In response to consumer demand for a card that offers the convenience of credit with simplified rates and terms, Bank of America is introducing the BankAmericard Basic Visa card. Reportedly, the new card features one basic rate for all types of transactions, including balance transfers and cash advances. That rate, which is tied to the US Prime Rate, will not change over the life of the account.
The bank has claimed that the Basic card is one of four new cards in a simplified suite of cards offered under the BankAmericard brand. Other cards in the suite include BankAmericard Power Rewards Visa, BankAmericard Cash Rewards Visa and the BankAmericard Visa.
Key features of the BankAmericard Basic Visa card include: The interest rate is the same for all transactions, including purchases and cash advances, making it easy for customers to keep track of their interest rate at any given time; One interest rate — US Prime plus a margin of 14 percent — that never changes for the life of the account. Rate increases and decreases will only occur if the Prime Rate changes; No over-the-limit fee; Easy- to-understand, single-page disclosure explains terms and conditions; One flat fee of $39 for late payments.
Ric Struthers, president of Bank of America Global Card Services, said: “Today, consumers are telling us more than ever that they need products that offer simple and straightforward solutions. For those consumers who just want the basics, our goal is to offer products with features that are predictable, easy to understand and help them manage their finances responsibly.”
“Our intention is to offer customers the product that best meets their individual needs and help them get the most out of their relationship with us. We recently introduced our clarity commitment — a one-page summary disclosure — to our mortgage customers. The Basic card is another step in responding to consumers who are looking for greater simplicity in their financial products,” Mr. Struthers added.
