Details on the Schwab Visa Cash Back Credit Card Replacement

Details on the Schwab Visa Cash Back Credit Card Replacement

Details are now starting to trickle in on the replacement of the Schwab Visa cash back credit card. For starters, the “2% on everything” will end on 10/31/2011.

In place of the old card, Bank of America will be issuing a new card that offers 1% cash back on retail purchases, 2% on groceries, and 3% on gas — with a $1500 quarterly cap on groceries and gas. You will also (apparently) get a 10% bonus on your cash back earnings if you have them deposited into a Bank of America account.

Alternatively, at least one reader has been offered the option of switching to a Bank of America “Privileges” card with that offers 1% cash back on all purchases, and 3% on select categories that rotate quarterly. I’m not sure if you’ll have to opt in like with other card issuers, but this sounds similar — except both Citi and Chase offer 5% cash back on their bonus categories. Note, however, that Chase is currently offering a $200 signup bonus.

While that same reader was told that the terms and conditions of their current (Schwab/FIA) account would apply to the new account, a reader named Janice reported that:

I received another letter today from B of A. They state that travel accident insurance will be reduced from $1, 000, 000 to $250, 000; I.D. Theft Recovery will no longer be a benefit; and Price Protection will no longer be a benefit.

It remains unclear if features like the lack of foreign transaction fees will remain in place.

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8 Responses to “Details on the Schwab Visa Cash Back Credit Card Replacement”

  1. Anonymous

    I have not received a new BofA card yet and rewards from Schwab ended on Oct. 31.

    I called BofA and the person there said I’d still receive benefits using the old Schwab card, but on BofA’s reduced terms. I hope that’s the case because I can’t use a BofA card that I haven’t received yet!

    Seems to me BofA should have been more prompt in getting new BofA Visa cards to Schwab Visa cardholders instead of creating what might be a dead period for awards between Oct. 31, and when a new card is received. If there is a dead period for cash back rewards, there will surely be complaints which BofA certainly doesn’t need more of these days.

    BofA’s replacement Visa card isn’t too bad, though: 2% back on groceries, 3% on gasoline, and 1% back on everything else. Set up deposit of cash back into a BofA account and get another .10%.

    Note that if you use your BofA Visa out of the country, the bank slaps on a 3% foreign transaction fee which Schwab did not. That could be a big issue for travelers who spend freely abroad.

  2. Anonymous

    Received the letter notifying me of the change back in mid-September. Then tried to log on to the FIA website which I use to pay bill and monitor activity and was informed I no longer had an account!!! Still have not received the new BofA card, and was told today they are still in the process of setting up the new accounts. You’d think they could have managed this better since FIA = BofA. Meanwhile I’m sure they expect me to somehow make a payment before the due date – what a fiasco.

  3. Anonymous

    Hello Capital One, goodbye FIA/BofA. I tried to call FIA to ask them not to bother sending me a new card, but they told me that wasn’t possible. Regardless, my wife and I did some research and are switching to the Capital One Venture Card. Although it comes with an annual fee, it still offers 2% back (but it has to be applied to travel), and has no foreign transaction fees.

  4. Anonymous

    Unhappy with the changes B of A is bringing to the card, I’m still undecided which Visa or Mastercard I will switch to. However, I do have an American Express card which I never used because of their awful rewards program. They have a newer card called “Blue Cash Everyday” which rewards 3% cash back for stand-alone grocery stores; 2% for gas and department stores (I’ve read Amazon qualifies, but I can’t verify that yet); and 1% for all else. After $25 cash back has accrued, one can have the amount applied to their AmEx bill, so that’s easy.

    My point in sharing this info is that when I phoned and asked for an “upgrade” to this card – (do not fill out anything online) – they simply switched my card over, keeping the same account number and, most importantly, did NOT have to pull any credit check at all.

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