Are cash rewards from a credit card an acceptable source of funds for the downpayment /Minimum Required Investment?

FHA will accept cash rewards from credit card programs as an acceptable source for the Borrower’s Minimum Required Investment (MRI) to obtain FHA-insured financing.

The Mortgagee (lender) must verify and document the establishment of the cash rewards from the credit card program along with the borrower’s receipt of these funds. The Mortgagee also must determine that the received funds were reasonably accumulated from the credit card program; gifted or transferred reward points from other parties are not allowed.

The Borrower’s Minimum Required Investment (MRI) must also comply with the requirements set forth in Source Requirements for the Borrower’s MRI (see Handbook 4000.1:II.A.4.d.ii or 4000.1:II.A.5.c.ii).

For additional information see Handbook 4000.1 II.A.4.d.iii(K) or II.A.5.c.iii(K) available at:

HQ Policy Determination 

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.

Topic Number: KA-05316