Best business credit cards for travel

BEST FOR

Spending abroad

Capital on Tap Business Credit Card

BEST FOR

Lounge access

Barclaycard Premium Plus Business Credit Card

BEST FOR

Frequent flyers

British Airways American Express® Accelerating Business Card

If you regularly need to travel abroad for business, choosing the right type of credit card (or charge card) can enable you to side-step sneaky foreign transaction fees, as well as benefit from travel perks such as airport lounge access or frequent flyer points. Here’s how to pick the best card for your business.

What to look for in a travel credit card for business

1. Does the business card charge for foreign transactions?

One of the main features to look for with a travel credit card for business is whether it charges foreign transaction fees. Many standard business cards charge a fee every time you make a purchase abroad, as well as when you withdraw cash with your credit card. Travel credit cards can help you to avoid paying these fees, making them ideal if you regularly need to spend abroad.

2. Is there a cash withdrawal fee?

Be aware, however, that even if your credit card doesn’t charge a fee for withdrawing cash abroad, you’ll still usually be charged interest. This will be charged from the transaction date even if you clear your balance that month.

3. Does the card come with additional benefits?

On top of this, check whether you’ll benefit from additional travel perks. Some credit cards offer travel accident insurance, for example, as well as emergency card replacement around the world. Others might also offer access to airport lounges, and some might let you earn reward points, such as Avios.

4. Can you get additional employee cards?

Find out whether you can get additional employee cards and how much interest the card charges if you don’t pay off your balance in full each month. Some credit cards might even offer interest-free purchases for a few months, and if the card comes with travel rewards, employee spending could help top up the travel points pot, too.

5. Is there an annual fee?

Finally, check whether there is an annual fee to pay, and if so, whether this would be worth it in exchange for the rewards you receive.

What are the different travel rewards programmes available?

We’ve outlined some of the different travel rewards programmes below:

Avios

One of the biggest travel reward programmes is Avios. This frequent flyer programme lets you to earn points as you spend, which can be redeemed for rewards such as free flights or hotel stays. Avios is British Airways’ loyalty currency but can be used on any of the Oneworld Alliance airlines, including Iberia, Qantas, Cathay Pacific and American Airlines, among others. You can find out more about Avios business credit cards in our guide.

British Airways on Business

On Business is another British Airways loyalty programme, but it’s designed specifically for businesses. It works similarly to Avios, but instead of rewarding individuals, it rewards your company when you travel. This means you earn On Business reward points for each flight booked with British Airways. You can collect both Avios and On Business points on the same flight. Points can be redeemed on flights with British Airways, Iberia and American Airlines.

Amex Membership Rewards

Certain American Express business credit cards also let you earn Membership Reward points as you spend. You can then redeem these points on American Express Travel, which includes flights with major airlines such as British Airways, Virgin Atlantic and Emirates, as well as hotels and car hire.

Pros and cons of travel credit cards for business

How to get the most out of your business credit card for travel

To get the most out of your business credit card for travel, you’ll need to spend regularly. Some travel credit cards require you to spend a set amount in a certain timeframe to qualify for reward points, so make sure you can meet this requirement. This can be easier if you have additional cardholders, such as your employees, and if you have a lot of expenses to put on a card.

It’s also important to check whether there’s an annual fee to pay and, if there is, whether the card offers enough in the way of rewards to make paying the fee worthwhile. Similarly, interest rates on travel credit cards can be high, so it’s really only worth using one if you can be sure of paying off your balance in full each month. Otherwise, the interest charged will likely outweigh the benefits of having the card.

Remember, too, that cash withdrawals are best avoided with a credit card. Even if your card doesn’t charge a foreign transaction fee for withdrawals, you’re usually charged interest, and this is charged from the withdrawal date.

Who is eligible?

To be eligible for a business credit card for travel, you need to be at least 18 years old, and you and your business need to be based in the UK. Depending on the credit card you choose, you might also need to meet a minimum turnover requirement and be registered as a private limited company or a limited liability partnership.

You’re also likely to find it easier to get accepted if your business has a good credit history.

How to apply

The exact application requirements depend on the business card you’re interested in. However, you can usually make your application online by filling in a short form and providing some personal details as well as information about your business. Your credit card should arrive within 5 to 7 working days.

How to choose the best business credit card for travel

You probably won’t find a card that ticks all the boxes, but here’s a basic list of factors to consider and prioritise when you compare your options:

1. Rewards. Are they any good? What’s the earn-rate? What’s the introductory bonus?
2. Fees. This can include foreign transaction fees, as well as annual account fees. Make sure any features or rewards outweigh the cost of fees when comparing cards.
3. Travel perks. Some credit cards offer complimentary travel insurance and airport lounge access. If that’s the type of card you’re after, you definitely want to check out the Amex Platinum Business card, as it offers a competitive range of travel perks. Unfortunately, these perks are rarely found in credit cards that don’t charge foreign transaction fees.
4. Interest rate. This is only important if you expect to occasionally carry a balance on the card. It tells you how much doing so will cost you.
5. Facilities. Can you manage your credit card from your phone? Can you set individual spending limits for different cards? Does it integrate with your accounting software?

The bottom line

Business credit cards for travel can offer some very enticing rewards if you regularly travel abroad for business. As well as helping you to avoid expensive foreign transaction fees when you spend on your credit card, you might also benefit from access to airport lounges, insurance and the opportunity to earn reward points that can be redeemed on future flights.

However, annual fees can apply and interest rates can be high, so they’ll only be of real benefit if you can pay off the balance in full each month and earn enough rewards to make the fee worth paying.

Frequently asked questions

• Should I use a credit card or a debit card for my business travel expenses?

  It depends, but generally speaking, you may want to take both with you. If you have a business rewards credit card with no foreign transaction fees, you want to use it as much as possible.

  However, if you need to get cash, do it on your business debit card – cash advances on credit cards accrue interest from the very day they’re taken out and may also incur a fee. Some business debit cards, like Starling, don’t charge any foreign transaction fees, not even on cash withdrawals, so they’re good to have in your wallet when you go abroad.

• What is the best business credit card for air miles?

  The best business credit card for air miles will ultimately depend on how you plan to use your card. Those cards that enable you to earn the most air miles will usually require you to spend higher amounts and will often charge high annual fees and high interest rates. If you can’t meet the spending requirements or clear your balance in full each month, look for a credit card that offers fewer air miles but is more suited to your business.

• Is it better to use a business credit card that offers cashback or travel benefits?

  This depends on whether you regularly travel overseas for business. If you do, having a card that charges no foreign transaction fees and/or offers other travel perks is likely to be more suited to you. But if you rarely go abroad, a cashback credit card may be more beneficial.

• Can you use business travel points for personal use?

  Yes, you should be able to. With Avios, for example, you’ll need to open your own Avios account, and you’ll be the only person who can use your membership card. That means you can redeem your Avios for any flights you take – whether for personal or business reasons.

• Which no annual fee credit card is good for business travel?

  Unfortunately, most business credit cards that offer travel benefits come with an annual fee. However, the American Express Gold Business Charge card won’t charge a fee for the first year (it’s £175 after that). The card enables you to earn Membership Reward points as you spend, but bear in mind that as it’s a charge card, not a credit card, you must pay off your balance every month.

• Can your family use your business air miles or lounge access?

  This depends on the credit card you’re using. If your credit card lets you earn Avios, for example, you can pool your Avios with up to six people who live with you and all benefit from the collective balance. Some business credit cards that offer lounge access will extend this to you and one guest, but usually no more than that.

• If I have a bad credit score, can I still apply for a business credit card with travel rewards?

  Yes, you can still apply, but you’re less likely to get accepted, especially if your card offers some of the most competitive travel rewards available. Your best bet might be to take out a credit card specifically designed for businesses with bad credit, take the time to improve your credit score by repaying your debt in full and on time and then apply for a more competitive credit card at a later date.

• What's the difference between a personal and a business credit card?

  They basically work the same way, but a business credit card is for business purposes, and its features will be tailored to business (and not personal) needs. Among other things, you can expect a slightly more complicated application process, a higher credit limit and more additional cards available. Business credit cards also tend to offer less favourable financial conditions – 0% deals are quite rare and shorter, most cards charge an annual fee and it’s hard to find low-rate deals.