Bank of America Eyes Mortgage Share Gains as It Unveils 30M-Client Rewards Program
Federal regulators propose capital rule revisions to lower mortgage risk weights and enable banks to reclaim market share from non-bank lenders in the U.S. mortgage sector. Bank of America is launching a no-fee rewards program for over 30 million checking clients to boost deposits, card use and wealth ties.
1. Proposed Mortgage Capital Rule Reforms
Federal regulators are advancing amendments to the standardized approach for residential mortgage risk weights, aiming to reduce the capital banks must hold against these loans. By lowering risk charges, the changes would improve banks’ return on risk-weighted assets, allowing institutions like Bank of America to price mortgages more competitively and regain share from non-bank originators.
2. Launch of No-Fee Rewards Program
Bank of America is introducing a no-fee rewards program to more than 30 million checking clients, offering points on debit card spending and tiered benefits tied to account balances. The initiative is designed to deepen customer engagement, drive incremental deposit growth and open avenues for higher-margin card and wealth-management referrals.