American Express has a long history of co-branded credit cards, including many from some of our favorite travel companies. Amex and Square, the card reader company, recently announced the launch of a new business credit card for Square sellers. Let’s take a look.
Details of the New Square Credit Card
There haven’t been a lot of details released regarding the card as it was just announced. However, according to American Express, the card will be designed specifically for Square sellers. It will integrate directly with Square’s existing ecosystem, allowing sellers to organize all of their spending and cash flow in a single place. The card will also only be available to eligible sellers.
Other than that, details are sparse. We can expect to see more information, including card benefits, directly from Square next year.
Is It Worth It?
This is a hard question to answer when we know so little about Square’s upcoming card. However, the competition in the world of business credit cards is fierce. Although promising full integration will be a nice perk for Square sellers, Amex and Square are going to have to work hard to outdo existing business credit cards. This is especially true when you look consider the earn rate on some of these cards.
For an annual fee of $95, the Ink Business Preferred® Credit Card, for example, will net you 3x Ultimate Rewards points on the first $150,000 spent in combined purchases on common business categories, including:
- Internet, cable, and phone services
- Shipping purchases
- Advertising purchases made with social media sites and search engines
The Business Platinum Card® from American Express, meanwhile, maxes out at 1.5x Membership Rewards points per $1 spent on its eligible categories (U.S. construction material and hardware suppliers, electronic goods retailers and software and cloud system providers, and shipping providers, as well as on purchases of $5,000 or more everywhere else, on up to $2 million of these purchases per calendar year). However, with an annual fee of $695, it provides a whole host of perks, including hotel elite status, a CLEAR credit of up to $189, a Dell credit of up to $400, and more (rates and fees).
It doesn’t seem likely that a card from Square is going to be able to match the benefits provided by these massive card issuers — especially when it comes to earnings on business purchases. At best, we can hope to see a business credit card with a robust integration into Square’s system and the ability to earn cash-back. At worst, we may just end up with a mediocre card that fails to outdo the competition. We’ll find out when more details drop next year.
Hot Tip: Looking for a business credit card? Check out our guide to your best business credit card options!
It’s always good news when card issuers announce the launch of a new credit card, but is this one going to be worth keeping in your wallet? So far, we don’t know a lot about the upcoming Square card, so we’ll just have to keep our eyes peeled to see if it bests existing competition when it arrives.
For rates and fees of The Business Platinum Card® from American Express, click here.
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