REAL ESTATE

Now you can earn credit card rewards just for paying rent through Bilt Mastercard

Natasha Gabrielle
The Motley Fool

There are many credit cards out there that reward you for using your card to make purchases. The type of rewards offered and the number of points you can earn depend on your card and the kinds of purchases you make.

A credit card that rewards consumers for paying rent is rare. But one card issuer is now making that a reality. The new Bilt Mastercard will offer cardmembers a chance to earn rewards while paying what is likely their biggest monthly expense. Keep reading to learn more.

Earn points on rent with the Bilt Mastercard

Bilt Mastercard was developed to allow consumers to earn money while using a credit card to pay their rent. In addition to earning rewards on this expense, there are no extra fees associated with paying rent this way. Since rent is often a significant expense for many, this card could offer an excellent opportunity to accumulate a good amount of rewards points.

If your landlord or rental company doesn't take credit card payments, Bilt has an app that you can use to make a payment. You can use your Bilt Mastercard to make the payment, and then Bilt will send a check to your landlord or pay in whichever way your landlord prefers.

Currently, this credit card is available by invite only. But if you're interested, you can request early access to be considered.

When renters use the Bilt Mastercard, on-time payments will be reported to the credit bureaus. This can help renters build credit. Plus, paying the credit card bill on time and in full can help increase your credit score.

Here are the highlights of the Bilt Mastercard:

  • There is no annual fee to use this card.
  • The card has a welcome offer that allows new cardmembers to earn 3 points per $1 spent on their first rent payment (up to 10,000 points).
  • Cardmembers can earn up to 2 points per $1 spent on rent (up to 4,000 points per month). How much they earn depends on their current rewards level.
  • Cardmembers will earn 1 point per $1 spent on all other non-rent purchases.
  • There are no fees charged to pay your rent with the card.

This card has a protection feature to help renters avoid using up their credit line for rent payments and to avoid going into debt when paying rent. When the feature is enabled, the funds to cover the cost of rent are pulled directly from a linked bank account, and the cardholder's credit line is preserved.

When renters use the Bilt Mastercard, on-time payments will be reported to the credit bureaus. This can help renters build credit. Plus, paying the credit card bill on time and in full can help increase your credit score.

Bilt rewards tiers

While this card can earn up to 2 points per $1 spent on rent, the exact earning rate depends on your Bilt Rewards tier level. Your tier level is determined based on how much you spend on non-rent purchases each month. And each tier has a different earning rate for rent purchases.

To get the full earning potential for rent payments, you'll need to use your card a lot for non-rent purchases. Here's a look at the tiers:

  • Blue Tier: Spend $250 in qualifying non-rent purchases in a calendar month and earn 1 point per $2 on your next rent payment.
  • Silver Tier: Spend $1,000 in qualifying non-rent purchases in a calendar month and earn 1 point per $1 on your next rent payment.
  • Gold Tier: Spend $2,000 in qualifying non-rent purchases in a calendar month and earn 1.5 points per $1 on your next rent payment.
  • Platinum Tier: Send $3,500 in qualifying non-rent purchases in a calendar month and earn 2 points per $1 on your next rent payment.

Wondering how much you can earn? Let's say your rent is $1,850 and you use your card to pay your rent and also make $3,500 in non-rent purchases each month. That would result in you earning 3,700 points per month for rent and 3,500 points per month for non-rental purchases. That means you'd earn 7,200 points per month or 86,400 points per year if you continued following those same spending habits.

You can redeem points to pay for travel expenses, fitness classes, and home decor. Additionally, you can redeem your points to cover the cost of rent or they can be applied toward a future home down payment. This is the first rewards program that offers redemptions for rental expenses or home down payment costs.

Before getting a rewards credit card, it's a smart idea to consider your spending habits and goals. That way, you can find the card that meets your needs and fits your lifestyle.

If you're looking to get a new card, check out our top rewards credit cards.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Natasha Gabrielle has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Mastercard. The Motley Fool has a disclosure policy.

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