Most business cards do not report the card account to your personal credit report. But wait! Before you go on a heyday and swipe over the top with your business card or pay it late, do know that it will not go unseen.
Although the business card may not be reporting on your personal credit report, the bank may be using you as a personal guarantee. That means that if a business card is being used irresponsibility or is delinquent, the bank can go after the cardholder and their personal credit.
How to get a business card without a personal guarantee
If you do not wish to be a personal guarantor for your business card, there are some options of business cards that will not require personal guarantee: Options include the BILL Divvy Corporate Card, Wex, Corpay, Ramp, and more.
The requirements
Not any business can qualify for a business card without personal guarantee. In order to qualify, your business must check off the following requirements:
- Your business must be 2 or more years old
- Your business must have $1m-$5m in revenue
- There must be $50k or more sitting in your business bank account