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Which credit cards can you apply for with a federal tax ID number for your business instead of a personal Social Security number? |
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Answer
If your business is a sole prop., you are not going to get a credit card with only your tax id number. Our business has a credit card with our business name on it, however, it shows up on our personal credit report.
If your business is a partnership, your local bank may help you get a credit card using your tax id number. Our local bank here in TN worked with us. Internet offers are no help in this situation.
We also found a service that guarantees to help you get business credit cards using a tax id, but they wanted $1,500 for the service.
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A few credit cards exist that will not show up on personal credit. Those are tied to the business credit which can be build by the services mentioned above. The cost is not $1,500 however.
Business Credit is separate from Personal credit - that is important to remember as a small business owner. Many business owners, just like in this question, have bad credit but that is not to be confused with business credit. Just like Equifax reports credibility of an individual the business has a credit reporting agency that reports on its stability as well. The key is to get your business registered with the credit reporting agency so that lenders can feel confortable issues out loans, credit lines, or extended terms to the business. Bad credit or lack of credit is no longer an obstacle that prevents the small business owner from finding financing or funding their small business. Small business loans are available to those who have incorporated their business, have a corporate tax id and are willing to keep up their business profit and the business credit score.
First answer by ID1118719972. Last edit by ID1118719972. Question popularity: 57 [recommend question]
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