Bank of America Corp.'s profit rose in the first quarter as it earned more from customers' interest payments while the Federal Reserve raised borrowing costs.

The company's net income applicable to common shareholders rose to $7.66 billion, or 94 cents per share, for the three months ended March 31, the second-largest U.S. lender reported on Tuesday. That compares with $6.6 billion, or 80 cents per share, a year earlier.