Save on Rent payments using Credit Cards - Cred vs NoBroker vs RedGiraffe

Yes, You can save on Rent Payments too using popular Fintech apps

by admin 31 Aug, 2020
60 8311

Monthly Rental Payments for your home can be one of the significant expenses which most of us have on our books and can quickly dry up your Salary. But what if i told you, that there is “jugaad” available to even save on your rental payments every month. Combine the cashback offers by some of new-age digital startups with payments using Credit cards to push your actual payments one month backwards.

Why Credit Card Payments?

If you have yet not evaluated Credit Card payments, We strongly recommend you to talk to your landlord about accepting Credit card payment instead of Cash payment or Payment by cheques. You can explain to your landlord how the current economic scenario requires you to pay via Credit card to better manage your Cash Flow / working capital and We are sure most landlords will be completely fine with it.

Still not convinced about Credit card Payments and savings it brings to you? Well, Rental payments can vary from Rs. 5,000 to Rs. 1,25,000 for individuals. Let's take an example of monthly Rental payment of Rs. 20,000 which is very common in bigger cities like Mumbai, Delhi, Ahmedabad, Bangalore, Pune etc…

Credit Period of 40-60 Days: If you pay your Monthly Rental by cash on 1st of every month, that's a straight deduction of hard cash from your account. On Contrary, if you pay your Monthly rental using credit cards on 1st of the month and Lets say your payments are due on 10th of every month, chances are very high that the payment you made via credit card will be due on 10th of next month as your bill for current month will already be generated. That gives you a Credit period of 45 Days already to manage your Cash-Flow better.

Credit Card Reward Points upto 3.33%: To add to the credit period you get, One also get Reward Points on your credit cards which can then be used to plan travel trips or even get Statements credits. Obviously you need to have a Good credit card which pays you well when it comes to reward points. You can check some best Credit card options here. We strongly recommend the following Cards: Diners Black (3.33% Rewards) , Infinia (3.33% Rewards) or American Express Gold.

Now when the due date is due for your Credit card payment, you need to make sure that you are very timely with your payment otherwise all your savings will be eroded by one of 2 late payment fees. Setting up WhatsApp reminders via Cred is a good option.

Rewards on Credit Card Payments: You can also earn Rewards, Coupons and even Cashback while making Credit card payments. Yes, you heard it right. You can pay via Cred App and earn reward points for every payment or you can pay via Mobikwik and get Rs. 100 SuperCash in your wallet

Helps your CIBIL Score - Do you know that using Credit cards and paying your credit cards regularly can help you improve your CIBIL score too. It can turn out to be very useful when you apply for Home Loan or Car loan in the future at better interest rates.

Now Let’s see some of the popular apps available for Rental Payments using Credit cards, Wallets etc…

RedGiraffe’s RentPay

RedGiraffe, a financial technology and real estate company, launched RentPay as early as 2017, which allows users to pay commercial and residential rentals to be paid via credit and debit cards through recurring payments.

Signing up on RedGiraffe is Simple. You simply need to add your details and Rental Details like Rental amount, Due Date, Rental Agreement Expiry date. You also need to upload your Rental contract if your rental amount is greater than Rs. 30,000. You then need to provide landlord details, his bank account details. Account is usually approved in 72 hours. The steps are clearly explained after registration

Currently, RedGirraffe supports Credit cards of most popular banks like HDFC Bank, ICICI, Indusind, Kotak Mahindra, Yes Bank, Standard Chartered, RBL, PayZapp and HSBC. The prominent Banks/Card it's not supporting right now are AMEX and SBI.

RegGiraffe charges around 0.39% + ST for each transaction above Rs. 10,000. The minimum fee is Rs. 45 (for transactions below Rs. 10k). For the Rs. 20,000 rent we considered, the charges came to around Rs. 92. If you use HDFC Regalia card, you already get minimum rewards of Rs. 266 in points/cash. So you get the maths!


DEAL ALERT - 12th September 2020

Cashback on rent payments using Citi cards, through RedGiraffe on Citi mobile and website:

  • Cashback on 1st month rent payment – Rs 750 
  • Cashback on 2nd month rent payment* – Rs 1000 
  • Cashback on 3rd month rent payment* – Rs 1250
    The offer is valid for registrations done from 00.00 hours, 12th September 2020 to 23.59 hours, 11thDecember 2020 (“Offer Period”) and Rent Payments done till 11th February 2021.
  • Minimum RedGirraffe bill payment – Rs 20,000 per month

Read more about the deal

Cred RentPay


CRED very recently in April 2020, launched RentPay Option for their members. The option is available within the Cred app and the process is very simple:

# Enter the Rental Amount that you wish to pay

# Select Credit Card or UPI. UPI is free but obviously that means you don’t get benefits of paying by Credit card

# Enter LandLord Full Name and Bank account Details. You can also Pay to Landlord UPI (obviously via your Credit card)

# Enter your Address and voila, you are all set!

CRED UPI option is interesting as it allows you to quickly pay your landlord and he/she need not share his account details etc. CRED however charges 1.5% for this service which we felt was way too high for Rental Payment. However, CRED does not require you to give Rental agreement etc as proof. PAN card is mandatory for Rent above Rs. 50,000

NoBroker

NoBroker also has been around for quite some time now and their process is also very simple. Simply enter Landlord details and your Landlord will get SMS to accept the payment. The payment is usually done in 2 working days while CRED upi payment might be instant.

NoBroker also provides you Digital receipts which can help you file your HRA with ease.

NoBroker charges only 1% so you can save significantly compared to CRED. But RedGiraffe is cheapest by a margin smile

And yes, NoBroker supports AMEX and SBI as well. NoBroker requires rent agreement above Rs. 49,999. 

If you pay via PayZapp, there is additional 5% cashback offer.


UPDATE 7/9/2020 -
A lot of Negative comments have came for NoBroker. So kindly check that below before you use NoBroker.

One alternative suggested by Dimers has been Housing.com

RegGirraffe vs CRED vs NoBroker - Final Verdict

If you are looking to save, RedGirraffe is the CHEAPEST option. If you are looking for more payment options + HRA Receipts, NoBroker is 2nd Best option. We find CRED a little too expensive offering currently.

Conclusion

So to summarize again:

  • Ask your Landlord to accept Credit card payments.
  • Apply for a Good credit card which gives you best value in terms of rewards. 2% to 3.33% rewards are easily available.
  • Earn Credit period of 40-60 days as your credit card payment will be due much later.
  • Earn Interest during that credit period and/or pay your other loans faster. Manage your CashFlow better.
  • Earn Cashback on Rental payments using apps like RedGirraffe, Cred or NoBroker.
  • RedGirraffe is the cheapest option in terms of Fees charged (by a margin)
  • Earn reward points on your credit card for a future good vacation. Accumulate points every month
  • Make payments of Credit cards using Mobikwik or Cred app or PhonePe and earn rewards there too wink

As always, We look for more ideas from Dimers in comments below smile

60 Comments  |  
38 Dimers
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Missing
Deal Subedar
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Also use the Payzapp offer for Nobroker for additional 500rs. cashback

Missing
Deal Captain
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rohan8397 wrote:

Also use the Payzapp offer for Nobroker for additional 500rs. cashback

Plz explain the Payzapp offer for Nobroker and Redgiraffe

Missing
Deal Cadet
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368
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What abt payzapp

Missing
Deal Cadet
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Cred stopped amex payment

Missing
Deal Newbie
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Nobroker is worst in service if you dnt have agreement they will stuck your money

Missing
Deal Subedar
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“NoBroker requires rent agreement above Rs. 49,999” @admin
I beleive this is incorrect. They can ask for Rent Agreement anytime, and if not provided they keep your money or put 1/2 percent as their charges.

Note: I think this should be tried only when you have actual rent to be paid, and not to create a CC spend. Once stuck, you may end up loosing money or begging to them.

Missing
Deal Subedar
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Manitian wrote:

“NoBroker requires rent agreement above Rs. 49,999” @admin
I beleive this is incorrect. They can ask for Rent Agreement anytime, and if not provided they keep your money or put 1/2 percent as their charges.

Note: I think this should be tried only when you have actual rent to be paid, and not to create a CC spend. Once stuck, you may end up loosing money or begging to them.

happened to me for 15k payment..had to book loss..

Missing
Deal Newbie
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suman1520 wrote:

happened to me for 15k payment..had to book loss..

Avoid nobroker n give 1 star rating

Missing
Deal Subedar
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vikneeljain264 wrote:

Avoid nobroker n give 1 star rating

yes this month i am avoiding…

Missing
Deal Newbie
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Should add housing.com to the list. Last I checked
- they charge 1.3%
- didn’t ask me for a rental agreement at any stage
- they did a deposit of Rs 1 in my ‘landlords’ account to verify the account
- available only on app (Nobroker & Redgiraffe have a website but couldnt find rent pay link on Housing.com website)
- no experience in actually paying the rent. Was just testing them, so dont know if it gets stuck like Nobroker etc.

Missing
Deal Cadet
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Hay… careful with NoBroker…
if you have some mistakes in agreement or no agreement then you will loose the extra percentage amount plus 2 percent extra.
better Avoid.

Missing
Deal Cadet
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10dulkar wrote:

Should add housing.com to the list. Last I checked
- they charge 1.3%
- didn’t ask me for a rental agreement at any stage
- they did a deposit of Rs 1 in my ‘landlords’ account to verify the account
- available only on app (Nobroker & Redgiraffe have a website but couldnt find rent pay link on Housing.com website)
- no experience in actually paying the rent. Was just testing them, so dont know if it gets stuck like Nobroker etc.

Yes, you are right…
I have good experience with housing…

Missing
Deal Cadet
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suman1520 wrote:

happened to me for 15k payment..had to book loss..

Why not file complaint in consumer forum. You will get all your money back + compensation

Missing
Deal Cadet
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753
20

I think DD is now accepting Paid Promotion . Finding 2nd such post.

Missing
Deal Subedar
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Pranav22 wrote:

Why not file complaint in consumer forum. You will get all your money back + compensation

They returned my Money immediately bro..but deducted 2%..

Missing
Deal Subedar
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Add biller redgiraffe in payzapp and use BILLPAY promocode to get extra 200 cb 🙂

Missing
Deal Newbie
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Nobroker is fraud….they have written in terms and conditions that WE MAY ASK FOR RENTAL AGREEMENT. it’s better that that should first take agreement and then proceed…why they do like this …first they do the transaction and then forcefully asking for agreement is feeling like cheated…else they should charge some extra

Missing
Deal Newbie
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@admin I’m not clear on the returns specified for Amex. The returns on gold and membership rewards card are high upto the 6 or 4 separate transactions for the 1000 bonus rewards and quickly diminish after that.

Could you please clarify?

Missing
Deal Cadet
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Give redgiraf referral

Missing
Deal Subedar
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Pranav22 wrote:

Why not file complaint in consumer forum. You will get all your money back + compensation

Not true. You are exploiting them by not giving rent agreement. And hence as per terms, they have right to ask for it and charge 2%. Its in their fine print. If you have genuine valid rent agreement, then feel free to any forum.

Missing
Deal Newbie
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rohan8397 wrote:

Also use the Payzapp offer for Nobroker for additional 500rs. cashback

They are asking rental agreement

Missing
Deal Cadet
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Do we have to provide owner’s pancard in redgiraf?

Missing
Admin
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10dulkar wrote:

Should add housing.com to the list. Last I checked
- they charge 1.3%
- didn’t ask me for a rental agreement at any stage
- they did a deposit of Rs 1 in my ‘landlords’ account to verify the account
- available only on app (Nobroker & Redgiraffe have a website but couldnt find rent pay link on Housing.com website)
- no experience in actually paying the rent. Was just testing them, so dont know if it gets stuck like Nobroker etc.

Sure. I will check housing.com too and update the comparison. Thanks

Missing
Deal Newbie
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rajagopal231 wrote:

Hay… careful with NoBroker…
if you have some mistakes in agreement or no agreement then you will loose the extra percentage amount plus 2 percent extra.
better Avoid.

Absolutely. NoBroker is utterly useless. Never use it!!

Missing
Deal Subedar
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1140
25

Use nobroker only if you have agreement. my money also got stuck.

Luckily, I had my last year agreement which I uploaded and after some heated argument with CC, my rent was transferred.
Amount was just 11.5k and yet they want agreement.

I think they are asking from everyone who is using payzapp.
I’ll never use no broker again.

Missing
Deal Newbie
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61
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One more addition and correction to the table above:

Nobroker charges 2% above Rs 49,999.

Also a correction in the table Nobroker charges flat 1%. Your table has it listed as 1% + GST.

Missing
Deal Newbie
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vikneeljain264 wrote:

Nobroker is worst in service if you dnt have agreement they will stuck your money

Which payment mode u used? PayZapp or Directly Credit card??

Missing
Deal Newbie
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56
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Expand
suman1520 wrote:

happened to me for 15k payment..had to book loss..

Which payment mode u used? PayZapp or Directly Credit card??

Missing
Deal Newbie
50
56
1
Offerer wrote:

Use nobroker only if you have agreement. my money also got stuck.

Luckily, I had my last year agreement which I uploaded and after some heated argument with CC, my rent was transferred.
Amount was just 11.5k and yet they want agreement.

I think they are asking from everyone who is using payzapp.
I’ll never use no broker again.

Which payment mode u used? PayZapp or Directly Credit card??

replyuser