Can I pay my credit card bill with rewards points?

Quick insights

Many rewards credit cards allow cardmembers to redeem points for travel or gift cards. But you also might be able to redeem your reward points for a statement credit or cash back to pay down a portion of your credit card balance. Your preferred choice may depend on your personal circumstances and your credit card’s reward earning structure.

Read on to learn about how you may be able to use reward points to help pay off part of your credit card balance.

Can reward points be used to pay my credit card bill?

For some credit cards, accumulated reward points can be used towards your next credit card payment. In some cases, redemption options include requesting your reward points as cash payment through a check or direct deposit, which you can then use to pay for your next credit card payment. In other cases, you may be able to redeem rewards for a statement credit on your account.

Keep in mind that statement credits can help reduce your balance but typically do not count as your required minimum payment. Understanding your card’s minimum payment amount and billing cycle may help you keep track of how much you’ll need to pay and when.

Evaluating reward point redemption options

In some cases, it may be helpful to prioritize redeeming reward points for statement credits so you can help lower your balance. However, it could be worth stepping back and evaluating the value of each redemption possibility depending on your credit card’s rewards structure.

For instance, your credit card issuer may offer you a higher redemption value toward travel than cash back or statement credits. If this is the case, you may get more out of your points by redeeming them for travel-related purchases. Reward-earning structures vary by card and issuer. Your preferred choice of reward redemption might depend on the amount of reward points you've accumulated, the overall size of your debt and your lifestyle.

In summary

Many credit cards allow cardmembers to earn reward points on purchases. Depending on the specific credit card, cardmembers may be able to redeem rewards for statement credits or cash back. The statement credit may appear on your credit card statement. In the case of cash back, you can choose to put the cash you earned toward your credit card bill. Note that statement credits put toward your card’s balance typically do not count toward the required minimum payment.