Simple Ways to Find the Best Credit Cards for a Self-Employed Person

In today’s world, credit cards have become an essential tool that can help in a variety of situations. They aren’t just financial support for salaried employees. Self-employed individuals can also utilise them to manage cash flow and separate personal finance from work expenses. 

You, too, can take advantage of the numerous perks with a credit card for self-employed individuals, such as:

• Get instant access to funds for last-minute work trips, inventory, transport or office rent
• Convert expensive machinery or electronic purchases into budget-friendly EMIs
• Enjoy cashback and reward points on transactions so you can save more
• Track business and personal expenses with ease by checking statements and using a mobile app 

With the right card, managing your work and personal finances becomes simpler and more efficient. The key to finding the right card as a self-employed person is knowing where to look and what to consider. Read on to learn about some excellent card options for a self-employed person.

Understanding Credit Cards for Self-Employed Individuals

Being an entrepreneur or a freelancer, keeping track of monthly income can be harder. This is because, in most cases, it may not be as regular as that of a salaried employee. In such a scenario, a credit card for self-employed individuals can save the day. 

It helps you get funds for buying essentials and investing in your business, which you later repay when you get paid for the products or services you provide.

Best Credit Card Options for Self-Employed Individuals

Here is a list of some of the best credit cards designed for self-employed individuals, professionals and freelancers:

Disclaimer: The above-mentioned features and fees are subject to change as per the issuers’ policies. 

Benefits of Credit Cards for Self-Employed Individuals

As a business owner or a professional offering your services as a consultant, you can leverage a credit card for many gains. Here’s a look at some of them:

• Enhances Financial Management

You may be a full-time graphic design freelancer or at the helm of a start-up – no matter what you do, a credit card can help you easily manage your finances. By checking all your expenses, you can manage your budget and track exactly how much you are spending under different heads. Some cards, like the One Credit Card, also allow you to set budget limits to stay on track. 

• Builds Your Credit Score

If you are already using a credit card for personal use, then you can have another one specifically for professional use. This can help you build a credit history with two cards and with a better score, you can get access to affordable loans and overdraft facilities to manage business expansion, diversification and more. 

• Gives Access to High Credit Limits

As you use your credit card and pay bills on time, you can slowly qualify for a bigger and better credit limit. Using it, you can buy important products and services without any delay to enhance your business operations. This can be a boon for your work, as clients may often delay payments. 

• Makes Managing Emergencies Easier 

With a cash advance, credit card loan and EMI conversion facility, you can address emergencies that arise in your business and personal life. This makes a credit card a must-have in your financial tool kit. 

• Offers a Robust Rewards System

Usually, you will have big-ticket expenses as a self-employed professional, whether it is a high-end camera and lens as a photographer or laptops and software as the marketing business owner. One of the benefits of using a credit card for such expenses is that you can use the EMI conversion option and get exclusive discounts from partner retailers. You can also earn high reward points and redeem them for future business expenses. All this helps you save more and get exclusive perks. 

Credit Card Eligibility Criteria for Self-Employed Individuals

While it differs for all issuers, you will need to fulfil the following general criteria to apply for a credit card:

• Your age must be 21 or above
• Your credit score should be good, preferably over 750
• Your annual income needs to be stable and meet the minimum requirements, which vary based on the credit card company

Credit Card Document Requirements for Self-Employed Individuals

When you apply for such a credit card, you will need to submit the following documents:

• Identity and address proof, like your Aadhaar card, Voter’s ID and PAN card
• Business proofs, such as licences, certificates, GST registration certificates, etc.
• Income proof, such as recent bank statements, income tax returns, etc.
• 2 or 3 passport-size photographs

Application Process for Credit Cards for Self-Employed Individuals

To apply for a credit card for self-employed individuals, you can follow these steps:

• Step 1: Visit the bank in person or access its mobile app or website
• Step 2: Explore credit cards and choose a suitable one
• Step 3: Fill out the application form with personal and business details
• Step 4: Submit the form along with the required documents

Once your request is approved, you will receive the credit card at your registered address. Until then, you can activate the virtual credit card to enjoy the benefits immediately.

This feature is not available on all credit cards, so look for this when exploring your options – especially if you have an urgent business expense coming up. With the One Credit Card, you enjoy instant access along with zero joining and annual fees for life.

It comes with a powerful app, the OneCard App, that makes it easier for you to track payments and set budget limits. This way, it gives you complete control of your finances and the opportunity to boost your credit score. To top it off, you can apply for OneCash, a loan against your credit limit, which can be an easy solution to your urgent requirements. Download the app or visit the website to know more and apply now.