Using an business to recycle cards
Aug 3, 2010 | 6:14 pm
#1
Original Poster
Join Date: Sep 2009
Posts: 9
Using an business to recycle cards
Last year I had to create an LLC to do business with a client. I got a CC for the company (Continental/Chase) and life was good until I realized that I have absolutely no care for the "company"'s credit score.
What would be the best way to take advantage of this? Apply for ~3 credit cards one day, cancel them 3 months later, rinse and repeat? (I honestly don't know)
Just to be on the safe side, can anyone confirm that a company's credit score does not affect it's members (even if it's a sole proprietorship)?
What would be the best way to take advantage of this? Apply for ~3 credit cards one day, cancel them 3 months later, rinse and repeat? (I honestly don't know)
Just to be on the safe side, can anyone confirm that a company's credit score does not affect it's members (even if it's a sole proprietorship)?
Aug 3, 2010 | 7:12 pm
#2
Join Date: Oct 2009
Location: Las Vegas
Programs: AA,CO,US, and SPG Gold (just like everyone else :P)
Posts: 117
I may be wrong but I believe you are still responsible for the charges made and when you apply it still gains an inquiry on your credit report. AFAIK the only difference is the credit limit isn't reported on your personal credit report. I think most cards make you use your credit as a backstop for these cards if your business doesn't really have a credit history yet.