ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

Here's how Paying Rent With a Credit Card can Help you Book Flights for Free

A social media creator talks about how he pays his rent with a credit card that not only helps him waive the portal charge but also helps him earn points.
PUBLISHED MAY 26, 2024
Cover Image Source: Man shares hack about paying rent | @_andrewyanni | TikTok
Cover Image Source: Man shares hack about paying rent | @_andrewyanni | TikTok

Credit cards have become a helpful tool to pay for several everyday expenses at a time when rising costs can lead to a scarcity of funds towards the end of the month. Other perks of paying with a credit card include the option to reverse the transaction in case something goes wrong, as well as points that can be redeemed to save money. But have you ever considered paying your rent with a credit card?

In a small snippet from a podcast, uploaded on TikTok by (@_andrewyanni), @Elvis Somoza talks about how he pays his rent with a credit card, which not only helps him waive the portal charge but also helps him earn points. "So right now I pay my rent with a credit card," he says while talking about using built cards. "There is this credit card called the built credit card, it's by the company called Wells Fargo."

Kaitlynnn | TikTok
Kaitlynnn | TikTok

"So most places, let's say you live in an apartment, it would have a portal, through which you can pay, but if you pay with a credit card they will charge you 1.5 to even 3% at times, which is a lot," he says. "So, with this credit card, it not only waives the extra 3% but also gets you points on that transaction. It gives you $1 for every dollar you spend on your rent, that you can later transfer to airlines, or hotels and get free travel," he adds.

He talks about how this is amazing, as rent is often the highest expense that a person pays. He explains, "Let's say you pay 3 grand, which is around $36,000 per year, now 36,000 points can take you round trip to Europe by just doing the things you would normally do."

Many in the comment section weren't sure if each point was equal to one dollar with one user @kiki_guwop writing, "36000 points is equivalent to 360.00 I use to work go Wells Fargo travel" while another added, "36.000 points is barely enough for a domestic flight during the weekdays nowadays. For international flights, it is like 100k points at least all depending on the airport you are flying from."

Myalee | TikTok
Myalee | TikTok

According to Smart Asset, paying rent with a credit card can also be helpful while trying to build credit. However, as rent is typically a large sum of money, it's important to make sure that you pay in full each time, or else debt will simply pile up. It's also important to remember most credit cards charge a particular percentage for their services. RentShare and RadPad, for example, charge a fee of 2.9% to process credit card payments, and the only way to negate these charges is by getting the reward points. 

This means that one needs to properly analyze their situation before deciding to pay their rent using their credit card. In most cases it makes sense to use a credit card only if you have a card that waives the processing fees, even then be sure to discontinue the use of the credit card for rent if you are uable to pay off the bill entirely.

For more such videos, you can follow @_andrewyanni on TikTok.

MORE ON MARKET REALIST
The sharks did not expect the product to taste as good as it did, considering what it was made from.
4 hours ago
The designer was also commissioned by top brands and worked for the royal family.
5 hours ago
The host had a look of bewilderment on his face which was absolutely hilarious.
6 hours ago
Things did not seem to be going well for the entrepreneur due to her high energy.
9 hours ago
The guest might have had high expectations, but they were quickly brought down to earth.
10 hours ago
The contestant was unable to contain her excitement and hugged the model.
1 day ago
Two of the players got it right, and while the player who lost didn't mind, fans were not satisfied.
1 day ago
Lisa celebrated her birthday in style with a perfect two-card guess to win the big prize.
1 day ago
Rick Harrison did what he could to console the guest who said that he had lost faith in NASCAR.
1 day ago
Both the guest and the expert were fascinated by how well the automaton worked.
2 days ago
One of the entrepreneurs broke down in tears, explaining all the struggles they had to go through.
2 days ago
She couldn’t believe it when her doll was appraised at a five-figure sum, and laughed in disbelief.
2 days ago
Ken Jennings truly has embraced "Jeopardy!" in every way possible at this point.
2 days ago
The comedian was impressed by the simplicity of the product and amused by the pitch.
3 days ago
Harrison usually makes smart deals on the show, but this vintage car buy turned into a costly mistake.
3 days ago
Had she started the game in a better way, she might have won the five-figure prize money.
3 days ago
Barbara Corcoran made the exact same offer, and she wasn't happy about being rejected.
4 days ago
The guest believed that it was worth a modest amount of money, but that was clearly not the case.
4 days ago
With James Holzhauer in the lead, Amy Schneider and Andrew He decided to joke around.
4 days ago
Barbara Corcoran told the founders that she had never seen Greiner so passionate.
4 days ago