Business and corporate credit card deals are few and far between: What to look for

Consumers aren’t the only ones getting squeezed by credit card companies and their astronomically high interest rates. Business owners can’t catch much of a break either.

NerdWallet’s rankings of the top cards for small business owners and entrepreneurs feature annual percentage rates (APRs) between 18.5% to 21.5%. The cards that don’t list rates require full balance payments every month similar to corporate credit cards (the smartest option, if doable).

As we head into late fall, NerdWallet rates Ramp, Brex and Bill/Divvy as the top corporate credit cards on the market, and touts Ink Business Cash, Ink Business Unlimited, Capital One Spark Cash and American Express’ Blue Business Plus as the best business cards.

Will Congress take a look at credit card companies?

The Consumer Financial Protection Bureau (CFPB) released its biennial report to Congress on the credit card market. The upshot? Companies are raking in record profits while card holders are drowning in debt.

“Major credit card companies continue to set interest rates far above major indexes like the federal funds target rate, with an average APR margin of 15.4 percentage points above the prime rate,” notes the CFPB. Credit card companies’ profits returned to pre-pandemic levels in 2022.

In 2022 credit card companies charged consumers $105 billion in interest and $25 billion-plus in fees. Total debt topped $1 trillion for the first time. With inflation still simmering, those totals are all good bets to increase once the final data for 2023 rolls in.

Reminder: If it’s a business expense, use the corporate card

Many employees prefer to use their personal credit cards on business trips. They then snag rewards for themselves before submitting expenses for reimbursement.

For a company to receive the maximum benefit in credit card rebates, all business-related expenses need to be made on a corporate card. And on that front, many businesses are leaving money on the table.

Case in point: More than 90% of companies had rebate agreements in place with their corporate card providers, but 22% were unsure if they were actually receiving the full amount of the rebate, according to a recent Global Business Travel Association Foundation survey.