The property pricing of Hong Kong has shown an upward trend in recent years. Many Hongkongers would rather rent a house in this situation. It is such a big expense to pay for the monthly rent, sometimes we have to prepay the rent for two months too. As our credit card can bring us different online spending offers such as cash rebates or air miles, it will be great if we can pay rent with credit cards. Let’s see which credit card is the best for rent payments:
- Transaction fee comparison for different properties
- Comparison of payment limit, time required & platform
- Citibank Credit Cards
- KeyChain Pay
Transaction fee comparison for different properties
|Property||Acceptable Credit Card||Transaction Fee|
|e-Banking/PPS||Public Housing Estate/Private Housing Estate||According to different banks||N.A.|
|Citibank||Private Housing Estate||Citibank credit cards||1%-4%
Each transaction is different (up to 4%)
|Reap||Private Housing Estate/Office||Visa/Mastercard/UnionPay||2.6%|
|RentSmart||Private Housing Estate/Office||UnionPay/Standard Chartered Visa/Standard Chartered Mastercard||From 2.5 (VISA/Mastercard)
|Keychain Pay||Private Housing Estate/Office||Visa/Mastercard/AE||2.1% (HSBC credit cards)
Comparison of payment limit, time required & platform
|Payment limit||Time required for a transaction||Platform|
|e-Banking/PPS||e-Banking: According to different banks|
PPS: HKD 100,000
|e-Banking: According to different banks|
PPS: Transaction made after the cut-off time (7:30 pm on weekdays) will be processed on the next working day
|Citi PayAll||HKD 50,000||4 business days||Mobile app|
|Reap||No upper limit||3 business days |
(automatic payout by authorization)
HKD 300,000 per month
|5 business days after confirmation of payments|
(monthly rent payment notification)
|Keychain Pay||No upper limit||About two weeks before the effective date of the lease, |
(automatically deduct from the credit card and deposit into the landlord’s account every month)
|Bank||Credit card||Credit card reward(s)||Rebate limit|
|Hang Seng Bank||MPower|
|MPower: 0.4% Cash rebate |
Enjoy: 0.5% Cash rebate
|No upper limit|
|0.4% Cash rebate||First HKD 10,000 of the month|
|Bank Of China (BOC)||BOC credit card||HKD 1 = 1 Point||First HKD 10,000 of the month|
|CITIC Bank International||CNCBI Motion credit card||0.55% Cash rebate||First HKD 10,000 of the month|
Except for convenience stores, by PPS and cheques, residents of public and private housing estates can use their credit cards to pay rent through the e-Banking system. Currently, there are only a few banks that offer rewards for e-Banking payments, namely Hang Seng Bank, HSBC, Bank of China, CITIC Bank International, China Construction Bank, Fubon Bank (Hong Kong), etc. Some of the cards offer reward points, however, please be reminded that only e-Banking payments to the Housing Department are eligible. Direct deposits to the landlord’s account basically cannot receive any credit card rewards. Unless it is necessary, otherwise we can consider payment methods other than e-Banking.
Citibank recently launched a new function of Citi Mobile App: Citi PayAll. This allows their clients to pay rents, tuitions, management fees, and parking lot rental fees through CitiBank credit cards. Paying rents through Citi PayAll allows us to deposit directly into recipients’ accounts in order to earn points or cash rebates. The maximum amount of rewards is HKD 1,500, and the lowest transaction fee is 1%. However, please note that the maximum amount of transactions each month is HKD 50,000, while the maximum number of transactions that can be carried out per month is 10. In the same month, you can only process Citi PayAll with the same recipients 2 times at maximum. Although the minimum handling fee is 1%, the handling fee for each transaction actually varies. The relevant fee will be displayed after entering the transaction amount and the recipient’s information. The fee ranges from 1% to 4%. If you do not pay attention to the handling fee for each transaction, it may increase additional costs.
Reap is a local online credit card payment and collection platform. The biggest advantage of the platform is that it allows you to turn cash payments into credit card payments. In short, if your recipient does not accept credit cards, you can still use your credit card to pay, and they can receive the money like a normal bank transfer. If you are running out of cash, Reap will be a good option for you to pay the bills with credit cards. You can postpone expenses for 30 to 58 days, and repay later with your credit card bill. By then, you do not need to borrow loans to pay for your rent, meaning no impact on your credit score. Moreover, as long as the user authorized Reap once, the system will automatically pay the rent for you once a month. One more advantage of Reap is that it allows cross-border payments. The platform supports 200+ currencies. Even if your clients are not in Hong Kong, they can also use Reap Pay to pay rent.
While Reap is charging 2.6% for paying out, the key lies in the credit card you use. Generally, not many people use cashback credit cards and more are using air miles credit cards. If you want to use cashback credit cards, you can consider PrimeCredit EARNMORE Credit Card. This card does not set a bar on the annual salary and offers a 2% cash rebate for the first HKD 200,000 transaction without limits on the transaction amount. In comparison, air mile credit cards such as Standard Chartered Asia Miles Mastercard and DBS Black World Mastercard offer HKD 6/mile. You can also earn DBS$ from DBS Black World Mastercard, and the points will never expire, which can also be redeemed for different air miles or other gifts. If you pay an HKD 15,000 rent via Reap, you can get 3,750 miles by paying only HKD 390 extra! It is a better deal compared with other platforms.
You can get a 58-days interest-free repayment period via Reap. The platform also allows you to directly transfer the rent payment to the bank account of your landlord. Different from other payment platforms, your recipient does not need to have a Reap account. You can pay without worrying about your recipients now.
RentSmart is a rental management platform, which can only be used with an account and a valid lease. The platform will transfer the money in five business days after paying by credit cards. The biggest selling point of RentSmart is the HKD 25 transaction fee for UnionPay Credit card payments. Moreover, if you pay rent by Standard Chartered credit cards, you can earn miles or cash rebates. For Standard Chartered Asia Miles Mastercard, you can get HKD 4/mile, and 1.5% cashback for Standard Chartered Simply Cash credit card. Standard Chartered also offers a 12-month exclusive installment, allowing you to make a large payment to be paid by month. However, the installment requires an additional 6.4% transaction fee, so the offer is not very attractive.
KeyChain Pay is a mobile rental payment platform in Hong Kong. Tenants can pay their rent with credit cards to their landlord through KeyChain Pay. If you use HSBC Red Credit Card, you can get a 4% RewardCash. For example, if your rent is HKD 15,000, you can get 600 RewardCash. Since KeyChain Pay is included in the Home category of the Red Hot Rewards, except for the Red Credit Card, HSBC credit cards can earn an extra 2% RewardCash.
At the same time, you can register for the Red Hot Online Spending Rewards to get 2% more. Therefore, most HSBC credit cards offer a total of 4.4% RewardCash. HSBC Visa Signature also provides an exclusive offer of 1.2% RewardCash, meaning you can get a total of 5.6% RewardCash. The KeyChain Pay Smart Contract will take the payment from your credit card approximately two weeks before the effective date of the monthly rent. Your landlord will also receive the payment one working day before the effective date of the monthly tenancy (except bank holidays), so it is not very convenient for the tenant to record the payment date, and the tenant may miss the deadline for repaying the bills.