Pay Your Rent With a Credit Card

For the past few months I have been doing my very best to put each and every expense on our credit cards, including rent. There are a few services that offer to pay your bills for a small fee, but it never really seemed to be worth it unless I desperately needed to meet a signup bonus, which thankfully has never happened.

I am addicted to earning points, I’m not gonna lie, and it almost pains me to see people pay for things in cash, myself included. My wife thinks I am crazy, but she loves that our upcoming vacations are pretty much paid for using points. Rent is our biggest monthly bill, and for the longest time I haven’t found a decent way to pay our rent with a credit card.

Then a unicorn walked by…

Thanks to RadPad, not only can we pay our biggest monthly bill with a credit card (with a fee of course), but this particular service codes as Travel and Lodging”. 

Why is this good for paying rent?

If you haven’t noticed by now, I sort of love Chase Ultimate Rewards points and how flexible they are. With the Chase Sapphire Reserve earning a whopping 3x points for travel, I feel like a unicorn has graced us with its presence.

Our rent is $2750 a month (Bay Area), and RadPad charges 2.99% for credit cards (and $4.95 with debit), so the total on the card ends up being $2832.23 per month. We end up with 8,496 UR points per month (2832.23 x 3) which, if used with the Chase Travel Portal, is worth 1.5 UR points per point, giving us a potential 12,245 UR points per rent payment.

At the end of the year, we end up with 101,952 ultimate rewards points just by using this service alone. Those 101,952 points are worth 152,928 points, or $1,529 in travel booked through the Chase Travel Portal.

Rad Pad to the rescue!

Rad Pad is back, after a little hiatus, and has been proven to code as travel on many flyer talk discussions here.

Like I mentioned before, they charge a 2.99% fee for credit cards, and $4.95 for debit cards.

Some data points have suggested that in order for the transaction to code as travel you need to use the Apple Pay feature on the RadPad app, then just have your travel earning credit card attached like the Sapphire Preferred or Reserve (other cards work as well), and then pay with the app.

Android Pay has been said to work fine as well.

Since I just opened up an SPG business card for the stunning 35K signup bonus, I thought I would use RadPad this month to knock out a nice chunk of the minimum spend ($8,000 in 3 months). When I looked at the transaction on my American Express account, the transaction did indeed code as travel.

What about mortgage payments?

Nope!

They do not service payments for mortgages, though I have heard some people having success paying their HOA fees through them.

When you first sign up, they might ask you for some information pertaining to your lease, and I’m not sure if they will let you pay rent without a lease, but I am sure you could listen on reddit or flyer talk for some discussion about that.

Once you send them the information requested, the payment will then go through a few days before your rent is due.

What’s nice is that they will literally send your landlord a check, so if you’re a millennial like me who thinks writing checks is a thing of the past, this service will be right up your alley.

I first asked my landlord if he would be interested in receiving a check from RadPad, and luckily he was ok with it. I would definitely check with your landlord first before pulling the trigger with this service, because some landlords like personal checks only.

In The End…

Thanks to RadPad coding as travel, this is a huge score for all Sapphire Reserve and even Preferred card holders (as well as some other cards) due to the 3x and 2x bonuses for travel, respectively. Having over 100,000 UR points each year worth $1,500 in travel is a no brainer, even with the fees. Think of it like you are slowly saving up for a vacation, but at a fraction of the cost, I mean, that’s the point anyways right?