Have you ever wondered how it is that you can possibly pay rent using credit cards? This time we will be showing you how to do it. All you need is something called a phone and an app called Venmo. In order for this to work, your landlord also has to have Venmo.
Let’s say you need to pay your rent. The first thing you need to do is to download the App. Search on Apple Store or Google Play and download it into your phone. After that, you are going to create your profile. You have three different categories and how you can see the activities that are going on.
What you can see is pretty much every transaction that is public, everybody can actually see what’s going on. Then you have the ones that are for your friends, any transactions that your friends are actually doing, and you and only you will be able to see also the transactions that are private.
Pay your rent or mortgage using credit cards: Set your profile on Venmo
First, you need to go into settings in order to set up everything you like about yourself. You can set up your profile, you can change any pictures that you like, any payment methods. This is when you go and you link your Venmo account to any bank account that you would like to use or any credit cards that you would like to use.
That’s pretty much it. They do have an option of having a Venmo card. That’s an option if you really want it, but it’s not recommendable because it doesn’t really help you build any credit. If you can use one of your credit cards, then that will do. Basically, once you have everything set up, what you can do is choose to pay somebody, so you need to hit the pay button.
You’re going to ask your landlord his name. You hit the name of your landlord once you see it and you are going to choose how much you want to pay. Let’s say your rent is $900 and you’re going to type that rent amount for July or any month.
You can pay directly from your bank account if you do have the cash available even if you don’t, or maybe you want to rack up the points, then you can definitely use your credit card to pay rent. Especially now, a lot of us are going through tough times, difficult situations because of the pandemic. It’s like everybody’s trying to hoard cash. They’re trying to hoard as much cash as possible in the event of an emergency. People are in fact choosing to pay their rent using credit cards if they can.
Pay your rent or mortgage using credit cards: Venmo fees
Venmo charges you from 2% to 3% on any fees that you could be incurring using this application. This is just an option in the event that you don’t have any liquidity, you don’t have any cash available.
Would you prefer to incur a cost of 2% or 3% versus winning up on the street and having no roof over your head? A lot of people are suffering this pandemic crisis and any option is welcome before finding yourself and your family without any resources to be able to pay rent, buy groceries and pay for the rest of the bills.
If that’s not enough of a reason, another reason why you shouldn’t mind about the 2% to 3% is that when you’re doing these transactions, and you’re using at the same time a card that allows you to accumulate cashback points or any points whatsoever, you can use those same cashback points and help you pay off the debt and that car or just simply accumulate enough points so you can travel for free whenever the restrictions are lifted, and you can just basically go all over the world and do whatever you want with your money.
We are sharing this information with you, given the doubts that we have noticed, like: “how can I do it?” Same happens with your rent for those who want to get creative. In the event that you want to use those credit cards and pay off your mortgage, you can actually find a friend or a relative, someone that you can trust, and then each other, download the Venmo app and transfer the money to one another, and just basically transfer a certain amount to this person.
Now, with Venmo, you do have restrictions when you’re new. The limit of how much you can transfer each other is around $300, but you can actually request that limit to be lifted up to $3,000 every week.
Limit changes on Venmo
Consider that Venmo may choose to change those limits whenever they please, whenever they feel like it, but this is just an option for you to take advantage. Once you transfer over the money, you shouldn’t be transferring the money from the application back.
You should actually transfer the money to your brother or sister or someone close to you, and then have them either write a check to you, or just simply transfer the money to you by a Zelle or just physically go into the bank and transfer the money for you. With these steps you are creating liquidity.
It is completely up to you whether you want to leverage credit cards to create cash today and pay off that mortgage faster, or to just simply pay off the mortgage, so that way you don’t end up in a foreclosure if you are in the event that you actually lost your job. There goes another option that’s going to help you facilitate, get access to that money that you need, so that way you don’t lose your home.
FREE REAL ESTATE WEBINAR