There's a misconception that if you work for yourself, credit card companies will shun you. While it's true that self-employment may make it harder for you to get a conventional loan, such as a mortgage or a car loan, it doesn't negatively affect your ability to get a credit card.
Shop for the best and compare card offers. If you belong to a credit union, see if it offers a credit card. If your bank offers a card, find out about the terms and conditions. Do an Internet search for credit card reviews (see Resource). Take repeated complaints as red alerts and steer away.
Find a company that offers a credit card with a reasonable interest rate and either no annual fee or a low one. To be on the safe side, call the company's toll-free number to confirm that all the information you obtained is accurate. Credit card policies change from time to time, and the information you got may be outdated.
Apply for your credit card online. You don't need any special software. Electronic signatures only require your typed name, sometimes accompanied by a code the website provides.
Qualify for a small-business credit card. These cards often offer perks, such as rewards for purchases, low interest rates and reward points that never expire. Many small-business owners use these cards as a financing option to grow their businesses. If you choose that route, keep a close eye on your spending, and pay the credit card before you pay yourself to avoid carrying a high balance.
Tips
Keep in mind that by applying for a credit card, you're giving the company permission to review your credit history and credit score.
References
- "Paying With Plastic: The Digital Revolution in Buying and Borrowing"; David Sparks Evans, Richard Schmalensee; 2005
- Debt.org. "Revolving Credit: What It Is & How It Works." Accessed May 17, 2020.
- Federal Trade Commission. "Using a Credit Card." Accessed May 17, 2020.
- Experian. "What Are the Different Types of Credit Cards?" Accessed May 17, 2020.
- Experian. "What is a Good Credit Score?" Accessed May 17, 2020.
- Consumer Financial Protection Bureau. "How to Find the Best Credit Card." Accessed May 17, 2020.
- Experian. "What is a Cash Advance?" Accessed May 17, 2020.
- USA.gov. "Credit Cards." Accessed May 17, 2020.
- Experian. "How to Avoid Foreign Transaction Fees." May 17, 2020.
- Experian. "Balance Transfer Credit Cards." Accessed May 17, 2020.
- Experian. "What Is APR and How Does It Affect Me?" Accessed May 17, 2020.
- Experian. "What Is a Rewards Credit Card?" Accessed May 17, 2020.
- Experian. "Going Over the Limit on Your Credit Card." Accessed May 17, 2020.
- Experian. "Will Closing a Credit Card Hurt Your Credit?" Accessed May 17, 2020.
- Federal Trade Commission. "Protecting Against Credit Card Fraud." Accessed May 17, 2020.
Tips
- Keep in mind that by applying for a credit card, you're giving the company permission to review your credit history and credit score.
Writer Bio
Emma Watkins writes on finance, fitness and gardening. Her articles and essays have appeared in "Writer's Digest," "The Writer," "From House to Home," "Big Apple Parent" and other online and print venues. Watkins holds a Master of Arts in psychology.