If you’re not careful about choosing a reputable currency exchange, you might have your personal information, including your credit card number, stolen. Gregory Karp is a former NerdWallet writer and an expert in personal finance and credit cards. A journalist for more than 30 years, he has been a newspaper reporter and editor, authored two personal finance books and created the “Spending Smart” syndicated newspaper column. His awards include national recognition several times from the Society for Advancing Business Editing and Writing.
Swap one coin for another to diversify your assets. Spend crypto through the BitPay Card, buy gift cards or spend directly with BitPay merchants. Buy crypto with a credit card, debit card, Apple Pay or Google Pay. Delivered quickly to any wallet, no hidden fees or third-party custody. Fund your crypto account by inputting your credit card information and linking the card to your exchange account.
Pros and cons of using a credit card to buy cryptocurrency
Trust Wallet App is a multi-coin wallet, where you can store, pay & transfer Bitcoin. It works with many different blockchains, and is supported on Android and iOS Apple phones. Buy a minimum of $50 USD, and up to $20,000 USD, worth of Bitcoin with a credit card.
NerdWallet does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments. For security reasons, Kriptomat requires logging in for all transactions. Exchange one asset for another without leaving the app. Swap Bitcoin, Ethereum, Dogecoin and all of your favorite coins. Buy your favorite coins and watch your assets grow.
How to Pick the Best Credit Card for You: 4 Easy Steps
Here is a list of our partners and here’s how we make money. You will be redirected to your bank’s OTP Transaction Page. Follow the on-screen instructions to verify the payment. After one minute, Binance will recalculate the price and the amount of crypto you receive. Credit cards allow you to invest without having cash on hand. There’s no grace period, meaning interest charges start accruing immediately.
Cash advances, however, accrue interest from day one. While credit cards offer convenience and speed, they also come with unique risks. There’s a reason some creditors won’t let you buy cryptocurrency with their cards.
Who Lets You Buy Cryptocurrency With a Credit Card?
BitPay makes it easy to buy crypto with a credit card. Simply enter your credit card details as a payment method and complete the transaction as you would any other payment method. Even if you don’t have a credit card, you can still buy crypto with a debit card through BitPay.
The best way to avoid expensive transactions and reduce your risk is to continue educating yourself about how to safely invest in crypto. Each platform has a slightly different process for buying cryptocurrency with a credit card. Check with your specific credit card issuer to find out if it allows cardholders to purchase any type of cryptocurrency. After buying crypto, you can choose to hold, swap or spend your crypto. Hold and grow your assets in BitPay’s non-custodial wallet to gain a return on your crypto investment.
If your credit card has a Mastercard logo, for example, there’s a chance your purchase could be blocked. Credit card purchases of cryptocurrency often come with high fees. This can reduce the value in a good investment or minimize returns by a significant margin. Cardholders also face a high risk of burrowing themselves into deep debt that can be hard to climb out of. High APRs.There are several ways to purchase crypto, including with a debit card, a bank transfer, or through an online payment system like PayPal. In other words, it’s easy to avoid paying interest on your crypto purchase.
Because cryptocurrency can be a volatile, risky investment, taking on debt to make such an investment is ill-advised. Cryptocurrency exchanges charge a small fee for credit or debit card transactions. This is usually higher than other popular payment methods like bank transfers. At Binance, we charge one of the lowest fees of up to around 2%. Any additional fees will come from the bank and credit card provider’s side.
Prior to joining NerdWallet, Erin worked on dozens of newsletters and magazines in the areas of investing, health, business and travel with Agora Publishing. Her love of travel led to a passion for credit card and loyalty rewards to subsidize trips, and she thrives on teaching others how to harness the power of credit card rewards. When she’s not writing or editing, Erin is planning her next adventure for her family of four using points and miles. Please note that you can only pay with your own credit cards. Many users prefer credit cards for a variety of reasons.
Pay with credit card, debit card, Apple Pay or Google Pay. In a roundabout way, these products could be a method of using a credit card to earn Bitcoin. Foreign exchange fee if your credit card charges one. This is a one-time fee charged when you take your advance, usually 3% to 5% of the amount. For example, if you take out a $200 cash advance, a fee of $6 to $10 will be tacked on to your account balance.
If you use a credit card, however, you elect to attach interest charges to your purchase. If the exchange allows credit card purchases, using your card could be just as convenient as any other payment method. According to Binance, it takes the same amount of time—only a few seconds—to complete a purchase with either a credit card or debit card. Through Coinbase, transactions made with debit cards or U.S. dollars are both processed instantly.
How To Buy Cryptocurrency Using a Credit Card
Bitcoin had a 300% return in 2020, outperforming many popular investment vehicles. Crypto can also be used in place of traditional currency for goods and services. Thousands of companies accept cryptocurrency, with that number consistently growing year over year.
Before making a purchase, it’s a good idea to call the number on the back of your card and ask. Using a credit card to buy crypto can be very expensive because the transaction is often considered a cash advance. Erin is a credit card and travel rewards expert at NerdWallet. She has spent nearly two decades showing readers unique ways to maximize their investments and personal finances.