Due to a paucity of alternatives, the Wells Fargo Business Best Secured Credit Card* is the finest secured business credit card available.
Rewards: Earn 1 point per dollar spent on qualified items and gain 1,000 additional points when the firm spends $1,000 or more in any monthly billing period.
Fee: $0 per year
Other Advantages and Disadvantages: The Wells Fargo Business Secured Credit Card needs a $500 minimum credit line and a maximum credit limit of $25,000. The account, like a secured card, needs a deposit equivalent to the credit limit. Cardholders can add up to 10 additional staff cards for free and avoid international transaction costs. Wells Fargo promises, like most secured card issuers, that it will assess your account on a regular basis and allow you to upgrade to an unsecured business card if you and your company are deemed responsible enough.
There are few secured business credit cards on the market today, so your alternatives are restricted if this is what you desire. To find the finest secured business cards available, Forbes Advisor researched the cards available and considered costs, incentives, APRs, and availability. We only included one card on our list.
What to Look for When Choosing a Secured Business Credit Card?
Attempt to avoid paying yearly fees. While some secured business credit cards have an annual cost, we recommend initially looking for a secured card with no fees. Any upfront costs you pay will deplete your initial credit limit bank deposit, forcing you to begin your credit development journey with less accessible credit.
Check the deposit minimums and maximums. Check the minimum deposit amounts to make sure you have enough money to make a deposit. If you just have one card, be sure that the spending you want to charge to it won’t exceed 30% of the total amount you plan to deposit. High credit use and the resulting negative influence on a credit score will be avoided because of this. Even if you want to exceed the suggested 30 percent credit usage, be sure a maximum deposit amount won’t become a restricting influence on spending.
Check to see whether any card you’re thinking about reporting to all three credit agencies. The chance to develop credit is one of the most valuable aspects of a secured credit card, which is why it’s vital that your card reports your credit activity to the three major credit bureaus. Your payments and balances are reported to the credit agencies by both cards on this list.
Check for additional charges and read the fine print. Make careful to read the fine print for any hidden expenses. A monthly maintenance cost is charged by many secured credit cards, as well as an application fee and an annual fee. The cards on our list have no hidden fees, which is one of the main reasons we picked them over the others we looked at.