PPOR to IP accounts

[grantwhit]

We've just moved out of our PPOR and currently have it listed for rent. Couple of questions -

1. Should I open up a bank account for incoming rent?
2. I want to pay all rates/maintenance etc on my amex to claim the points. Will this stuff up the deductions at all? What is the best way to pay these expenses?

 

[alexlee]

We've just moved out of our PPOR and currently have it listed for rent. Couple of questions -

1. Should I open up a bank account for incoming rent?

You're going to need a bank account for the incoming rent, yes. An existing one is fine too.

2. I want to pay all rates/maintenance etc on my amex to claim the points. Will this stuff up the deductions at all? What is the best way to pay these expenses?

The deductibility of the rates etc will not be affected regardless of how you pay for it. However, a lot of bills don't take amex and charge a fee besides. Also, don't borrow from a LOC to repay the AMEX and try to claim the interest, since it's contaminated.