Best Type of Bad Credit Business Credit Cards

27 Jul, 2016 / By

Even as a business owner, your credit matters. The drawback to having bad credit as an individual is that it does carry over to your business accounts. What you can expect is a lower spending limit with higher interest rates for the account/s that you can get approved for. It is important to make your payments on time and pay more than the minimum balance each month.

Options from Capital One

Even with less than perfect credit, you may still be able to gain approval for a Capital One business credit card. There are several options; with Ink and Spark you can earn rewards such as cashback or miles for business travel. These are also the most popular choices among small business owners.

Capital One is one of the most highly respected credit card companies available. However, if your credit is not good enough, you will be denied. A secured credit card option may have to be opened for a temporary period of time so that you can build up your credit and boost your score a bit.

Citi Bank Options

Citi Bank is a little harder to gain approval for if you have less than perfect credit. However, as a business owner, they look more at the success of the business than you personally. Before applying here, you should work on your business’ credit history a bit. This means that you should obtain accounts with retailers and major companies that report to credit bureaus, such as a cell phone company or vendor.

This will help you to obtain credit here and reap the benefits of the rewards that some of their cards offer.

Consider Chase as an Option

Chase is a good option if you do your banking with them. If you are not a Chase customer and have some blemishes on your credit report, it may be ideal to pass this one by for business purposes. There are several different card options and each has a different reward attached to it. With Chase, there are no foreign transaction fees but there is an annual fee.

Their card option for Ink Bold credit cards is that you have to pay your balance in full every month, so there is no interest charged to your account. This is the ideal option for small businesses and those that are just getting started. It helps you to maintain your account better and helps your total business financial situation to be more stable.

Consider these options first. These are the top three companies to hold a business credit card account with. You can still be accepted with less than perfect credit, but you will want to work on paying down some of your personal debt a bit before applying. Your track record of financial responsibility is important when obtaining credit accounts. Seek out options that offer 0-percent interest for a period of time, no annual fees for the first year and free balance transfers as well. These perks help you to pay down balances to help get rid of the imperfections on your credit report.

Jennifer Hamilton

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