By Elizabeth Dilts Marshall

NEW YORK (Reuters) – Financial institution of America (NYSE:) is rolling out a brand new bank card and beefing up its present rewards program in a bid to encourage as much as 1 million wealth purchasers to make use of its banking companies as properly, executives mentioned Thursday.

Chief Govt Brian Moynihan has known as the popular rewards program a key pillar of the financial institution’s development technique. The brand new advantages intention to encourage purchasers of the financial institution’s Merrill Lynch and U.S. Belief wealth administration companies to open bank cards and checking accounts.

“Now we have 1 million wealth purchasers who do not financial institution with us,” John Sellers, head of most well-liked rewards, mentioned in an interview. “After they do, historical past tells us, they convey lots of and 1000’s of {dollars} of incremental belongings. The (new rewards affords are) a terrific carrot to carry on the market.”

This system affords awards like money again and reductions on house loans to clients who saved greater than $20,000, $50,000 or $100,000 with the financial institution, with the advantages growing based mostly on belongings.

Thursday’s announcement provides perks for individuals who hold greater than $1 million or greater than $10 million on the financial institution, and it provides a brand new bank card – the premium rewards bank card elite.

The technique is to persuade these clients the bank card rewards are so good that they may wish to transfer extra of their cash and accounts to Financial institution of America, mentioned Jason Gaughan, head of client card merchandise.

“These clients do not normally revolve a stability,” so the financial institution doesn’t earn a lot curiosity from them, Gaughan mentioned. “The worth is not actually the cardboard relationship. It is your complete relationship.”

Card holders who additionally qualify for the highest rewards tiers can earn as much as 3.5 factors per $1 spent on journey and eating, versus the two factors per $1 for all different card holders.