Can You Pay Your Mortgage With a Credit Card? The Rules Are Changing, but the Math Still Matters

• Written by Michelle Lambright Black
  

  Michelle Lambright Black

  Credit cards, credit, travel, personal finance

  Michelle Lambright Black is a nationally recognized credit expert, credit and travel journalist, and the founder of CreditWriter.com. With more than 20 years of experience writing and speaking about credit, personal finance, and travel, she’s passionate about helping families and small business owners make confident, informed decisions about their money. Michelle’s work has appeared in dozens of top-tier outlets, including The Points Guy, Business Insider, Reader’s Digest, Forbes Advisor, USA Today, Parents, Money, FICO, Bankrate, Newsweek, Experian, Seattle Times, MarketWatch, and Buy Side from The Wall Street Journal. She specializes in topics like credit reporting, credit scoring, travel rewards, and family-friendly financial strategies. As a three-time finalist for the Best Personal Finance Freelancer award from the Plutus Foundation, Michelle is known for breaking down complex financial topics into relatable, easy-to-understand advice. She also works directly with major brands and destinations to develop editorial travel content, especially focused on multigenerational trips, family travel hacks, and maximizing rewards. When she’s not writing or interviewing experts, you’ll likely find Michelle traveling with her husband and three kids, curled up with a good book, or planning her next credit card points-fueled family adventure. You can connect with Michelle on Instagram (@CreditWriter) and X (@MichelleLBlack).

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• Edited by Jasmin Baron, CCC™
  

  Jasmin Baron, CCC™

  Credit Cards, Travel Rewards, Loyalty Programs, Family Travel, Credit Building, Credit Scores

  Jasmin Baron is a NACCC Certified Credit Counselor™ and CardCritics’ senior editor, responsible for editing and writing credit cards, travel rewards, loyalty program, and other credit-related content. She is passionate about personal finance education and enjoys sharing tips and tricks for making the most of credit card points and miles with her readers. Her expertise in maximizing credit card travel rewards originated from over two decades of aviation industry experience, including 18 years working as a pilot and college professor/flight instructor in her native Canada. Her work has appeared on sites such as CNN Underscored Money, Business Insider, The Points Guy, and point.me. When she’s not planning her next trip with credit card rewards, you’ll probably find her tinkering around in the kitchen, hanging out with her three kids, or playing with her dog, Benji.

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• Last Updated Feb 3, 2026

For years, paying a mortgage with a credit card sounded like a clever idea that rarely worked in practice. Fees, risk and high interest rates frequently offset the value of any rewards you might earn. As a result, mortgage payments stayed firmly in the “no rewards” category for most homeowners. Yet thanks to several new credit card products, the old rules are beginning to change.

Here’s how paying a mortgage with a credit card works today and what to consider before you try it.

How To Pay Your Mortgage With a Credit Card

In 2026, new credit cards allow eligible homeowners to earn rewards on mortgage payments without incurring transaction fees when using approved payment platforms. Bilt’s latest lineup of credit cards expands beyond rent and opens the door to earning points on one of the largest monthly expenses many people face. 

Mortgage lenders typically require payments from a bank account, which limits how homeowners can use credit cards to make mortgage payments, but how homeowners fund those payments is evolving. This shift doesn’t mean paying your mortgage with a credit card suddenly makes sense for everyone. Card choice, eligibility rules, repayment habits and opportunity cost still matter. Still, new options can make it easier to earn rewards in certain cases, depending on the card and payment setup.

Use a Credit Card That Supports Fee-Free Mortgage Payments

As of early 2026, a small number of credit cards now allow some homeowners to earn rewards on mortgage payments without incurring transaction fees. Bilt’s new Mastercards offer flexible points to homeowners on mortgage payments for the first time.

With these cards, homeowners can run eligible mortgage payments through the Bilt platform and fund them from a linked account rather than charging the mortgage directly to the card. That structure avoids the processing fees that have historically offset rewards when homeowners used credit cards to pay mortgages. 

This setup doesn’t work for every mortgage servicer, and program rules still apply. Still, it signals a meaningful shift in how homeowners can think about earning rewards on housing costs. 

Paying Through a Third-Party Payment Service

Several payment platforms allow you to pay bills with a credit card and then forward the payment to your lender. Popular options include Plastiq and similar services. 

These platforms charge processing fees of up to 3% per transaction. On a $2,300 mortgage, roughly the average monthly mortgage payment in the U.S. in 2025, that adds $69 in extra expenses each month. 

Now that fee-free options are available, third-party services generally make sense only for short-term situations, like meeting a credit card welcome bonus spending requirement or if your mortgage servicer doesn’t accept the fee-free payment option.

Using Balance Transfer Checks

Some credit card issuers provide balance transfer checks that you can use against your available credit line. If your mortgage servicer accepts check payments, this method could still work, but there are costs and risks to consider.

Balance transfer checks incur a balance transfer fee, typically 3% to 5% of the amount transferred to your credit card, unless the card offers a $0 promotional transfer. Interest may also apply immediately if the transaction doesn’t qualify for a promotional APR. 

With newer fee-free alternatives available, balance transfer checks now serve as an even riskier fallback option rather than a primary strategy.

Using a Credit Card for Housing Costs

Even if you don’t pay your mortgage with a credit card, you may still be able to use rewards credit cards for housing-related expenses such as:

• Property taxes paid through certain tax portals (depending on processing fees)
• HOA dues
• Home insurance premiums
• Home improvement or repair costs
• Utilities

These payments may involve fees, but they often offer more flexibility than mortgage payments. It’s still essential to pay your full credit card balance by the due date each month to avoid costly interest charges and potential damage to your credit score from high credit utilization. 

Pros of Paying Your Mortgage With a Credit Card

Paying your mortgage with a credit card can still involve risk. The difference now comes down to one question. Are you paying fees or not? When mortgage payments qualify for fee-free rewards, the upside looks very different. 

Earn Credit Card Rewards

If you can earn rewards on your mortgage without paying transaction fees, that’s a clear win. Fee-free mortgage payments allow you to earn points or cash back on a bill that traditionally offered no rewards at all.

When fees apply, however, the equation changes quickly. Processing costs often offset the value of standard rewards. If this happens, earning points can cost more than they’re worth. In those situations, it’s important to do the math upfront.

Earn a Welcome Bonus Faster

Large monthly mortgage payments can help cardholders meet minimum spending requirements for a welcome bonus. When those payments qualify for fee-free rewards, hitting a welcome bonus becomes easier and less risky.

If fees apply, the bonus math matters even more. A high-value welcome offer might justify a one-time fee, but only if you pay your credit card balance in full and still come out ahead after accounting for processing costs.

Short-Term Cash Flow Flexibility

A credit card can act as a short-term financial bridge during a tight month. If your income is delayed, a card could help you avoid a late mortgage payment. 

However, this approach requires discipline. Credit card annual percentage rates (APRs) are far higher than mortgage rates, and credit card debt can pile up fast if you don’t pay off your balances quickly (ideally by your statement due date each month).

Cons of Paying Your Mortgage With a Credit Card

Even with newer payment options, paying your mortgage with a credit card still comes with tradeoffs. The risks change depending on whether fees apply, but they don’t disappear entirely.

Fees Can Cancel Out Rewards

When mortgage payments qualify for fee-free rewards, this downside largely fades. That said, fee-free eligibility depends on the card, the platform and the mortgage servicer. So it’s not available to every homeowner.

If fees apply, the math often turns against you. Processing fees can range up to 3%. Meanwhile, many rewards cards earn around 1% to 2% on everyday spending outside bonus categories. In those cases, earning rewards on a mortgage could actually cost money.

Monthly Mortgage	Processing Fee (2.99%)	Rewards (2%)	Net Result
$2,300	$68.77	$46	-$22.77

Month after month, those losses can add up quickly.

High Interest Rates Add Serious Risk

Whether fees apply or not, credit card interest remains a major concern. Credit cards carried an average interest rate of 22.3% as of November 2025, according to the Federal Reserve. Even if you open a low-APR credit card, those rates are typically far higher than mortgage interest rates.

Paying your mortgage with a credit card only makes sense if you pay the balance in full by the due date. Carrying even a small balance can quickly turn a rewards strategy into expensive debt.

High Credit Utilization Can Hurt Your Credit Score

Mortgage-sized charges could increase your credit utilization ratio, especially if your credit limit is modest. Your credit utilization ratio (the relationship between your credit card limit and balance) has a meaningful impact on your credit score. 

Even short-term increases in credit utilization could trigger credit score damage until you pay the balance down again. If you need to refinance or apply for new credit in the meantime, those changes to your credit score could affect your eligibility. 

Credit Cards That Allow You To Earn Rewards on Your Mortgage Without Fees

As of 2026, Bilt offers the only widely available credit card options that allow rewards to be earned on mortgage payments without transaction fees. Bilt Card 2.0 includes three Mastercard products that enable eligible homeowners to earn Bilt points on mortgage payments made through approved mortgage servicers on the Bilt platform.

• Bilt Blue Card: The entry-level, no-annual-fee card offers 1x points and 4% back in Bilt Cash on non-housing spending, and no foreign transaction fees.
• Bilt Obsidian Card: The mid-tier, $95-annual-fee card offers higher earning potential and additional benefits, including 3x points on dining or groceries (groceries up to $25,000 per year), 2x on travel, and 1x on other non-housing spend categories, plus 4% back in Bilt Cash on all non-housing spend. The card also features $100 annual Bilt Travel Hotel credits, $200 in Bilt Cash at account opening, no foreign transaction fees, and trip delay insurance.
• Bilt Palladium Card: The premium Bilt card charges a $495 annual fee. It features 2x points and 4% back in Bilt Cash on non-housing spend, and a competitive welcome offer. Cardholders also receive $300 in Bilt Cash at account opening, $400 in annual Bilt Travel Hotel credits, $200 in annual Bilt Cash, Priority Pass airport lounge access, purchase protection, and additional travel insurance benefits.

To earn rewards for mortgage spending without fees, you’ll need to either redeem Bilt Cash at a rate of $30 per 1,000 points (up to 1x of your mortgage payment), or spend a percentage of your mortgage payment on non-housing purchases to unlock a 0.5x to 1.25x earning rate, as follows:

• Spend at least 25% of your housing payment on non-housing purchases and earn 0.5x points on your rent or mortgage payment
• Spend at least 50% of your housing payment on non-housing purchases and earn 0.75x points on your rent or mortgage payment
• Spend at least 75% of your housing payment on non-housing purchases and earn 1x points on your rent or mortgage payment
• Spend the same amount (or more) as your monthly housing payment on non-housing purchases and earn 1.25x points on your rent or mortgage payment

Note that a 10.00% Introductory APR applies to Purchases that post to your account during the first 12 billing cycles after the date you open your account. After that, a 26.74% to 34.74% Variable APR will apply to Purchases based on your creditworthiness. A 26.74% to 34.74% Variable APR applies to Balance Transfers based on your creditworthiness.

Because the ongoing APR is above average, it’s even more important to avoid revolving a balance on these cards. 

The information related to the Bilt Blue Card, Bilt Obsidian Card, and Bilt Palladium Card was collected by CardCritics™ and has not been reviewed or provided by the issuer of this product/card. Product details may vary. Please see issuer website for current information. CardCritics™ does not receive a commission for this product.