Bank of America unveils new client benefits plan management suite

Posted: 17 February 2020 9:23 am
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The megabank is seeking to simplify its clients’ financial lives by offering a new suite of financial management tools.

Bank of America is seeking to boost its benefits game. In an announcement released Wednesday, the national bank announced its plan to unify its benefits offerings under a single suite, Financial Life Benefits. The hope for this endeavor is the ability to market the bank’s workplace products — such as health care savings, deferred-compensation, equity and retirement plans — to the bank’s existing roster of corporate banking clients.

Bank of America’s new solution does not add any new products. It is more a management tool meant to both give people a better understanding of their financial health and offer them access to services meant to give them more control over their benefits. With 83 percent of employees agreeing with the statement “The financial benefits offered by my employer are critical to my financial security,” offering a suite of management tools may lead to happier, less stressed-out employees.

“This broad range of solutions provides employees a more complete set of tools and resources to manage their finances and pursue their goals,” said Aron Levine, head of consumer banking and investing for Bank of America, in the official announcement. “We are positioned to deliver this offering through the unmatched convenience of more than 25,000 financial advisors and specialists, 4,300 financial centers across the country, our Preferred Rewards program, and award-winning digital banking and investing capabilities.”

This move may be prudent, considering the bank’s business banking base. Having relationships with 95 percent of the Fortune 1,000 companies, 40 percent of all large and middle-sized American businesses and over 3 million small businesses, Bank of America offers corporate services to much of America’s business core. With the company’s acquisition of Merrill Lynch, Bank of America is one of the nation’s largest wealth management firms in the nation.

Unwrapping Bank of America’s newest solution

Financial Life Benefits, aimed toward medium to large-sized businesses, will have three components. First, Financial Life Benefits will offer clients’ employees discounts on mortgages and other bank products, as well as financial education and personalized wealth management advice. Second, employees will be able to maximize their benefits through onsite workshops, one-on-one consultations, local financial centers where employees can meet with Bank of America and Merrill associates, and call centers. To this end, Bank of America is currently hiring 150 employee benefits specialists.

Finally, the role of the company’s employee benefits specialists will increase to allow for partnerships with local Merrill financial advising teams and commercial banking relationship managers to help support the bank’s relationships with employers and employees.

“Too often, day-to-day financial challenges hinder long-term financial success,” said Lorna Sabbia, head of retirement and personal wealth solutions at Bank of America. “Financial Life Benefits is a powerful solution for employers to help their employees plan, save and take control of their future. With this new solution, retirement and health care savings can be addressed alongside short-term financial needs, guided by financial education and professional guidance.”

Picture: Getty Images

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