Can I pay my rent using a cashback credit card?

MonteCristo

Hi everyone


I realise that there's no such thing as a standing order for a credit card, but I'm looking into getting a cashback credit card and was wondering if it's possible for me to use it to pay my monthly rent to my landlord, ie to max up the amount of cashback that I can earn? How could I do this?


Any thoughts appreciated, thanks!

Tixy

Does your landlord accept payment by credit card? Few will but some do if its through a lettings agent?

MonteCristo

Thanks for you reply Tixy.


It's a private landlord, not through an agency. At the moment I just pay him by standing order.

bengal-stripe

MonteCristo wrote: »

It's a private landlord, not through an agency.

Which means that it is extremely unlikely your landlord is able to take CC.

lisyloo

Probably the answer is no.
An individual lanlord wouldn't normally be set up to take credit cards.

bsms1147

Could try to go via paypal I suppose?. Landlord would have to swallow the fees and be happy with that (unlikely), or if you pay the fees the cashback you receive needs to be higher than the paypal feels. Only Amex fits that bill and even then only for a handful of months.

RingKing

If they have a credit card system in place you can. But be aware they may add in charges if you pay by CC.

Personally I do this. I get around 20 quid from just paying my rent, if I paid by direct debit I would only get 5 quid off.

lisyloo

Have you considered offering to pay your landlord in advance for a discount?
It might be better than cashback.

eddddy

Unfortunately, the CC companies don't really give away free money.

If your LL did accept credit cards, the CC company would deduct a fee of perhaps 3% (or more) from payments. Then perhaps they give you 1% cashback and keep 2% for themselves.

So your LL could accept credit cards on this basis:
1. Take a 3% reduction in rent payments due to CC fees, or
2. Charge you a 3% surcharge to cover CC fees

If the LL is happy with option 1, you would both be better off just agreeing a 2% discount on the rent and continuing to pay by SO.

If the LL wanted option 2, the surcharge would exceed the cashback.

(Although, as bsms1147 says, Amex do a short term loss-leader to attract new customers. Presumably, they hope to recoup their losses once the loss-leader ends.)

lisyloo

Amex do a short term loss-leader

They also charge much high fees to the retailer than visa or mastercard.
Lots of smaller and on-line retailers don't use them for this reason, so it's extremely unlikely a private landlord would.

datlex

I pay my rent by credit card, but I'm renting via a housing association. I use the points I earn to treat myself.