Credit Card Articles

Here's a little article that I wrote, hope you enjoy!

The Business Card

The business credit card is one of the most useful implements in the credit card tool shed.

The first thing to understand is, that you don't actually have to have a business to have a business credit card. You can apply for a card with your regular Social Security number and fill in sole proprietor when asked for type of business.
For example: If you sell stuff on EBay, you are a business. If you tutor, give piano lessons, have a playgroup, are an independent contractor, babysit etc. you have a business.
What are the advantages of a business card?

Generally speaking credit issuers are willing to go much further to attract the business consumer. With such things like low APR's, introductory 0% balance transfer offers, and generally better service with separate departments just to handle the business costumers..

In addition, for one who is trying to maximize his bonus points, air miles and such, business cards can be extremely lucrative.
However, to my mind, the main advantage to the business card is your credit score and the fact that your credit/debt ratio is not affected by debt on your business card.
This means that although carrying a large balance on a personal card can really hurt your score, on a business card it will not work against you.

I personally transfered balances from consumer to business cards and watched my score go up 45 points in one shot!!
(for more info click here for my articles on credit scores and credit/debt ratios.)