If you have a business but not a business credit card, you're missing out on the advantages that come with having one. If you have been using a personal credit card for business expenses, transferring your card balance to your business card can make a great deal of sense. Following are six reasons to balance transfer to a business card.

1. Keep business and personal finances separate

One of the most important things you can do when it comes to your finances is keeping your personal and business finances separate. Not doing so is asking for trouble and disorganization. Transferring your credit card balance from a personal card that you've used for business expenses to a business card is the right way to go. This relieves your personal debt while helping your business accounting stay organized.

2. Save on interest

You may be able to save serious money on interest if you transfer the balance on a high-interest card to a business card with a lower interest rate. If you transfer to one with an introductory 0% interest period, you may be able to get that debt paid off before your interest rate kicks in, which will make the savings even greater.

3. Rewards

Credit card reward points can be very helpful to businesses, and there are great card options that emphasize such features. If you or others in your organization travel on business a significant amount, this is a great reason to transfer a balance to a business credit card.

4. Improve your credit score

One of the most obvious reasons to balance-transfer to a business credit card is to help your personal credit score. It's important to note that a business credit card account is only supposed to report to business credit reporting agencies. If that debt is eliminated on the personal account, your personal credit score will reflect that. This can help you when you need a loan or more credit.

5. Improve your ratios

By balance transferring to a business credit card you can improve both your per-card utilization ratio and overall credit utilization ratio. A low per-card ratio indicates you're using less of the credit available to you, which positively impacts your credit score.

"The credit utilization ratio for each of your credit accounts is called your per-card ratio," explains Marco Carbajo at BusinessCreditBlogger.com.1 "You can calculate your per-card ratio by taking the amount you owe on a card and divide it by your credit limit on that card. For example, if you have a personal credit card with a $10,000 credit limit and your current balance is $5,000, your per-card ratio for that account is at 50%. Now let’s say the $5,000 balance on that personal card was from business-related purchases. If you balance transfer that $5,000 to a business credit card, your per-card ratio for that personal credit card will drop to 0%."

Similarly, your overall credit utilization ratio, which Carbajo describes as the amount of revolving credit you're currently using divided by the total amount you have available, can also improve with a balance transfer as it shows you're using less of that revolving credit.

6. Get more time to pay off debt

You may have intended to pay off your personal credit card more quickly than you were actually able to do, leaving you with high-interest debt. Transferring your balance to a business credit card can give you that relief, and if you're transferring to a card with a 0% introductory period, you can buy yourself more time to get the debt paid off without interest.

Nevada State Bank offers several business credit card options2 including AmaZing Cash® for Business, AmaZing Rewards® for Business, and AmaZing Rate® for Business. Whether you favor cash back, reward points, or a low rate, the bank has you covered. A commercial card option is also available for larger companies.


1. https://businesscreditblogger.com/2018/05/11/balance-transfer-to-business-credit-cards/

2. Credit cards are subject to credit approval. Terms, conditions and restrictions apply. See a banker for details.


The information provided is presented for general informational purposes only and does not constitute tax, legal or business advice. Any views expressed in this article may not necessarily be those of Nevada State Bank, a division of Zions Bancorporation, N.A. Member FDIC