Using Pay in Full with Sapphire Reserve for Business℠
Quick insights
- Cardmembers with a Pay in Full credit card have to pay their statement balance in full each due date.
- The Chase Sapphire Reserve for Business card is a Pay in Full credit card.
- Flex for Business allows a portion of your credit access line to be used for purchases over time, with interest.
Credit cards can be helpful tools for business owners. They provide access to a line of credit as well as financial flexibility. Businesses that routinely pay off their card’s statement balance in full may want to consider a Pay in Full card. The Sapphire Reserve for Business card is one Pay in Full business credit card offered by Chase.
Read on to learn how Pay in Full cards work, why business owners may want to consider one and payment options available to Sapphire Reserve for Business cardmembers.
What is a Pay in Full credit card?
A Pay in Full credit card is a type of credit card that requires the cardmember to pay off the entire statement balance each month by the due date. The Sapphire Reserve for Business credit card is a Pay in Full card.
Pay in Full cards may be ideal for businesses that want access to credit without accumulating additional debt each month. Note that using a Pay in Full credit card means you will need to pay your entire balance each month.
Card issuers may have higher eligibility requirements for Pay in Full credit cards as the issuer wants some assurance that the cardmember can pay the balance each month. Typically, those who apply for a Pay in Full card will need a good credit score and solid financial history.
How to use Pay in Full
Sapphire Reserve for Business cardmembers have to pay their card’s statement balance in full every month. Cardmembers can make more than one payment per month, but whatever amount is on the statement balance is the amount that needs to be paid.
The statement balance is not the same as the card’s current balance. The current balance may include purchases that have taken place since the statement closed. Cardmembers need to pay the statement balance in full to avoid interest or penalties.
Can you carry a balance with Sapphire Reserve for Business?
Sapphire Reserve for Business offers Flex for Business, which allows cardmembers to carry a revolving balance up to their approved limit. This may add payment flexibility for business owners when needed.
Cardmembers can pay for eligible purchases over time with interest up to the Flex for Business limit. This may be useful for large or unexpected expenses and can provide purchasing power and flexibility even as a business is paying off its outstanding balance.
Purchases are automatically included in your Flex for Business balance until you reach its limit. After that, any additional purchases will be charged to your Pay in Full balance.
Benefits of Pay in Full credit cards
There are many business credit cards that are not Pay in Full cards, meaning cardmembers can carry a balance. For businesses who want flexibility with their credit line, a Pay in Full card may not be the right choice.
However, there are benefits to having a Pay in Full card, including:
- Higher spending limits: Pay in Full cards typically do not have a pre-set spending limit. Instead, the limit can vary based on the cardmember's spending habits and what they are able to routinely pay off.
- Greater rewards and benefits: Pay in Full credit cards often come with robust rewards programs. They may also include additional perks like travel benefits, purchase protections and concierge services.
- Positive credit impact: As with any credit card, using a Pay in Full card responsibly may positively impact your credit score, as this demonstrates good financial management and timely payments.
Note that this card has an annual fee.
In summary
The Sapphire Reserve for Business credit card is a Pay in Full card. These cards can be helpful tools for businesses that are disciplined with their finances, want to avoid interest charges and are interested in earning rewards while maintaining or improving their credit score.
Pay in Full cards require the cardmember to pay the statement balance in full each month in order to avoid interest and penalties. But they also may have higher credit limits and a robust set of card benefits and features. These cards may also have higher eligibility requirements than other credit cards.
