Buzz
Rent is typically the largest monthly expense for millions of Americans, but rent payments rarely provide rewards or boost credit scores, as most people still pay by check. This is where the new Bilt Rewards program comes in, introducing the first-ever credit card that allows rent payments without the usual third-party fees. But is it truly worth it? Let's break down the pros and cons.
How does Bilt Rewards function?
Bilt Rewards serves as both a loyalty program app and a rewards credit card. If your rental property is part of the “Bilt Rewards Alliance” (which includes over 2 million units), you can pay your rent directly via the app, without incurring any fees, and earn 250 points each month with every payment. Each point is roughly valued at 2.11 cents per dollar spent, according to The Points Guy.
The rewards card, when used through the app, allows you to pay your rent without any service fees (typically 2-3%), even if your unit isn't part of the network. The company will handle the payment to your landlord—either via a UPS-mailed check or direct ACH bank transfer. This is a win because most landlords don't accept credit card payments due to transaction fees, and if they do, those costs are passed on to renters.
This card has no annual fee and offers reward point multipliers based on your spending. During the first month, there's a special welcome offer: earn 3x points on rent payments up to 10,000 points, plus 2x points on all non-rent purchases. After that, non-rent purchases will earn 1 point per dollar spent. According to Nerdwallet, additional multipliers apply to rent payments, but these are actually linked to non-rent spending targets. Here's how it works:
Blue Status:
Spend $250 on qualifying non-rent purchases within a month, and you'll earn 1 point per $2 on your next rent payment.
Silver Status:
Spend $1,000 on qualifying non-rent purchases in a calendar month, and you'll earn 1 point per $1 on your next rent payment.
Gold Status:
Spend $2,000 on qualifying non-rent purchases in a calendar month, and you'll earn 1.5 points per $1 on your next rent payment.
Platinum Status:
Spend $3,500 on qualifying non-rent purchases within a month, and you'll earn 2 points per $1 on your next rent payment.
Points can be redeemed for various rewards, including hotels, flights, home decor, art, and gym memberships. You can also use your points to cover rent payments or as part of a down payment for an FHA or Fannie Mae mortgage. As a part of the Mastercard World Elite program, there are added benefits, such as cell phone insurance, discounts with merchants like Lyft and DoorDash, and access to a 24/7 concierge service.
Since paying rent with a high-interest credit card can lead to a debt trap for many borrowers, the Bilt card allows users to disable rent payments if they don't have cash savings in a linked bank account. Borrowers deemed higher risk will be required to use this feature.
Is the Bilt Rewards card worth it?
The card’s 1x reward multiplier for non-rent purchases is below the average for other rewards cards, many of which offer a flat 2x rate. However, it offers a bonus based on rent spending, allowing you to earn rewards on a significant expense that many renters face every month. Additionally, using a credit card for rent payments can help you build your credit score, unlike paying with a check.
The worth of the combined rewards will depend on your day-to-day spending and rent costs. For instance, with the lowest Blue tier, you may only earn a small amount back on non-rent expenses each month, but you'll get about $30 back on rent payments. While not exceptional, this return is on par with other rewards cards. If you tend to spend more on either rent or other expenses, the rewards become more valuable—though reaching the Platinum tier through $3,500 in non-rent spending might be challenging. Ultimately, it’s up to you to calculate whether this card is truly worth it based on your personal spending habits.
If you're already using a third-party app that charges you a 2-3% fee for paying your rent, the program is worth considering. Additionally, if you reside in a Bilt Rewards Alliance property, you should definitely sign up for the rewards program to make payments with a credit card, avoid transaction fees, and rack up easy reward points.
How do I get the card?
The Bilt card and rewards program is currently by invitation only. You can register to receive an invitation here, and if you're selected, expect to receive an invite within a few weeks.
