Balances on business credit cards could impact your personal credit report

Dear Experian,

Do balances on my business credit cards affect my personal credit scores?



Dear SCO,

Balances on business credit cards could affect your credit scores if your name is on the card instead of the name of your business.

If the account is in your name and you are responsible for payment, then it very likely will appear in your personal credit report. If so, the history of the account, including any payment problems, would be included in any credit score calculation Even though your business may ultimately reimburse you for the charges, you are still personally responsible for making the payments and for making them on time.

However, if the account is only issued to the business and they make the payments, there is a good chance that is would appear only on the business credit report. In that case, it would have no impact at all on your personal credit scores.

The best way to find out is to get a copy of your credit report. If you find it on your personal report, it will affect your personal scores. If it’s not there, you don’t have to worry about it.

Thanks for asking.

- The “Ask Experian” team