Benefits of Paying Rent with Credit Cards – Know Top Options

Benefits of Paying Rent with Credit Cards – Know Top Options

Pay Rent with Credit Card

Year 2020 has strongly emphasised on the need for emergency fund. With a series of monthly payments such as Home Loan EMIs, Credit Card Bills, Housing Rent, Utility Bills, Tuition Fees of kids & Grocery Bills a salaried individual’s monthly outflows are almost fixed. During COVID Crisis when maximum people faced stalled income, it was difficult to manage cash flows for many of us.

However, those who exercised a bit of caution and used their preapproved credit limit could get enough time traction to rejig their inflows and outflows. Let’s find out how your Credit Card that lets you enjoy 50 days free credit period, can also at the same time take charge of your compulsive monthly payments of Rent payout and save more in your pocket.

All you need to do is download the app, connect your card such as SBI Simply Save Credit Card, HDFC Millennia or any other card and set out the recurring payments to your land lord’s bank account & more. The transaction will be automated every month on the chosen date, saving you from the hassle of remembering the payment date each month. You can also add multiple cards for different transactions. Thus, you can direct SIs from your credit card and protect your credit score.

 

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Benefits of paying rent through credit cards

Some of the benefits of paying rent through Credit Card are:

  • You get to enjoy 45-55 days of free credit period.
  • You earn all valueback & reward points for transactions from your card issuer.
  • Besides additional rewards & offers are also offered from the rentpay apps.
  • Apps like Redgirraffe offer exclusive insurance for Loss of job, personal accident, critical illness, surgery etc.
  • If you keep your wallet loaded with cash, you will enjoy additional interest earnings.
  • Consistent payments from Credit Card will build your credit score.
  • The good score will improve your credit worthiness and make you preapproved for new bank credit.
  • There are no hidden charges. A nominal transaction fee will be applied. For instance, RedGirraffe charges 0.39% per transaction + GST which will be merely Rs 39/-+GST for every Rs 10,000 paid via the platform. Other popular platform CRED charges 1% – 1.5% of fee, as per Credit Card network. So cost of using CRED RentPay will be Rs 100- Rs 150 for rent payment of Rs 10,000.
  • Just like internet banking, you get a personalized dashboard whereby you can manage the transactions.
  • You can also get automated Rent Receipts. The digital transactions involve inbuilt TDS Payment Module, and thus ease online ITR filing and claiming tax benefits.

To Rent Payment Apps for Credit Cards

1. Redgirraffe rentpay

Redgirraffe ‘RentPay’is a pioneer fintech platform in the domain. It allows tenants to pay out rentals via leading partner card issuers such as HDFC Bank, Axis Bank, ICICI Bank, IndusInd Bank, Kotak Mahindra Bank, SBI-GE Cards & Yes Bank. The USP is low cost of transaction.

To use Redgirraffe rent pay, follow these steps:

  • REGISTER. Dowload the app. Fill & Submit RentPay TM form.
  • SCHEDULE. You can set up a standing instruction via your card/ bank account.
  • TRANSACT. You can direct immediate transaction or set automated payments for rent. You will be entitled to EXCLUSIVE benefits in the form of cashback, rewards etc. A nominal fee will be charged for each transaction.

2. Nobroker

NoBroker Pay facilitates payment of house rent using a range of options such as Credit Cards, Debit Cards, E-Wallets etc. You can use the facility via Nobroker App & Website. Card Transactions through NoBroker Pay, lets you earn cashback and/or reward points re your card’s reward schemes.

This is relatively a new platform and the service fee is low like RedGirraffe. The rent payment is marked as utility payment.

To use the service on NoBroker Pay you simply need to share basic details such as landlord’s contact & account details, monthly rent amount and date of payment. Then choose your preferred mode of payment and the same will be processed as instructed.

3. Housing.com

Housing.com is another reliable platform to pay rent through Credit Card and earn exclusive offers, cash backs, reward points, air miles & more. The transaction can be made within 30 seconds. You also get access to automatic rent receipts on the platform which can be used for HRA claims. The payment is 100% safe and powered by razor pay. It will take 1-2 days to transfer the amount. All leading Credit Card Brands have tie up with housing.com for digital rent payments via cards.

4. CRED

CRED is one of the leading RentPay apps that allows members to directly pay housing rent with Credit Cards. The members can earn free cash, interest-free credit period, and earn reward points for the spends. Besides the Credit Card linked rewards and offers, you also earn Cred Coins which is additional cash back to you. Currently CRED offers best in class customer service at higher fee up to 1.5%. But all companies can be linked to CRED including Amex and Diners. All you need to do is register as a member, add cards & set the payments.

5. PayZapp

Payzapp facilitates users to connect through other rent pay apps such as redgirraffe and No broker and pay the housing rent hassle free online. You will earn additional cashback offers and points for the transactions. Thus, you get to save more using your PayZapp Wallet.

 

Also Read: Credit Card Loan: A Preapproved Facility for Urgent Cash Needs

 

To apply online for Best Credit Cards in India,  Secured Loans and Unsecured Loans, visit MyMoneyMantra, the leading online lending marketplace that offers financial products from 100+ Banks and NBFCs. We have served 7 million+ happy customers since 1989.

 

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Category: Credit Card