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Video Sunday Reader Question: Meeting Business Credit Card Spend Requirements

by on April 29, 2012 · 11 comments

in Sunday Reader Questions, Video Blog Post

TPG reader Kevin asks:

“I recently applied for an American Express small business credit card and I have to reach the $10,000 minimum spend in several months. I’ve read your post on clever ways to reach the minimum spend bonus, but I’m unclear on if the strategy differs on personal or small business cards. If I’m the sole propitiator for a business, are there certain personal spends I can’t make? This is my first business card, so I’m worried groceries/smaller personal purchases would prompt a Fraud Report from Amex.”

As you see in the video, there’s no need to be nervous. It’s true, you don’t want to trigger a financial investigation from Amex, but a business card is basically the same thing as a personal card, and it doesn’t matter what expenses you put on it. Obviously don’t to anything shady, and for your own accounting purposes, you might want to keep your business and personal expenses separate, but from the perspective of meeting minimum spending requirements Amex doesn’t care.

For instance, I got the Amex Business Gold card for business earlier this year and had to hit $10,000 for the full point bonus, so I put some personal expenses on it to do so, and for my own accounting, I just made sure to notate that it was a personal expense. But there is no problem putting these expenses on your card. If you play by the rules and don’t put anything shady on the card–Amex will even let you buy Amex gift cards and count these purchases toward your minimum spending requirement–you should have no problems.

If you need more minimum spend ideas, check out this post.

Disclaimer: This content is not provided or commissioned by the credit card issuer. Opinions expressed here are author.s alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through the credit card issuer Affiliate Program.

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  • zale123

    If you are concerned about a FR from Amex, stay far away from Amazon Payments, Paypal and Venmo. Amex has been red-flagging services that let you potentially take a cash-advance out of your card.

    10k is a serious spending requirement IMO, and I don’t think that it was worth it for 75k, as you can get two plat cards, or two-three Chase cards with 100k+ for that same spending requirement or less.

    If you have a real business that is indeed spending that kind of money, then it most certainly will not be a problem for you to meet that spending requirement.

  • Csubomb05

    Care to define “shady”?

  • Adam

    shady…like “lamp-shady”?

  • Rinken

    This is funny. You suggest readers not to use venmo and amazon payment to meet spend requirement. then you direct readers to a post for spending ideas where the very first suggestion is venmo and amazon payments. Anyways, venmo is charging 3% for CC transfer from may 1st.
    I also like to know what you mean by “shady”.

  • thepointsguy

    I never said people shouldn’t use Venmo or Amazon- I’ve always recommended they be used, but in moderation. When I mean “shady” I mean pushing them to the limits by setting up fake accounts and funneling money directly back and forth between your own accounts

  • JW

    I was reading the Amazon Payments transaction fee info. It looks like I can send money for free, but the recipient (my wife in my case) would pay the 2.9% fee. Is that correct or am I missing something?

  • Jim

    I know this is an old post, but with the current 75K AMEX business card promo, I wanted to raise this issue again: the terms & conditions of the Amex Business Gold card application says, you “are REPRESENTING THAT ALL CARD(S) ISSUED ON THE ACCOUNT WILL ONLY BE USED FOR COMMERCIAL OR BUSINESS PURPOSES.” That gives me pause. Is it really so easy to say that it doesn’t matter what expenses you put on the card when there is a clause like this? Thanks for your input.

  • AM

    I have a similar question as well. TPG, can you respond to this?

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  • Mr. Cool

    is there a way to electronically send amazon funds to a a bank account of your choosing in order to pay credit card bills?

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