Trying to figure out ways to accumulate large sums of 0% interest credit. I am not a business owner but have seen conflicting information regarding whether or not it is still possible to apply for and initiate a business credit card from the likes of Amex, Citicard, Chase etc. Have a relatively high credit rating and have leveraged that against large amounts of credit in my own name but seem to have maxed out what i am able to accomplish in my name alone. Looking for additional ways to drum up credit and the business credit line idea is intriguing. Any ideas, suggestions or additional feedback is much appreciated.
If you did obtain credit by representing that you were running a business, when you were not, and presumably therefore misrepresenting the assets and income of that business in your application, and if then your finances went south, you might find you have no protection in bankruptcy for debts that were incurred thru fraudulent applications. You might also be charged with fraud. Same thing can happen if you misrepresent your assets and income on a mortgage application. Lenders have a right to know what risk they are taking on in deciding to loan money, and what real income and assets are available to see that they get paid back, including all claims by other lenders on those same assets and income.
I think ontrack is, well, totally on track with his reply. Nevertheless, I've owned several businesses over the years. Here's the little that I know, or at least what my experience has been regarding business credit... There are several types of business entities, and each is looked at differently regarding lending criteria, etc. Perhaps the most common types are C-Corps and Sole Proprietorships. If you are of the latter type, the banks are most likely going to go with your personal credit and your personal guarantee, anyway. If you're business is a C-Corp, most lenders will still be looking for a personal guarantee now a days, and that goes straight back to your personal credit. Exceptions will typically only be made if your corp is at least 3 years old, and preferably under the same management for at least 2 years. They will also require a paydex score from Dunn & Bradstreet, which is kind of a business credit report, and is created from the previous credit experience of the corporation. On another note, why are you looking for so much more credit? Have you maxed out your available credit, or are you trying to gain additional credit that you don't really need? Or, are you trying to make a major purchase? Not to be nosey, but the answer to those questions can have some bearing on the availability of additional credit you may be seeking. Cheers
