Capital One Spark Classic for Business Review – is this the Credit Card for You?


The Capital One Spark Classic for Business comes with a variety of benefits and perks to business owners. Whether you’re a small business owner or a conglomerate, credit cards used exclusively for business purposes are essential. Let’s talk about the benefits, limitations, and tools that the Spark Classic credit card can offer. While it may take some time to engage in thorough research regarding benefits, disclosures, terms, fees, and possible exclusions and limitations for credit card usage, such research pays off.  We’ll help you get started researching the Capital One Spark Classic for business, and you decide.

Let’s Talk About Benefits of the Capital One Spark Classic for Business

Capital One offers a variety of credit cards for business owners, but the Capital One Spark Classic for Business is perhaps the most popular with small and moderate-sized business owners. The Capital O Spark Classic business card advertises a number of positive benefits and business tools that will help you stay organized when it comes to your business. Some of the tools offered are more beneficial than others, but take advantage of them, as they can help save you time, money and aggravation when it comes to planning your future business decisions, at tax time, and of course, in determining your viability throughout the year.

Among the most popular include the opportunity to earn 1% cash back on every purchase. The Capital One Spark Classic for Business also comes with no annual fees, zero dollar fraud liability protection (subject to verification and investigation), the opportunity to add employee cards at no additional cost to your account, and summaries that not only help at tax time, but with short and long-term business planning and budgeting.

Let’s break this down a little bit more. When it comes to the Capital One Spark Classic for Business, the visa card offers, in addition to the above:

  •  90-day  purchase protection
  • Extended protection
  • Travel and emergency assistance – for legal or medical referrals, ticket replacement and other services, 24/7, 365 days a year
  • Auto Rental Collision Damage Waiver Program – this means that you’ll be covered for damages caused by a collision or theft when you’re renting an eligible car with your Spark business card)

In addition, the Capital One Spark Classic for Business does not have an annual fee, and as you build credit with your business, you’re eligible for automatic credit line increases. You’re able to redeem cash awards at any time, and there are no limitations to the amount of cash that can be earned.

Additional Perks and Benefits

Capital One states that all Capital One Spark Classic for Business come with the following benefits:

  •  No foreign transaction fees
  • Fraud alerts
  • Downloadable purchase records
  • Year-end summaries (complimentary online quarterly and year-end)
  • Online account services
  • Visa Information Source Select – options for free, automatic reports to summarize card purchases
  • Visa SavingsEdge – shop at participating merchants and save up to 15%

About the Rewards Program

The Capital One Spark Classic for business card rewards program enables cardholders to earn 1% cashback on net purchases, but this does not apply to returns or credits. Rewards are not earned for balance transfers, cash advances, or checks utilized to access the account, as they are not regarded as purchases.

Your rewards will accrue as long as your account is in good standing and has not expired, and there are no limitations on rewards earned on purchases. You can redeem rewards through credit back to your statement, by check, or you can set up automatic reward redemption to your account or by check when you reach certain thresholds throughout the year. Otherwise, cash back rewards are typically offered by check on the anniversary date of your rewards membership.

What about Interest Rates, Fees, and Other Charges?

 The Capital One Spark Classic for business credit card comes with a variety of fees and interest charges. For example, the annual percentage rate for purchases attached to the card is approximately 22.9%, as are balance transfers. Cash advances come with a 24.9% rate, as does the penalty APR. That means if you make a late payment, your interest rate will rise to 29.4%, and this rate may apply “indefinitely” to your account, based on wording within the disclosures on the Capital One website (Capital One Spark Classic).

Payments are due within 25 days at the close of each billing cycle. Accounts that pay previous balances in full by the due date will not be charged interest on new purchases. However, interest will be charged on cash advances on the date of the transaction.  Interest charges are not less than $.50.

Be aware that the APR may change if Capital One receives a late payment (specified as three or more days following the payment due date) twice within a 12-month billing cycle. If this occurs, your APR may increase to the penalty APR of 29.4%  However, Capital One does state that prior APRs may be reapplied if you make at least the minimum payments due, on time, for 12 consecutive billing periods.

Also keep in mind that credit lines are determined based on credit history and application information, but the minimum available as $500. In order to increase credit lines, cards must be activated and used at least one time during the first 90 days.  In order to be eligible for higher credit, you must also stay within your credit limit range and make your first three minimum monthly payments by the due date.

The Capital One Spark Classic business card does not charge an annual fee, nor does it charge fees for transfers. You will, however, pay $10 or 3% of the amount of cash advances, whichever is greater. Late payment penalty fees may reach $39, as will over-the-credit limit fees and return payment fees.

Bottom line – Before signing on any dotted line, no matter how good the benefits or perks associated with any business credit cards seem, take the time to visit credit card websites and either read or download and read their fine print in Terms and Disclosures.  The Capital One Spark Classic for business card seems like a good deal, but it may be more preferable to some business owners than others, depending on credit worthiness, history, and potential usage. Do your homework and make sure you understand not only the benefits, but the drawbacks to any business card, including this one.


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