Plastiq Policy Change: These Credit Cards Will No Longer Work for Mortgage Payments

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Plastiq Policy Change:  These Credit Cards Will No Longer Work for Mortgage Payments

Million Mile SecretsPlastiq Policy Change:  These Credit Cards Will No Longer Work for Mortgage PaymentsMillion Mile Secrets Team

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Bad news for many folks using Plastiq to meet minimum spending requirements and earn extra rewards!

Via Miles to Memories, you can no longer use Visa credit cards for mortgage payments through Plastiq.  But other credit cards, like American Express, MasterCard, and Discover still work.

Plastiq Visa Mortgage Payments
You’ll Need to Use a Credit Card Other Than Visa to Pay Your Mortgage Through Plastiq

 

I’ll tell you what we know!

Plastiq Visa Mortgage Payments

Link:   Plastiq

Plastiq is a service that allows you to pay any bill (businesses or individuals) with a credit card.  Including bills that do NOT accept credit cards, like mortgages, rent, and car payments!  You can read my review of Plastiq here.

Folks like Plastiq because it can be a good way to meet minimum spending requirements.  But Plastiq usually charges a 2.5% fee for their services, so it’s NOT usually a good idea to use Plastiq JUST to earn credit card rewards.

However, lots of folks on Reddit are reporting that you can no longer use Visa credit cards for mortgage payments!  And Frequent Miler has confirmed it to be true.  That’s too bad, because Visa cards include some of the most valuable credit card programs, like Chase Ultimate Rewards.

Plastiq Visa Mortgage Payments
Chase Ultimate Rewards Has Terrific Airline and Hotel Partners, Like United Airlines and Hyatt

According to Miles to Memories:

VISA has just informed Plastiq that use of a VISA card for mortgage will no longer be supported via Plastiq and will not process going forward.  I’m very sorry for this.  Only use of another card type such as MasterCard, Amex, Discover or even VISA debit will allow your future mortgage payments to process using Plastiq.  We are complying with recent directives from VISA regarding not allowing mortgage payments via use of a VISA card with Plastiq.

If you have repeating payments, your Visa cards should continue to work as long as you do NOT change the credit cards.

The good news is that all other credit cards (like AMEX, MasterCard, and Discover) still work for mortgage payments.  So if you want to pay your mortgage through Plastiq with a credit card, there are still plenty of options, like the Starwood Preferred Guest® Credit Card from American Express, or the Citi Prestige Card.

As always, there’s a chance something can go wrong on Plastiq‘s end, so pay in advance to be sure your payments are received on time.  A few extra points is NOT worth a late fee!

Note:   There is another service similar to Plastiq called Tio (previously called ChargeSmart), which still allows you to pay a mortgage with a Visa credit card.

Bottom Line

You can no longer use Visa credit cards to pay your mortgage through Plastiq.  But you CAN still use other credit cards, like AMEX, MasterCard, and Discover.

If you want to pay your mortgage with a Visa credit card, you can still use Tio, a service similar to Plastiq.

Will you continue to use Plastiq to pay your mortgage despite this change?

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Unfortunately, Plastiq no longer accepts American express either to pay mortgages. I have yet to find an Master Card that gives better than 1 pt/dollar, which means it’s not worth it (as far as I can tell).

2% cashback with paypal cashback mastercard. features suck, but I’ve found work-arounds.

I’ve only seen Mortgage payments be effected…Anyone hear about say Rent or Car Notes being effected?

I only use it for minimum spend requirements since the 2.5% fee tends to overshadow the actual points return (other than the short period when some CSR payments to lenders were coding as travel and getting 3 points).

But this change likely will make me think carefully about which VISA cards I sign up for moving forward and pay even more attention to the spend requirements. I can usually get the minimum spend on personal cards met easily by doing 2-3 mortgage payments through Plastiq, but now with this change, I’ll at least have to look more in depth at the minimum spending requirements before signing up for VISA cards to make sure that I won’t have to go too far out of my way to meet the spend.

And it may make applying for multiple cards at the same time a bit trickier (again depending on the spend requirements and ) since Plastiq will be out for mortgage payments on VISA and that was an easy way to get big chunks of spending done in a short period to time.

I’m done with Plastiq. At 2.5% it made sense paying with my CSR because I’d still make a little money. None of my other cards, MC, AMEX or Discover code at 3X so it makes no sense. I have a feeling this is really going to hurt Plastiq, possibly fatally.

Nice heads up on Tio, was not aware of them. Looks like they will do nicely as a Plastiq replacement…. hopefully VISA doesn’t cut them off as well.

Do we know yet if Plastiq can still process other payments using VISA, such as auto payments or payments to a contractor?

Update: March 22, 2018 @ 4:00pm ET

TIO Networks Provides Second Update on Suspension of Operations

After careful consideration, PayPal has decided to not restore TIO’s services and will wind down TIO’s business accordingly. We thank you for your patience as we made this difficult decision. We apologize for the inconvenience the discontinuation of services has caused our billing partners, retailers, agents, and their customers – and we appreciate your partnership and support for the past 20 years.

As previously announced, the PayPal platform is not impacted in any way and PayPal’s customers’ data remains secure. PayPal remains committed to our mission to democratize financial services and provide secure, convenient and affordable ways to move and manage money to those who are underserved by the financial system.

If you are a TIO biller, retailer or agent and have any questions or would like to speak to someone about this situation, please feel free to contact the TIO call center at (866) 710-0846.

If you are an affected customer that received a notice about the TIO security incident, and have any questions, you can still reach out to the Experian call center Monday to Friday 6:00 AM – 6:00 PM PT, and Saturday and Sunday 8:00 AM to 5:00 PM PT at (855) 272-6796 (toll-free) for domestic callers or (479) 788-5000 (toll) for international callers.