Card Income, Interchange Fees and Merchant Income — Rewards, rebates and compensation expense
Bank of America Card Income, Interchange Fees and Merchant Income — Rewards, rebates and compensation expense decreased by 3.8% to $2.50B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 4.2%, from $2.40B to $2.50B. This is a positive signal — lower values indicate better performance for this metric.
Analysis
How to read this metric
An increase relative to revenue may signal rising competition for cardholders or a shift toward more expensive rewards programs, while a decrease could indicate improved cost efficiency or a change in product strategy.
Detailed definition
This metric captures the direct costs associated with card loyalty programs, including customer rewards points, cash-bac...
Peer comparison
Comparable to 'Card Rewards and Marketing Expense' or 'Customer Loyalty Program Costs' reported by major credit card issuers.
bac_segment_card_income_interchange_fees_and_merchant_income_rewards_rebates_and_compensation_expenseHistorical Data
| Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q2 '24 | Q3 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $2.33B | $2.33B | $2.33B | $2.33B | $2.40B | $2.40B | $2.40B | $2.40B | $2.50B | $2.60B | $2.50B |
| QoQ Change | — | +0.0% | +0.0% | +0.0% | +3.2% | +0.0% | +0.0% | +0.0% | +4.2% | +4.0% | -3.8% |
| YoY Change | — | — | — | — | +3.2% | +3.2% | — | +0.0% | +4.2% | — | +4.2% |
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Frequently Asked Questions
- What is Bank of America's card income, interchange fees and merchant income — rewards, rebates and compensation expense?
- Bank of America (BAC) reported card income, interchange fees and merchant income — rewards, rebates and compensation expense of $2.50B in Q1 2026.
- How has Bank of America's card income, interchange fees and merchant income — rewards, rebates and compensation expense changed year-over-year?
- Bank of America's card income, interchange fees and merchant income — rewards, rebates and compensation expense increased by 4.2% year-over-year, from $2.40B to $2.50B.
- What does card income, interchange fees and merchant income — rewards, rebates and compensation expense mean?
- The total costs incurred by the bank to provide rewards, rebates, and incentives to cardholders.