Whether we like it or not, recurring bills have become a common part of our everyday lives. Whether it's utilities, streaming/music subscriptions, gym memberships, or even rent, these regular expenses can be tough to hide from but also are opportunities to get the most rewards or cashback, presuming you know how to game the system. 

If you are a rewards aficionado, you probably already know the best cards to be taking advantage of at any given model. But if you, like most people, prefer to just get on with your life and think of rewards as only a cherry on top, there are some great cashback cards you ought to consider for your recurring bills.   

In this blog post, we'll delve into everything about recurring payments, which credit cards to use to supercharge your savings, and how paying your rent with a credit card can save you up to $600+ a year. 

What Are Recurring Bills?

Recurring bills are regular expenses that you pay on an ongoing basis. This can be on a weekly, bi-weekly, monthly, or yearly basis and those oftentimes can be paid using a credit card. 

Recurring bills include:

• Utilities: Think of your electricity, water, and internet bills.

• Subscriptions: Services like Netflix, Spotify, or gym memberships.

• Insurance Premiums: Health, auto, or home insurance.

• Loan Payments: Mortgage, car loans, or personal loans.

• Most Importantly, Rent: A significant monthly expense for many Canadians.

What Recurring Bills Can You Put on Credit Cards?

The majority of recurring bills can be paid using a credit card. Most service providers and financial institutions accept credit card payments, making it easy to streamline your monthly expenses onto one card. When you use your credit card for these payments, you're not only making life more convenient but also opening the door to an array of rewards and cashback opportunities. 

Quick hack: Throw all your monthly bills on one credit card and set up auto-pay from your bank. That way, your card gets paid off like magic, and you score awesome savings while giving your credit score a boost!

Why Put Recurring Bills on a Credit Card? 

The reason is simple: savings and rewards. When you put your recurring bills on a credit card, you're essentially earning money back for bills you'd be paying anyway. However, if you really want to take advantage of recurring bills - ensure that you are using a credit card that offers you 2-4% cashback on recurring bills. This not only allows you to boost your cashback earnings potential but can also save you money, which is especially beneficial right now with the rising cost of living and rent prices seeing a 2.5% increase in the last year.

List of the Best Cashback Credit Cards in Canada for Recurring Bills:

1. Scotia Momentum Visa Infinite - 4% cashback on recurring bills 

2. TD Cash Back Visa Infinite Card - 3% cashback on recurring bills 

3. TD Platinum Travel Visa Card - 3 points per $1 on recurring bills 

4. MBNA Rewards World Elite Mastercard - 5 points per $1 spent

5. Tangerine World Mastercard - 2% cashback on recurring bills 

6. CIBC Dividend Visa Infinite Card - 2% cashback on recurring bills

Scotia Momentum Visa Infinite Card: An Example of Using a Credit Card That Gets You the Most Out of Recurring Bills 

The Scotia Momentum Visa Infinite Card is a powerhouse when it comes to earning cashback on recurring bills. With a whopping 4% cashback rate, it's an ideal choice for anyone looking to maximize their savings. 

Let's crunch some numbers to see how this can benefit you:

Scenario: Monthly Recurring Bills of $450

• Utilities, Internet, and phone: $200

• Streaming Services: $50

• Insurance Premiums: $100

• Other Subscriptions (gym, etc.): $100

Total Annual Cashback: $264 (not including other expenses) 

With the Scotia Momentum Visa Infinite Card, offering a 4% cashback on recurring bills, you would earn approximately $18 per month in cashback. Over a year, this accumulates to a significant $216 in savings (or $96/year net of the annual fee) – just by making the most of your recurring payments with the right credit card. 

Rent: The Largest Recurring Bill for Many Canadians

For many Canadians, rent is their largest monthly expense. Across Canada, the average rent now reached $2,150, up 11% YoY and becoming an ever more significant financial burden than ever before. 

As of 2023, and thanks to Chexy, Canadians can now turn the tables in their favour by putting their rent on a credit card that offers them cashback and points on recurring bills.

Using the Scotia Momentum Visa Infinite Card as an example, if your monthly rent is $2150, you could earn an astounding $48 in cashback each month (net of the Chexy fee of 1.75%) or $580 annually. Plus, if you include the recurring bills from above ($216), you could be earning almost $800 a year by just paying bills with your credit card. This can go a long way in alleviating the financial pressure of paying rent, groceries, and much more*. 

*Please note that from the above list of cards, MBNA cards will not recognize Chexy as a recurring payment; however, the rest will. 

How to Put Your Rent on Your Credit Card

With Chexy, of course. Chexy is a rent payment platform that lets you earn rewards and build credit on your largest monthly expense - RENT.  You can pay rent with any credit card, allowing you to maximize your earnings without having to invite your landlord. Here is how you go about it:

• Choose the Right Card: Pick a credit card that offers rewards for recurring bills. Consider factors like cashback rates and annual fees.

• Set Up Payments: Head to Chexy.co/register, create an account, upload your lease, and choose which card you want to pay with!

• Monitor Your Credit Limit: Keep an eye on your credit limit to ensure it covers your rent payment without maxing out your card, which could negatively impact your credit score.

• Pay Your Bill in Full: With your rent being paid on time, every time with Chexy, avoid any extra interest charges by always paying your credit card bill in full and on time.

Recurring bills are a part of life, and by optimizing how you pay them, you can unlock substantial savings and rewards. Credit cards like the ones listed above offer a fantastic opportunity to earn up to 4% cashback on your recurring bills, with rent often being the largest of these expenses.

By utilizing this strategy, you can turn your financial obligations into a source of financial gain, all while enjoying the convenience of consolidated payments and the peace of mind that comes with knowing you're making the most of your money. So, get started with Chexy today and watch your savings grow with every recurring bill you pay.

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