Bilt Obsidian Card Review: Is the Middle Way the Best Way to Tackle Bilt’s Complex New System?

This is where things get hairy. For a full breakdown of how this works, check out this article on Bilt 2.0, where we’ll go into depth on the intricacies of what is a complex system. For now, we’ll keep it surface level, and if you can’t keep up…well, neither did we at first.

Bilt Cash vs Bilt Points

The Bilt rewards system revolves around two forms of earned currencies: Bilt Cash and Bilt Points.

Bilt Points are similar to other credit card currencies, and are the ones we want to get our hands on. It’s these that we call the most valuable points in the market. You can transfer these to Bilt’s airline and enjoy outstanding value.

Bilt Cash, on the other hand, operates more as a kind of in-house cashback system. You can use it to cover rent payments or credit card transactions, or for affiliated dining and entertainment experiences. It’s worth noting that all but $100 of your Bilt Cash expires at the end of the calendar year.ar

What does the Bilt Obsidian earn?

With the Bilt Obsidian you can earn:

• Up to 1.25x points on rent/mortgage payments

• 3x points on your choice of dining or groceries — up to $25,000 on the latter. You can change this category once a year

• 2x points on travel

• 4% Bilt Cash on everyday purchases (earning scheme dependent)

Seems fairly simple, right? If you spend $1,000 on the card outside of your rent, you’ll 1000 Bilt Points and $40 in Bilt Cash. 

But you may have noticed the “up to” verbiage in the rent earnings line. That’s there because you have two methods of earning that each have different outcomes and suit different people.

Option 1: Housing Only Rewards (otherwise known as “spend a ton”)

In this scenario, your rent and mortgage earnings are dictated by how much you spend elsewhere. The upside is that you’ll continue to enjoy fee-free payments on your rent or mortgage. The more you spend, the more you’ll earn from your housing costs. But here’s the kicker: the volume of spending is, in turn, dictated by the size of your rent or mortgage payment, as shown below.

• Spend the equivalent of 25% of your rent/mortgage and earn 0.5x Bilt points on housing.

• Spend the equivalent of 50% of your rent/mortgage and earn 0.75x Bilt points on housing.

• Spend the equivalent of 75% of your rent/mortgage and earn 1x Bilt points on housing.

• Spend the equivalent of 100% or more of your rent/mortgage and earn 1.25x Bilt points on housing.

So, the more you use the card, the more you get back from your rent or mortgage. For example, if your rent payment is $2,000, to get a 1x point per dollar rate on that payment, you’d need to spend $1,500 a month on the card. If you don’t meet any of the thresholds, you’ll get a measly 250 points. You won’t receive Bilt Cash if you choose this option.

Keeping up?

Option 2: Flexible Bilt Cash (otherwise known as confusing as hell)

The second option requires you to pay a 3% transaction fee for your rent or mortgage, but in turn lets you earn on it at a 1x point per dollar basis. The issue here is the fee. Bilt’s way for you to work around it is to use Bilt Cash to cover the costs.

Of course, similar to option one, this requires you to use the card on a day-to-day basis — and remember, rent and mortgage payments don’t accrue Bilt Cash.

Using the same $2,000 rent in the first option,  I’d earn 2,000 points a month on my rent or mortgage. But I’ve opted for the 3% fee option, which means I owe an extra $60. That fee can’t be covered by cash anyway, so I’m forced to use Bilt Cash. 

To earn $60 in Bilt Cash and continue to cover the fee, I’d need to spend at least $1,500 on the card per month. In effect, you’re buying Bilt points with your own earnings.

Which is better?

It’s hard to say, as it’s so situational.

Continuing that $2,000 rent scenario,  here’s what it’d look like earning the maximum and minimum in each scenario without overspending. I haven’t included specific spending categories in these for the sake of simplicity. You can assume it’ll be more if you spend on dining, groceries, and travel each month.

• Option 1 Max: I spend $2,000 on rent and $2,000 on everyday spend, and receive 4,500 points

• Option 1 Min: I spend $2,000 on rent and $499 on everyday spending and receive 749 Points 

• Option 2 Max: I spend $2,000 on rent and $1,500 in everyday spend and receive 3,500 points. I would have used all my Bilt Cash for the month.

• Option 2 Min: I spend $2,000 on rent, don’t spend day-to-day, and pay an extra $60 in fees. (If I’m honest, I’m not totally sure what happens here. The verbiage is confusing and I’ve seen several sources unsure of it, too.

You’ll be able to tell based on your own spending habits where you’ll fall on this spectrum and whether it’s worth it for you. The good news is that you’re at least more incentivized to spend thanks to the better spending categories. 

And breathe.

The Other Option Bilt Probably Doesn’t Want You To Take

If it’s not already obvious, Bilt is heavily incentivizing day-to-day spending on the card. This is a huge departure from its previous system, which generously allowed you to earn on rent after using the card just five times in a billing period. That could literally be a few packs of gum and a coffee.

That’s no longer the case, and the spending threshold to start earning seriously on your rent or mortgage might be too steep for some. If you find yourself in that position, then just don’t use it. Instead, opt to use it as a piece of your daily card lineup. 

3x points on groceries or dining is a solid rate, and puts it in line with the Chase Sapphire Preferred Card. In fact, you could even pair them, choose 3x points on groceries with the Obsidian, and use the Preferred for dining. When traveling, you could decide which card is more useful for you.