7 Tips: Paying Rent or Mortgage with Credit Cards (Oct. 2023)

Upon entering the real world for the first time, one of the most shocking things to many young people is often the exorbitant cost of housing.

Whether you rent or pay a mortgage, you’re looking at an average of at least $800 a month — assuming you don’t live in an expensive city.

With so much of our monthly wages going toward that roof over our heads, it seems a shame to miss out on potential credit card rewards. But paying your rent or mortgage with a credit card isn’t always straightforward. Read on for some important considerations and tips on how to pay your rent or mortgage with credit cards. Weigh the pros and cons and decide whether this approach is a good fit for you.

Your landlord or bank is the first impediment to paying your rent or mortgage with your credit cards. Individual landlords are unlikely to accept credit card payments. Either they don’t possess the ability to do so, or they can’t stomach the credit card processing fees charged to merchants. Even larger rental organizations, such as apartment complexes, are often unlikely to want to lose as much as 3.5% of their rent to a credit card company just for the privilege of having the payment processed.

Finding a bank or mortgage lender that directly accepts credit card payments is also challenging. For example, mortgages from Chase cannot be paid directly by credit card; the bank only allows payments from a Chase account, transfers from other banks, checks, or money orders.

Even if your bank or landlord does accept credit cards, some credit card issuers prohibit using their cards for mortgage payments. 

Moreover, some entire credit card networks won’t process mortgage payments through their networks. Visa and American Express both reportedly prohibit mortgage payments made by credit card from being processed on their networks, though debit and prepaid card payments are allowed.

All fees aside, banks and credit card companies are largely against processing mortgage payments via credit card because cardholders essentially pay a debt by creating more debt. Mortgage loans are a form of debt — and so are credit cards. Paying off one using the other is just moving debt around. 

On the plus side, rent isn’t generally regarded as a debt. Therefore, most card issuers and networks allow rental payments by credit cards.

Although most landlords and banks won’t (or can’t) accept credit cards, several third-party companies allow you to use a credit card to make rent or mortgage payments. Essentially, you pay the company with the method of your choice, and the company sends the payment as an ACH payment or paper check to the party you designate. Unfortunately, these companies charge pretty stiff fees for the service, up to an average of 3%.

The high fees associated with third-party rent or mortgage payments can easily override any potential rewards you might earn for the purchase with your credit card. And few, if any, credit cards will offer bonus rewards for rent, mortgage, or online payments. Think of it this way: You pay your mortgage with your favorite 2% cashback card. A third-party company charges you a 2.5% fee for the payment. And you’re in the red by 0.5%.

The best way to counteract the high fees for paying your rent or mortgage with a credit card is to use the highest-earning card you have in your wallet (or acquire a new one for the occasion).

If you play the points game, you might go for your favorite points card, but the per-point value will vary drastically depending on how you redeem. A cashback card is more straightforward, offering attractive rewards rates for one or more bonus categories, depending on the card you choose. 

Citi® Double Cash Card

at Citi'ssecure website

CITI® RATING

★★★★★

4.8

OVERALL RATING

4.8/5.0

Our Review »

• Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.
• To earn cash back, pay at least the minimum due on time.
• Balance Transfer Only Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will be 19.24% - 29.24%, based on your creditworthiness.
• Balance Transfers do not earn cash back. Intro APR does not apply to purchases.
• If you transfer a balance, interest will be charged on your purchases unless you pay your entire balance (including balance transfers) by the due date each month.
• There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5).

• See application, terms and details.

See Rates & Fees

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	0% Intro APR Period 18 months on Balance Transfers	19.24% - 29.24% (Variable)	$0	Excellent, Good, Fair

Additional Disclosure: Citi is a CardRates advertiser.

Chase Freedom Flex℠

This card is currently not available.

Best Overall Rating

★★★★★

N/A

OVERALL RATING

N/A

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	N/A	N/A	N/A

Additional Disclosure: The information related to Chase Freedom Flex℠ credit card has been collected by CardRates.com and has not been reviewed or provided by the issuer of this card.

As a savvy credit card user, you also might want to pay your rent or mortgage with a credit card to meet the spending requirement for a juicy signup bonus. Some cards require a minimum $3,000 spending in a 90-day period, which can be tough if you don’t have many expenses.

Since housing payments typically make up at least a third of the budgets of most consumers, making those payments with your card can take you a long way to the spending requirement. In this scenario, the associated fees are outweighed by the long-term reward.

The cards below routinely offer inticing signup bonuses. Check current offer details to determine whether the card meets your spending and credit-building requirements.

Chase Sapphire Reserve®

at Chase'ssecure website

BEST OVERALL RATING

★★★★★

4.7

OVERALL RATING

4.7/5.0

Our Review »

• Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $900 toward travel when you redeem through Chase Ultimate Rewards®
• $300 Annual Travel Credit as reimbursement for travel purchases charged to your card each account anniversary year.
• Earn 5x total points on flights and 10x total points on hotels and car rentals when you purchase travel through Chase Ultimate Rewards® immediately after the first $300 is spent on travel purchases annually. Earn 3x points on other travel and dining & 1 point per $1 spent on all other purchases
• Get 50% more value when you redeem your points for travel through Chase Ultimate Rewards®. For example, 60,000 points are worth $900 toward travel
• 1:1 point transfer to leading airline and hotel loyalty programs
• Access to 1,300+ airport lounges worldwide after an easy, one-time enrollment in Priority Pass™; Select and up to $100 application fee credit every four years for Global Entry, NEXUS, or TSA PreCheck®

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	22.49%-29.49% Variable	$550	Good/Excellent

As one might expect of an elite card with a somewhat exclusive cardholder approval process, the Chase Sapphire Reserve® historically offers high-value signup bonuses to attract new customers. But remember: The higher the signup bonus, the higher the spending requirements, typically. 

Chase Sapphire Preferred® Card

at Chase'ssecure website

BEST OVERALL RATING

★★★★★

4.9

OVERALL RATING

4.9/5.0

Our Review »

• Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®.
• Enjoy benefits such as 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining, and 2x on all other travel purchases, and $50 annual Ultimate Rewards Hotel Credit, plus more.
• Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 60,000 points are worth $750 toward travel.
• Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
• Get complimentary access to DashPass which unlocks $0 delivery fees and lower service fees for a minimum of one year when you activate by December 31, 2024.
• Member FDIC

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	21.49%-28.49% Variable	$95	Good/Excellent

Similar to its sibling, the Chase Sapphire Preferred® Card also regularly features high-value signup bonuses.  If you can meet the spending requirement in the specified timeframe, however, the rewards will likely outweight the cost of any transaction fees.

Capital One Venture Rewards Credit Card

BEST OVERALL RATING

★★★★★

4.8

OVERALL RATING

4.8/5.0

• Enjoy a one-time bonus of 75,000 miles once you spend $4,000 on purchases within 3 months from account opening, equal to $750 in travel
• Earn unlimited 2X miles on every purchase, every day
• Earn 5X miles on hotels and rental cars booked through Capital One Travel, where you'll get Capital One's best prices on thousands of trip options
• Miles won't expire for the life of the account and there's no limit to how many you can earn
• Receive up to a $100 credit for Global Entry or TSA PreCheck®
• Enjoy two complimentary visits per year to Capital One Lounges or to 100+ Plaza Premium Lounges through the Partner Lounge Network

• See application, terms and details.

See Rates & Fees

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	21.24% - 29.24% (Variable)	$95	Excellent, Good

The minimum spending requirement for some cards may be more accessible than others. We urge readers to compare popular card offers, heeding the advice of finance experts, and pull the trigger on a card that makes the most sense for your personal situation. The top-dollar signup bonus may not be the best deal long-term.

Unfortunately, the third-party processor that handles your credit card payment may not be the only source of fees when it comes to paying your rent or mortgage.

In some cases, your credit card issuer may interpret your payment as a form of cash advance. Not only does this mean big cash advance fees, but your payment will start accruing interest right away — often at a higher rate than normal purchases.

Using those handy convenience checks often provided by your credit card company is the surest way to incur big cash advance fees. Although it seems like an everyday check, convenience checks are always treated as cash advances by credit card companies.

One of the largest chunks of a business’s overhead is often office space, be it leased space or a building owned by the business. Happily, business owners can often use the same third-party platforms to pay their business’s rent or mortgage with their favorite business credit card.

Of course, keep in mind that the same potential limitations apply to business rent or mortgage payments as for consumer payments, including only being able to use certain payment methods for some types of payments.

Ink Business Preferred® Credit Card

at Chase'ssecure website

BEST OVERALL RATING

★★★★★

4.7

OVERALL RATING

4.7/5.0

Our Review »

• Earn 100k bonus points after you spend $8,000 on purchases in the first 3 months from account opening. That's $1,000 cash back or $1,250 toward travel when redeemed through Chase Ultimate Rewards®
• Earn 3 points per $1 on the first $150,000 spent on travel and select business categories each account anniversary year. Earn 1 point per $1 on all other purchases
• Round-the-clock monitoring for unusual credit card purchases
• With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information.
• Redeem points for cash back, gift cards, travel and more - your points don't expire as long as your account is open
• Points are worth 25% more when you redeem for travel through Chase Ultimate Rewards®

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	21.24%-26.24% Variable	$95	Good/Excellent

The Ink Business Preferred® Credit Card Card is a popular choice of many businesses. Transferable to a number of travel partners, points earned with this card can be particularly lucrative for frequent travelers.

Ink Business Cash® Credit Card

at Chase'ssecure website

BEST OVERALL RATING

★★★★★

4.6

OVERALL RATING

4.6/5.0

Our Review »

• Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
• Earn 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year
• Earn 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year. Earn 1% cash back on all other purchases
• Round-the-clock monitoring for unusual credit card purchases
• With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information.
• No Annual Fee

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
0% Intro APR on Purchases 12 months	N/A 12 months	18.49% - 24.49% Variable	$0	Good/Excellent

The Ink Business Cash® Credit Card is consistently ranked among the top cashback cards for businesses. Cardholders earn bonus rewards in a range of useful categories, maximizing your credit card usage.

Capital One Spark Cash for Business

This card is currently not available.

Best Overall Rating

★★★★★

N/A

OVERALL RATING

N/A

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
N/A	N/A	N/A	N/A	N/A

Additional Disclosure: Information for this card not reviewed by or provided by Capital One.

Finally, the Capital One Spark Cash for Business is our recommendation for those seeking a no-frills business rewards credit card. When in doubt, stick with simple.

When you have to wait for money to change hands more than once, say goodbye to day-before deposits or last-minute payments 

“If you select a recipient in our system, they will be funded by ACH/EFT (electronic bank transfer) in 2-3 business days. If your recipient is manually added, they will be funded by check in 5-7 business days.” — Plastiq

With some services, the payment can be processed and delivered in just a few days. In other cases, you’re looking at a week or more before your payment reaches its final destination. So, if your rent or mortgage is due on the first of the month, you’d better start the ball rolling ASAP to avoid late fees.

Although it’s one of the big four — along with air, water, and food — shelter is often the most expensive human need. And paying that big housing bill is even more frustrating for credit card rewards enthusiasts who see thousands in rewards going unearned each year.

But while you can find ways to pay your rent or mortgage with a credit card, even one that earns rewards, it isn’t always the most worthwhile procedure.

Unless you have a card with points that you value above the amount of the processing fee or are working toward a big signup bonus, you may want to skip the plastic. Stick to old-fashioned checks to pay your rent or mortgage.