Which Business Credit Cards Report To Personal Credit?

This would be a good time for entrepreneurs to consider applying for a credit card for business. And in some cases, it will keep the business credit scores off your credit profile. However, it isn’t universally practiced by all credit card issuers. 

Some of these issuers report your business credit cards activities only to business credit agencies, while others may also report to the consumer credit agencies. It means the issuer is reporting your good and bad credit reports to consumer credit agencies, just as your credit cards would get reported.

If you are a startup or a business considering applying for a business credit card, this blog will be a guide to everything you want to know about business credit cards; which business credit cards report to personal credit? Let’s start; 

What Is A Business Credit Card?

A business credit card is a credit card specifically tailored for people running their businesses. Business credit card issuers don’t require a business to have any employees or an office building compulsory to apply for the business credit card. 

From large-scale businesses operators and companies’ to sole traders and anything that falls in between are eligible for applying for a business credit card. These credit cards are typically applied to meet business expenses, such as buying furniture, supplies, and traveling.

When you start a new business, you should carefully use your business credit cards while spending the money you haven’t earned yet. You might want to know about the preconditions that many business credit cards come with, which are stated in the terms & conditions part. 

These stipulations or preconditions often prohibit the business credit cardholders from using them for personal use.

These business credit cards are useful for building a business credit score. This business credit score comes in handy when you apply for business loans because creditors and banks look at them to verify whether your business is eligible for loan approval or not. 

A few of these business credit cards come with the perks of short-term financing, which become very handy while making big purchases.

What Are The Benefits Of A Business Credit Card? 

You can enjoy multiple benefits of having a Business credit card offered to your business. A few to state here are; 

• They help you spread the costs in your business.
  
• They help in facilitating the staff spending generously.
  
• They help you in keeping track of your business’s short-term expenses.
  
• One business account can be issued with multiple credit cards, providing your employees with the same access as you.
  
• They help in managing the flow of the cash.

While you get many benefits from a business credit card, it’s important to remember that the limit on the credit remains the same, and all spending is taken out of the same account.

Are There Any Effects of Business Credit Cards On Your Personal Credit?

The answer to this question is in affirmation. Yes, a business credit card does have the tendency to either help or hurt your personal credit profile. And this is what you need to know about the credit cards and credits profile.

There is a mountain of benefits that you will enjoy with a business credit card. Still, the one that fascinates the users most is the separation of their personal and business financial matters. 

However, if you think you have established two different credit profiles as well, then you are wrong.

You cannot separate your credit profile into two different credit card types, business and personal. It is almost kind of impossible to separate credit profiles.

Almost all credit card issuers require a personal guarantee of you. There are some issuers who will report all the financial activities of your account to the respective credit reporting bureaus – TransUnion, Equifax, and Experian. 

So before you apply for a new business credit card, we suggest that you explore all the possibilities of how a business credit card will affect your personal credit profile. Also, search for the measures you can take to yield most of the benefits from the opportunities the business credit cards can bring for you.

Now, let us move on to the actual question you would want the answer for; 

Which Business Credit Cards Report To Personal Credit?

It would be unfair if we say that certain business credit card issuers do not report to the credit reporting agencies at all. 

Based on our knowledge, it would be safe for us to say that most of the business credit card activity reporting to consumer credit reporting agencies like TransUnion, Equifax, and Experian are often triggered as a result of some action.  

It generally takes place when you apply for a new account if the previous account is negligent after a period or the issuer has charged it off. 

The following list will show top issuers and how they report your business credit card activity to consumer credit reporting bureaus; 

Barclays: There are some certain circumstances which they mention in their terms & condition while issuing you a business credit card on which they get to choose to report to the consumer credit agencies.

Discover: Discover also chooses to report all activities on your business credit card activity to the consumer credit agencies.

American Express: They will send a report to the consumer credit agencies when your account loses its good standing.

Bank of America: The reports from them are sent to the consumer credit agencies when your account goes delinquent.

Chase: If your account is delinquent for more than 60 days, they prefer to send reports to the consumer credit agencies that calculate your credit score.

Capital One: There are no hidden terms and conditions or any other specifications with Capital One because they certainly report all your business credit card activities to the consumer credit agencies.

Citi: They prefer not to disclose and report your activities on your business credit card to the consumer credit agencies.

As an additional perk, here are a few business credit card issuers that don’t report to the consumer credit agencies; 

U.S. Bank: They prefer not to report any activity on a business credit card to the consumer credit agencies.

Wells Fargo: They also do not report any activity or inactivity on a business credit card to the consumer credit agencies.

Bottom Line 

We recommend that you shop a little around for a business credit card issuer to choose from since we’ve given you a bird’s eye view of ‘which business credit cards report to personal credit?’. I”sIt’slly important to know how a particular issuer will or will not report the activities on your account to consumer credit agencies.

Since this is not an extensive list of the business credit card issuer, it is highly likely that you may not find the one you are looking for. Suppose your particular card issuer is not on the list. In that case, it is suggested that you reach out to the customer services team of the particular issuer that you are considering to learn more about their reporting standards.