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Plastiq Review

Plastiq Review

Our Plastiq review considers exactly why somebody may want a Plastiq card. Plastiq allows you to pay bills with a credit card. There are some bills that you cannot pay with a credit card, and in the old days that would mean you have to find another payment method. However, Plastiq allows you to pay those types of bills with a credit card. Even if bill or purchase may be paid by credit card, you may still use your Plastiq account to pay. Plastiq charge you a fee that is typically around 2.5% for each bill payment you make or each purchase you make.

There is a personal service and a service for businesses. This Plastiq review covers only the use of their VISA card for personal use. You are not allowed to pay your friends with this card or service. It is not like an online wallet or a secured card. Your Plastiq card will not allow you to pay friends or transfer money from your credit card to other people, nor will it allow you to hold a balance in your Plastiq account. You can pay for goods, services, and even your taxes with your card.

Why Does Plastiq Exist?

Many businesses will accept credit cards despite the fact that the businesses have to pay fees for accepting them. Some businesses charge the user the credit card fee, and others absorb the fees. Some businesses do not accept credit cards, and Plastiq allows you to buy from them or pay them with a credit card. Plus, some places have no incentive to allow credit cards, such as schools and government agencies because they do not need to attract customers and they do not have to care about customer service because they know people have to come to them anyway.

What Can’t You Do?

As mentioned earlier, you cannot send money to your friends and you cannot hold a balance in your Plastiq account. You may pay most of your bills, but you are not allowed to pay your mortgage with this payment service.

Cannot Pay Your Credit Card Bills

You are not allowed to pay your credit card bills with this payment system, and you are not able to pay most types of loans with this system either. There are some types of loans you are able to pay, but we couldn’t figure out what makes one loan eligible for payment with Plastiq and what doesn’t.

You Cannot Pay Into Your 401K

You are not allowed to pay into retirement funds, and you are not able to pay directly into savings accounts. If your savings account is linked with another account, then you can do what we did and pay your money through Plastiq into one account and then transfer that money over to your saving account.

You Cannot Send Money Outside Of The Country

You are not allowed to send money outside of your own country. The Plastiq card and service is only available to people in the USA or people in Canada, which means you cannot use this service to send money outside of the USA or outside of Canada. Though this is true, we have used this service to pay for goods and services that come from overseas.

You Cannot Do As Much With American Express

Apart from the restrictions we laid out above (in this section), there are extra restrictions if you link your American Express card to your Plastiq account. When you pay with your Plastiq card, if you are using your linked American Express credit card, then there are a few things you are not allowed to buy, rent or put money into. You will have to read the terms and conditions that Plastiq offers before you make any purchases or payments using your American Express card with Plastiq.

You Shouldn’t Take it Abroad

This card is not the sort of card you should take abroad because it is mostly useless when you take it abroad and any place where it does work will charge you a bunch of ugly fees.

Notable Points

If you send out a payment, you may also add a memo. This is handy if the seller requests information when you order, such as if they should knock or use your doorbell when they deliver.

Paying with Plastiq isn’t the fastest method of paying. In fact, many other methods such as PayPal, Transferwise, and even Mastercard, will transact more quickly. However, compared to something such as a check, paying with the Plastiq service is much faster.

Your recipient can see that you have paid into his or her account in the morning after you make your payment. However, it will take around a week for the ACH payment to move the money from your account into the seller’s account, but this is still less time than it takes a check.

This payment service doesn’t send out any 1099’s or other tax forms. You have to think of your payment as an e-check or a paper check. There is nothing for your recipient to worry about because VISA is in control of the actual money movement.

You are able to schedule your payments if you wish. Just like with your bank account, you are able to set up monthly recurring payments, and you may set up a single payment to be sent out at some point in the future.

Federal tax payments and some bill payments are paid by paper check. For some reason, if you pay with your Plastiq card, there are some businesses that will be issued a paper check by the Plastiq company. This is also true for some newer businesses.

If a recipient is sent a paper check, then the check must be cashed within 30 days. The check is still valid after 30 days, but Plastiq is not legally required to honor it if the check is not cashed within 30 days after being sent.

It Will Not Allow You To Pay Your Mortgage

The website used to say that you can and should pay your mortgage with Plastiq, but Plastiq will no longer allow you to pay your mortgage with your Plastiq card.

VISA doesn’t allow people to use their Plastiq VISA card to pay their mortgages, and VISA has issued no public reason why. However, we noticed that the change happened when VISA started coding our transactions differently. For example, when you put money into an online gambling account from your credit card, then it is coded as a “Cash Advance” and if you buy cheese at WalMart, then it is coded as a “Purchase.” VISA started coding our mortgage payments as “Travel”

Is Plastiq Unique?

Plastiq is not unique because you can pay with credit cards using PayPal, and you can do it for free. The only charges you pay are cash-advance charges on your credit card. So, why opt for Plastiq if PayPal does it cheaper and for free?

The first and most obvious reason is that if the company you are trying to pay doesn’t accept PayPal, then Plastiq is a fine alternative option. Secondly, there are some payments that PayPal will not touch. For example, many bitcoin exchanges stopped accepting PayPal in the year 2017 because of the charge-back scams. However a great many bitcoin exchanges will let you pay for your bitcoin and will allow you to fund your account with a debit/bank/VISA card.

What Are The Plastiq Fees?

The fees vary from payment to payment, but they are usually 2.5% or less. These do not include any further fees that your credit card company may also charge you. The fee is simply for the transaction. This means that if you are paying a company that accepts credit cards, you should weigh up the cost of paying with your credit card and the cost of paying with Plastiq to see which is cheaper.

Use a debit card to pay, and it costs you 1%. Use a gift card to pay, and it costs you 2.5% in fees. This means that if you pay with Plastiq using a credit card or gift card, and you buy something for $90, with $10 shipping, then it will cost you a total $102.50.

Which Cards Are Supported?

Just like with PayPal or Skrill, you have to add your credit card to your account in order to use it to pay for things online and offline. You will be asked to validate the cards in some way or another when you add them. There are restrictions on use, but the types of credit card you may use with Plastiq are:

  • MasterCard®
  • American Express®
  • Visa®
  • Discover®
  • JCB®
  • Diners Club®

When you receive your card, you will see it is a VISA card. It sounds weird, but you are able to link your other VISA credit cards to your account. That is why “Visa” is present in the list above.

Screw The Referral Program

I have seen so many Plastiq reviews tout the merits and perks of Plastiq’s “Fantastic” referral program, but it isn’t a genuine selling point in this case. Firstly, people should judge this type of product on its true merits rather than how much you get for selling it to other people. Secondly, if you are selling anything related to credit cards to people you know, then you are close to being as sociopathic as a drug dealer is.

The Woman Who Tried To Sue Them

A Mexican-American woman tried to sue Plastiq because its terms and conditions didn’t have a Mexican (Spanish) translation. Apparently she won the case and received damages. She claimed that she couldn’t understand the website and so signed up with the belief that their terms & conditions documents and that their agreements document would have a Mexican translation. She agreed to having the card despite there being no translation, she sued and she won. Now, at the end of the Plastiq terms and conditions there is a small addition about the use of the English language.

Don’t Make A Dill weed Move


While writing about Plastiq, I saw negative complaints about how people had trouble with Plastiq because they spent $50K or $70K and it took too long for the payments to transact, or they didn’t receive all their rewards. Please, don’t be a dilweed; use a little common sense and maybe pay for such large purchases or pay contractors with a different payment tool.

Plastiq Is Not A Fraud Or Laundering Tool

The Plastiq card is a VISA card, which means that the Plastiq company has to act in a certain way and have a certain level of security and due diligence in order to keep using VISA. With that in mind, it would be very difficult for the Plastiq admins to allow Plastiq to be used for money laundering without VISA stopping service to the company.

There is a chance that VISA stopped allowing people to pay for their mortgages with Plastiq because of some sort of laundering rule. On the other hand, it could have been a directive sent down from the mortgage companies. After all, the mortgage companies may not like you transferring your debt from them to credit cards because it lands payers in a harder form of debt that may lead them to insolvency more quickly.

Conclusion – Is The Plastiq Card Becoming More Useless?

We do not know what the future holds. Even though people are not scrambling to get a Plastiq card to pay for bitcoin, there may be something in the future where paying with a credit card is not possible and Plastiq is desperately needed. However, at the moment, it seems that a Plastiq card has fewer and fewer uses, which is eroding away its selling points. No matter what Plastiq offers, there are other alternatives that people are going to find attractive.

The fee is reasonable, but it is still a little too high for some occasions. For example, if you wish to pay your taxes with a credit card, it will cost you less to use your credit card than it will to use Plastiq. The sad fact is that in cases where credit cards “are” allowed, it is often cheaper to use a credit card than to use your Plastiq card (unless you are using your Plastiq card to pay with your debit card).

There Is Life In The Old Girl Yet

Plastiq does offer rewards in the same way that credit cards offer rewards, and it gives you access to credit when you have unexpected circumstances. For example, you may be faced with a surprising bill, so as an impound fee, and you may not have the money in your bank, so you need to use a credit card and the impound company doesn’t accept credit cards; paying with Plastiq may get you out of trouble in that situation.

You are paying with credit cards, which means you have some form of protection, though it is not bulletproof. You are also paying with a VISA card, which means you have the protection that VISA offers too.

Are The Rewards More Valuable Than The Fee?

If you are thinking about paying with Plastiq and you are wondering if you should use another payment method, you can look at any potential Plastiq rewards and ask yourself if you will receive more from Plastiq rewards than you lose when you pay with your Plastiq card.

Is It Worth Giving It A Try?

If you have come across a bill or a company that doesn’t accept credit cards and yet you want to pay with a credit card, then consider this service among your other alternatives. As I have mentioned, there are now other alternatives if you cannot pay a bill with a credit card, which includes using online wallets such as PayPal.

About The Author

Ash The Great

After a varied career in different industries from the hospitality industry to the financial consultancy industry, Ash now spends his days working as a professional writer.

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