Can You Get a Business Credit Card With Only A Tax ID Number?
One of our readers, Frank Mills, sent us this question:
I have heard that you can apply for a business credit card and get a fresh start by using only the tax id number but it seems that all of the cards that we have checked want your social security number. Is there such a card to apply with only the tax id number?
Thanks for your question Frank.
Here is the answer:
If your business is a sole proprietorship, then you will almost always be asked for your social security number, as well as your Tax ID number before you will be able to get credit.
There are some online rumors and “advice” that cite companies like Staples and a few other companies (see the list below) that will allow you to open up an account without your social security number.
So, from here you really have to take a quick look at your motivation and goals:
1) If your personal credit is bad, and you are only starting the business with the hopes of a quick fresh start in the credit department, then you would be better off not starting a business.
Instead consider getting a secured credit card and making the payments on time. From there you can start applying for retail credit cards, and then after another 6 months to a year of on time payments you can move up to an unsecured Visa or MasterCard. This will raise your credit score legitimately and does not really take that much effort – just the initial deposit for a secured credit card, and regular payments. (Check out this link for our reviews of the best secured credit cards to rebuild your credit.)
2) If you really want to start a business and you have bad personal credit, then you will want to take the following steps:
- Obtain all the relevant licenses and permits to do business in your state
- Start a business bank account
- Get your business address and a separate business telephone number listed in the 411 directory
- Apply for a business credit card at any of the companies below. They supposedly do not require a PG (Personal Guarantor – your SS#)
- Office Depot
- Dell Computers
- Office Max
- Or bite the bullet and apply for a secured business credit card to start building up your credit rating.
- Then, establish an account with Dun and Bradstreet (DNB) and get your D-U-N-S Number.
- Make all your payments on time
From there you should be well on your way to establishing excellent business credit.
Have a question for us? Leave a comment below!