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Can You Pay Your Mortgage with American Express?

Many homeowners wonder if they can use their American Express credit card to pay their mortgage. After all, being able to rack up rewards points or cash back while paying this large recurring bill sounds appealing.

No, you cannot directly pay your mortgage with an American Express credit card as it is typically prohibited by their cardmember agreement. While some third-party processors may allow such transactions, they involve high fees and immediate interest charges that usually outweigh any potential rewards or benefits.

This article will examine if and how you can pay your mortgage with an American Express credit card.

Close-up of an American Express card

Can You Use American Express to Pay Your Mortgage?

In most cases, American Express does not allow cardholders to pay their mortgage directly with an American Express credit card. Their cardmember agreement specifically prohibits using your card for real estate-related transactions like paying a mortgage lender

If you try to make a mortgage payment directly with your AmEx card, the transaction will likely be declined by American Express. They consider mortgage payments to be cash advances, which are not eligible for earning rewards or cash back.

The reason behind this policy is that mortgage lenders would be charged costly processing fees by American Express for these large transactions. Most mortgage lenders refuse to absorb these fees and therefore do not accept American Express cards.

What are the fees associated with paying my mortgage with American Express?

If you find a way around American Express’s policy, such as using a third-party payment processing service, there will still be fees involved.

You would be charged a cash advance fee by American Express, which is typically 5% of the transaction amount (minimum $10). There is no grace period for cash advances, so interest starts accruing immediately at a higher rate than for regular purchases. 

The third-party processor would also charge a processing fee to make the mortgage payment on your behalf, such as 2.5% of the transaction amount.

In total, you may pay 7.5% or more in fees just to pay your mortgage with your American Express card. This negates any rewards you would earn.

What are the benefits of paying my mortgage with American Express?

The potential benefits of paying a mortgage with an American Express credit card are:

  • Earning rewards points or cash back 
  • Meeting minimum spending requirements for sign-up bonuses
  • Utilizing a 0% APR introductory offer
  • Getting deferred interest if you can pay off the balance during the intro period
  • Avoiding late fees if you are short on cash before your due date

However, as outlined already, the fees involved with processing mortgage payments typically outweigh any rewards or introductory APR benefits.

What are the drawbacks of paying my mortgage with American Express?

There are a few drawbacks to watch out for if you pay your mortgage with an American Express credit card:

  • High processing fees
  • Cash advance fees and immediate interest charges
  • Increased credit utilization hurting your credit score
  • Difficult to make recurring automated payments
  • Potential foreclosure if you cannot pay off the credit card balance

Paying large recurring bills like a mortgage with a credit card and carrying a balance is extremely expensive and risky. Your credit score will suffer from high credit utilization, and the elevated interest rates could lead to missed payments and foreclosure.

What are some alternatives to paying my mortgage with American Express?

If you cannot directly use your American Express card, here are some alternatives to consider:

1. Direct Debit from Bank Account

Setting up automatic payments through direct debit from your checking or savings account is the most common way homeowners pay their mortgage. This method allows for predictable, automated payments without any processing fees.

2. Check or Money Order

You can pay your mortgage lender via check or money order each month if you prefer the manual approach vs. automatic deductions. This is free but lacks automation.

3. Other Credit Cards

As mentioned previously, some third-party processors may allow you to pay a mortgage with certain credit cards like Mastercard or Discover. The fees will still apply, but marginally lower than AmEx.

4. Online Payment Platforms

Services like Plastiq facilitate online credit card payments for large recurring bills. However, they explicitly prohibit mortgage payments with American Express cards currently.

Is it a good idea to pay my mortgage with American Express?

In most situations, paying your mortgage with an American Express credit card is not the best idea. The inconvenient process combined with high processing fees and interest charges usually makes other options like direct debit better.

However, it might make sense in some unique circumstances – like hitting minimum spend for a valuable signup bonus. But ensure you have a plan to pay off the balance during the 0% intro APR period.

What Are Some Precautions When Using a Credit Card for Mortgage Payments?

If you decide to pay your mortgage with a credit card despite the drawbacks, here are some precautions to take:

  • Understand the fees – Calculate the total costs ahead of time so there are no surprises.
  • Have a repayment plan – Do not carry a balance long term due to the elevated interest rate.
  • Avoid cash advances – Treat it as a regular purchase whenever possible to avoid fees and immediate interest. 
  • Monitor your credit score – Check regularly for any damage being done by high utilization.
  • Set payment reminders – To avoid late mortgage and credit card payments leading to fees or negative credit impacts.
  • Contact lender if struggling – Speak up early if you will have trouble making payments to avoid foreclosure.


Paying your mortgage with an American Express credit card directly is prohibited in nearly all cases. While it is possible to use third-party processors, the high fees involved usually outweigh any rewards or benefits. It’s best to stick to more traditional payment methods like direct debit unless you have a specific redemption goal in mind and detailed repayment plan. Carefully evaluate the overall costs as well as the risks before using any credit card for mortgage payments.

Frequently Asked Questions(FAQ)

Can I pay my mortgage with a credit card?

No, it is not possible to pay your mortgage with a credit card. Credit card companies typically charge a fee for cash advances, which can be as high as 5% of the transaction amount. Furthermore, most mortgage lenders do not accept credit card payments as a form of payment.

Can I pay my mortgage with American Express with Plastiq?

Yes, you can pay your mortgage with American Express using Plastiq. Plastiq is an online payment service that allows customers to use their credit cards to pay bills that would normally require a check. With Plastiq, customers can use their American Express cards to pay their mortgage and other bills, as long as the biller accepts Mastercard, Visa, or American Express.

Can I pay my car payment with American Express?

Yes, it is possible to pay your car payment with American Express. American Express offers a variety of payment options, including direct debit, online payments, and payments at participating dealerships. However, it is important to note that some dealerships may not accept American Express as a form of payment.

What bills can be paid with a credit card?

A credit card can be used to pay for a variety of bills, including utility bills, rent, mortgage payments, and taxes. Additionally, some services, such as insurance premiums, tuition payments, and medical bills, may also be paid with a credit card. When using a credit card to pay bills, it is important to make sure that the payment is within the credit limit and to read the terms and conditions of the card to avoid any fees or penalties.