Can You Pay Your Mortgage with Credit?

December 1, 2023

New homeowners often wonder about the various ways to pay their monthly mortgage bills. While each loan servicer has their own accepted payment methods, most mortgage companies will not accept payment through credit cards for various reasons. However, there are plenty of other ways to pay your mortgage bills that are convenient and cost-effective.

Keep reading to find out more about paying your mortgage through credit and the other ways you can make your monthly mortgage payment on time with your mortgage company.

Can You Pay Your Mortgage with Credit?

As we mentioned, there are several reasons why mortgage companies don’t accept credit cards as a payment method.

First are the transaction fees. Merchants who accept credit card payments are charged a 1% to 3% processing fee for each transaction, which would result in hefty fees for the mortgage company given the high transaction amounts for mortgage payments.

Additionally, the risk of default and chargebacks is another concern for mortgage companies. Borrowers with high credit card debt are more likely to default on their payments and run the risk of bankruptcy, which would result in significant losses for mortgage servicers.

The last reason mortgage companies don’t accept credit cards is because of the payment processing time for credit card transactions. Other methods of payment like direct bank transfers and checks are more efficient and help mortgage companies manage their cash flow more effectively.

Common Ways to Pay Mortgage Bills

While your mortgage company may not accept credit cards, there are other ways you can pay your mortgage.

Direct Debit

A direct debit is an automated electronic funds transfer (ETF) that allows your mortgage lender to withdraw your monthly mortgage payment directly from your bank account on a specified date. 

Mortgage companies typically have an online portal for borrowers to connect their bank accounts and choose a date each month for payment.

Online Bill Pay

For borrowers who don’t want automated payments, mortgage companies typically have online bill pay options. Borrowers can specify how much they’d like to pay each month and choose a payment method that is most convenient.

After mortgage approval and successful closing, your lender will send details about creating an online account to set up online bill pay. Make sure to follow their instructions and reach out to their support team if you’re having any issues.


Paying your mortgage with checks or money orders are less common, but are still options for many mortgage companies. Just like any check, you’ll fill in the mortgage company as the payee and the correct amount for your monthly mortgage.

It may take several days for the check to be received and processed by the mortgage company, so it’s important to send your check well in advance of the due date to avoid any late payment fees.

Final Thoughts

While most mortgage companies don’t accept credit cards, there are plenty of other ways you can make your payment that are fast and cost-effective. Be sure to reach out to your specific company to verify all the payment methods they accept for monthly payments.

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