Credit cards have been one of the increasingly practical means of payment. Credit cards are now favoured by all, whether it is online shopping or making cashless transfers on the go. But have you ever dreamed of using your credit card in order to pay your rent? Actually, it is true, and it also comes with some perks, such as receiving reward points. The rent amount is one of the biggest costs you make every month.RedGirraffe, a London-based firm, uses its ‘RentPay’ online service to provide the service to pay your rent by credit card.
RedGiffarre has partnered with several banks, such as the State Bank of India, ICICI Bank, HDFC Bank, IndusInd Bank, Axis Bank and Kotak Mahindra Bank. This implies that you can now use your credit card to cover the rent if you have a credit card at one of these banks. Visit www.redgirraffee.com to make use of this service on your cards to generate your RD property ID and fill in your rental property specifics along with the rental agreement. The renters will be asked to provide the owners’ bank details.
The renter will get an email to provide the bank with standing instructions after submission. Once the one-time application process is finished, the rent will be automatically debited every month at a set period. Between RedGirraffe and the bank, 17 checkpoints are rolled out and the full authentication process takes around 50 business days. Banks are charged a processing fee of 0.39 per cent and a minimum of Rs 39, except the service tax that is imposed.
Quite apart from the charges, making transfers from the credit card has its own perks. Using this method, for example, provides 45-60 days of credit as the rent stays in the saving account, giving you interest. Because the rent costs are a large amount, the customer receives reward points using a credit card that can be claimed later. The method also allows the user to create a strong credit score that will assist him/her in the future to receive loans at cheaper rates.
