbers. Now let’s math. Take the Daily Balance x the number of days in the cycle x the periodic interest rate (.0004589014 x 2,000 x 31). Congratulations, you just paid $28.45 in interest.
So, I’m Saving $28.45 a Month in Interest. Big Deal, right?
RIGHT! That is a big deal. Let’s look at what happens to your $2,000 balance over 15 months if you pay interest. Most credit card companies will require 1% of your balance + interest charges to be paid as a minimum payment. We’ll assume that’s the payment model you are working on. While your minimum payment hovers around $50, you can see the impact that interest has on eating away at the value of your monthly donation.
|Month||Minimum Payment||Original Card Balance||New Card Balance|
This card’s strongest point is really the math. Sorry. Nothing flashy to see here. Aside from the potential savings you can get out of using this as a balance transfer credit card and the FICO for free credit tracking tool benefits, we wouldn’t recommend using this as your everyday card once you have established a relationship with Bank of America. If you need to get your foot in the door and build a relationship with a bank in order to do more heavy lifting as an adult, this is a great way to build some history with a large bank that offers auto loans and mortgages.
Your best bet is to get this card if you want to build a long term relationship with Bank of America. It’s a good entry level product and will help you build a relationship for other product lines down the road. It’s also a sufficient card if you do need to carry a balance from month to month after the intro balance transfer period has expired since it has an ongoing APR that is low, competitively speaking.
If you are purely looking to transfer a balance there are some better options out there with longer intro periods or products that double as rewards cards and provide long term earning potential.
People who are traveling or have already established a long credit history. This might not be the best balance transfer credit card, so if you have an established credit history you will be best off shopping around a bit more.
The BankAmericard is a middle of the road card that can be used to transfer existing balances at an introductory 0% rate for 15 months. 15 months is towards the higher end of the intro rate spectrum, however, it’s light when it comes to other cardholder benefits. Bank of America does offer a wide array of products and this could be a good option to help you get in the door with a bank that likely has a physical branch right around the corner. Bank of America partners with Card Match for card matching. Check out the tool to see if you are a match before you apply!