Capital One Spark Cash is among the best business rewards credit cards on the market, particularly for applicants who prefer cash back to travel rewards. The Spark Cash Card’s rewards are simple, yet highly lucrative, as all cardholders earn
2% cash back on all purchases. That includes employee authorized users, for whom cards are free, by the way. New applicants who spend
$4,500 within three months of opening an account will receive an initial rewards bonus of
$500.
With those rewards in mind, the Capital One Spark Cash Card’s annual fee seems like a bargain. It’s
$0 the first year and
$95 each year after. Not only will the value of the initial rewards bonus cover the cost of Spark Cash annual fees for years, but the card’s ongoing rewards allow users to break even each year after the first by spending just $4,750.
The Spark Cash business credit card is not perfect, however. For one thing, it probably won’t help you save on interest, offering no introductory financing deals and a fairly high regular APR. Spark Cash isn’t available to everyone, either. You need good or excellent credit to be approved.
That’s the short story. Below, you can find a breakdown of all of the most important factors to consider before applying for Capital One Spark Cash for Business.
Capital One Spark Cash for Business Review Highlights
Big initial bonus
The Capital One Spark Cash Card offers
$500 after spending
$4,500 in the first three months. That’s one of the biggest cash-back bonus available from any credit card, whether business or personal.
Simple, lucrative ongoing rewards.
You won’t need to worry about how your expenses are categorized with the Spark Cash for Business Card, as its earning rate doesn’t vary based on what you buy. Instead, you’ll earn
2% cash back on all purchases, which is about double what the
average cash rewards card would give you. Plus, the rewards you earn with this card won’t expire as long as your account is open, and you can redeem them for a statement credit whenever you want.
No annual fee the first year
The Capital One Spark Cash Card is neither the most expensive business credit card available, nor is it the cheapest. In fact, its
$95 annual fee is nearly 4.5 times the average credit card’s
$22.29 yearly charge. But it’s waived the first year, fortunately, and shouldn’t deter you from taking advantage of the Spark Cash Card’s rewards.
Free employee cards
Spark Cash lets business owners add employees as authorized users and give them cards tied to the account at no extra cost. Employee cards earn unlimited 2% back on all purchases, too, and all the rewards go back to the business. You can also set custom spending limits for each employee.
Good-credit requirement
You generally need good to excellent
personal credit to get approved for the Capital One Spark Cash Card. After all, your creditworthiness matters a lot more than that of your business, given how
personal in nature business credit cards really are. If you don’t know where your credit currently stands, you can
check your latest credit score for free on WalletHub.
Fairly high APR.
The average credit cards for people with good and excellent credit charge interest at annual rates of
24.12% and 18.04%, respectively. Capital One Spark Cash for Business charges a bit more than the good-credit average. So you’re likely to overpay on interest if you carry a balance from month to month with Spark Cash.
Besides, carrying a balance with a business card is a bad idea because issuers can increase the interest rate applicable to it at any time. As a result, you’re better off using a general-consumer 0% credit card for company financing. You can learn more about why that’s the case from
WalletHub’s business credit card study. If you’re interested in Capital One Spark Cash but are not keen on paying an annual fee, consider
Capital One Spark Cash Select for Excellent Credit.
Note: This review is not provided, commissioned or endorsed by any issuer. Opinions and ratings are our own.