Person holding a credit card and utility bill sits at a desk with a calculator and a notebook.

The Best Credit Card to Pay Utility Bills for You

5 min read

Last Updated: February 4, 2026

Table of contents

Key Takeaways

You may be able to earn cash back or miles when you use a rewards credit card to pay your utility bills.
Some utility companies charge a processing fee for credit card payments, so it’s vital to make sure your rewards offset the cost.
The best credit card for utilities may allow you to earn rewards on other everyday expenses.

Many people use their checking account to pay for utilities each month, but some providers may accept credit card payments, too. Using a credit card for steady, recurring costs like your utilities, may help you earn rewards without overspending or racking up interest, as long as you manage your credit responsibly. With the right credit card, you may keep track of your utility payments on your monthly statement and earn rewards to help you cover everyday expenses.

How to pay utility bills with a credit card

Your credit card might help you cover a wide range of your regular household expenses, including utilities.

Some providers of public utilities, like gas, water, electricity, and recycling, allow credit card payments for an extra processing fee. If your utility provider charges a processing fee, you might consider paying with a no-annual-fee credit card.

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Other types of recurring household costs, like cell phone service, internet, cable, and streaming services, usually accept credit card payments. However, you typically can’t use credit to repay existing debts, like student loans, personal loans, mortgages, or car payments.

To determine whether you can pay a specific bill with credit, contact the service provider directly. You might be able to set up credit card utility bill payment on the company’s website, or by speaking with customer service over the phone or in person.

If you set up automatic payments on your card, keep a close eye on your available credit—you don’t want an automatic payment to exceed your credit limit. This can be especially important when you pay your electricity bill with a credit card, as the amount you owe can fluctuate with your electricity usage. For example, your electricity bill may be higher in July than in October if you rely on electricity for air conditioning in the summer.

What to consider before using a credit card to pay utilities

While using a credit card to pay for utility bills can be a convenient option that helps you earn rewards, you should keep some considerations in mind before switching payment methods.

Credit score impact: Utility payments that you make with a debit card or check typically don’t appear on your credit report, so they don’t build your credit history. But using a credit card for your monthly bill may help you build a consistent payment history, which is essential for a strong credit score.
Credit utilization: Using your card for expensive utility bills may increase your credit utilization ratio, the portion of your available credit in use at one time. High credit utilization may have a negative effect on your credit score.
Interest: Interest charges may cause you to spend more on utilities. Any monthly balance you carry on your credit card may accrue interest. To avoid spending extra on your utilities, it’s best to repay your balance in full each month.
Rewards: If you pay for your utilities with a rewards credit card, you may be able to earn cash back or miles. Some credit cards may offer new cardmembers additional rewards if they spend a certain amount by a set date. Utility payments may help you meet that minimum requirement.
Automatic payments: You may be able to set up automatic payments by linking your credit card (or debit card) to your account. Automatic payments might make staying on top of your bills easier and help you avoid late fees.
Processing fees: Some utility providers may charge you an additional processing fee when you pay your bills with a credit card or debit card. You might want to make sure the credit card rewards you earn on your monthly bill offset the additional cost.

Best credit cards for utility bills

The best credit card for utilities should offer enough rewards and benefits to offset any potential service fees. The right fit for you depends on your priorities and spending habits.

You may want to use a credit card for utilities that also helps you earn bonus rewards on another necessary expense—gas. If you use a gas rewards card to fill up your tank and cover your utility bills, you may increase your cash back.

Did you know?

With the Discover it^® Chrome Gas & Restaurant card, you earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, automatically. You'll still earn unlimited 1% cash back on all other purchases.¹

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If you use a travel credit card for your utilities, your monthly bills may help you work toward a family vacation or luxurious getaway. With the Discover it^® Miles Credit Card, you earn 1.5x Miles on every dollar of every purchase.² Easily redeem Miles as a statement credit for travel purchases or get cash.² A flat rate card like the Miles Card might also be a good choice if you only plan to use your credit card for your monthly bills.

If you want to use your card for a variety of purchases in addition to your utilities, you may consider a credit card with rotating bonus categories. For example, with the Discover it^® Cash Back Credit Card, you earn 5% cash back on everyday purchases at different places you shop each quarter, up to the quarterly maximum when you activate.

If your other everyday spending lines up with the higher-earning categories, you might get a lot of rewards.

The bottom line

For most people, monthly bills are inevitable. A rewards credit card could help you turn these necessary expenses into cash back to spend as you choose.

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