Capital One debuts three new business credit cards with cash-back rewards – CNBC

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Capital One business credit card debut

Capital One Spark Cash Plus Credit Card

The Capital One Spark Cash Plus Credit Card is a charge card, meaning that there is no predetermined spending limit. However, that does not mean you can spend an unlimited amount on the card. Your spending limits are determined by several factors, including spending history, credit score and more.

The card has an annual fee of $150, but comes with a long list of benefits, including:

  • A one-time welcome bonus of up to $1,000. You’ll earn $500 once you spend $5,000 in the first three months, and an additional $500 once you spend $50,000 in the first six months
  • Unlimited 2% cash back on every purchase
  • Earn an annual $200 cash bonus for every year you spend $200,000 or more on the card
  • Free employee cards 
  • No foreign transaction fees

Because this is a charge card, keep in mind that your balance is due in full every month. If you do not pay in full, you will be charged a 2.99% monthly late fee.

This card replaced the discontinued Spark Cash Card, which earned 2% cash back and had a $95 annual fee.

The Blue Business® Plus Credit Card from American Express has a similar rewards rate as it earns 2X points for every dollar spent, up to $50,000 per year (then 1X point per dollar). The card has no annual fee. (see rates and fees)

Capital One Spark Cash Plus Credit Card

  • Rewards

    Unlimited 2% cash back on every purchase

  • Welcome bonus

    $500 once you spend $5,000 in the first three months, and an additional $500 once you spend $50,000 in the first six months

  • Annual fee

  • Promo APR

  • Regular APR

    No APR; pay off your balance in full every month to avoid a 2.99% late fee

  • Balance transfer fee

  • Foreign transaction fee

  • Credit needed

Pros

  • Lucrative welcome offer
  • No present spending limit
  • Free employee cards
  • Roadside assistance benefits
  • No foreign transaction fees

Cons

  • Balance must be paid in full each month
  • Annual cash bonus of $200 requires $200,000 yearly spending

Information about the Capital One Spark Cash Plus has been collected independently by Select and has not been reviewed or provided by the issuer prior to publication.

Capital One Spark Cash Select Credit Card – Good Credit

The Capital One Spark Cash Select Credit Card comes in two different versions. This version is designed for business owners with good credit, and that need payment flexibility. The card comes with a 0% intro APR for 12 months, and is 15.99% – 23.99% variable APR after that.

In addition, the card comes with these benefits:

  • Unlimited 1.5% cash back
  • No annual fee
  • Free employee cards
  • Roadside assistance

Because this is a credit card you will have a credit limit, unlike a charge card, and will only be able to spend up to a certain amount before you need to pay off your balance again.

Capital One Spark Cash Select – Good Credit

  • Rewards

    Unlimited 1.5% cash back on every purchase

  • Welcome bonus

  • Annual fee

  • Promo APR

    0% intro APR for 12 months

  • Regular APR

    15.99% – 23.99% variable

  • Balance transfer fee

  • Foreign transaction fee

  • Credit needed

Pros

  • Valuable intro APR
  • Free employee cards
  • Roadside assistance benefits
  • No foreign transaction fees

Cons

  • No welcome bonus
  • Higher cash back options available elsewhere

Information about the Capital One Spark Cash Select – Good Credit has been collected independently by Select and has not been reviewed or provided by the issuer prior to publication.

Capital One Spark Cash Select Credit Card – Excellent Credit

This version of the Capital One Spark Cash Select Credit Card is for business owners with excellent credit. This card does not come with a 0% intro APR, but comes with a significant welcome bonus:

  • $500 welcome bonus when cardholders spend $4,500 in the first 3 months
  • Unlimited 1.5% cash back
  • No annual fee
  • Free employee cards
  • Roadside assistance

This card competes with the Chase Ink Business Unlimited® Credit Card, which offers a great welcome bonus of $750 after spending $7,500 in the first three months of card membership. Additionally, the card offers a 0% intro APR for the first 12 months (after, 13.24%–19.24% variable) and 1.5% cash back on all eligible purchases.

Capital One Spark Cash Select – Excellent Credit

  • Rewards

    Unlimited 1.5% cash back on every purchase

  • Welcome bonus

    Earn a one-time $500 cash bonus once you spend $4,500 on purchases within the first 3 months from account opening. 

  • Annual fee

  • Promo APR

  • Regular APR

    13.24% – 19.24% variable APR

  • Balance transfer fee

  • Foreign transaction fee

  • Credit needed

Pros

  • Valuable welcome offer bonus
  • Free employee cards
  • Roadside assistance benefits
  • No foreign transaction fees

Cons

  • High APR
  • Higher cash back options available elsewhere

How to apply for and pick a business credit card

There is a seemingly endless list of business credit cards available for small business owners. It can be overwhelming to try to pick the right card for your business, but it can be boiled down into a few key points.

Picking the right business credit card

When you are searching for a business credit card, keep in mind these few questions:

  • What is your credit score?
  • Do you have an established EIN (employer identification number)?
  • Which benefit would help your business more: Cash back or travel rewards?
  • Do you travel often for work? If so, consider a business credit card with travel benefits like the Chase Ink Business Preferred® Credit Card or The Business Platinum Card® from American Express.
  • Are you spending often on a few categories such as shipping or travel? Or are you spending on a wide variety of categories? Selecting a business credit card with specific rewards categories or a card that earns rewards at a flat rate can heavily influence the amount of points or cash back you’ll earn.
  • Are you open to paying an annual fee? In many cases, if you take advantage of a credit card’s benefits, the annual fee can be justified.

By keeping these questions in mind, you will be able to find a few business credit card options that work best for your company.

Applying for a business credit card

Applying for a business credit card is very similar to a regular credit card application, with just an extra few steps.

You will need the following information to document the status of your business:

  • Business name, address and phone number
  • Industry type and company structure
  • Years in business
  • Number of employees
  • Annual business revenue
  • Estimated monthly spend
  • Tax identification number
  • Personal information such as your social security number, name, birthday and address

Capital One says its business credit card application will take roughly 10 minutes. But if you have this information handy, it can be processed even quicker.

Bottom line

The Capital One business credit card portfolio may appeal to many types of small business owner. Whether you are looking for spending flexibility, payment flexibility or solid cash-back rewards, one of these three cards can help you run and operate your business’s expenses.

For rates and fees of the Blue Business Plus, click here.

Information about the Capital One Spark Cash Select Credit Card – Excellent Credit, Capital One Spark Cash Select Credit Card – Good Credit and the Capital One Spark Cash Plus Credit Card has been collected independently by Select and has not been reviewed or provided by the issuer of the cards prior to publication.

Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.