Lloyds Bank Business Credit Card review 2020
For Lloyds Business customers looking to even out their cash flow, this straightforward credit card comes with a competitive (albeit variable) interest rate and a mobile app to manage your business's spending on the go.
You say: ★★★★★We say: ★★★★★
Doing its job: 3.5/5
In a nutshell:
Yearly account fee
Minimum credit limit
Chris Lilly is a publisher at finder.com. He's a specialist in credit-based products including business and personal loans, mortgages and credit cards, and is passionate about helping UK consumers make informed decisions about their borrowing. In his spare time Chris likes forcing his kids to exercise more.
With a lower-than-average 17.57% standard purchases rate, Lloyds Bank Business Credit Card can help small and medium enterprises who struggle with irregular invoice payments to smooth over the day-to-day running of their business.
Provided you pay off your balance in full every month, you can enjoy up to 45 days interest-free each billing cycle (although this doesn’t apply to cash withdrawals).
Lloyds can issue up to 20 cards for the same business, and you can set personalised spending limits on each of them to control your business’s expenses more easily. Just keep in mind that each new card will come with its own annual fee – which unfortunately Lloyds, unlike some other card issuers, doesn’t scrap for the first year.
The Lloyds Bank Business Credit Card sadly doesn’t offer any extra rewards or perks, so it gives you no cashback on purchases or theatre tickets discounts. However, the low interest rate combined with an average annual fee makes it a reasonable choice to give your business’s finances a little extra breathing space.
Pros and cons
- £32 annual account fee.
- Applicants with low credit scores are unlikely to be eligible.
- Each additional card incurs a fee (£32).
- You may be offered an opening credit limit as low as £1,000.
How does this deal compare?
When it comes to repayments, you can make manual repayments online or over the phone (0345 072 5555), or alternatively set up a direct debit. A direct debit is a great idea because it protects you from forgetting to make a repayment and either damaging your credit score, getting hit with a penalty fee or losing any promotional rates as a result. You can arrange a direct debit for repayments when you apply for the credit card. The table below shows the options available.
Choose from the following direct debit options for your monthly repayments:
|Minimum amount||Fixed amount||Fixed percentage||Full amount|
How to apply for the Lloyds Bank Business Credit Card
Eligibility criteria to apply for a Lloyds Bank Business Credit Card include being resident in the UK and a sole trader, partner or director of your business.
Moreover, the Lloyds Bank Business Credit Card is only available to Lloyds business customers, so if that isn’t you, but you’ve looked at credit cards and decided that the Lloyds Bank Business Credit Card is the one for you, you’ll have to go through the process of getting yourself a Lloyds business current account first.
Once that’s out of the way, you can either apply online or give Lloyds a call. The online form should take around 10 minutes to fill in.
You should be prepared to give detailed information about your business – among other things, it’s a good idea to have your business address, bank details and annual turnover at hand. You’ll also need the details of the cardholders, such as their date of birth, mother’s maiden name, contact number and three years of address history.
If you’ve held a Lloyds business account for less than four months, you may be asked for extra documents, such as copies of old bank statements.