Can My Business Credit Affect My Personal Credit? | CreditShout

Can My Business Credit Affect My Personal Credit?

By Kevin / November 17, 2010

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Q: I have a personal credit card as well as a business credit card. Even though it’s a business card, can this still affect my personal credit?

A: Yes, your business credit can affect your personal credit, even if you’re not actually responsible for paying the bill. If there are late payments, and you are an authorized cardholder, then those late payment times will show up on your credit report.

For this reason, you should take the responsibility of keeping a careful track of the balance. The current balance on credit cards and other outstanding loans is just one of the things all three credit reporting companies—TransUnion, Experian, and Equifax—look at when calculating scores.

If you notice that the credit card bill is being paid late, and it has affected, or you are afraid it may eventually affect your credit score, you should bring this to the attention of whoever is responsible for paying the credit card bill. Explain to that person that the late payments are beginning to affect your credit. Document any meetings that you have concerning this.

Remember also that just because you are offered a business credit card does not mean you have to take it. If you feel more comfortable using a personal credit card that you have acquired for the sole purpose of business use, or if you’d rather pay cash and turn in receipts for reimbursement, then that is your right.

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