Factors to consider when choosing a business credit card online

Factors to consider when choosing a business credit card online

FPJ Web DeskUpdated: Wednesday, September 29, 2021, 04:47 PM IST
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Corporate credit cards carry a relatively high credit limit, whether you utilise it or not. | Dmitriy Shironosov

An irreplaceable tool that businesses require to simplify payments and track expenses is a credit card. But, not just any credit card – one that provides higher limits, works seamlessly globally, has a quick approval timeline, and returns a host of rewards and benefits.

If you're looking for a business credit card that encompasses all these benefits, you’ll need to pick the right one. Not sure how? Here are the three things you must keep in mind before finalising your business credit card:

Annual fee and charges

Typically, corporate credit cards carry a relatively high credit limit, whether you utilise it or not. This is why the annual fee charged for such cards also tends to be on the higher side. However, certain banks are willing to entirely waive their annual fee if you use your business credit card for a stipulated minimum amount.

So, look for a credit card that either has a small annual fee or is willing to waive it under special considerations. Also, ensure you read the schedule of charges on your business credit card to find out the late payment penalty if any, and the interest rate the bank charges once you're overdue for paying your bill.

Perks and privileges

As a business owner, you might want to use your corporate credit card to gain access to airport lounges, meet clients at fine dining restaurants, purchase innumerable air tickets to fly to business engagements.

A well-chosen credit card can save your business ledger a substantial amount of money by providing deals and discounts on dining, air tickets, along with accelerated reward points. Therefore, before selecting your credit card, carefully study the perks and privileges it offers.

Ease of application

Running a business likely leaves you with limited time on your hands, which you certainly don't want to spend figuring out the paperwork and process for a credit card application. And, nowadays you don't have to! Select a bank that offers an entirely digital credit card application process that is 100% paperless.

This way, you don’t have to visit a bank, stand in a queue and wait for your turn to file your application. If you’re already dreading the offline process for an additional credit card at your legacy bank, switch to one that allows for online application and instant approval.

Summary

A business credit card provides you with a breathing window for payments after you've made hefty business expenses. Be it purchasing new software, small equipment or machinery, you gain an interest-free way to buy things that grow your business.

But alas, all of this is possible only when you choose a credit card issuing authority that understands your needs. Therefore, before applying for a business credit card, always take your time to research the lending conditions, fees and penalties, and rewards and redemptions.

Along with these features, select a bank that approves your credit online and delivers it to your doorstep as quickly as possible.

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