All About Credit Card For Self Employed
23 January, 2024
Synopsis
Now, you can apply for a Business Credit Card even as a self-employed professional and separate your operational and personal expenses.
A Self-Employed Credit Card will help you manage finances, improve your credit score, enjoy rewards, and much more.
You can apply for a Self-Employed Credit Card online after meeting the eligibility criteria and submitting the required documents.
Are you a self-employed individual seeking quick and convenient financial assistance? Do you wish you were better equipped to streamline your business's finances and keep them separate from your personal expenses? While you might not have thought of it, a Credit Card can be a solution that addresses all your concerns. Today, you can apply for a Credit Card designed for self-employed individuals and avail of a credit line that doubles as short-term financing. Additionally, you can avail of plenty of other perks that make a self-employed card a must-have while running your business. Here’s everything you need to know about Self-Employed Credit Cards.
What is a Credit Card for the Self-Employed?
Unlike regular Credit Cards that are geared more towards salaried professionals, a self-employed card is specifically designed for those working for themselves. So, if you’re a freelancer, running a small business, or working for yourself in any capacity, you can apply for a self-employed card. As long as you can show the issuer a steady flow of monthly income, applying for a self-employed card is straightforward and approval is quick to follow.
Apart from allowing you to fall back on a line of credit when you’re strapped for cash and enabling you to pay for transactions with a single swipe, self-employed cards also help in other ways. Depending on the issuer, you may get to enjoy a range of benefits, from lifestyle perks and vouchers on essentials to reward points and cashback. Additionally, a self-employed card can also help you create a reliable repayment record and work towards a good credit score.
What are the Benefits of Applying for a Credit Card for the Self-Employed?
If you’re a self-employed individual and are on the fence about getting a Credit Card for freelancers, here are a few benefits that will tip the scales in favour of doing so:
Management of Finances:
As an individual working for yourself, preventing your professional life from spilling over into your personal life can be a challenge. The same goes for your finances as well. Instead of using the same Credit Card for both work and personal expenses, you can segregate the two by applying for a self-employed card. Whether you’re paying vendors and suppliers or travelling for work, a self-employed card can help streamline your business finances. You can also use the card to limit business expenses, keep track of your funds, and simplify accounting.
Bolstering Credit Score:
Your credit score is a numerical snapshot of your credit history and repayment record. Whether you apply for loans, subsidies, or other Credit Cards, your credit score always factors in during the approval process. As a self-employed professional, you can rely on a Freelancer Credit Card to help bolster your credit score. All you must do is ensure to pay your Credit Card dues on time and use the card within the limit set by the issuer.
Rewards and Perks:
Whether you choose to swipe, tap, or plugin key information, paying with a Credit Card is unimaginably simple. However, apart from facilitating easy transactions, a self-employed card can offer a lot more. Issuers offering Business Credit Cards also provide a robust rewards system. You can rack up reward points with every spend and use the collected points to enjoy perks. Business Credit Cards also offer a host of other lifestyle benefits, such as vouchers and offers on restaurants and retailers, airline miles, access to airport lounges, and so on.
Higher Credit Limits:
While it might seem like a personal Credit Card would work just fine for your venture, it is not so. One of the major advantages of applying for a self-employed card is that you get to enjoy a higher credit limit than that of personal Credit Cards. You can count on the higher line of credit to inject funds into your venture, streamline cash flow, or tackle larger business expenses.
What are the Eligibility Criteria for Self-Employed Credit Cards?
If you’re thinking of applying for a self-employed card, the first step is to check whether you’re eligible to do so. While the exact eligibility criteria for a self-employed card will differ from issuer to issuer, you will have to meet the following pre-requisites in general:
You should have a good credit score, preferably over 750.
You must be at least 25 years old and at the most 65 years old.
Your repayment record must reflect timely payments.
You should maintain a minimum annual income. The exact amount will vary depending on the issuer.
What is the Documentation Needed to Apply for a Self-Employed Credit Card?
Once you’ve checked and met the eligibility criteria, you will have to submit certain documents to complete the application process. Again, while an exact list of documents will depend on the issuer, in general, you might have to submit the following:
Passport-size photographs
ID proof via AADHAAR Card, PAN Card, or Voter’s ID.
Proof of income.
Statement of bank accounts.
ID proof for your business.
How to Apply for a Self-Employed Credit Card?
In the digital age, applying for a self-employed card is easier than ever. Here are the steps you can follow:
Head to the issuer’s official website.
Find the Credit Card tab and select the card you want to apply for.
Fill out the application form.
Submit the documents required.
Commercial Credit Cards at HDFC Bank.
At HDFC Bank, we offer a range of business Credit Cards that help you inject funds into your operations and address specific concerns. While the HDFC Bank UPI RuPay Biz Credit Card lets you pay for transactions and vendor/supplier payments using UPI, the Business Regalia Credit Card is the perfect combination of luxury and practicality. With CashBack, reward points, revolving credit, and interest-free periods, the HDFC Bank Business Credit Card helps you streamline cash flow and run your venture with greater efficiency.
Watch your business soar to new heights with the HDFC Bank Business Credit Cards by applying for one today!
*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Credit Card approvals at the sole discretion of HDFC Bank Limited. Credit Card approvals is subject to documentation and verification as per Bank's requirement. Interest rates are subject to change. Please check with your RM or closest bank branch for current interest rates.
