Business Rewards Credit Cards

Monday, June 11, 2012 at 3:45pm by Site Administrator

Business Credit Card Rewards: What to Look Out For

Credit card companies are now offering enticing business rewards cards. In addition to providing you with an easy way to make purchases for the business, they can actually pay you back with free airline tickets, special deals and even cash back offers. Read the fine print carefully and make sure you understand all the limitations before deciding if an offer is right for your company.

The Risks Associated with Business Cards

Before considering any rewards card, you should understand that there are some inherent risks with business credit cards. Exempted from recent credit card legislation, the interest rate on your business card can be raised at any time and without notice. If you choose to use a credit card for business, try to pay it off every month to avoid this dilemma.

Tricky Tiers

Common in reward cards, you only earn the cool rewards when you reach a certain spending threshold. The rewards below the limit are paltry and disappointing. While these cards can still be attractive if you will use them heavily, they might not be the right choice if you aren’t a big spender.

Limited Categories

Some cards pay higher rewards for certain categories, and the categories change on a regular basis. Confusing and a little irritating, trying to keep up with the rewards categories may prove to be more of a headache than it’s worth. If your business spending tends to cover a wide range of categories every month, then this card could work for you. Otherwise, you might want to look for one that more closely matches your regular spending.

Maximum Rewards

While some cards reward you only on higher spending levels, others only reward you up to a certain limit. You might get 3% cash back on all purchases, but you will be limited to a total reward of $100 dollars, or it’s only available on the first $300 dollars spent. Read the fine print closely because this card might not work for you if you will be charging more every month.

Points Are Not Dollars

Points sound good, and the more you rack up the more excited you get. Unfortunately, points can be tricky. They don’t always equal dollars, and the difference can be extremely disappointing. Make sure you understand the point system. A card that gives you one point for every $10 spent is not nearly as attractive as one that will provide you with a full point for every single dollar.

Blackout Dates

Cards promising free airline tickets continue to be popular, but they can have serious restrictions. From blackout dates to losing your seat if the airline overbooks, these cards may not be worth all the limitations.

Expiration Dates and Limited Time Offers

Saving your rewards is smart, and it can pay off with attractive benefits. Unfortunately, it can backfire on you if the card has short expiration dates. Not only will some cards allow the benefits to expire, but you may also find your benefits fading if you don’t use the card on a regular basis. Read the usage requirements and expiration information before making your final decision. On the other end of the expiration spectrum, watch for limited time offers. Some sweet rewards only last for the first three or six months that you have the card, and that’s a serious disappointment.


Commonly seen in cash back reward programs, you can only receive the cash when you accrue a certain level. While this may not be an issue if you have to build up $50 dollars in rewards, it can become more challenging if you have to build hundreds of dollars.

Before signing up for any rewards card, make sure you read the fine print and understand how the card will work. Considering the risk of rising interest rates, you might decide it’s not the right choice. You should also review the annual fee. Some business rewards cards could cost you hundreds of dollars just for the luxury of carrying it. If you won’t earn back the annual fee in rewards, then the card is not worth having.

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