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Comment by randomacct3847 | Hacker News Reader

I pay my rent with my credit card when I need to meet a certain level of spend to get a sign up bonus e.g. I’m not actually buying things I otherwise wouldn’t buy just because I opened a new card

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Are you using cash advances to pay for rent? How can you use a credit card to pay rent without getting hit hard with fees and special interest.

Some places just accept credit card payments. Even with a ~3% surcharge for paying with a credit card, it can easily be worth it, depending on the particular sign up bonus.

I pay a 2.5% fee but it’s not considered a cash advance just a regular purchase.

The math works for me since it’s the fastest and most convenient way to meet spend (usually around $3k)

For a $3k rent payment (mine is less than this but as ex to meet spend), you’d pay a $75 fee, but earn the signup bonus + 3075 points. Depending on the credit card, 3075 points is likely at least worth $30.75 if not more, so your net fee is $44.25 or 1.475%, which is not bad IMO.

Gotcha it was to meet the sign on bonus. I was thinking you were getting a net benefit for just the points alone not to meet the sign on bonus.

"Bonus" means the initial thing. The rewards are called rewards or points or cash back etc.

Your example sounds like you’re losing money. What am I missing?

The signup bonus is >>> the fee you pay.

There's a service called plastiq that charges a flat 2.5% fee that won't look like a cash advance on your statement.

Otherwise, some landlords might let you pay via credit card.

Unless the value of the points you're getting are worth at least 2.5% cash back (which I doubt is the case), this is a pretty bad deal.

I see offers for stuff like $150 cash back after spending $500. Even if your rent is like $2000 that's a $50 fee which earns you $100.

It is the case with sign-on bonuses through, which is which spawned this threads, and which was the use case mentioned (meeting minimum spend).

Also, if you use something like plastiq.com, you can use them to pay your rent and other places that typically do not accept credit cards. They do have a charge for their services, but frequently runs 0% charge sales.

Disclaimer: I have been a satisfied customer for them. I do not work for them or get any kickbacks.

There are services specifically for this. They charge a fee, from 2-4% (sometimes there are promos for lower fees).

If you are spending to earn a bonus, e.g. 50,000 points for spending $3,000 you are earning 16+ points per dollar (1 point is generally around 1%, sometimes better).

Making donations through services that waive processing fees for the merchant is another good way to do this. For example, PayPal's Giving Fund or Facebook Payments.

(But only for donations you're making anyway, and only when fees really are waived.)

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