Popular credit card provider American Express provides a selection of credit cards, including personal and commercial cards. If you own a business, you may be curious about the impact of your Amex Business card on your personal credit score. It depends, is the answer.
American Express does not always report business card activity to your personal credit record, in contrast to many other credit card issuers. This isn’t a set rule, though, and there are specific situations in which the use of an Amex Business card could affect your personal credit score.
If you apply for an Amex Business card as a sole owner, the application process will take into account your personal credit score. This implies that whether or not you are granted permission to use the card may depend on your credit score. Furthermore, missing payments on your Amex Business card could have a negative effect on your personal credit score.
On the other hand, the card activity won’t typically be recorded to your personal credit report if you apply for an Amex Business card as a corporation or limited liability company (LLC). Due to the fact that corporations and limited liability companies are regarded as distinct legal entities, their credit history is kept separate from that of individuals.
Depending on the card you’re applying for, you may need a lower credit score to get approved for an American Express card. However, American Express is renowned for requiring a higher credit score than other credit card issuers generally.
One of the most renowned and exclusive cards issued by American Express, the Amex Platinum card, for instance, normally needs a credit score of at least 700 to be approved. The Amex Blue Cash Everyday card, on the other hand, has a lower credit score requirement and can be available to people with credit scores in the mid- to high-600s. It is designed for everyday shopping and cash back benefits.
The Amex Green card can be an excellent choice if you’re searching for an Amex card that’s reasonably simple to get accepted for. This card is intended for folks who are just beginning to establish credit or who wish to raise their credit score because it has a cheaper annual cost than many other Amex cards.
The previously mentioned Amex Blue Cash Everyday card is another one that might be rather simple to get accepted for. This card gives cash back rewards on qualifying purchases and is intended for everyday use.
There is a credit limit on the Amex Blue Business Plus card, yes. The credit limit, however, is flexible and can change based on a number of variables, including your credit history, income, and credit score.
American Express will examine your financial data when you apply for the Amex Blue Business Plus card to establish your credit limit. You can be qualified for a higher credit limit if you have an excellent credit score and a clean credit history.
Your particular business demands and spending patterns will determine whether the Amex Blue Business card is worthwhile for you. But there are a few advantages to this card that could make it a useful addition to your wallet.
For instance, up to $50,000 annually, the Amex Blue Business card offers 2x points on all expenditures. This is a fantastic method to get incentives for your business expenses. The card also doesn’t charge an annual fee, which makes it a reasonable choice for people trying to cut costs.
Overall, the Amex Blue Business card can be a good option to think about if you own a small business and want to earn rewards on your purchases without having to pay an annual fee. To ascertain whether the card is appropriate for your company, it’s crucial to thoroughly check the terms and conditions.