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The Best Credit Cards for Businesses with Bad Credit
November 17, 2017
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The Best Credit Cards for Businesses with Bad Credit

It can happen to just about any business. Perhaps you consistently forget to pay your bills, or you’re experiencing a lull in sales. Next thing you know, you’re struggling to improve your bad credit rating. Now, interest fees are rising, and perhaps some of your current credit card companies canceled their accounts with you.

For many small businesses, a lack of cash liquidity is a huge concern. Having a credit card can provide you with needed credit to get you through periods when you are low on cash flow. Once you have access to a credit card, you can pay your bills and afford other necessary costs.

In addition, many businesses need credit cards to make payments where cash and checks are not accepted. If this is the case, a “secured” credit card is a great option. Secured credits cards require a deposit, which can then act as collateral for receiving credit. This reduces risks for the credit card provider, while allowing them to offer credit cards to businesses with bad credit.

In this post, we’ll review five business credit cards that are well-suited for businesses with poor credit. If you’re struggling with a low credit score, there is hope! Let’s get started:

Capital One Platinum Visa

This credit card is considered one of the best credit cards for any individual or business with bad credit. Features include:

  • An APR rate of between 16.99 percent to 24.99 percent.
  • A cash advanced rate of between 18.90 percent to 25.90 percent.
  • Annual fees between $0 to $99 dollars per year.

Unlike secured credit cards, a deposit is not required. Capital One is also one of the largest banks in the United States; it has over 700 branches and is well-known for providing credit cards. So, you’ll be well-taken care of!

Primor Secured Gold & Classic Cards

Primor Secured credit cards are an excellent option for businesses with bad credit. Features include:

Primor Gold

  • A regular APR rate of only 9.99 percent.
  • Annual fee of only $49.
  • A 25-day grace period.
  • A max late fee of $29.

Primor Classic

  • A regular APR of 13.99 percent.
  • A lower annual fee of $3
  • A 25-day grace period
  • A max late fee of $29.

Primor specializes in working with people with poor credit, and offers several secured solutions. One benefit of working with Primor is that they do not have a minimum credit score requirement.

With this secured credit card, you must put in deposits equal to the minimum payments. As you increase your deposits you can increase your access to credit.

First Progress Platinum Select MasterCard® Secured Credit Card

This card is offered by First Progress, which specializes in helping people establish and rebuild their credit. This makes it a strong option for business owners looking to improve their credit scores. Features include:

  • A regular rate is very reasonable at 13.99 percent
  • The cash advance rate is set at 19.99 percent.

A $200 deposit is required in order to apply for this card. Currently, it is not available in NY, IA, AR, or WI. So, if your business is located in these states, you’ll have to apply for a credit card elsewhere.

First Progress Prestige Secured Credit Card

Another option from First Progress includes the Prestige Mastercard. This card features:

  • A low regular rate at 9.99 percent and the cash advance rate is set at 18.99.
  • An annual fee of $49.
  • The maximum late fee is set at $38.

Like the previous First Progress option, this card is currently not available in NY, IA, AR, or WI.

There Are a Range of Credit Card Options for Companies with Bad Credit

Credit cards are not just for business owners with credit scores in the 700 – 800 range. There are many credit card options available for business owners with poor credit scores.

Most of these credit cards will be secured, although other options are available. However, secured credit cards will usually feature lower interest rates. When applying for a credit card, ensure that you are doing thorough research and choose the card that is the best fit for your business. If you do this, you’ll be able to access credit for your business, while improving your credit score.

Fora Financial

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

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Fora Financial is a working capital provider to small business owners nationwide. In addition, the Fora Financial team provides educational information to the small business community through their blog, which covers topics such as business financing, marketing, technology, and much more. If you’d like to see a topic covered on the Fora Financial blog, or want to submit a guest post, please email us at [email protected].
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