Can you use your credit card to pay stamp duty?

No. You cant pay stamp duty with your credit card. This is due to the new PSD2 directive which came in 2018.

It prevented third parties from charging credit card fees for users who paid with credit cards.

This means anyone who will typically have used a credit card to spread the cost of their repayment over various months will now not be able to do this.

The reason why you can’t use your credit card to pay stamp duty is that HMRC will no longer accept it as they cannot recoup their costs when users pay with their credit cards.

You can still pay your stamp duty with direct debits, faster payments or a debit card rather than a credit card.

The ban on credit card payments for stamp duty will also affect self-assessment, employers PAYE and National Insurance, VAT, Corporation Tax, Stamp Duty Land Tax, Income Tax and any miscellaneous payments.

You can view alternative ways other than the use of your credit card to pay stamp duty here.

What is stamp duty?

Stamp duty is the tax imposed on land and building transactions in the UK. You may be exempt from stamp duty if you are a UK first-time buyer buying a home worth less than £500,000.

John Bate

John has 22 years of experience in financial services. This spans across financial research, financial services (As a qualified mortgage broker and underwriter), financial trading and sales at global investment banks. While working as a publishing research analyst, he covered European bank credit and advised institutional clients on investment strategies at both JP Morgan and Societe Generale. John has passed all three levels of the CFA (Chartered Financial Analyst) programme.