Amex Blue Cash Everyday vs. Bank of America Customized Cash Rewards

While having no annual fee lowers the entry barrier, it also means you’ll have fewer benefits, but the tradeoff is well worth it for some people.

With the Customized Cash Rewards card, you can earn a $200 cash rewards bonus after making at least $1,000 in purchases in the first 90 days from account opening. In addition to the online cash, you’ll also earn an additional 3% cash back in the category of your choice for the first year, for a total of up to 6% cash back in that category.

These offers are similar, both offer a bonus worth $200 with slightly different spending requirements. While the Blue Cash Everyday card gives you roughly twice as long to meet the spending goal compared to the Customized Cash card, the amount you need to spend is twice as high, balancing it out.

The largest difference comes with the Customized Cash Rewards card, offering an additional 3% cash back in the category of your choosing for the first year.

• 3% cash back at U.S. supermarkets on up to $6,000 in purchases each year (then 1% back)
• 3% cash back on U.S. online retail purchases on up to $6,000 in purchases each year (then 1% back)
• 3% cash back at U.S. gas stations on up to $6,000 in purchases each year (then 1% back)
• 1% cash back on all other purchases

All cash back is earned in the form of Reward Dollars, which can be redeemed as a statement credit.

With the Bank of America Customized Cash Rewards, you’ll earn:

• 3% cash back in one category you choose (6% for the first year), you can select from the following: Gas and EV charging stations, online shopping (including cable, internet, phone plans and streaming), dining, travel, drug stores and pharmacies, home improvement and furnishings
• 2% cash back at grocery stores and wholesale clubs
• 1% cash back on all other purchases

You’ll earn 3% and 2% cash back on up to $2,500 in combined purchases each quarter in the choice category and at grocery stores and wholesale clubs, then an unlimited 1% after. You can change your category up to once per month.

If you find yourself spending a lot at grocery stores, then the Amex Blue Cash Everyday is likely the better pick. The Customized Cash Rewards card offers more flexibility with its choice categories and a higher annual cap for its bonus categories.

With the Customized Cash Rewards card, you can redeem your cash back in a few different ways:

• Statement credits/deposits into a Bank of America checking or savings account
• Credit to an eligible Merrill account
• Contribution to a 529 savings plan with Merrill (minimum $25)
• Amazon purchases
• PayPal at checkout

These cards don’t come with premium perks since both have no annual fee. However, that doesn’t mean there aren’t any benefits.

• $84 Disney Bundle Credit: Receive a monthly $7 statement credit for a subscription purchase at Disneyplus.com, Hulu.com or Plus.espn.com in the U.S. (enrollment required).
• $180 Home Chef credit: Up to $15 back per month when you purchase a Home Chef meal kit subscription (subject to auto-renewal; enrollment required).
• Rental car insurance: When you pay for your rental car with this card, you’ll receive car rental loss and damage insurance. (Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car rental loss or damage coverage is offered through American Express Travel Related Services Company, Inc.)
• Purchase protection: Merchandise purchased with your card may receive purchase protection, which protects eligible items for 90 days from the date of purchase if it is stolen or damaged. The coverage is limited up to $1,000 per occurrence, up to $50,000 per card member account per calendar. (Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company.)

The Bank of America Customized Cash Rewards has one worthwhile benefit:

• Increased cash-back rewards: If you bank with Bank of America, Preferred Reward Members can earn 25% to 75% more cash back on each purchase, depending on what tier you’re in.

While both of these cards carry no annual fee, the Blue Cash Everyday card still comes with several useful statement credits and insurance perks.

The Customized Cash Rewards card has more flexibility with how you redeem your rewards and where you earn bonus rewards. But it doesn’t offer ongoing perks anywhere nearly as valuable as what you get with the Amex Blue Cash Everyday.