Point hacking: How to pay rent with a credit card and earn points

It feels like everyone is heading on holiday at the moment which means travel-hacking in Australia is having a real moment. Reward points can open up a world of potential benefits - everything from a free flight to cashback, and earning them is simpler than you think. 

For most people, your rent is a significant recurring expense and an easy way to make a minimum spend on a credit card to unlock juicy sign-up bonuses and cashback offers.

While bank transfers and BPAY are standard payment methods, paying your rent with a credit card on RentPay can work wonders if you’re on the points train. 

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These days, you can pay for almost anything with a credit card: your power bill, groceries, airfares, and even that pair of sunnies you've had your eye on for the past month. 

Let’s explore how you can pay your rent with a credit card on RentPay to rack up points - and whether it makes sense for you.

Can I pay my rent with a credit card?

Companies like RentPay allow you to pay your rent via credit card.

RentPay lets you set up both recurring and one off direct debit payments through your credit card or bank account while paying your agent or landlord by their requested method. Plus with RentPay there are no cash advance fees and the credit card surcharge is only 0.99% - the lowest rate out there for any rental payment service.  

RentPay also comes with a host of other features, letting you bill smooth your energy bills, build your credit score with regular rent payments, access an emergency line of credit and even build a savings buffer.

Before you get started, decide whether paying rent by credit card is a good option for you. If you’re debt-free and money-savvy, there are good reasons it might work.

Smart reasons to point hack with a credit card

Most renters who pay their rent using a credit card do it for one of two reasons:

• Make progress towards an early spend bonus. This strategy offers the greatest likelihood of you getting ahead after accounting for any fees. Card requirements vary, but some might ask you to make $3,000 in eligible purchases within the first three months your account is open to unlock a reward.
  
  If your rent’s $300 a week, paying rent for three months will quickly get you over that sign-up bonus hurdle.

• Earn great credit card rewards: Free flights aside, paying your rent with a credit card could reap several cool benefits. The rewards you earn on rent payments through RentPay may easily outpace any fees. 

But like, aren’t credit cards really bad?

Not always. It depends on your financial situation and what you’re trying to accomplish. Credit cards work best not for borrowing but when you’re channelling your standard spending into collecting significant rewards, like Qantas points, travel miles or cashback.

And you may be able to justify any fees if you’re trying to meet a minimum spend requirement for a great sign-up bonus.

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How do I point hack responsibly?

You’ll need to have your financial house in order before you attempt point hacking on rent. 

• Always have the money available in cash. You’re not borrowing money to pay rent.
• Pay off your card with automatic payments to incur zero interest.
• Consider this hack to meet minimum spends rather than wasting money on unnecessary purchases.
• Always check you’re getting value for money out of your credit card.

Here’s the thing. Paying your rent each month through RentPay covers a large, regular expenditure that can earn you many points. All in all, those rewards (and the flexibility in when you pay your rent) may be worth it.

Played carefully, you’ll be able to unlock the full potential of your points-earning credit card. Check the fees chargeable and decide if the benefits received by paying your rent and bills with a credit card would outweigh the fees.

It’s easy to visualise yourself rolling in rewards points (à la Scrooge McDuck diving into a money bin), but don’t forget the usual traps:

• Find a card that suits your spending habits and how you’ll pay it off
• Look for a card with a low-interest rate
• Stay on top of your spending and only spend what you can afford to pay back
• Pay your bill on time every month in full, or as much as you can

Hot tip: Stay current with the best point-earning credit cards in Australia here.

How do I pay my rent with a credit card on RentPay?

1. Sign up via the app or at www.rentpay.com.au
2. Input your details & rental information (how much you pay & when it’s due)
3. Create a direct debit schedule using either a credit card or bank details
4. RentPay debits your card/account and then pays the agent when it’s due. Easy.

How do I get started with RentPay?

It’s easy. Just head to rentpay.com.au and follow the prompts to get started.