Bank of America announced that it has rewarded small business clients participating in Preferred Rewards for Business with approximately $175 million in benefits during the inaugural year of the program. This includes interest rate boosters on savings accounts, discounts on business loans, monthly maintenance fee waivers and rewards bonuses on credit cards. The program’s wide range of benefits have driven enrollment to approximately 385,000 members, holding $67 billion in assets, with nearly half adding a new product to their banking relationship.
“Preferred Rewards for Business takes an industry-leading approach to rewarding small business clients for their entire relationship, including their everyday banking,” said David Tyrie, head of Advanced Solutions and Digital Banking. “Programs such as this, coupled with our award-winning digital solutions, have driven client satisfaction levels and retention rates to all-time highs and help us create lifelong relationships with our clients.”
Preferred Rewards for Business was recognized this year by Barlow Research with a Monarch Innovation Award in the “Business Banking Most Innovative Product” category. Barlow Research also ranked Bank of America as the top bank for Small Business Mobile Adoption and Small Business Mobile Functionality, and only bank to offer all of its top 10 online and mobile banking features for small businesses.
“We have the solutions and expertise to provide our clients with a competitive advantage, and also want them to know how much we value their business and are invested as partners in their success,” said Sharon Miller, head of Small Business. “Our intent with this program was to provide meaningful ways for businesses to benefit from their relationship with us, and we are pleased it has been received so favorably and is delivering on that vision.”
The most comprehensive multi-product rewards program in small business banking, Preferred Rewards for Business offers members a wide range of benefits that grow as their relationship deepens across their Bank of America business deposit and/or Merrill business investment accounts, including:
- An interest rate booster of up to 20% on Business Advantage Savings accounts
- No fees on select banking services
- Discounts on select business financing products, and
- Rewards bonuses of up to 75% on eligible business credit cards
Preferred Rewards for Business complements the company’s overall Preferred Rewards program, a first-of-its-kind, three-tiered membership program available to Bank of America clients. Currently, more than 5.7 million clients are enrolled in Preferred Rewards.
Providing Rewards and Access to Capital for Small Businesses
Preferred Rewards for Business is a cornerstone of Bank of America’s rewards-focused approach and commitment to providing its business clients with rewards and solutions to grow their businesses. In addition, Bank of America is committed to providing access to capital for small business owners who fuel the nation’s jobs and economy. We help small business owners find the right financing based on what their business priorities and goals are. According to the FDIC, Bank of America was the top small business lender in the U.S. at the end of first quarter 2019, with $37 billion in outstanding loan balances (business loans in original amounts of $1MM and under). In addition, Bank of America originated $8.6 billion in new small business lending in 2018, up 12 percent from 2017. The company also holds a $1.5 billion portfolio of loans and investments with 255 community development financial institutions (CDFIs), helping improve access to capital to businesses that may otherwise be declined funding through traditional bank lending.
Offering Business Owners a Full Suite of Digital Solutions
With more than 11 million business owner clients, Bank of America is committed to delivering a seamless experience across all channels, making it easier than ever for clients to manage their finances on the go and gain a competitive business advantage. Earlier this year, Bank of America launched Business Advantage 360, a digital dashboard that helps entrepreneurs save time and money by providing a more complete financial picture of their business. The bank also offers a streamlined small business mobile lending experience, which allows clients to apply for a Business Advantage Term Loan or Business Advantage Credit Line from any Bank of America digital platform. As of Q2 2019, approximately 20% of Business Advantage lending applications were opened digitally.
Bank of America
Bank of America is one of the world’s leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 66 million consumer and small business clients with approximately 4,300 retail financial centers, including approximately 2,200 lending centers, 2,400 financial centers with a Consumer Investment Financial Solutions Advisor and 1,700 business centers; approximately 16,600 ATMs; and award-winning digital banking with more than 37 million active users, including approximately 28 million mobile users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and approximately 35 countries.