Author Topic: Pay Off Loans with Credit Card  (Read 1178 times)

RockYourSocksOff

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Pay Off Loans with Credit Card
« on: June 05, 2015, 11:21:27 AM »
I recently paid off my wife's car loan with my CapitalOne Spark card.  I was shocked when the bank that held the loan allowed me to make a payment this way.  They didn't charge any fees either.  My credit card pays 2% cash back on all purchases so in my eyes this was a major savings.  If I could pay off my business debt and mortgages in the same manner I'd be ecstatic.  I'll be checking with this bank to see if they can refinance my company truck.

Does anybody know of any way to sweet talk other banks or mortgage companies to accept a credit card for payment?  I've called both of my mortgage banks and Ally who financed my business truck and they say they do not accept credit card for payment.  I also wonder if there is some other way I can leverage my credit card rewards to reduce debt...  Thoughts?  Has anybody else done anything like this?

AJ

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Re: Pay Off Loans with Credit Card
« Reply #1 on: June 05, 2015, 11:32:17 AM »
I would check the credit card statement and make sure this didn't run as a cash advance before proceeding with more of them. We allow our customers to fund their new accounts with credit cards, but many don't realize it will show up as a cash advance.

RockYourSocksOff

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Re: Pay Off Loans with Credit Card
« Reply #2 on: June 05, 2015, 11:42:55 AM »
I would check the credit card statement and make sure this didn't run as a cash advance before proceeding with more of them. We allow our customers to fund their new accounts with credit cards, but many don't realize it will show up as a cash advance.

I'm not sure I would have ever thought to check that.  I just did though and a $6,000 payment I made in January showed up as "other services" on my credit card statement.  I then checked my rewards summary for that month and I was given $120 for the charge.

On a side note, I recently started billing my business liability, workers comp and auto insurance to my credit card as well.  The insurance company doesn't mind and this will literally pay me close to $300 just this year.  Sweet!

I'd really like to find other avenues I can use to profit from these rewards points.