Directors guarantee on company credit card?

[Brian Turner]

My company credit card limit has been set too low, so I'm trying to get it lifted up from £2k to £3k/month.

Was speaking to my business manager, and apparently they have to check whether they'll need a director's guarantee from me - ie, to allow Mastercard to recover funds from me if there isn't enough in the bank account.

Personally I'm pretty disgusted - I've always been in credit and the business account isn't at all short.

Additionally, I had nothing but cock-ups when I first set up with Mastercard via Royal Bank of Scotland - 8 week delay, billed before it arrived, plus they set it up on an interest repayment, rather than 30 day interest free then full repayment.

I'll be very annoyed if they are going to dare ask for a directors guarantee from me.

Question is, is such a request normal?

[Brian Turner]

UPDATE: Credit card limit raised no problem. If they'd demanded a directors guarantee for raising the credit card limit on a business account with an excellent credit record, I'd have moved bank.

[JamesSmith]

Originally Posted by Brian Turner

UPDATE: Credit card limit raised no problem. If they'd demanded a directors guarantee for raising the credit card limit on a business account with an excellent credit record, I'd have moved bank.

We have a card with a 10k limit and they requested we set aside 5k into a seperate savings account. Even though we have other cards with them and moved all of the groups accounts over to them (HSBC).

[brooke]

My business card is 500 pounds and it gets paid in full at the end of the month. All I ever use it for is buying domains at 6 pounds a throw. I just use cheques for most other things.

[magicnet]

Brian £2k or even £3k seems too low for a business credit card, is there much benefit in having it as opposed to a personal credit card?
I have a personal creditcard with 7k, i would expect that they offer better than that for a business credit card.

[Brian Turner]

I only needed a limit for the costs incurred by the business - and as the business is a limited (incorporated) company, it was essential to tie payments to the business account, not personal one.