Tag Archives: rent payment

Pay house rent via credit cards- RedGiraffe vs NoBroker

Nowadays one can swipe credit cards for literally everything. However, are you aware that one can pay house rent via credit cards too? Well, there are multiple options available that allows one to make house rent payment via credit cards.

Benefits of paying house rent via credit cards

  • The obvious benefit of using credit cards for house rent payment is reward points. Let’s just assume that the credit card gives 1.5% reward rate and rent payment is 25,000/month. Thus the net reward earned would ~1% on the rent paid (adjusting for charges of service providers), which would be worth 3,000 (25000*12*1%) in one year. In case someone pays higher rent, the value would be higher.
  • Further, not to forget the credit-free period. Assuming saving account interest rate of 4%,  for an average 30 days credit-free period, one earns an extra 0.3% interest.
  • Higher annual spending on credit card helps one to achieve annual spending limit to get an annual fee waiver or additional benefits (as in the case of HDFC’s Dinersclub cards or Amex Platinum Travel Card)
  • Another aspect is that this helps in improving one’s credit score. Higher monthly bills and regular payments are seen positively by credit bureaus.