Renting in Toronto isn’t cheap–it often costs over $2,000 a month for a one-bedroom apartment, making rent one of the biggest monthly expenses for most Torontonians. With high housing costs, you might wonder: Can I pay rent with my credit card in Toronto?

While most landlords in Toronto don’t accept credit card payments directly, platforms like Chexy make it possible to pay rent with your credit card. In this guide, we’ll:

• Explore how paying rent with a credit card in Toronto works

• Highlight the pros and cons

• Help you decide if it’s the right option for you

Do Toronto Landlords Accept Credit Card Payments?

Even if your Toronto landlord doesn’t accept credit cards directly, Chexy lets you pay rent with your credit card and forwards the payment to your landlord via Interac e-Transfer or pre-authorized debit.

By paying rent with your credit card in Toronto, you can earn rewards in the form of points or cashback and even build your credit score. These rewards can help offset the cost of living or even get you a free round-trip business-class flight to Europe (if you’re smart about it)!

Chexy is a great workaround for Toronto landlords and property managers who typically prefer payment methods like Interac e-Transfer, pre-authorized debit, or post-dated cheques.

Hint: Subscribe to the Chexy Rundown for weekly flight deals you can book with points.  

How Can I Pay Rent With a Credit Card in Toronto?

Using Chexy, paying rent with a credit card in Toronto is easy:

1. Sign Up for Chexy: Create an account and enter your landlord’s payment details.

2. Add Your Credit Card: Link a Canadian or international credit card to your Chexy account.

3. Schedule Payments: Chexy charges your credit card four business days before your rent is due.

4. Funds Sent to Landlord: On rent day, Chexy transfers the funds to your landlord via Interac e-Transfer or pre-authorized debit.

5. Earn Rewards: Once the transaction is processed, you’ll earn points, cash back, or miles, depending on your credit card.

Here are some real-life examples of how you can earn rewards by paying rent with your credit card in Toronto: 

Example #1: Scotia Momentum Visa Infinite Card

• Monthly rent: $2,500 

• Cash back rate: 4% on recurring payments (up to $25,000 yearly, then 1% after) 

• Yearly rewards: $1,050 cash back

• Chexy fee: -$525

• Net rewards after fees: $525

Example #2: American Express Aeroplan Reserve Card

• Monthly rent: $2,500

• Point rate: 1.25 Aeroplan points per dollar

• Yearly rewards: 37,500 Aeroplan points (~$787.50 value)

• Chexy fee: -$525

• Net rewards after fees: $262.50

For Toronto renters, the math often works in your favour if you use a premium rewards credit card. To see how multiple cards stack up with Chexy, check out the Chexy Rewards Calculator. 

Chexy charges a fee that is lower than many other payment processors. Chexy fees are: 

• 1.75% for Amex and Visa cards

• 2.5% for international credit cards

• Free for debit cards 

Here’s how to pay rent with a credit card without fees (for one month): Apply for a new credit card through Chexy and get the 1.75% processing fee waived for one month! 

How Does Chexy Compare to Other Payment Options in Toronto?

Traditional Methods:

• Interac e-Transfer: No fees, but no rewards.

• Pre-Authorized Debit: Convenient but doesn’t earn rewards.

Chexy:

• Fees: Higher than e-Transfer or PAD, but rewards often outweigh the cost.

• Flexibility: Pay rent with a credit card even if your landlord doesn’t accept them.

• Credit Building: Report rent payments to Equifax through Chexy’s Credit Builder.

Photo by Berkay Gumustekin on Unsplash

Pros and Cons of Paying Rent with a Credit Card in Toronto

Here’s a breakdown of the pros and cons of paying rent by credit card in Toronto with Chexy: 

Pros

Earn Rewards: Paying rent with a credit card allows you to rack up rewards, whether cashback, points, or miles. Many credit cards also offer bonus points for recurring payments, maximizing the benefits. Plus, signing up for a new card can come with a generous welcome bonus.

Credit Building: Chexy’s Credit Builder feature lets you report your rent payments to Equifax, one of Canada’s major credit bureaus. On top of that, paying your rent through a credit card helps strengthen your credit score—as long as you pay off the balance in full each month.

Rent Splitting: Chexy makes splitting the rent hassle-free if you live with roommates. Each roommate’s portion is collected and sent to the landlord in a single payment, so there’s no need to chase anyone for their share.

Flexible Payment Options: With Chexy, your landlord doesn’t need to accept credit cards directly. Rent can be sent to them via Interac e-Transfer or pre-authorized debit, offering flexibility without involving the landlord.

Automatic Payments: Once you’ve set up your Chexy account, your rent payments are automated. Your credit card will be charged before rent is due, and the payment is sent to your landlord on time—no more worrying about late payments.

No Landlord Participation Needed: Chexy operates independently of your landlord. There’s no need to ask for permission or get them to complete verification steps, which means you can get started without any delays.

Cons

Fees: Chexy charges 1.75% for Visa and American Express cards, and 2.5% for international cards. However, using a high-tier credit card with strong rewards can offset these costs. 

Pro tip: Sign up for a credit card through Chexy to waive these fees for one month! 

It Could Hurt Your Credit Score: If you do not pay your credit card balance in full on the due date each month, you will be charged interest. Carrying a high balance can also impact your credit score, so you need to manage your credit responsibly. 

Is Paying My Rent with a Credit Card in Toronto Right for Me? 

If you:

• Have a high-tier rewards credit card,

• Can pay off your balance in full every month, and

• Want to earn rewards on Toronto’s high rent prices...

...then using Chexy to pay rent with a credit card is a smart move.

Just remember that the key to making paying rent with your credit card worthwhile is using it responsibly–this means paying off your balance in full by the due date each month, keeping track of your spending, and making sure rent is covered in your budget. 

With the right strategy, you can turn one of your biggest expenses into a valuable opportunity to earn rewards. 

Get started with Chexy today. 

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