Convenience fees for online or card payments are common
A growing number of landlords and property managers use an online portal for rent, and many charge a separate convenience fee — often a flat amount for a bank transfer, or a percentage for a debit or credit card — on top of your rent. There's no general federal law that bans a landlord from charging this kind of fee, or that caps how much it can be.
The FTC's actual Junk Fees Rule, finalized in December 2024, does not cover this. That rule requires businesses to show the true, all-in price up front, but it only applies to live-event tickets and short-term lodging like hotels and vacation rentals. It doesn't reach long-term apartment or house rentals, so it doesn't directly regulate a rent-payment convenience fee.
Part of why these fees exist at all: card networks and payment processors charge the business accepting the payment a percentage of each transaction, and some landlords pass that cost on to you rather than absorbing it. A bank-transfer fee is usually smaller because it doesn't involve a card network at all, which is why portals often price it lower than a card payment, or waive it entirely.
A separate, broader FTC review is looking at exactly this
Separately, in March 2026 the FTC opened a preliminary inquiry specifically into rental housing fees, and it explicitly listed payment processing fees and convenience fees among the charges it's asking landlords, tenants, and the public about. That inquiry hasn't produced a rule — it's a request for comments, and as of when this was last checked, the FTC hadn't published a proposed or final rule from it. It's worth checking ftc.gov for updates if this matters to you.
California requires at least one no-fee option
If you rent in California, state law is specific: your landlord must let you pay rent and your security deposit using at least one method that is neither cash nor an electronic funds transfer — in practice, usually a paper check, cashier's check, or money order — and your landlord cannot charge you any fee for paying by check. A landlord can require cash-only payment temporarily, for up to three months with written notice, only after you've bounced a check or stopped payment on one. This right can't be waived, even if your lease says otherwise.
Other states may or may not have a similar rule; check your own state's requirements before assuming California's rule applies to you. A lease clause that says otherwise doesn't override a protection your state actually grants you — the statute itself, not the lease, is what controls.
A concrete example
Say your rent is $1,500 and your landlord's portal charges 3% for a debit or credit card, or a flat $5 for a bank transfer. Paying by card would cost you an extra $45 a month — over a year, that's $540 just in convenience fees on top of $18,000 in rent. Nothing about that specific structure is illegal on its own in a state with no fee statute; it's the kind of fee schedule you'd want to know about before you sign, not discover on your first bill. If a flat, no-fee bank-transfer option genuinely exists, using it instead of a card avoids the charge entirely.
What to do if the fee bothers you
- Ask whether there's a fee-free way to pay — mailing a check, paying in person, or an ACH option some portals don't charge for.
- Read your lease for any language about payment methods and fees; if the fee isn't disclosed there, ask where it comes from.
- If you're in a state that requires a no-fee option and you aren't being offered one, raise that in writing before you assume you have to pay.
- Keep a receipt or portal confirmation every time you pay, regardless of method — it's your proof if a payment dispute ever comes up.
See can my landlord make me pay rent only online, or only in cash for the related question of whether a landlord can force you into a specific payment method at all.
Honestkey™ flags payment-method and fee clauses when it reviews your lease, so you know up front what you're actually agreeing to pay beyond rent.