Bilt just moved the goalposts in credit card rewards. The company launched Bilt Card 2.0 today, and it now pays points on the biggest bill in America, rent and mortgage payments. That is a direct play for the core of household budgets, and it puts every issuer on notice.
What Bilt Card 2.0 changes
Bilt built a brand on rent rewards. Version 2.0 widens the lane to include mortgage payments. That shifts rewards from dining and travel to housing, the cost center that matters most.
Here is the punchline. If renters and homeowners can earn points on their largest monthly payment, card loyalty can change fast. Bilt is betting that points on housing will steal share from premium travel cards and cash back leaders. It is also betting consumers will move their rent and mortgage flows onto its rails, then keep swiping for everything else.
The appeal is obvious. Households can now earn on thousands of dollars they could not easily monetize before. That creates a new savings stream, if the terms make sense.
Run the math on your own budget. Points on housing should not come with higher fees that wipe out the value.
The market impact
This move hits the industry where it hurts and helps. Card networks could see higher total volume, since housing is a massive spend category. Issuers, on the other hand, face pressure. Rewards costs rise if they match Bilt. Interest income could fall if rate caps spread. Interchange negotiations with landlords and servicers become more complex.
For airlines and hotels, this is a gift. More points into the ecosystem can mean more redemptions and more co-brand demand. For real estate tech and mortgage servicers, expect new partnership talk. Rewards can be a sticky hook for on-time payments, a lower churn rate, and cross-selling.
The risk sits in unit economics. Paying rewards on rent and mortgages is costly. Bilt needs volume, breakage, and partner funding to make the math work. It also needs strong fraud controls, since bill-pay rails have different risk patterns than point-of-sale swipes.
The 10 percent cap, and the politics behind it
Bilt says the new cards carry a maximum 10 percent interest rate. That is a stunning line in the sand, since average card rates hover around the low 20s today. The cap is more than a marketing hook. It lands inside a live political fight over credit card interest and fees.
Calls for a nationwide 10 percent ceiling have grown louder in recent weeks, including from former President Donald Trump. By planting a 10 percent flag, Bilt aligns with that message and dares big banks to follow. If consumers respond, pricing pressure could spread, fast.
For banks, a 10 percent ceiling compresses interest margins. That hits returns, especially on revolvers. Issuers could pull back on credit, tighten underwriting, or trim rewards. For fintechs, it opens a wedge. If they can fund cheaply, they can move faster and win share on price and perks.
The 10 percent cap applies to the card’s interest rate. It does not automatically remove fees tied to certain payment methods or services.
Winners and losers to watch
- Card networks, volume tailwinds if rent and mortgage spend moves to cards
- Airline and hotel loyalty, stronger demand for transfer partners and redemptions
- Mortgage servicers and proptech, new fee and partnership revenue from integrated bill pay
- Big issuers, margin pressure if rate caps and richer rewards spread to mass market
What smart money should track next
First, adoption and engagement. Watch app downloads, active users, and total housing dollars processed. If Bilt shows scale with low churn, rivals will copy. Second, partner depth. Landlord networks, mortgage servicers, and loyalty partners will decide reach and economics. Third, funding costs. A 10 percent rate cap only works if capital is cheap and losses are low. Underwriting discipline matters more than ever.
Fourth, regulatory and policy heat. If a private cap wins headlines and customers, lawmakers may push harder for industry-wide limits. That could reprice risk across credit card portfolios. It could also boost installment lending and debit routing in response.
Finally, redemption pressure. More points chasing limited award seats and hotel nights can devalue miles. That could force loyalty programs to adjust transfer ratios or inventory. Investors in travel loyalty should model that downside, even as volumes rise.
Some landlords and servicers may charge processing fees. A fee of even 2 to 3 percent can erase most point value. Read every line before you switch.
The bottom line
Bilt did not just add a perk. It pointed rewards at rent and mortgages, the heart of consumer wallets, and put a 10 percent ceiling on card interest. That combination challenges the old credit card playbook, invites a policy fight, and could tilt market share toward whoever funds cheapest and partners widest. If the economics hold, this is a new chapter in how Americans pay for housing, and how the card industry prices risk. Investors should prepare for copycats, tighter spreads, and faster change than the market expects.
