Does Having a Corporate Charge Card Affect My Personal Credit Rating?

Your corporate charge card is not likely to affect your personal credit rating unless you are the owner of the company. The charge card will typically only be associated with the person whose credit was accessed during the application process. Once a business has established credit, it can apply for charge cards without using the credit score of any one person. If a business is relatively young, then the owner may have to use personal credit to secure charge cards. In any case, if you are an employee using a corporate card, you will not likely see any changes to your credit.

Benefits of a Corporate Charge Card

A corporate charge card is one way for a business to reimburse employees for business-related expenses. Some businesses choose to have employees provide receipts for the purchases. Then, at the end of a month or quarter, the employee turns in the receipts and receives a reimbursement. This is not always an option because employees have to wait a long time for the reimbursements. Also, it can become challenging to constantly be checking receipts, which are often lost or difficult to obtain.

With a corporate charge card, a business can provide an employee the right to make certain business purchases. Then, the business's accounting department can simply verify to make sure the account is being used appropriately and never worry about reimbursement.

Checking a Credit Report for a Corporate Charge Card

The employee's credit was never accessed in order to issue a credit card in his or her name. The credit line is actually extended to the business, and then the business itself chooses who to provide a card to. Since the business is also the one making the payments, it does not make sense to involve the person using the card in the credit check or credit score process at all. If you have a corporate charge card, you can check to make sure it is not on your credit report. Access your credit by electing a credit check service. Then, scan the report to look for all your open credit lines. Your corporate charge card should not be on the list.

Removing a Charge Card from a Credit Report

Since you are not the one assuring bills are paid, you do not want to have your corporate charge card on your credit score. If the business makes a billing mistake, you would be punished. As such, if you notice the charge card on your credit report, you should take steps to have it removed. Speak with the person in charge of issuing the cards. If that person says your personal credit needed to be used in order to have the card in your name, then ask about removing your name from the card. The card can actually be issued in the name of the business, and you can be listed as an authorized user of the card. You should note: this can slow down the process of purchasing in some situations.


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