Bank of America introduces new business card.

SAN FRANCISCO--(BUSINESS WIRE)--March 29, 1995--Bank of America today announced that it has introduced a new BankAmericard Visa Business Card with features and benefits that give companies more financial control over their business, travel, and entertainment needs.

"This product re-emphasizes our commitment to the small business market," said Executive Vice President Jerry Bowman, who heads the bank's Business Banking Division. "It tracks employee spending in as much detail as needed. It helps manage cash flow and payables. And it gives small businesses more financial flexibility."

Businesses may apply for the new card by completing a new streamlined application available in any BofA branch in California. Small businesses may request company lines of credit from $2,500 to $100,000. Companies will be notified of the credit decision within 24 hours for credit lines up to $25,000.

The bank also has introduced new relationship pricing on the card. The annual percentage rate varies depending on the number of qualifying business products the company has with Bank of America.

"This is designed to reward companies that have other BofA business banking relationships," said Bowman. "The more relationships a company has with us, the less it will cost them."

For example, the rate for companies with two BofA relationships is a variable rate that is set quarterly based on the prime rate as published in the Wall Street Journal plus 6.65 percent. Companies with one additional BofA relationship receive a rate based on prime plus 8.45 percent and companies with no BofA relationship are charged based on the prime rate plus 11.15 percent. Qualifying business products include checking or interest checking accounts and business lines of credit or loans.

The new features on the card include overdraft protection, redesigned and more flexible billing statements and optional management reports.

"Businesses now have the option of having business checking overdraft protection tied to a special Business Card overdraft protection line of credit," explained Executive Vice President Stephen Galasso, who heads product management for Bank of America's Credit Card Division.

Businesses may designate a part of their line of credit to cover inadvertent overdrafts. "The optional coverage protects the integrity of businesses and eliminates the embarrassment over temporarily insufficient funds or bounced checks," added Galasso.

The monthly statement also has been redesigned to make it easier-to-read and save businesses time. Companies have a choice of company or cardholder statements. The company statement summarizes activity for all accounts and provides managers with a monthly detail of individual spending. The cardholder statement provides individuals with separate detail of all activity during a billing cycle and allows for individual payment of expenses.

In addition to the monthly statement, companies may receive optional management information reports that enable them to monitor and control various business expenses. The reports range from account recap and vendor analysis to individual activity and airline spending. For example, control accounts on various travel and entertainment expenses enable companies to track those expenditures separately from other expenses.

The annual membership fee for each business card is $25, which includes two standard year-end reports. If a company chooses to receive the optional management reports, the fee per card may range up to $45, depending on the number of cards issued.

CONTACT: Bank of America

Charlie Coleman, 213/228-3258

Betty Riess, 415/622-6397