Small Business Financing and Franchise Financing Blog

Advanta to Freeze Small Business Credit Cards

Wednesday, June 3

Last week Advanta Corp. said they will freeze nearly one million small business credit card accounts to preserve its capital reserves. In an article posted on May 23rd, The Philadelphia Inquirer reported that the company has recently eliminated 300 jobs, cut its dividend by 88% and posted a first-quarter loss of $75 million. In addition, it was said that industry analysts described the move as unprecedented and indicative of severe financial stress.

Many small businesses rely on credit to manage cash flow or invest in growth initiatives. Having business credit eliminated or frozen can significantly impair a business’s ability to survive. If you find yourself in a position where you need to gain access to unsecured business credit, please contact us.

In order to qualify you much have a credit score (FICO) above 680, have credit utilization under 50% and own a home. Recently we helped a client obtain $106,000 in unsecured loans...perhaps we can help you next! If you want to submit for more information, please CLICK HERE.