Company credit card and b/k question

[pattygg5]

My huband's new job told him they are going to issue him a company credit card in a few months when he starts to travel which they do for their employees. Our concern is if the credit card company could deny him because of our b/k? Of course it could be embarrassing because no one knows our personal business especially his company. Has anyone else had to deal with this yet??

Thanks for any advice,

P...

[momtoroxy]

We have not filed yet. My husband has a company-issued AMEX card. When I spoke with our BK attorney, she said if the card comes up on our credit, he could have it taken away. I know the checked his credit upon issuing the card. We are worried too, as my husband travels a lot. Even though the company pays the bills (we are not reimbursed), the card is still in his name. I know other co-workers of his have been denied a card due to credit. I hope it isn't a problem for your husband.

[hereforinfo]

It depends...there are a few different scenarios with company credit cards. One scenario is where the company obtains the card/account and issues him one with his name on it, as an authorized user. They receive the statements and are responsible for paying the bill. In that case, the cc company would not even check his credit because the company is solely liable.

The next scenario is where he would apply for the card in his name, under the main corporate account where they would be billed for his annual fees. He would receive the statements and be responsible for paying the bill. In this case, he would need to qualify just like for any other type of credit card. He probably would be denied with a bankruptcy, especially if Amex is the issuer.

Another scenario is where he applies for the card in his name, but under the umbrella of the corporate account. He receives the statements and pays the bills, but the company is sort of a co-signer and would be held liable only if he defaults. They usually don't get notified unless/until an account becomes something like 90 days past due or whatever. In this scenario they often check your credit but are a little more lenient since the company is backing up the account.

Probably the best way to find out is to call the credit card issuer that his company uses and find out what the criteria is for qualifying, if any.