In-Depth Divvy Credit Card Review: Read This Before You Apply

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Divvy card review

The Divvy card is starting to make waves in the business world as a high-tech, free, business credit card. And, it’s more than that. This funding solution promises powerful budgeting software and more. But, can they deliver on these promises, and is a Divvy credit card right for you? 

Here, you’ll find the answer. Let’s explore the following: 

Read to the end before you apply for a Divvy card. 

What is a Divvy Card? 

The Divvy Mastercard offers fast and flexible business credit for “all sized companies.” There are a handful of edges this card has over most of its competitors: 

  1. A user-friendly platform for expense management, budgeting, and bill-pay
  2. The Divvy virtual card offers a modernized credit solution
  3. More frequent payments lead to higher bonus rewards
  4. Many services are free for the cardholder

Since they don’t charge the usual fees to cardholders, Divvy makes money by taking a portion of transaction fees charged to the merchant for each purchase. 

While the talking points above are genuinely exciting, this card (like all financial services) has it’s pitfalls. For one, there is a lack of transparency about qualification requirements and fees. Next, Divvy imposes a minimum spending requirement — you have to spend a certain amount on the card each month to leverage the full benefits. Finally, Android users aren’t in love with Divvy’s mobile app. 

Divvy app

When you hear the name, Divvy, you might think of a bike subscription service, stock purchase product, or homebuyer program. The Divvy business credit card is unrelated. 

Now, let’s dive deeper. 

What to Expect When You Apply for a Divvy Card 

Your first step on the path to a Divvy account will be to check out the demo or to apply for business credit. The application process is pretty thorough yet easy. 

You’ll be asked to provide banking information, income, and details about your business to determine the amount of credit you can qualify for. I love their application process because it leaves no stone unturned and gives you the option to include documentation upfront for a faster decision. But, I was so excited that I didn’t want to wait the three days it took to hear back from an account manager. 

Divvy credit card application

The system needs to analyze transactions from at least one business checking account to verify your income. You may use information from multiple bank accounts.  

The platform will then average your monthly deposits and offer you a credit limit of roughly 30% of that amount. This is a charge card, which means you can’t carry a balance on a Divvy card — you’ll be required to pay the account in full each month. 

So, Divvy doesn’t look at your credit score to qualify you. Instead, your spending limit is based on business bank deposits. 

In some cases (maybe if you have overdrafted your business accounts in the past couple of years or show other high-risk spending behavior), you might be asked for a cash deposit to back your initial credit line, which is common practice for secured credit lines. 

It might take a couple of weeks to get your card, but it’s worth the wait. 

This is What You Will Get as a Cardholder

If you qualify for a Divvy account, you’ll get access to their exclusive expense management platform, virtual card(s), and rewards. Learn more about each. 

Divvy Expense Management 

This expense management platform can help you manage expenses with your employees and within specific categories. Most users agree that this is a fantastic tool for corporate and small business budgets. 

How does Divvy Expense work? 

  • Assign each employee a card with a budget
  • Limit staff budgets on a case-by-case basis
  • Enable budget increase requests for unexpected expenses
  • Automatically categorize spending
  • Enable spenders to upload receipts in the app
  • Access spending reports in real-time
Divvy login

So, what’s the downside? To leverage these tools for free as the website assures, you need to spend at least $5K of your Divvy credit each month. So, lower budgets might not qualify. 

I recommend you talk to an account manager to help you customize the platform for your needs. For example, you can allow or disallow features that you need and don’t need such as receipt photo uploads. Doing so, you can get a fully-personalized experience. 

Another key detail about the system is that payments owed will be automatically withdrawn on your due date, the same day a statement is generated. Some users complain that they would like to see more flexibility including payment grace periods and more time for invoice review.

Divvy Virtual Card(s)

In addition to your physical card, each user can access virtuals card on their mobile device. Instead of a carbon copy of their original card, virtual cards act as a “burner credit card.” These can be particularly helpful for temporary subscription offers where a staff member could forget to cancel their account at the right time.  

Divvy small business credit card reviews

They’re also handy for situations when a card is compromised. Rather than wait a week or more for a new card or multiple cards to arrive in the mail, users can generate a new, 16-digit card number for use right away. Plus, this make the business spending experience super secure. 

Divvy Card Reward Points

Reward points on Divvy card spending have three tiers. Each tier is based on how often the credit is paid off and earned points increase with frequent payments.

  1. Weekly
    1. 7X on restaurants
    2. 5X on hotels
    3. 2X on recurring software subscriptions
    4. 1.5X on everything else
  2. Semi-monthly
    1. 4X on restaurants
    2. 3X on hotels
    3. 1.75X on recurring software subscriptions
    4. 1X on everything else
  3. Monthly 
    1. 2X on restaurants
    2. 2X on hotels
    3. 1.5X on recurring software subscriptions
    4. 1X on everything else

Rewards can then be spent on Divvy travel, gift cards, statement credit, or cash back. 

Divvy purchase card

$1,500 in restaurant spending for an account paid weekly can earn card users roughly $100 for travel, $51 for gift cards, $49 statement credit, or $52 cash back. And, that’s not all. 

Card users can leverage partner discounts. While these are likely to change, right now the card holder sign-on bonus is a 2-year, $25,000 credit for AWS Activate. Users can also get $150 off Google Ads, $15 off any print order with FedEx Office, $50 off a phone at Verizon, and many other discounts when they pay with their card. 

Divvy Card Customer Service

The customer service at Divvy gets mixed reviews. I know that front-end communication is automated through Intercom.™ One of the impressive features of this platform is that customers get access to their entire conversation, without logging in, from the company’s main website. 

Divvy customer service

So, you know that the customer service team has access to these conversations as well, which is nice. Plus, Divvy’s help center is a pretty extensive knowledgebase designed to help users with everything from managing cards to reimbursements and more. You can also email help@getdivvy.com or call 385-352-0374 to leave a message with a representative. 

Does Divvy Report to Credit Bureaus? 

Another awesome feature of Divvy is that they do report on-time payments to the Small Business Financial Exchange (SBFE). The SBFE then reports your payment behavior to the following bureaus: 

Does Divvy help build business credit

So, cardholders get a charge card, often with net 30 payment terms, cards for their staff, burner cards for subscriptions and other temporary costs, and a full-suite expense tracking platform. Plus, they build business credit. It’s a pretty incredible offer. 

Divvy vs Brex vs Stripe Capital

Now, let’s just take a quick look how Divvy stacks up next to Brex and Stripe (all of which are free). Find out if this offer holds it’s ground.

Divvy competitors

While Divvy claims to have no fees, users report foreign transaction fees, which Brex and Stripe don’t have. The lack of transparency might indicate more surprises down the road. 

And, while Stripe and Brex don’t have the same built-in advanced expense tracking as Divvy, they provide other special features. For example, Brex can be used like a bank account with no ACH transfer fees and Stripe lets you see income and expenses in one dashboard. 

Conclusion: Should You Get a Divvy Card? 

Ask yourself the following: 

  • Does your monthly business spending exceed $5K? 
  • Do multiple staff members have business spending privileges? 
  • Are you able to pay your expenses in full each month? 

If you answered, ‘yes, yes, yes,’ the Divvy credit card might be right for you. I love this card and do recommend you check it out. Sign up now to see the credit line you might qualify for. And, if you’re interested in learning how you can obtain up to $100K in business credit in as little as 30 days, become a Business Credit Workshop member today.

Summa Office Supplies: Should You Leverage Net 30 Terms for Your Business Purchases?

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Recently, we published a review of Crown Office Supplies as an early step on the business credit building journey. We discussed why you should be interested in the brand’s net 30 offer and outlined what to expect once you are approved. Now, we’re going to look at one of Crown’s top competitors in the business place products arena: Summa Office Supplies. 

The aim here is to answer the most pertinent questions about this merchant so that you can decide whether to utilize their net 30 terms to establish foundational business trade lines of credit. 

Here’s what’s in store: 

Now, let’s gather more of the puzzle pieces so you can start to see a complete picture of what your Summa experience might be like. 

First, the Summa Office Supplies Catalog in a Nutshell

Nearly every business needs office supplies, which makes Summa a natural option for online shopping. The vendor advertises eight product categories to shop: 

  1. Pens, Pencils, and Markers
  2. Filing Folders
  3. Envelopes
  4. Markers
  5. Tape and Adhesive
  6. Labels
  7. Legal Pads
  8. Correction Supplies

With Summa Office Supplies, you’ll find the major brands you should expect like Bic, Scotch, Sharpie, and more. While seemingly ordinary as far as stationery and other workplace supply retail is concerned, there is a catch. 

The first drawback to this retailer is that you will need to register a business account to see the catalog. You probably want to determine whether you’ll find everything you need before you go through the trouble (although most Summa Office Supplies reviews report that registration is a breeze). There are two tiers for Summa accounts, each with varying catalog sizes. 

Tier one business shoppers will have access to a smaller product selection while those in tier two are able to access the entire catalog. Some business owners have not been satisfied with the first-tier catalog. Others have been able to purchase useful digital products like anti-virus software, MS Office, and educational materials. 

Next, Summa Office Supplies Net 30 Terms

So far, we’ve mentioned Crown and Summa here. These merchants are legitimate net 30 vendors who report payment history to major business credit bureaus. When you purchase under these terms and pay your account(s) in full and on-time, your positive behavior will be reported. And, this will increase the chance for you to obtain higher revolving credit lines for your company in the future. 

Net 30 accounts that are reported to Dun & Bradstreet (D&B) and other business credit bureaus have a few things in common:

  • They offer a “buy now and pay later” option for businesses to get the supplies and equipment they need to operate. 
  • All payments are due in full within 30 days after your order. Some vendors offer net 45 and net 55 accounts wherein full payments are due within 45 and 55 days after an order respectively. 
  • A company’s payment behavior, including on-time, late, and delinquent, will impact a legal entity’s business credit score(s). 
  • Typically, there is a minimum purchase amount to report. 

And, each vendor has terms that are a bit different than the others. In the case of Summa, the minimum qualification terms and benefits vary from competitor offers and between the two internal tiers. 

Net 30 Office Supply Stores Online

For a brief comparison of comparable offers from a couple of other vendors, read this office supplier net 30 competitor analysis. 

For both tiers, Summa Office Supplies’ accounts require the following: 

  • Business credit union or bank checking account
  • Legal business entity and any required business licenses *in good standing*
  • EIN number from the Internal Revenue Service 
  • DUNS number from D&B
  • Identical business address on all documents 
  • $75 minimum purchase for reporting to business credit bureau(s)

And, the usual starting limit for Summa’s net 30 accounts is $2,000. You can potentially qualify for enough credit to buy as many post-it notes and boxes of manilla envelopes as your heart desires while laying the foundation for the ideal business credit score.  

Remember that not paying as agreed on purchases will have a negative impact on your business credit score. As far as the business credit bureaus are concerned, on-time payments signal positive and responsible behavior for this type of account, no matter what price you pay. 

Next, find out what’s not equal within each tier. 

1. Tier-One Minimum Qualification Terms and Summary

The first net 30 tier offer from Summa is the easiest to qualify for, hence it is customarily a fit for newly-established businesses. No personal guarantee is required. This means that your personal credit will not affect your ability to obtain a line of business credit and your account will not be reported on your personal credit profile. 

As stated previously, the product offer for Summa’s tier-one accounts is limited and made up primarily of digital products and software. And, all payments for purchases above the $75 minimum will be reported to Equifax Business. 

After making on-time payments for a brief time, companies are often able to graduate from tier-one to tier-two. So, if you are new to the game and your options limited to the lower rank, don’t think of this as a permanent fail — this type of account can be the perfect stepping stone for early-stage business credit building in various situations.  

2. Tier-Two Minimum Qualification Terms and Summary

Now, Summa’s second net 30 tier has slightly more stringent minimum qualification requirements and is typically a better fit for established companies. And, for an account at this tier, a personal guarantee (PG) may be required by the vendor. 

In this case, the person listed on the application will be personally liable for any debts incurred should the financial obligation not be met on-time. Furthermore, tier-two net 30 accounts from Summa might appear on applicants’ personal credit reports. 

But, here’s the best part: All payments (and any missed payments) toward purchases greater than $75 on this type of account will be reported to D&B. Since this is the credit bureau that most business lenders turn to for information about a company’s creditworthiness, an account at this level will have an optimal impact on your PAYDEX score (credit grading system used by D&B). 

Who does Summa Office Supplies Report to?

Now, 4 Steps You Can Take Right Away

Summa Office Supplies is a leading net 30 vendor that you can take full advantage of for the purpose of boosting your business’ credit score. Despite the general consensus that this particular merchant’s product offering could afford to be built out, this is definitely a valuable offer. On-time payments made on orders with prices as low as $75 can bring you a step farther along the path to a perfect business credit score. 

Now that you know more about the net 30 account options that Summa has to offer, here are steps you can take to raise your business credit score starting right now: 

  1. Register an account with Summa Office Supplies. Be certain that your business address is accurate and that it is printed exactly the same across all of your documents (including all licenses and business profiles). 
  2. Determine which of Summa’s net 30 tiers your business is most likely to qualify for and decide whether this vendor is appropriate for you. You will have access to more related information following registration than you can find on the website when browsing as a guest. 
  3. Either apply for and accept the net 30 terms that Summa offers… …OR… ..Select a trade line that is better suited to your business needs. If you choose the latter, be certain that the vendor you pick reports payments to D&B and that you are informed about any terms and conditions that might stand in the way of reporting. 
  4. Discover how you can get $100K in revolving business credit in as little as 30 days and gain immediate access to member-exclusive content (including a comprehensive list of net 30 vendors that report on-time payments to D&B) by enrolling in Business Credit Workshop.

How Can Crown Office Supplies Help You Build Business Credit?

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Crown Office Supplies Reviews

When you start on your business credit building journey, shopping with net 30 vendors that report to D&B should be one of your first steps. While Crown Office Supplies isn’t your only option, purchasing from this brand using 30-day net terms is becoming a popular way for businesses to improve their credit scores. So, I want to share everything you need to know to decide if their short-term financing program is right for you. 

Here’s what you’ll find. 

Keep reading to find out how Crown Office Supplies can help you on your path to obtaining higher business lines of credit. 

A Full Crown Office Supplies Review

As the name suggests, Crown Office Supplies sells stationery, writing utensils, filing cabinets, and other materials you might need to use in the workplace or in a classroom. So, they are an obvious choice for any business to shop with. 

Crown Office Supplies customer service

Another bonus perk of shopping with Crown Office Supplies is that they have a referral program. If you refer a friend or colleague to shop on their website, you can earn $15 in cash. 

But, how do they stack up against competitors for building business credit? And, what kind of impact can their trade line of credit have on your business credit score? 

Now, let’s examine the brand’s complete offering. 

What is Net 30 and Why Should You Care? 

If you’re not familiar with net 30 terms, basically this just means that you buy now and pay later. In the case of net 30 terms, you must pay in full within 30 days. In the case of net 45, you would need to pay in full within 45 days and so on. 

Crown Office Supplies enables businesses to apply for a net 30 account. While this is a convenient option for companies who might not have the immediate cash flow to pay for supplies, the true beauty is that on-time payments to a company that reports to business credit bureaus can result in a boost for your business credit score. Crown Office Supplies is one such company.

Recommended: Using 30 Day Net Vendors to Build Your Business Credit Score

Both established and new businesses can leverage net 30 terms from Crown Office Supplies. 

How to Apply for Net 30 Payment Terms

If you want to leverage net 30 terms from Crown Office Supplies, here’s what you need to do. Before you apply, you need to get a few items out of the way. 

  1. Form a legal business entity in your state.
  2. Apply for an employer identification number (EIN).
  3. Get a DUNS number.  

After that, you’ll visit the Crown Office Supplies website and navigate to the Net 30 Application. Then, fill out the application with your information and read the terms carefully before your submit. 

Crown Office Supplies will contact you via email to let you know whether or not you have been approved for financing. Once you are approved, you simply shop for supplies you need to run your business thend pay your balance in full each month. 

Who Does Crown Office Supplies Report to? 

At the very least, when utilizing net 30 terms to build business credit, you want to work with vendors who report to Dun & Bradstreet (D&B). D&B is the bureau that most banks and credit unions look to when deciding whether or not to extend credit to a business. Fortunately, Crown Office Supplies reports on-time payments to five business credit bureaus: 

  1. Dun & Bradstreet
  2. Experian Business
  3. Equifax Business
  4. CreditSafe
  5. National Association of Credit Management
Crown Office Supplies Reporting Agencies

So, you can rest assured that your payments will be reported to every possible business credit monitoring agency. This is excellent news. No matter which bureau your lender uses, they will be able to see your responsible credit behavior as soon as it’s reported. 

When Will On-Time Payments Be Reported? 

As with most net 30 vendors that report on-time payments to business credit bureaus, Crown Office Supplies will report on-time payments regularly. In this case, payment history will be reported every 30 days. So, in as little as a month, you could have a tradeline reporting on your credit reports. 

Competitor Analysis

It’s possible that you’ll find better pricing for office supplies at major retailers like Costco, Walmart, or Amazon, that’s not what we’re looking at here. Direct competitors report on-time payments on trade lines of credit to business credit bureaus. Crown Office Supplies’ key competitors are Quill and Summa Office Supplies. 

So, how do these three brands compare?

Net 30 Office Supply Retailers

Quill, Summa, and Crown Office Supplies offer net 30 terms. Plus, when you make on-time payments to these vendors, they will be reported to D&B as well as Experian and Equifax’s business monitoring bureaus. For building credit, one office supply vendor is not necessarily better than another. 

However, there are stipulations you must meet to leverage net 30 terms. 

  • Crown Office Supplies’ annual fee is $99 (which is also reported to business credit bureaus). 
  • Quill requires that you order $100 or more in products per month over a three-month period before you qualify. 
  • Summa Office Supplies has a minimum $75 order requirement the first month for eligibility. 

So, choose the vendor that meets your product and budget needs. 

Final Thoughts 

When establishing your first five trade lines of credit, Crown Office Supplies could be an excellent vendor to establish net 30 terms with. And, as long as you make on-time payments, this will have a positive impact on your credit score. If you’d like to learn exactly how to leverage vendors like this to boost your D&B score and to obtain up to $100K in business credit in 30 days, enroll in Business Credit Workshop today.

Just Added last month’s Ask Joe Webinar Replay!

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Hi Everyone! I just added the most recent “Ask Joe! Call” to our business credit blog. This call was awesome. We covered a lot, including:

  • What to do after getting an 80 paydex score
    • Paydex score is one of the business scoring models from Dun and Bradstreet.
    • The range is from 0 to 100. 0 to 79 means the business pays late.
    • An 80 paydex score is a perfect business credit score as it means your business pays on time!
    • 81 to 100 (not often seen) means that the business pays early.
  • How to get business license
    • It’s important to make sure your business is in compliance
  • Updated list of 30 day / net vendors that you can use to boost your business credit profile
  • How to activate your Duns #
    • After getting your FREE Duns Number, you’ll want to activate it!
  • How to effectively use a credit partner
  • And a lot more!

You can view the webnar at “Listen to Coaching Calls” –> “Ask Joe Webinars – Secret Archive!”. Or click here

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