Make my life easier AND give me free money?

December 2, 2007 2:12 PM

Are there any catches with using RentPayment, or are they giving me free cashback on my credit card?

I saw a pamphlet in my rental office today saying they take credit cards via RentPayment. I went to the website to check it out and there weren't many details about the fees, but when I did a pretend payment, it indicated there would be a small convenience fee. However, it's lower than my cashback rate... so are there any catches? I don't see why anyone with a good cashback card wouldn't pay their rent through it and net $20 or so for free. I'm only worried because I've never heard of it before, and I don't see any online reviews or commentary of it.

posted by lpctstr; to work & money (4 comments total)

check the terms on your cashback. do you get cashback for everything? "store" purchases only? If rentpayment isn't an approved "store", then expect to not get cashback on the rent money.
posted by cosmicbandito at 2:19 PM on December 2, 2007

Mine is 2% cashback on everything (orchard bank 2%). Although I'd still make a little money if it were a common 1% cashback card.

The only thing I would be worried about is if they post it as a cash advance? Then I wouldn't get cashback, and would be charged fees I think.

Rereading my question, I just noticed it almost sounds like an shill post. I don't work for RentPayment, in case anyone is wondering. I was hoping someone who uses the service would be able to comment.
posted by lpctstr; at 2:23 PM on December 2, 2007

They seem legit, and a pretty big player in this sector.

1) Rental properties like taking credit cards, because people's credit lines are larger than their bank accounts, and less likely to bounce. They save money when they don't have to chase people down, and might even get a few months more rent before someone is evicted. Cruel, but good business.
2) Credit cards like taking rent payments, because they are large expenses and will make a lot of interest. Credit cards love charge volume. Sure most people may plan to pay it off every month, but reality is that many don't.

And it's not like a month's rent is that huge an expense, relatively. People buy electronics and computers and furniture on credit cards that cost just as much, and you don't pay any extra fee and you get your cashback.
posted by smackfu at 2:41 PM on December 2, 2007

This sounds useful. I wish my landlord used this.
posted by Mr. Gunn at 6:52 PM on December 2, 2007