Are you planning to update the change business name on credit card? Changing a business name can be tiresome, especially if you have multiple credit cards. Here, we will give information about changing your business name on the credit card and how to do it.
Why Would You Want to Change Your Business Name?
Before you want to change business name on credit card, you may have your reasons to change your business name. Whether it’s for personal or fair reasons, changing business can affect your business. People can change their business name for various reasons. Here are some of those reasons:
1. Merger and Acquisition
When your business has expanded because of a merger or acquisition, you may need to rebrand your business name. It happens because the old name won’t fit the current business vision. Then, it’s a good idea to change the name for good.
2. Create Brand Awareness for Customers
Your brand must be memorable for customers to remember. A good name would cause customers to acknowledge your business. Moreover, notable brand names would likely attract new customers. Therefore, a name that is easy to remember and pronounce is great to create brand awareness for your customers.
3. Avoid Confusion
You want to stand out from other competitors. Then, you need a name that identifies your identity and vision. Sometimes, a business name can be similar to another competitor’s; Therefore, you want to change it to avoid confusion between your brand to another’s.
4. The Business Has Been Associated with Controversy
The business can go unwell when controversy or negative publicity happens. As a result, you need to makeover your business to remove the negative views from the public, including changing the business name.
5. Simply Want a Fresh Start
You want to change direction from your old business. Then, you may rebrand your business into a new one. It is okay to change the business name for personal reasons. Sometimes, you feel that the old brand would only hold you back from success; and you want to make a fresh start for your business.
How Does Changing Business Name Affect Your Business?
After you decide to change your brand name, you might wonder how it would affect your business. Sometimes, nothing happens when you change your brand name. For example, if you have a fictitious name, but your legal business name remains the same.
However, it is a different case if you want to change business name on credit card. Let’s assume that you are rebranding your business into a new one. You want to update the legal business name on your cards. Then, you need to contact your credit card issuers for this change.
Each credit card company may have different regulations for changing a business name. For example, in the US Bank, if you want to change your company name by two letters, they need to contact customer service. However, if the changing name is more than two letters, you must fill out the documents.
On the other hand, in American Express, you can update the change business on credit card online. You can look into ‘Update/View Accounts’ in your account. There is a ‘Business Information’ section. You can edit your business information, including a tax ID number, legal business name, Doing Business As (DBA), and location ID.
However, you can’t change your information online if your account is on B-notice. Therefore, you need to contact customer service for further help.
Steps to Change Business Name on Credit Card
If you want to change business name on credit card, here are the steps you need to follow:
1. Submit the Application to IRS (Internal Revenue Service)
The First thing is submitting the change name to IRS (Internal Revenue Service). You may check on their website. It has a page about instructions for changing business names for many types of business, including sole proprietorship, corporation, and partnership.
You may need to check if your new business name requires you to make a new EIN (Employer Identification Number). Check out this guide to know more. To put it simply, EIN is the same as Social Security Number (SSN). Besides identifying your business, you need this number for tax reporting and opening bank accounts.
2. Notify the Local or/and State Agencies
The next thing you need to do is notify the agencies. If your business has registered with the Department of Corporations, or local or/and state agencies, for a purpose like registering a local business license. Then you need to notify them about your changing business name.
The agencies will instruct you whether you want to file a fictitious business name or change the legal name.
3. Update the Change Business Name on Credit Card to the Creditors
Inform the update to your creditor, lenders, and vendors. Therefore, when they want to report your account, it is under your new business name. Although it’s not guaranteed, hopefully, your new business will retain the old business’ credit report. Contact the credit card issuer on how to update your changing name.
You may inform your changing name to your financial institutions, like banks. Tell them that you want to add new information to your account.
4. Contact the Credit Bureaus if Necessary
Some credit agencies have different policies about a business name change. Here are some of their policies:
- LexisNexis: They do not require you to report a changing name.
- Experian: Recommends to small business owners visit the website businesscreditfacts.com to report the update. If you want to update the information, you may need to verify your identity and edit it online.
- Dun & Bradstreet: They don’t require you to report for changing name unless there’s a change for the ownership. If it does, you can contact them through their website.
- Equifax: Doesn’t require you to report the changing name as long as you still use the same credit account and ID tax number.
5. Update the Change on Your Website and Other Media
After you change your business name, you may update your new information on your websites and media. Therefore, you can publicly name a new and continue your business as a new brand.
Does Changing Business Name Affect Credit Report?
It is recommended to plan first before you decide to change business name on credit card. You may need to monitor your credit report before changing the name. Then, check the credit report again after you change the business name.
If the new credit report doesn’t under your new business name, you need to contact your creditors. Ask them to continue reporting your account under your new business name. You may ask them if there is a policy about credit reports under a new business name.
Now You Know About Change Business Name on Credit Card
Changing your business name can give you a chance for a fresh start. You can rebrand your business into a new one. However, you may need to update the change business name on credit card. It is important to let your creditor know you are under a new name which may affect your credit report.
There are several steps to do it. However, with the right plan, you can navigate your new business into success.