Adding Bank of Amercia (BAC) to the portfolio

Last week I posted that I purchased 100 shares of GE (General Electric) as part of my strategy for creating new income streams. To learn more about this strategy, please review my post - Combining high dividend yields with covered call options. Today, I would like to alert my readers that I have added 100 shares of BAC (Bank of America) to my portfolio using the same strategy. While I understand there is a current market downturn in the financial sector, I feel that this is an opportunity to invest in a stock that I have wanted to own for some time. I also understand that the future looks very bleak for this sector and there will probably be more downward pressure on the stock in the near term. However, I believe that selling Covered Calls to hedge against this purchase will help to reduce this downward pressure on the stock.

Details of the Trade
The follow list details the trading activity -

Purchased 100 shares of BAC for an average share price of $25.35 (commission included).
Sold 1 July 27.50 Covered Call contract for net proceeds of $54.99

I continued to follow my strategy for combining high yielding stocks with covered call options and met the following criteria that I have been using -

The stock purchased must be one that I don’t mind owning over the long term. As I stated earlier, I have wanted to own BAC for some time. I think that long term, BAC will be fine and I will look back at this purchase with a smile on my face.
The stock needs to pay a steady dividend. At the time of the purchase, BAC was yielding around 10%. I also completely understand that there is a chance that the dividend could be cut - although management has said otherwise.
The Options activity on the stock needs to be attractive.
I must have enough resources to purchase a minimum of 100 shares required to sell 1 Covered Call Options contract.

Risks
As always, there is risk involved in trading stocks and options. I have identified the following 2 potential risks in making this transaction.

Stock Jumps - One possible risk is losing out on the stock. In the event that BAC jumps past $27.50 per share before the 3rd Friday in July, I would probably lose out on the stock. Let’s face it - this is not going to happen in the next 2+ weeks. If it did, I would return over 10% on my transactions in less than 1 month.
Stock Drops - The other scenario and risk is if the stock has a major drop along with the rest of the market. This is a concern given the current market, but I believe that selling Covered Call options on a monthly basis will hedge against this trend.

Opportunities
I believe that this transaction provides an excellent opportunity to generate monthly cash flow which can be reinvested into purchasing more and more assets. This fits with my long term strategy of becoming financially independent. I will continue to sell Covered Call option contracts against my position when appropriate to generate this additional income.

What do you think about the trade? Do you think this is a good way to generate monthly cash flow?

Disclaimer - I am not recommending the purchase of Bank of America stock in regards to this post. Instead, I am detailing my strategy for generating monthly income by using this stock as a catalyst. Please do your own Due Diligence before making any purchases. Thanks!