How to pay your rent using a credit card
Paying rent through online banking options such as NEFT, RTGS, or UPI has gained popularity in recent years. However, none of these options offer you the flexibility of borrow now and pay later. On the other hand, if you choose to pay your rent using the Bajaj Finserv co-brand credit card, the entire amount can be included in your monthly credit card bill.
Rent is one of the most significant monthly expenditures and paying it with a credit card has its own set of advantages. Especially during a financial situation where you may be going through a cash shortage.
How to pay rent using the Bajaj Finserv co-brand credit card
You can easily pay your rent using a credit card. The process is extremely simple and customer friendly.
Via merchants:
- Open the merchant/ partner app such as Housing.com/ Magicbricks/ CRED/ NoBroker
- Register for rent payment
- Add your landlord’s account details such as the account name, account number, bank account type, and IFSC
- Add your Bajaj Finserv RBL Bank SuperCard/ Bajaj Finserv DBS Bank Credit Card on the app
- Enter your PIN to verify the transaction and pay your rent using the credit card
Via UPI:
- Enter your landlord’s bank account number, IFSC, and account name
- Enter your rent amount
- Select your preferred credit card and enter your UPI PIN
Advantages of paying rent with a credit card
- Improved credit score
Utilising your credit limit for huge financial transactions and repaying the bill amount on due time can improve your credit score. An improved credit score positively impacts your eligibility when opting for a loan. - Earn reward points
Making payments such as rent through your credit card will also unlock several perks such as cashback offers, reward points, and a free credit period (depending on the platform) in which you are not required to pay any interest.
Read more about our credit cards - Annual fee waiver
Paying your rent using a credit card can help you achieve your annual spending milestone. This can help you in saving on the card’s annual fee. For example, if you pay your monthly rent using the Bajaj Finserv RBL Bank Binge SuperCard and reach the annual spend limit of Rs. 1,00,000, you can save on the annual fee of Rs. 999.
Know more about the Bajaj Finserv RBL Bank Binge SuperCard - Maintain your rent payment schedule
Paying rent using a credit card can be beneficial when you are dealing with a fund shortage. Moreover, you can comfortably pay the credit card bill later.
Factors to consider before paying the rent with a credit card
Here’s what you need to know before using a credit card to transfer your rent:
- Credit card interest
Credit card companies/ banks charge interest on expenses made through credit cards. Therefore, despite the free credit period many platforms offer, you should utilise the credit limit as low as possible to pay your credit card bill conveniently.
How to pay your credit card bill
- Processing/ Transaction fee
There is a minimal transaction fee for all rent payments through credit cards. However, it is generally a minimum amount that may vary slightly for different banks. - Credit utilisation ratio and credit score
You must keep your credit utilisation ratio in check when paying the rent with a credit card. Exceeding your credit limit to a large extent may reduce your credit score. Always stay in a 30% utilisation limit.