Rent payments can be more than just covering housing costs; they can contribute to improving credit scores and earning cash back rewards. Experts suggest utilizing these financial tools strategically. Rent reporting, facilitated by landlords or dedicated companies, allows renters to showcase their on-time payments to credit bureaus, potentially elevating their credit scores. Additionally, credit cards and specialized programs offer opportunities to earn cash back on rent expenditures. While beneficial for building credit, experts caution against relying on rent reporting if consistent on-time payments are uncertain. Late payments, within a reasonable grace period, generally don't negatively impact credit scores.
December 24, 2024 at 10:12AM ESTYour monthly rent payment can go beyond just keeping a roof over your head, it can be tapped for potential benefits such as improving your credit score or earning cash-back rewards. But experts say these financial tools should be used wisely.
A payment that is slightly late shouldn’t ding your score though, said Eva Wong, co-founder and chief operating officer of Borrowell. The fintech company focuses on money management tools, including credit monitoring and options to improve your credit rating. For a quick credit score boost, Borrowell also offers a tool that can report up to 24 months of rent payments made in the past, for a one-time fee. The company will refund this fee if users don’t see their score increase.
Chexy, Zenbase, FrontLobby and City Lending Centers are a handful of other companies with credit-reporting tools; some also offer rent-splitting with roommates or breaking down rent payments into smaller chunks. First, determine which rewards your rent payments are eligible for. There are often tiered rates for types of spending on credit cards, from groceries to gas, to “all other transactions,” she pointed out.Some credit cards, Terrell said, allow you to earn cash back up to a certain amount of spending — for instance, $5,000 or $10,000 per year. Any spending on the card beyond that won’t return any more cash to you. Since rent is a major expense, you might max out your rewards potential fast.
Credit Score Cash Back Rent Reporting Financial Tools Credit Building
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Rent Payments: More Than Just a Roof Over Your HeadUsing rent payments to boost your credit score and earn cash-back rewards is gaining popularity. However, experts caution that this strategy is best suited for financially secure individuals. Late payments, even slightly, shouldn't significantly impact your credit score as long as you eventually make the payment.
Read more »
Credit Card Debt in the US Totals $1.17 Trillion: Tips for Using Credit Wisely for WeddingsIn the US, credit card debt stands at a staggering $1.17 trillion. WalletHub’s finance expert, Chip Lupo, advises couples on managing wedding expenses using credit cards wisely. By avoiding long-term debt and taking advantage of credit card benefits, couples can save on costs without financial strain.
Read more »
City of Lethbridge Partners with Lethbridge Trail Alliance for Pathway MaintenanceThe City of Lethbridge has teamed up with the Lethbridge Trail Alliance to ensure the proper maintenance of coulee pathways, addressing issues such as erosion caused by rainstorms and improving safety for cyclists and other trail users.
Read more »
Calgary Police Rule Death of Woman Found on Pathway a HomicideCalgary police have ruled the death of Jelisa Maschki, 23, a homicide after she was found unconscious on a pathway on Dec. 9. Police believe Maschki died as a result of a 'fatal altercation' on Dec. 8 between 9 and 11 p.m. Investigators are asking anyone with CCTV or dash-cam footage from the area around Deerfoot Trail and 32 Avenue N.E., as well as 32 Avenue to 36 Avenue N.E., on Dec. 8, between 9 and 11 p.m., to contact police.
Read more »
Why choose Sault College as your pathway to a degree?Explore the Top 10 advantages of continuing your education here
Read more »
Woman in life-threatening condition after being found on N.E. Calgary pathwayA woman was taken to hospital in life-threatening condition after being found on the Nose Creek Pathway in northeast Calgary.
Read more »