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Credit Rating

Discussion in 'Starting a Lawn Care Business' started by TomberLawn, Feb 28, 2008.

  1. TomberLawn

    TomberLawn LawnSite Bronze Member
    Messages: 1,299

    I set up a business checking account the other day with BB&T. They offer a business credit card, but you have to have a credit history to qualify. I want the card to keep all my business expenses separate from personal expenses, like fuel for my mowers vs. fuel for my personal vehicle. I've never financed anything. My dad paid cash for a lot of my equipment and I'm paying him for it, but that doesn't get reported to a credit score company. What should I do to get some credit? How much credit history do I need to qualify for a business card? The bank offers a student credit card (I'm in college right now) that I would qualify for if I had a personal checking account with the bank, but all my personal accounts are at a state employee's credit union (both my parents were/are public school teachers/administrator). I don't want to go in much debt just to get a credit score since I still owe my dad some money, and there isn't really anything else I need to buy right now. What did you young guys do to build a credit score and get business credit?
  2. Raven386

    Raven386 LawnSite Silver Member
    from CT
    Messages: 2,169

  3. Raven386

    Raven386 LawnSite Silver Member
    from CT
    Messages: 2,169

    I did it and got approved for $1000 for staples, $250 for Office Depot & Office Max. that thread has over 50 pages but its some good reading! the first few explain what to do mostly...
  4. Sweet Tater

    Sweet Tater LawnSite Silver Member
    Messages: 2,123

    Theres a couple of things you could do.
    1. Have mom or dad co-sign with you.
    2. Get a secured card and use it for everything , Mcdonalds and all, just pay it off every month. It doesn't have to be much.
    3. open a small checking account and not use it, then get the student card.
    Establishing good credit isn't fast but it is easy, just get everything you buy on installments for a min of 6 months and pay them off on time.
  5. shade tree landscaping

    shade tree landscaping LawnSite Senior Member
    Messages: 915

    get whatever card you can for now,a high intrest Visa, Target, gas card, anything that you can get on your own. Make one purchase a month on it, any ammount, and pay it in FULL and ON TIME each month. Within 6 months you will have a limited credit history and can start to apply for other cards more suited for your needs, different types of "rewards" and better intrest. Rember, if you plan on paying your bill in full each month, which is the way to go, then the intrest rate doesn't apply to you. Check out capital one, thats how I got my first credit card, $200 limit initial, and now have perfect credit and no problems securing loans for my business or personal.
  6. TomberLawn

    TomberLawn LawnSite Bronze Member
    Messages: 1,299

    Thanks for the advice, guys. So it takes about 6 months to build a baseline credit score?

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