The content is accurate at the time of publication and is subject to change.

Although business credit cards are designed primarily for business use, their application and use can often affect your personal credit.

When you apply for a new business credit card, a card issuer checks your personal credit report and score, known as a hard credit inquiry. So, it can have a small but temporary negative impact on your credit score.

Most major business credit card issuers won't report your balance or payments to the consumer credit bureaus, or they only do so when something goes wrong, such as late payments or default. However, some issuers tend to report business credit card activity to both business and personal reporting agencies every month.

Pay attention that most business credit cards require a personal guarantee. This means that if the business fails to pay the card's debts, the guarantor is personally responsible for paying the debt.

tags : Business Credit Score Credit Report

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.