Rent Payment Through Credit Card

Credit Card
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Latest Offers on Rent Payments – August 2024:

CRED:

  • Rs. 200 Discount: Pay Rs. 20,000 rent with an RBL Credit Card and get Rs. 200 off. Valid once per user with an offer code.
  • Cashback up to 100%: Use 10,000 Cred Coins for a chance to win up to 100% cashback on rent payments. Valid once per month for all cards.
  • Assured Cashback up to Rs. 1,000: Pay rent on CRED and claim the jackpot from the rewards section. Applicable once per user.
  • Free Acko Home Appliance Protection: Get coverage for appliances like TVs and fridges under five years old. Renewed monthly with rent payment on CRED.

Direct Rent Payment:

  • 100% Cashback on Processing Fees: Win cashback on processing fees up to Rs. 750. Valid until August 31st, 2024.
  • Cashback Offers: Every 100th customer gets Rs. 100 cashback, and every 1000th customer gets Rs. 1,000 cashback for transactions over Rs. 10,000. Valid until August 31st, 2024.
  • PayZapp Cashback: Earn a scratch card with every rent payment using PayZapp.

RedGirraffe:

  • Earn CASH Points: Get 5% of the transaction value as RedGirraffe CASH Points, capped at 3,000 points.

Benefits of Paying Rent via Credit Card:

  1. Earn Rewards & Points: Use your credit card for rent payments and earn points that can be redeemed for cashback, travel bookings, and more. Some cards offer exclusive deals for rent payments.
  2. Convenient Transfers: Skip the bank visits and use reliable third-party apps like Cred, Housing. com, and RedGirraffe to pay rent digitally. Set up standing instructions for automatic payments.
  3. Timely Payments: Use your credit card to pay rent on time, even if your salary arrives after the rent is due. Automatic payments can ensure you never miss a due date.
  4. Improve Credit Score: Use your credit card wisely to boost your credit score. Ensure you don’t exceed 30% of your card limit, and always pay your dues on time.
  5. Achieve Spend-Based Milestones: Reach spending milestones for rewards like fee waivers and extra points. Rent payments can help you hit these targets faster.

Cons of Paying Rent via Credit Card:

  1. High Credit Utilization: Rent is often a large expense, which can increase your credit utilization ratio and negatively impact your credit score.
  2. Increased Bills: High rent can lead to a large credit card bill, making it difficult to pay off in full. Missing payments can affect your credit score and lead to high interest.
  3. Missed Payments: Card limits or expired cards can cause rent payments to fail, requiring alternative payment methods.
  4. High-Interest Rates: Credit cards charge high interest on unpaid balances, potentially leading to debt if not managed carefully.
  5. Processing Fees: Banks and card issuers typically charge processing fees ranging from 1% to 5% for rent payments. Third-party apps also charge convenience fees.