Nedbank Small Business Credit Card

About

The Nedbank Small Business Credit Card is suitable for startup owners, small and medium-sized businesses, or sole proprietors with a minimum annual turnover of R150,000.

The business credit card offers a credit facility, which is a preapproved loan facility, that is personalised on what the individual business needs are and based on what they can afford. This business credit card helps with cash flow – allowing you and your employees to make use of the card for business spending and to withdraw cash using the main credit card or additional cards.

The card offers flexible repayment options including a budget facility, meaning you can choose to repay the loan amount over a period – from three months up to 60 months. You can also settle your account within 55 days.

You earn Greenbacks rewards when you swipe your card when you make use of the bank’s digital platform, or when you pay back your loan on time.

Features

Type of credit: the amount you qualify for is based on what your business can afford. There is also a Revolving facility that allows you to withdraw money, repay, and withdraw again (with an option to only pay the minimum outstanding balance).

Qualifying Criteria: applicants must be at least 18 years old and earn a minimum of R150,000 annually. You will be asked to provide a copy of your ID, as well as your bank statements to show proof of income.

Repayment Terms: clients are given three repayment options: (1) a minimum of 5% as a monthly instalment/ repayment, (2) the budget facility, which gives you the option to make repayments over a particular period, or (3) a full payment with up to 55 days free interest.

Application process: you can apply online to check whether you qualify for the business credit card. During the application process, you must give Nedbank consent to conduct a credit check with the credit bureau and they will assess you based on the information you give during the online application.

During this process, you will be required to provide a copy of your ID document and proof of income, including three months’ bank statements or payslips. Sole proprietors will be requested to provide an earnings letter from their accountant or financial manager to confirm their monthly and annual income.

Pricing

Fees: Once approved, costs include:

– Once-off initiation fee – R235.

– Monthly service fee – there is no cost for your first two cards – each card thereafter costs R51.

– Garage card fee – R30 per month.

– Card replacement fee – R140.

Interest rate: the interest rate is set on a per-annum basis. The debit interest rates for this year range between 16.65% – 17.50% for the Nedbank Small Business Credit Card.

Rewards: The Nedbank Greenbacks linkage fee and the Nedbank American Express Premium Card are free. The Greenbacks programme has different packages based on the products that Nedbank offers. For example, with the Card Swiper, you earn Greenbacks when you swipe your card; the Money Manager rewards you for making use of the digital platforms; the Responsible Borrower gives you a chance to win your loan back every three months when you make your monthly repayments on time; and with the Structured Saver package, you get rewarded for saving.

Pros

In addition to the main business credit card, you can also get an additional card that can be used by your employees to make business purchases.

Cons

There is no mention of whether you can get advanced automatic protection against card fraud or misuse, or automatic travel insurance.

Customer service

Nedbank offers a specialist banker when you apply. You can contact the bank via email or a telephone call to arrange an appointment.