Rental Property Investor · Tampa, FL · Member since 2018 · 251 posts · 124 votes
The GC handling my rehab doesn't take credit cards. He said he is old school. But I want to get in the travel rewards game so I would prefer to use credit cards. GC mentioned he will need to get set up since I'm not the only one asking. Can anyone recommend a contractor friendly third party he can use for processing cc? I'm about to drop $40,000 with him and I want to travel.
Meantime I'm asking that I buy all materials he will get and he credits me in the draw schedule.
We take CC and either use Square or Wepay via Buildertrend. Most credit cards have a 3% transaction fee (which we charge the client for), or more if you're using Amex.
The GC handling my rehab doesn't take credit cards. He said he is old school. But I want to get in the travel rewards game so I would prefer to use credit cards. GC mentioned he will need to get set up since I'm not the only one asking. Can anyone recommend a contractor friendly third party he can use for processing cc? I'm about to drop $40,000 with him and I want to travel.
Meantime I'm asking that I buy all materials he will get and he credits me in the draw schedule.
30% draw
30% draw minus materials
30% draw minus materials
10% draw minus materials
Amy other advise?
You can certainly plan on getting points for materials, but you aren't going to come out ahead charging contractor labor on credit cards. Every contractor who takes credit cards is going to add the 3% fee which will more than offset the value of the points you are getting (usually 1 to 2%). They aren't dumb. They aren't going to let you stick them with that CC processing fee so you can travel.