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Can You Pay Your Wells Fargo Mortgage With a Credit Card

There can be many reasons why someone would want to pay their mortgage with a credit card. You can earn bonuses and rewards or maybe avoid late payments and foreclosure. If you have a mortgage at Wells Fargo, you probably want to know if you can make payments with your credit card.

So can you pay your Wells Fargo mortgage with a credit card? The answer is no. You can not make payments directly from your credit card. However, you can still use money from it to make payments at Wells Fargo.

Woman holding credit card and POS terminal

The real question is whether this kind of transaction is good for you in terms of fees. To learn more about how to make payments on a mortgage using your credit card, keep reading.

Why Paying Off the Mortgage With a Credit Card Is Not Possible?

As you already know, a mortgage is a lien, and a credit card is also a loan. This means that if you pay your mortgage with a credit card, you will pay a debt by creating more debt. Most lenders will not allow this transaction for this reason. Another reason why lenders don’t accept this kind of transaction is the high fees they will have to pay to the card issuer. The same rule applies to down payments, application fees, closing costs, mortgage insurance, and other costs. However, if you have a HELOC mortgage, in essence, you will be able to use this money to pay your mortgage rate. Here are the pros and cons of paying a mortgage with a credit card.

ProsCons
You can earn rewardsIt can affect your credit score
You can get sign-up bonuses on a new cardYou can end up in more debt than before
You can avoid late feesYou will pay high fees
You can avoid foreclosure

Ways You Can Pay the Mortgage at Wells Fargo Using Your Credit Cards

As you know, among other things, Wells Fargo is a mortgage bank that issues home loans. And like many lenders, Wells Fargo doesn’t allow you to pay the mortgage directly from your credit card. But this doesn’t mean you can not use money from a credit card to pay your rate. In essence, nobody can stop you from withdrawing money from a credit card and paying your rate with that cash. 

You Can Use the Online Payment Option at Wells Fargo

Wells Fargo allows you to make online payments from any checking or savings account. All you have to do is to sign up for Wells Fargo online and follow the steps. Make sure you transfer money from the credit card to another checking account, and you are good to go. Also, if you have automatic payments at Wells Fargo, make sure you cancel recurring mortgage payments on time.

Pay in Person Or Use a Phone

Another option is to withdraw money from an ATM, go to the nearest Wells Fargo branch, and make payments in person with cash. Also, no matter if you have a reverse mortgage or a conventional one, you can make payments via phone. Just call 1-800-357-6675 and follow the instructions from the automated service. And just like with online payments, you will have to have close a routing number or the checking account where you transfer money

Use Prepaid Cards

Using prepaid cards is another option you can turn to. These cards are usually connected to a checking or savings account, so if you transfer money on these cards, it will go to these accounts. You can then use these accounts when paying for a mortgage online. However, before you transfer money, make sure these cards can actually pay your mortgage rate because some of them have canceled that option. 

You Can Transfer Money to PayPal or the Cash App

Last but not least, you can transfer money from a credit card to a checking account using PayPal. But keep in mind that this will not lower your mortgage payments but increase them. As you know, you can link your PayPal account to your credit card directly, so all you have to do is to deposit money in your PayPal account and use that money to pay a mortgage. However, use this option only if it’s necessary because the fees will be pretty high.

You can also link your credit card to some cash app and send this money to a friend or family member and ask them to send you the money back to your checking account. Then you will be able to pay the mortgage. But you can imagine how many fees you will pay by making these transactions.

Man holding credit card

Should You Pay the Mortgage With a Credit Card?

As you can see, it is not impossible to pay your mortgage with a credit card (though indirectly,) but there is a reason why most lenders don’t allow this transaction. You will create more debt that will affect your credit score. Also, you will pay high fees no matter which option you decide to do. For example, to make transactions using cash apps or PayPal, you will pay around 3% for the fee, and a similar fee or even higher will be with other options as well.

On the other hand, when you make a mortgage loan agreement with the lender, you have committed to making monthly payments, and the late fees can be higher than those you will pay for using a credit card. So when deciding whether to use credit cards to make these payments make sure you calculate all the fees and pros and cons of both options. In the end, if you have to avoid late fees and foreclosure for a couple of months until you get on your feet again, using this option is acceptable. Just make sure, before you get into more debt, to consult a financial advisor.