With the help of the online bill-paying service Plastiq, you can pay almost all of your bills with a credit card. Reaching spend goals for new credit card signup bonuses can be done very well using this method. Plastiq, in contrast to some comparable services, is not constrained to billers in their database. Plastiq can be used to pay nearly any business. Payees not in their database are paid by check.
At first, Plastiq had a single set of regulations governing the kinds of payments that were permitted. But soon, banks and payment networks established their own particular regulations, which Plastiq was compelled to adhere to. It is now very difficult to determine which cards can be used for which purpose. The above is my attempt to summarize the rules. Visit the following pages on Plastiq’s website for more detailed rules:
Alliant, Navy Federal Credit Union, and USAA Visa credit cards are reportedly exempt from earning rewards for Plastiq payments.
*Paying friends or family is not permitted unless those people actually render billable services. If your uncle is your landlord, for instance, you could pay him through Plastiq.
I wouldn’t advise using Plastiq to pay bills that can already be paid by credit card without incurring fees because Plastiq charges a fee for credit card payments. However, there are a number of reasons to think about Plastiq for those bills that cannot currently be paid by credit card:
Bill payment charges, in my opinion, are proper business expenses that lower your company’s taxable profits. Therefore, after taxes, the net cost to your business will be lower than Plastiq’s fee. Note: Since I’m not a professional accountant, you shouldn’t regard this as advice.
Be aware that there are other, lower-fee methods of paying federal taxes with credit and debit cards. See: Detailed guide for using a credit card, debit card, or gift card to pay taxes.
To make a payment, you may use this official links below:
Plastiq facilitates one-time or recurring payments for bills such as rent, mortgage, utilities, day care, homeowners association fees and other
What Is Plastiq and How Does It Work?
Plastiq is an online bill payment service that lets you pay almost all of your bills by credit card. This can be a great way to reach spend
Plastiq: The basics
For bills like rent, mortgage, utilities, daycare, homeowners association dues, and other expenses, Plastiq enables one-time or recurring payments. You add a debit or credit card to your Plastiq account and charge it for the amount of the bill. Plastiq then pays the business on your behalf using an ACH, wire transfer, or traditional paper check that the vendor accepts. (Checks, for example, are read to the vendor as being from you and not Plastiq. The recipient can accept payments without having a Plastiq account.
Plastiq generally charges a 2. 9% fee for credit and debit cards. Terms apply. The service is compatible with:
However, some credit cards have restrictions on the types of bills you can pay via Plastiq. For example, Visa and American Express cannot be used to make mortgage payments through the bill pay service. See Plastiqs list of such exceptions here.
Additionally, it’s unclear what effects Chase’s recently updated and expanded definition of “cash-like transactions” will have on transactions processed with a Chase card through Plastiq.
Create a free Plastiq account first, then enter the details of your debit or credit card. You may add numerous cards and decide which one to use as your default.
Additionally, you must add recipients, along with vendor name and country. Your account will save this information for later use.
Choose the recipient, the debt, the preferred payment method (ACH, wire transfer, or check), and the day you want the money to arrive to send a payment. Additionally, you might need specific information about the bill you’re paying, such as the loan number for a mortgage or the unit number for rent on an apartment. You can add more details in the “memo” section.
You can either set them up to repeat automatically or make a one-time payment. You might have to mail the payment earlier than usual if the recipient only accepts checks. According to Plastiq’s website, checks typically arrive in eight days, so allow extra time to avoid paying late.
Prior to completing your transaction, Plastiq gives a breakdown of fees in terms of dollars and a percentage rate on the payment review screen. You will receive numerous email confirmations from Plastiq once you instruct it to send the payment, including a confirmation of the initial transaction, a notice when a check is physically mailed to the vendor for the payment, and a message once the recipient cashes it. (Plastiq will let you know if, for any reason, your payment cannot be processed. ).
There’s a chance that some credit cards won’t work with external bill payment services. Read the terms and conditions of your card before using one, or inquire with the issuer regarding the processing of the payment. Instead of being viewed as a purchase, it could be a cash advance. Plastiq claims that before payments are processed as cash advances, it notifies customers and blocks them.
Plastiq’s ability to charge a debit card is only occasionally useful. Youll get hit with the 2. 9%%20processing%20fee,%20which%20youd%20otherwise%20avoid%20by%20simply%20writing%20your%20own%20personal%20check%20to%20the%20vendor %20(Plastiq%20used%20to%20charge%20only%201%%20for%20debit%20cards,%20but%20it%20raised%20the%20fee%20to%20match%20that%20on%20credit%20cards%20in%20March%202022 ).
But if you don’t want to travel to the post office, buy stamps, or order personal checks, etc. , then Plastiq does cut those corners for you. However, be cautious to only use the service if it won’t put your account in danger of being overdrawn.
Credit cards are a much more interesting use case because Plastiq enables you to make payments even if you don’t actually have the cash on hand. And this method of floating the money on your credit card may be less expensive than other options like cash advances.
But its certainly not without cost or risk. For starters, the 2. 9%%20processing%20fee%20may%20not%20sound%20like%20much,%20but%20if%20youre%20using%20Plastiq%20to%20cut%20a%20$2,000%20rent%20check,%20it%20adds%20$58%20to%20your%20final%20total %20Using%20a%20rewards%20card%20that%20earns,%20say,%202%%20back%20on%20every%20purchase%20can%20reduce%20that%20fee,%20but%20youll%20be%20hard-pressed%20to%20dodge%20it%20entirely%20unless%20you%20are%20collecting%20a%20sign-up%20bonus%20via%20the%20spending
You can buy some time with your credit card’s grace period to avoid paying interest. The period of time between the end of your billing cycle and the due date for your payment is known as a grace period. Grace periods don’t apply to cash advances made with credit cards, but they might if you use a service like Plastiq. However, keep in mind that your card issuer will void your grace period if you carry a balance.
In short, Plastiq is a service best used strategically. It can assist you in keeping cash reserves if you require them in the near future, and it is relatively affordable in comparison to some other options for quick cash.
However, once revolving credit card interest starts to accrue, using it to pay bills you can’t afford in the first place will be expensive and unsustainable.
Writer Melissa Lambarena works for NerdWallet and specializes in credit cards. The Associated Press, New York Times, Washington Post, and USA Today have all featured her work. Read more.
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How do I pay bills with Plastiq?
Plastiq: The fundamentals After adding a debit or credit card to your account and charging it the appropriate amount, Plastiq pays the vendor on your behalf using one of the following methods: ACH, wire transfer, or a traditional paper check.
Can you use Plastiq to pay a credit card bill?
Unfortunately, because credit card payments are considered “debt products,” Plastiq cannot be used to make such payments. Despite the fact that a mortgage is technically a debt product, Plastiq makes an exception by enabling credit card payment.
How much does Plastiq charge per transaction?
A small fee is charged by Plastiq for the service, calculated as a percentage of the total payment. The fee for each card is: MasterCard 2. 5%, Visa 2. 5%, American Express 2. 5%. Your credit card statement will show two charges for each transaction: the principal payment and the fee.
Can I use Plastiq to pay a person?
Select “bills” and then “manually pay a bill” while in “pay” mode. “Their payment information is already stored on our system if your recipient is listed in Plastiq’s database. If not, you’ll need to add it. No Plastiq account or payment is necessary for your recipient to receive payment.