Wells Fargo Business Secured Credit Card
BEST FOR
Business owners with poor credit
- Cash Back option: Earn 1.5% cash back on every $1 spent
- Reward Points option: Earn 1 point on every $1 spent and receive 1,000 bonus points when your company spend is $1,000 or more in any monthly billing period
- $0 annual rewards program fee
- $500 to $25,000 credit line
- Zero liability protection
Pros
- Approval with credit scores below 580
- Your choice of fixed-rate cash back or points rewards
Cons
- Requires a security deposit of at least $500
- Has an annual fee
- Purchase Assurance: Wells Fargo will repair, replace, or reimburse you for items that are damaged or stolen within 90 days of purchase.
- Design Studio: Include a personal image or business design on your credit card.
The Wells Fargo Business Secured Credit Card is a good option for businesses that need to establish or improve their business credit. Credit lines range between $500 and $25,000, depending on the amount of security deposit. This business credit card helps build business credit by reporting payment and usage behavior to the main credit bureaus.
Who Wells Fargo Business Secured Credit Card Is Best For
- Businesses with little to no credit history or low credit score: Wells Fargo reports payments and usage to the Small Business Financial Exchange, helping businesses build or improve their business credit.
- Owners with cash reserves of up to $25,000: The Wells Fargo Business Secured Credit Card requires a cash deposit between $500 to $25,000. Wells Fargo offers a credit line based on the amount of security deposit.
- Owners who cannot qualify for unsecured business credit cards: Just like a regular business credit card, the Wells Fargo Secured Business Credit Card can be used to pay for business expenses, control employee spending, and build credit. It also helps you to qualify for an unsecured small business credit card in the future.
How We Evaluate Business Secured Credit Cards
When grading business secured credit cards like the Wells Fargo Business Secured Credit Card, we weigh the annual fee and ongoing annual percentage rates (APRs) the heaviest. We also consider the card’s rewards, security deposit, introductory APR, and any other fees.
Grading Criteria | Card Score | Highest Possible Score |
|---|---|---|
Annual Fee | 25 | 25 |
Ongoing APR | 25 | 5 |
Ongoing Rewards | 10 | 10 |
Introductory Rewards | 0 | 10 |
Security Deposit | 10 | 10 |
Other Fees | 10 | 10 |
Introductory APR | 0 | 5 |
Additional Features | 5 | 5 |
Total Score | 85 | 100 |
Wells Fargo Business Secured Credit Card Fees
- Introductory APR: None
- Ongoing APR: Prime + 11.90%
- Annual fee: $25
- Balance transfer fee: Varies per account
- Foreign transaction fee: None
- Cash advance fee: 4% or $10, whichever is greater; cash advance APR is prime rate + 20.74%
Wells Fargo Business Secured Credit Card Rewards
- 1.5% cash back for every $1 spent on all net spending, or
- 1 point for every $1 spent on net purchases, and get 1,000 bonus points when your company spends $1,000 or more in a monthly billing period
Welcome offer: None
Wells Fargo Business Secured Credit Card allows you to earn either cash back or rewards points, depending on what you choose. Cash back can be credited automatically to your account or eligible checking or savings account each quarter.
If you choose to earn rewards points, you can redeem your points for gift cards, merchandise, airline tickets, and more. When you redeem points for airline tickets, you’ll need to pay a redemption fee of $24. You can get 10% point credit when you redeem points online.
Wells Fargo Business Secured Credit Card Features
Purchase Assurance
Eligible items purchased using your Wells Fargo Business Secured Credit Card are covered by purchase assurance in case they are stolen or damaged within the first 90 days of purchase. Wells Fargo will replace, repair, or reimburse you up to $10,000 per item, maximum of $50,000 per year.
Periodic Credit Reviews
Wells Fargo will review your account and recent credit history on a periodic basis to check if you qualify for an upgrade to an unsecured business credit card. There is no preset time for when you might qualify. Your eligibility to upgrade to an unsecured card depends on many factors, like your payment history, credit score, and credit utilization ratio.
Design Studio
Wells Fargo offers a unique feature that allows you to customize the design of your Wells Fargo business credit card by uploading an image that represents your business to its online studio. You can use your business logo, your storefront or product line, and this image will appear on your secured business credit card.
Wells Fargo Business Secured Credit Card Alternatives
BBVA Compass Secured Visa Business Credit Card
BBVA Compass Secured Visa® Business Credit Card
BEST FOR
Business that operate out of Southern or Southwestern states
- Low $40 annual fee waived the first year
- Available credit is 90% of your savings account balance
- Earn 1 point for every $1 in purchases, plus get 3x points at office supply stores and 2x points at gas stations and restaurants
- Online account services
- Employee cards at no additional cost
Pros
- No personal credit check required
- Annual fee is waived for the first 12 months
Cons
- Only available in Alabama, Florida, Texas, Arizona, Colorado, California, and New Mexico
- Your available credit will be 90% of your security deposit balance
- Purchase protection: BBVA Compass will replace, repair, or reimburse you for eligible items in the event of theft or damage within the first 90 days of purchase.
- Travel accident insurance: You’ll receive coverage up to $500,000 for travel accidents when transportation is purchased with your business credit card.
- Auto rental collision damage waiver: You’re covered for damage due to collision or theft when you rent an eligible car with your BBVA Compass Secured Visa® Business Card Rewards card.
Capital One Secured Mastercard
Capital One® Secured Mastercard®
BEST FOR
Rebuilding your personal credit
- No annual fee, and all the credit building benefits with responsible card use
- Unlike a prepaid card, it builds credit when used responsibly, with regular reporting to the 3 major credit bureaus
- You will get an initial $200 credit line after making a security deposit of $49, $99, or $200
- Get access to a higher credit line after making your first 5 monthly payments on time with no additional deposit needed
- Easily manage your account 24/7 with online access, by phone or using our mobile app
- It's a credit card accepted at millions of locations worldwide
Pros
- Receive an initial credit line of $200
- Access higher credit limits after making your first five monthly payments on time
- Pick your own monthly due date and payment method
Cons
- High ongoing APR
- Minimum security deposit of $49, $99 or $200
- No rewards program
- Travel accident insurance: Get travel insurance for a covered loss at no extra charge when you use your credit card to purchase your travel fare.
- Extended warranty protection: You’ll receive additional warranty protection at no charge on eligible purchases.
- Car rental insurance: When you rent a car using your card, you can be covered for damage due to collision or theft.
Discover it Secured
Discover it® Secured
BEST FOR
Business owners who need help rebuilding personal credit
- No Annual Fee, earn cash back, and build your credit with responsible use.
- It's a real credit card. You can build a credit history with the three major credit bureaus. Generally, debit and prepaid cards can't help you build a credit history.
- Establish your credit line by providing a refundable security deposit from $200-$2500 after being approved. Bank information must be provided when submitting your deposit.
- Automatic reviews starting at 8 months to see if we can transition you to an unsecured line of credit and return your deposit.
- 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases every quarter, automatically. Plus, earn unlimited 1% cash back on all other purchases.
- Get 100% U.S. based customer service & get your free Credit Scorecard with your FICO® Credit Score
- We automatically match all the cash back you've earned at the end of your first year.
- Receive Free Social Security number alerts— Discover will monitor thousands of risky websites when you sign up.
Pros
- Earns ongoing cash back rewards
- Deposit is refundable
- Free FICO credit scores
Cons
- Requires security deposit of at least $200
- No 0% APR period
- High ongoing APR
- FICO® Credit Score: Receive free FICO® scores and monitoring.
- Discover® Identity Alerts: Get free Experian credit report and dark web monitoring.
- Freeze it®: Protect your account by stopping account activity in the event of suspicious card activity or if your card is lost or stolen.
Bottom Line
The Wells Fargo Business Secured Card is best for business owners who need to build or improve their business credit while earning a fixed-rate cash back or rewards points for all spending. While it helps build business credit, Wells Fargo does not report payment and usage activities to consumer credit bureaus. See our list of top credit cards to help you find the right credit card for your business.
