Can you pay a credit card from a different bank account?

Paying Credit Cards from External Bank Accounts

It is possible to make credit card payments using funds from bank accounts held at a different financial institution than the one that issued the credit card. While this flexibility is convenient, it's important to consider the available options and potential fees associated with each method.

BPAY and Biller Codes

One common way to pay credit cards from external accounts is through BPAY, a popular payment system in Australia. BPAY allows you to make payments using your bank's online or mobile banking service. To use BPAY, you'll need to know the biller code for your credit card, which can typically be found on your credit card statement or on the issuer's website.

Pros:

• Convenient and simple to use
• Can be scheduled for automatic payments

Cons:

• May incur fees, typically ranging from $0.50 to $2 per transaction

Bank-to-Bank Transfers

Another option is to make a direct bank-to-bank transfer from your external account to your credit card account. This can be done through online or mobile banking.

Pros:

• No transaction fees
• Fast and secure

Cons:

• May require manual setup
• Can take several business days for the payment to be reflected

EFTPOS at Bank Branches

Some banks allow customers to make credit card payments using EFTPOS at their branches. This involves inserting your credit card into an EFTPOS terminal and entering the amount you wish to pay.

Pros:

• Quick and easy
• No transaction fees if using your own bank's branch

Cons:

• May not be available at all bank branches
• Requires visiting a branch in person

Choosing the Best Option

The most economical option for paying a credit card from an external bank account depends on the available methods and fees charged by your bank and the credit card issuer. If you're frequently making payments, BPAY or automatic bank-to-bank transfers may be the most cost-effective. Otherwise, EFTPOS payments or bank-to-bank transfers with no fees can be a good choice for occasional transactions.