Yes, a business credit card can impact your personal credit score. There are multiple instances where this can happen, including when the issuer makes a hard inquiry on your credit to assess your risk as a borrower and in the event that you do not make a monthly payment.

It’s important to note that when you apply for a business credit card, the issuer will consider your application as a “personal guarantee” on the business credit line. BHG Money does not currently report business credit lines to the agencies.

Let’s jump into this a bit more, starting with the personal guarantee.

When you apply for a business credit card, you will have to agree to a personal guarantee, which makes you responsible for all payments that your business cannot make. For example, if your business fails to meet a monthly payment of $10,000, then your credit card issuer will find you personally responsible for that amount.

In many cases, negative reports to credit bureaus are typically made following a history of missed payments. However, each credit card provider is different. You will want to ask about policies before or during the application process.

If you keep up with your monthly payments, then your business credit card should not hurt your personal credit score, as there would only be positive things for the issuer to report to the bureaus. Consistently paying your credit card bill on time may actually help you increase your credit score.

The next item we’ll get into is the hard inquiry.

A hard inquiry is when the credit card issuer reaches out to find out your credit score from one or all of the three credit bureaus (Equifax, Experian, and TransUnion). Hard inquiries may have a temporary negative impact on your credit score , but most lenders won’t be surprised to see these impacts or hard pulls if they know you’re looking for financing from multiple providers.
If you’re worried about an impact to your credit score but still need financing, BHG Money also offers business loans that don’t require a hard pull. You can get the funds you need—and keep your credit score intact. Call our team at 866.280.5476 to speak to a loan specialist today.


Now you know that business credit cards can impact your credit score—but some negative impacts are preventable. By keeping up with your monthly payments, you can avoid decreases and potentially even increase your credit score.