What the Ink Business Preferred card does

The Chase Ink Business Preferred Credit Card is a business credit card that earns cash back on specific spending categories and offers a sign-up bonus. You earn 3% cash back on the first $25,000 spent in combined purchases on internet, cable, phone services, and gas stations each account anniversary year (then 1% after that). You also earn 2% cash back on office supplies and internet, cable, and phone services, and 1% on all other purchases.

The card has an annual fee of $95. There is no foreign transaction fee, which matters if your business pays vendors or suppliers overseas. The card reports to business credit bureaus, so using it responsibly can build your business credit profile separate from your personal credit.

This card is designed for small business owners and self-employed people who want to organize spending by category and earn rewards without paying an annual fee that exceeds the value they get back.

Key Takeaways

  • You earn 3% cash back on internet, cable, phone, and gas station purchases up to $25,000 per year, then 1% after that threshold.
  • The $95 annual fee means you need to spend enough to earn rewards that offset the cost.
  • The sign-up bonus (which varies by offer) is paid as a statement credit once you meet the spending requirement within the first few months.
  • You must have a business structure (sole proprietorship, LLC, S-corp, or C-corp) and a business tax ID or Social Security number to open the account.
  • The card does not report to your personal credit bureaus, so it will not directly affect your personal credit score.

Who should open this card

This card works best if you have a business that regularly pays for internet, phone, cable, or gas. If your business spends $5,000 or more per year on these categories combined, the 3% cash back will likely cover the $95 annual fee and generate additional rewards.

It is also useful if you want to separate business spending from personal spending on your credit report. The card reports only to business credit bureaus, not to Equifax, Experian, or TransUnion, so it will not show up on your personal credit report or affect your personal credit score.

If your business does not spend much on the bonus categories, or if you prefer a card with no annual fee, other business cards may be a better fit.

How to open an account

You will need your business information, personal identification, and Social Security number or business tax ID. Chase accepts sole proprietorships, partnerships, LLCs, S-corps, and C-corps.

Go to Chase's business credit card page and select the Ink Business Preferred card. You will be asked for your business name, business structure, and how long the business has been operating. Have your Social Security number or EIN ready. The process takes about 10 minutes.

Chase will give you a decision when ready or within a few business days. If approved, your card will arrive in 7 to 10 business days. Once it arrives, you must set up it before you can use it. Chase will send set up instructions with the card or you can set up it through your online account.

How the sign-up bonus works

The current sign-up bonus varies by offer, but it is typically $300 to $500 paid as a statement credit. To earn it, you must spend a set amount (usually $3,000 to $5,000) in purchases within the first three months of opening the account.

The bonus is automatic once you meet the spending requirement. Chase will post it to your account as a statement credit, which reduces your balance or can be used toward your next payment. You do not need to request it or enter a code.

The spending requirement counts all purchases on the card, not just bonus categories. If you are opening the card specifically for the bonus, plan your business spending to hit the threshold within the first three months.

How to use the card and track rewards

Use the card for any business purchase, but focus on the bonus categories to maximize cash back. The 3% category (internet, cable, phone, gas stations) is where you will earn the most. Keep receipts or statements to track your spending toward the $25,000 annual cap on the 3% rate.

Log into your Chase business account online or through the mobile app to see your cash back balance and transaction history. You can redeem cash back as a statement credit, a check, or a transfer to a linked bank account. There is no minimum redemption amount.

The card also offers purchase protection, extended warranty coverage, and roadside dispatch information. These benefits are outlined in your cardholder agreement, which Chase will send when you open the account.

Annual fee and when to keep or close the account

The $95 annual fee posts on your account anniversary each year. If you earned $95 or more in cash back during the year, the card has paid for itself. If you earned less, you may want to close the account to avoid the fee.

To close the account, call the number on the back of your card and ask to close the business credit card. Chase will confirm your request and send a written confirmation. Closing the account will not hurt your business credit score, but it will reduce your total available credit.

If you want to keep the card but reduce the fee impact, focus your spending on the 3% categories. A business that spends $3,000 per year on internet, phone, and gas will earn $90 in cash back, nearly offsetting the annual fee.

How this card affects your credit

The Ink Business Preferred card reports to business credit bureaus (Dun & Bradstreet, Equifax Business, and Experian Business), not to personal credit bureaus. This means the card will not show up on your personal credit report and will not affect your personal credit score.

However, Chase will perform a hard inquiry on your personal credit report when you open the account. This inquiry may lower your personal credit score by a few points temporarily. The inquiry will fall off your report after two years.

If you are a sole proprietor, your business credit and personal credit are legally the same, but Chase still reports this card only to business bureaus. Building a separate business credit profile can help you get better terms on future business loans or credit lines.

Frequently Asked Questions

Can I use this card for personal purchases?

Technically yes, but you should not. This is a business card, and the cardholder agreement requires you to use it for business purposes only. Using it primarily for personal purchases could violate the terms and give Chase grounds to close the account or deny rewards.

What happens if I do not spend $25,000 in the 3% categories in a year?

Nothing negative happens. You straightforward earn 1% cash back on any spending above $25,000 in those categories for the rest of that account anniversary year. The cap resets on your next account anniversary.

Can I transfer my cash back rewards to airline miles or hotel points?

No. The Ink Business Preferred card only allows you to redeem cash back as a statement credit, a check, or a bank transfer. It does not have a travel rewards program or transfer partners.

What if I close the account before the annual fee posts?

If you close the account before your account anniversary, you will not be charged the annual fee. If you close it after the fee has posted, you can call Chase and ask for a refund, though they are not required to grant one.

Do I need a separate business bank account to open this card?

No. Chase does not require you to have a business bank account. You can link the card to your personal bank account for payments and transfers. However, keeping business and personal finances separate is a good practice for accounting and tax purposes.