Bank of America provides a full range of financial services—from checking and savings accounts to loans, credit cards, and investment options—making it a viable one-stop shop for many consumers. With a vast network of branches and ATMs, plus a strong digital presence, the bank appeals to those who prefer both in-person and online banking convenience.
Account Options and Fees
Bank of America structures its checking accounts into three tiers: Advantage SafeBalance, Advantage Plus, and Advantage Relationship Banking. Each level comes with varying balance requirements and monthly fees.
- Advantage SafeBalance ($4.95 monthly fee, waivable) is designed for basic banking needs, without check-writing privileges, and automatically declines overdrafts.
- Advantage Plus ($12 monthly fee, waivable) allows checks and overdraft protection.
- Advantage Relationship Banking ($25 monthly fee, waivable) offers interest-earning balances and reduced or waived fees on select services.
Savings accounts include the Advantage Savings account, which does not offer high-yield rates but rewards Preferred Rewards members with interest rate boosts. CDs are available in Featured, Fixed Term, and Flexible options, with minimum deposits starting at $1,000.
Key Advantages
Bank of America’s strength lies in its extensive reach. With thousands of branches and ATMs nationwide, it provides convenient access for customers who prefer in-person banking. The bank also boasts a well-regarded mobile app (4.8 stars on Apple App Store, 4.6 on Google Play) and a full suite of financial products, including loans and investment services.
The Preferred Rewards program offers significant benefits to customers who hold multiple Bank of America products, including higher APYs, waived fees, and loan discounts. This incentivizes customers to consolidate their banking needs with the institution.
Potential Drawbacks
Bank of America’s fees can be a concern. Monthly maintenance fees apply to most accounts unless specific criteria are met (direct deposits, minimum balances, student status, Preferred Rewards). Overdraft fees and out-of-network ATM charges can also add up quickly.
While the savings account is functional, its APY is not competitive compared to other financial institutions. Customers seeking higher yields may need to explore alternative options. CD rates are also generally in line with industry standards rather than leading the market.
How Bank of America Compares
When weighed against competitors like Citi and Wells Fargo, Bank of America stands out for its branch network (16,000 ATMs vs. Wells Fargo’s 12,000). However, other banks may offer more attractive rates or lower fees. Capital One, for example, provides high-yield savings options without minimum requirements.
Citi provides a similar full-service approach, while Wells Fargo has more branch locations but comparable banking coverage. Ultimately, the best choice depends on individual financial needs and priorities.
Final Verdict
Bank of America is a solid choice for those who prioritize convenience, comprehensive banking services, and a large branch network. Its Preferred Rewards program incentivizes loyalty, but customers should be aware of potential fees and consider whether higher-yield alternatives exist for savings and CDs. The bank caters well to both first-time account holders and high-net-worth individuals seeking integrated financial solutions.
