I think that what you are proposing to do is not even legal in Canada. Is it permitted in the USA? Using a short term loan vehicle (credit card) to make payments against a long term, asset backed loan... I can't imagine how/why any financial institution would allow that. Parties that receive CC payments pay a service fee for each transaction... that would factor into the cost of the mortgage.Evidently, if this were/is permitted, it would be a great mechanism to rack up points or cash back on the CC. If you pull this off, please share details; I'd love to rack up the cash back benefits!
George,I've set up the mortgage payment to be debited by the mortgage company directly from my checking account every month. You should be able to do so yourself from the mortgage company's website and select the appropriate payment options. That would take away the problem of having to remember to make the mortgage payment manually every month ... provided, of course, that you maintain a sufficient checking account balance. Even if it were possible to pay your mortgage with a credit card, you would most likely incur a hefty Cash Advance fee. And you'd incur credit card interest charges on top of it. So the cost of your 4% mortgage interest rate suddenly skyrockets to 20 - 25% ... yikes! So I advise against even thinking of doing so.
