Business Debt/business debt

Advertisement

Expert: - 4/1/2009


Question
QUESTION: Can unsecured business credit card debt be reported and placed on my personal credit history?

ANSWER: Barbara,
It depends on the formation of your business, was it an LLC, Corporation or maybe a sole proprietorship?  If you signed up for the card using your personal credit and name, and/or are a sole proprietor, it can be reported to your personal credit.  If you are a small, new business most business debt will be reflected on your personal credit report in the beginning.

---------- FOLLOW-UP ----------

QUESTION: Thank you for that quick response.  Our company was a corporation.  I have one debt in particular that is by all accounts a true business card.  However, they have placed it on my personal credit.  Is there anything out there that can help me remove that debt from my history?

Thank you once again,
Barbara Mendison

Answer
Barbara,
If you are the principal or owner of the corporation this could be on your personal credit. You can write to the credit bureau and let them know you dispute the debt and they can help you take the steps to investigate if it is something that should be removed or not.

Business Debt

All Answers

Answers by Expert:

Ask Experts

Volunteer

Michelle Dunn

Expertise

As one of the Top 5 Women in Collections, one of the Top 50 Collection Professionals, and winner of the Business Excellence award, I can answer any questions about debt, debt collection, improving business credit, creating a credit policy, enforcing a credit policy and collecting on past due accounts. I can also answer questions in regards to starting a debt collection agency since I have been a bill collector for over 24 years, started and ran my own collection agency for 8 years, and maintain my 12 year old Credit & Collections Association for members of the credit & debt collection industry. I am also the author of the popular and award winning book "Starting a Collection Agency, how to make money collecting money" now on it's 3rd edition. This book has won a the Writers Digest self published award as well as the New York Book Festival Award. I am a repeat contributor to the Wall Street Journal, and have been featured on NPR, CNN, as well as many other national radio and television programs. I have also been featured in national publications such as the Wall Street Journal, Forbes, Smart Money, MSNBC and much more. I have 17 published books to my name and am an accomplished speaker and consultant. I currently write 9 columns for newspapers, magazines and online portals worldwide.

Experience

I have over 24 years experience in debt collection, I started and ran my own collection agency for 8 years and I am the founder & owner of my Credit & Collections Association that I founded in 1998. www.credit-and-collections.com

Organizations
My Credit & Collections Association, I was also a member of the American Collectors Association and Plymouth Chamber of Commerce for 11 years. I am a member of many writing groups as well as my local Women Inspiring Women chapter. I am a member of Know More Media as an expert for their blog on business credit.

Publications
Business NH Magazine, Smart Money Magazine, MSNBC, CNN, Forbes.com, The Wall Street Journal, Home Business Magazine, Entrepreneur Magazine and website, many books, newspapers and television programs as well.

Education/Credentials
I have written 17 books in my collecting money series and one for Entrepreneur Press called the Ultimate Credit and Collections Handbook. My newest book is being published by John Wiley & Sons in May titled, The Guide to Getting Paid, how to weed out bad paying customers, collect on past due balances and avoid bad debt. This book is also being sold to many colleges as a text book.

Awards and Honors
My book Starting a Collection Agency, how to make money collecting money won an award from Writers Digest and the 2007 New York Book Festival in the "How to" category. I have won 2 awards from Dun & Bradstreet and Governor Jean Shaheen. I was nominated as one of the Top 5 Women in Collections twice as well as having been selected as one of Collection Advisor's Top 50 Collection Professionals by my peers.

©2012 About.com, a part of The New York Times Company. All rights reserved.