How to Pay Rent With a Credit Card
Paying your rent with a credit card every month is a convenient option that has several advantages. When you pay rent with a credit card, you skip the trouble of paying by check or cash.
Use a credit card that features rewards and you can earn points or cash back every time you pay rent with a credit card. Paying with a card also helps cash flow. If payday hasn’t arrived and you don’t have enough cash for rent, you can still make your rent payment on time.
Ways to Pay Rent with a Credit Card
There are two main ways to pay rent with a credit card. You can either use your landlord’s payment system, if there is one, or pay through a third-party company.
Paying through your landlord’s payment system usually requires that the rental property is owned by a large company. If the building is owned by a small business or single owner, chances are the company won’t have a payment system and will instead require that you pay with a check or cash.
Cover rent via a third-party bill payment service, and you can pay rent online with a credit card. For instance, Plastiq allows any tenant to make rental payments to any landlord. Your landlord doesn’t even need a Plastiq account for the payment to process. Plastiq will deliver an electronic payment to your landlord or cut a check.
Considerations Before Paying Rent with a Credit Card
Before you pay rent with a credit card, consider the following.
- Weigh fees against rewards. There are fees to pay rent with a credit card. Consider these costs against the rewards you earn by using a credit card to pay rent. You may find that the costs are more than the rewards or about the same.
- Remember that some fees can be written off. If you are making business payments for a rent or lease, you can write off certain fees since the payments are considered a business expense.
- Consider your spending habits. Are you likely to pay off the credit card at the end of the month, so you don’t end up paying interest? If you have a habit of not paying your balance each month, paying rent with a credit card may not be a good idea. Carrying a balance from paying rent with a credit card every month can result in you owning a great deal in interest.
If you’re strategic about it, paying rent with a credit card can be an ideal choice for earning rewards and keeping your finances on track. Knowing that your rent payment is automatically taken care of every month also gives you peace of mind.