Pay rent with credit card on Housing.com

If you are a tenant, you may very well understand the pressure of house rent payment on time, every month. This is one of the biggest payments that one incurs in a month and choosing to not pay or postponing the payment is not at all an option.  Defaulting on housing rent payment have serious implications including the owner sending an eviction notice to you. For people living from pay cheque to pay cheque, any urgent need of finances may lead to a big problem. Using a credit card for house rent payment can be an easier option for you without getting stressed over savings, cash or liquidity.

A number of services have been launched recently that allow you to pay rent through credit card, at the expense of a small convenience fee. Users should weigh the pros and cons of using credit cards for rental services. We highlight those to you helping you make an informed decision.

How is home rent paid using credit card?

It’s a good idea to pay your home rent using your credit card. If your landlord is fine with you paying rent using credit card then follow the below mentioned steps.

• Choose a rent payment platform for instance the Housing.com pay your rent service.
• Set up an account with the platform and enter credit card details and proceed with payment.
• Once paid, track the payment and get an acknowledgement.

Should landlords be registered with rent merchants for house rent payment through credit card?

Many people don’t use credit card housing rent pay option as their landlord are not registered with any rent merchants. However, note that a landlord need not be registered with any of the rent merchants and a tenant has to only enter landlord details including his bank account. Note that the merchant can charge a nominal fee for the transaction.

Housing Edge Pay Rent

The Housing Edge Pay Rent by Housing.com helps renters to pay monthly rent on time using credit card. The Housing Edge platform is very user-friendly where you have to login on the website using mobile number, add the landlord’s bank details and make the transfer. With Housing Edge you can pay rent for offices, security deposit or maintenance charges.

How to pay rent through credit card on Housing.com Pay Your Rent service?

Mentioned are steps to follow to pay rent through credit card.

• Download the app from Google Play Store
• Choose Pay Your Rent option
• Enter your full name, mobile number and your email Id.
• Mention the complete bank details of your landlord, along with the IFSC code for funds transfer.
• Choose the payment mode and make the transfer.
• Generate instant rent receipt for HRA submission and transaction history.

Pay rent on credit card: Benefits of Housing.com pay rent platform

• When you use Housing.com Pay Rent Platform, you may get rewards points from your credit card provider. This can be redeemed on the lender’s portal.
• If you use the Housing.com Pay Rent Platform, you can generate receipts instantly for submitting HRA and transaction proof to your employer. Also, there is no wallet system used and the platform offers direct bank transfer.
• Housing.com Pay Rent Platform provides 100% transparent and safe operation. In case the credit card doesn’t work, the platform also supports UPI and debit card.

How to generate rent receipt online using Housing.com?

Why should you pay rent with credit card?

Mentioned are the reasons why you can use credit card to pay rent.

Transparent operations

This is a good option for all tenants who prefer online payment. Owing to online payment, the transaction is transparent and is recorded that can be accessed whenever one wants. Additionally, one can also enable alerts and reminders so that the tenant can pay the bill on time. By paying rent through credit card one can enjoy interest free credit for a period of 45 to 60 days.

On time rent payment

If your salary comes on the 10^th of every month but according to your rental agreement you have agreed to pay the monthly rent by 31 of every month, you will have serious problem. Paying rent on credit card using Housing.com pay rent platform ensures you pay rent to your landlord on time.

Credit score will improve

Constant use of credit card for rent and repayment on time will have a positive impact on the credit score. But don’t spend more than 30% of your credit utilization. Constant usage of this will have a negative impact on the credit score.

Secure transaction

A credit card has strong security features that offer protection against theft etc. Thus, making a huge payment as housing rent every month will give you peace of mind if the transaction done is safe.

Cashback offers

Some banks offer cashback on the money spent on paying the monthly rent. This money is directly credited to your bank account.

Credit period of 45 days

While paying rent on credit card, a person gets a credit period of 45 days. This means if the rent amount is paid within the time frame, the person doesn’t have to pay any interest.

Annual spending on credit card met

Every credit card company has an annual spending attached. If you don’t spend this you will have to pay the rent for the credit card which runs into thousands.  By paying rent on credit card, this is met easily. By using credit card for paying monthly rent, you will reach this milestone faster.

Premium perks

Once you have paid your monthly rent with your credit card and as a policy use it, you will be using the credit card for a huge chunk of monthly payment. This spending will elevate you to be eligible for premium perks offered by the credit card company for people with large consistent spending.

Tracking your spends

If you pay your monthly rental using your credit card then you will receive the entire spends in your monthly statement. With this, you can keep track of your spending, any rebate you got, any double payment that may have been done accidently etc. and be ahead in your financial planning.

Low-interest loans in future

By paying rent with credit card on a regular basis, one is able to create credit history that will help in applying for low-interest loans going forward.

Is it good to pay house rent using a credit card?

According to a Quora post by Anjali Wadhwa, it is not necessarily a bad idea to pay house rent using a credit card, as long as the tenant is confident they can repay the amount on time and avoid paying extra interest.

“In the early stages of my marriage, my husband and I were saving to buy our new home, which would be perfect for our family. At that time, we were renting a house, and we often paid our rent using a credit card. This allowed us to keep our money in our savings account, earning extra interest. We always made sure to pay off the credit card dues on time, building a strong financial track record. Later, when we applied for a loan, we secured it much faster than we expected. It worked out positively for us, and if you’re considering paying your rent with a credit card, you can do so — but only if you are confident in your ability to repay the amount on time,” Wadhwa mentioned in the post.

When is paying rent with credit card not beneficial?

While paying rent using credit card is a convenient option, if your rent exceeds the monthly credit cap, then you may be in problem. Also, rent payment using credit card can result in debt accumulation if one is not careful. As opposed to variable monthly expenses that, rents are fixed and one must pay for it every month.

Pros and cons of paying rent with credit card

Can I pay rent through credit card without charges?

Service providers usually charge a small amount for facilitating your rent payment through credit card. Since you are using your credit line and not cash, to transfer the amount to your landlord, there is a different banking process which has to be initiated. Moreover, these charges act as a revenue for the service providers, for the maintenance of their payment gateway, the security of your data and to ensure minimum transaction failure rate.

What are the credit card charges levied by banks?

Note that the credit card interest rates and charges can change anytime based on the credit card company’s policy.

Is it worth paying a fee for using a credit card for rent payment?

While the advantages and disadvantages of  paying rent through credit card has been listed above, one of the deciding factors to go ahead with this service is the amount you will be paying as convenience charges. Nevertheless, this fee could be offset by the reward points you will earn on your credit card along with the additional offers and discounts that you will get, if you use the Housing.com Pay Rent feature.

Is it safe to pay rent on credit card?

Paying on Housing.com rent platform is a safe option. But when you pay through credit card note the following points.

• Do not answer any calls that ask classified information such as account number, credit card number, expiry date, name, cvv number. Never share the OTP.
• Report to the bank immediately and file and FIR if your lose the credit card.
• Don’t pay rent on credit card on random sites that promise great benefits.
• Always opt for two-factor authentication while paying with credit card so that even in worst case scenario also fraudulent transaction can be averted.

Housing.com POV

Housing.com offers exclusive rewards and deals from leading brands, against your rent payment through credit card. This is over and above the credit card reward points that banks offer for credit limit utilisation. So, as compared to any other service provider, you get to earn additional discounts, offers and a lot more goodies, by using Housing.com’s Pay Rent feature. The rent transfer takes a maximum of 48 hours, with notification being sent to your landlord once the payment is confirmed. Users can also get digital rent receipts via email, for claiming HRA at the end of the year.

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