Renters who use credit cards for monthly rent payments have several options available, though many involve additional costs. Landlords and property managers sometimes accept credit card payments directly, but convenience fees ranging from 2% to 3% are common, making rewards earnings from cards like the Citi Double Cash or Wells Fargo Active Cash insufficient to cover these charges. Fee-free arrangements through such direct payment systems remain rare.
The Bilt Mastercard, issued by Wells Fargo, currently stands as the only credit card allowing fee-free rent payments to any landlord. Cardholders earn 1 point per dollar on up to $100,000 in annual rent payments. Payments are processed through the Bilt app, with checks mailed to landlords who don't accept electronic payments. The card also offers 3 points per dollar on dining, 2 points on travel, and 1 point on other purchases, with rates doubling on the first day of each month. A minimum of five transactions per statement period is required to earn rewards, and no annual fee applies.
Cash advances from credit cards provide another rent payment method, accessible via ATMs or bank tellers. These transactions carry higher interest rates than regular purchases and lack grace periods, with interest accruing immediately. Upfront fees of 3% to 5% typically apply, making cash advances generally inadvisable for rent payments.
Balance transfer checks from cards like the Wells Fargo Reflect or Citi Simplicity can be used for rent, often with low or 0% APR promotions. Card issuers may send these checks randomly or upon request, with Bank of America offering direct deposits instead. Balance transfer fees of 3% to 5% usually apply to these transactions.
Third-party services including Rent Track, PlacePay, PayPal, Venmo, and Zelle also facilitate credit card rent payments. Transaction fees around 3% are standard, again diminishing potential rewards benefits.
Rent payments historically haven't appeared on credit reports due to the absence of credit relationships like mortgages. FICO and credit bureaus maintain infrastructure for landlords to report payments, but adoption remains limited. A 2022 TransUnion survey found only 27% of property managers who know about reporting actually do so, with many individual landlords avoiding the expense.
Services now enable renters to include rent payments in credit reports independently. Self Financial began reporting rent payments to all three major credit bureaus at no cost in December 2023, with a $49.95 one-time fee for adding two years of previous payments. Experian Boost offers free rent payment reporting exclusively to Experian, along with utility, phone, and streaming subscription payments. Other services like RentTrack, PayYourRent, and RentReporters may charge monthly fees or require participation from rental properties, with reporting sometimes limited to one or two bureaus.
Fee-free credit card rent payments through landlords can provide rewards on significant expenses. Cash advances, balance transfer checks, and third-party services generally carry fees that reduce their appeal. The Bilt Mastercard offers a fee-free alternative when other options aren't available, though transaction minimums must be met. Rent reporting services can help establish positive credit history regardless of payment method.