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The Bank of America® Unlimited Cash Rewards Secured is one of the rare credit cards for bad credit or no credit that offers cashback rewards to borrowers. You can earn 1.5% on all purchases while working towards a better credit score.
Quick Review
The Bank of America® Unlimited Cash Rewards Secured is among a series of secured Bank of America credit cards. It’s advertised as available to borrowers who are building or rebuilding their credit, meaning low-credit-score holders should not be dissuaded from getting the card.
Unlike most credit cards for bad credit scores, this card offers cashback rewards. You earn 1.5% back on every purchase you make, without limits or expiration. Along with the rewards, the card offers free FICO credit scores, which can be a big perk for borrowers who want to track their credit-building progress.
On the downside, the card comes with high APR and requires money upfront in the form of a security deposit. However, if you’re a borrower who may struggle to qualify for other cards, the Bank of America® Unlimited Cash Rewards Secured is a great option for building credit while earning cashback rewards.
Bank of America® Unlimited Cash Rewards Secured Important Details
Basic Card Details
- Annual fee: $0
- APR: 26.99% (variable)
- Rewards rate: 1.5%
- Security deposit: $200–$5,000
- Grace period: 25 days
Additional Information
- Your initial credit limit will be equivalent to your security deposit and in the range of $200–$5,000
- $0 liability guarantee
- Mobile banking app
- Overdraft protection
- Free FICO credit score
- Text or email alerts available
Bank of America® Unlimited Cash Rewards Secured Feature Breakdown
Let’s explore the borrowing features of the Bank of America® Unlimited Cash Rewards Secured so you can decide whether it’s the right card for you.
Fees
- Annual fee: $0
- Balance transfer fee: 3% or $10 (whichever is greater)
- Cash advance fee: 5% or $10 (whichever is greater)
- Foreign transaction fee: 3%
- Late fee: Up to $40
Interest Rates
- Purchase APR: 26.99% (variable)
- Cash advance APR: 29.99% (variable)
- Balance transfer APR: 26.99% (variable)
- Penalty APR: 29.99% (variable)
Rewards
The Bank of America® Unlimited Cash Rewards Secured offers a straightforward rewards program—1.5% cash back on every purchase you make.
There’s no limit to your cashback rewards earnings, and your rewards will never expire.
Rewards Redemption
The rewards you earn on the Bank of America® Unlimited Cash Rewards Secured can be redeemed in any of the following ways:
- As statement credit
- As a deposit into a Bank of America checking or savings account
- As a deposit into an eligible Merrill account (including 529 accounts)
Security Deposit
The Bank of America® Unlimited Cash Rewards Secured requires a security deposit for you to open an account. You can choose how much money you put down, as long as it’s in the range of $200–$5,000. The amount you pay will determine your initial credit limit on the card.
Bank of America says they’ll periodically review your account to determine whether you’re eligible to have your deposit refunded. They don’t specify eligibility requirements, but it’ll likely take at least 6 months of responsible borrowing and an overall improvement to your credit to qualify for an upgrade to an unsecured card.
Qualifying for the Card
Bank of America advertises this credit card as for “establishing, strengthening, or rebuilding” your credit. This implies that even borrowers with no credit history or bad credit scores (under 580) may be able to qualify for the card.
Cash Advance
You can use your Bank of America® Unlimited Cash Rewards Secured credit card to withdraw money from an ATM through a cash advance. However, cash advances come with steep fees and an incredibly high APR on the card, so we don’t recommend you use this function. Instead, only use a debit card for ATM withdrawals.
Balance Transfers
Balance transfers are allowed on the Bank of America® Unlimited Cash Rewards Secured and are subject to a balance transfer fee and the regular purchase APR. This interest rate is high, and the card doesn’t enjoy a 0% introductory offer or a reduced balance transfer APR period. For these reasons, it isn’t a good choice if you need to consolidate debt through a balance transfer.
Benefits
The Bank of America® Unlimited Cash Rewards Secured is relatively limited as far as benefits go. While some cards offer extra perks like free insurance or certain protection benefits, the Bank of America® Unlimited Cash Rewards Secured boasts the usual suite of credit card benefits.
Benefits include:
- $0 fraud liability protection
- Automatic alerts via text or email when suspicious activity is registered on your card
- Free FICO credit scores to help you track your credit-building progress
- Mobile and online banking
- Overdraft protection
The most appealing of these benefits is the free FICO scores. If you’re just establishing your credit or trying to repair a low score, free credit tracking is an important part of monitoring your progress.
Authorized Users
You can add authorized users to your Bank of America credit card. There’s no authorized user fee or minimum age requirement, meaning you can add a minor to your credit card account.
However, the primary cardholder will be the sole party responsible for paying the credit card bill, so add authorized users with caution.
Credit Reporting
As Bank of America reports monthly to the major credit bureaus, your activity on the card will be used to update your credit report. This can be incredibly helpful if you have limited credit or a poor score and are trying to build or rebuild your credit.
Customer Service
If you need to contact the credit card customer service team at Bank of America, you can use the contact information below to reach them.
Phone number:
(800) 732-9194
Mailing address:
Bank of America
PO Box 53132
Phoenix, AZ 85027-3132
Should You Get the Bank of America® Unlimited Cash Rewards Secured?
FinanceJar verdict
If you have bad credit or no established credit history, the Bank of America® Unlimited Cash Rewards Secured is a good choice of credit card. Using it responsibly will help you build credit, while cashback rewards and a lack of annual fee make this card a low-cost option.
Once you’ve raised your credit score, you can upgrade to an unsecured version of the card and get your security deposit returned. Alternatively, you can use your improved score to try to qualify for more lucrative rewards cards.
Who is this card for?
- Credit builders: One of the best ways to build credit is to use a credit card responsibly. As Bank of America reports to the bureaus, your borrowing activity will be used to update your credit report. Plus, free credit scores will help you keep an eye on your changing credit score.
- Low-credit rewards seekers: Finding credit cards when you have a low credit score is hard enough. But finding a credit card for bad credit that offers cashback rewards is very rare. What’s more, most bad-credit credit cards only have rewards on select purchases or merchants. Unlimited 1.5% cash back is a rarity in the lower credit score range.
Comparable Cards
If you’re not sure whether the Bank of America® Unlimited Cash Rewards Secured is the right choice for you, see how it compares to similar cards on the market.
