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Even with credit card delinquencies rising and reverting to prepandemic levels, credit card issuers are still jockeying to get new customers, especially well-heeled ones with good credit scores.
To lure new cardholders, credit card companies continually revamp their reward programs to make them more relevant as technologies and industries evolve. For example, Bank of America (NYSE:BAC) announced on Tuesday its Customized Cash Rewards credit cards expanded two of its 3% cash-back categories, gas and online shopping.
With the new program, consumer and small business cardholders can earn 3% cash back at electric vehicle charging stations under the “gas” category. They can also earn 3% cash back on cable, streaming, internet and phone plans within the online shopping category, Bank of America (BAC) said.
“We are constantly looking for ways to enhance our products to align with our clients’ needs and have observed growing demand for electric vehicle charging and streaming services,” said Jason Gaughan, head of Consumer Credit Card Products at BofA.
The bank said it has seen 44% growth in electric vehicle charging transactions during H1 2023. Also, 65% of active Customized Cash Rewards cardholders have used their card to pay for cable, internet, streaming, and phone plans in the past year, with 70% of those including recurring charges, it said.
More on Bank of America
Source: seekingalpha.com
