Self employed

Queeny66

Do credit card companies treat self-employed differently when determining whether they will accept you for a credit card please? Are you any less likely to get approved for a card if newly self employed?

InsideInsurance

They are slightly more weary of self employed than the employed but either being new is going to make them twitchy

grumbler

In a word, yes.
How differently and how less likely is a more difficult question.

MataNui

Yes and so do banks. In fact with Natwest it doesnt actually matter how profitable your business or what your accounts say or how much money you have in the bank (even tens of thousands cash surplus) they still treat you like dirt.

Self employment sucks. Banks rip you off, the tax man rips you off and everyone treats you like crap. It is 100% worth setting up a limited company. Your accounts bill will be more but you can legally refer to yourself as full time employed (even though you are still technically self employed since you work for yourself). Makes getting credit soooo much easier. Also you get to stuff it to HMRC for a change.

InsideInsurance

MataNui wrote: »

Self employment sucks. Banks rip you off, the tax man rips you off and everyone treats you like crap. It is 100% worth setting up a limited company. Your accounts bill will be more but you can legally refer to yourself as full time employed (even though you are still technically self employed since you work for yourself).

How does the tax man rip off sole traders? Most would strongly argue they get a much better deal than a regular employee

There is no "technically self employed" about being a director of a Ltd company even if you are the sole shareholder. The Ltd is itself a legal entity, it owns its own property, enters into contracts etc. As its director you have legal obligations to act in its best interest and not just your own

You also have to be a little careful when it comes to banks etc, and unfortunately others perpetuating the myth that you are still effectively self employed doesnt help, as some will treat director/ major shareholder people differently than a regular employee. Fine for relatively low value things like credit cards but mortgages etc can be different.

Biggles

I never had any problems applying for CCs, current a/cs etc when I was self-employed. And I can't recall ever being asked for my accounts to back up my stated income.

Cinderellie74

Unfortunately, yes. Self employed are always treated differently.

Biggles

Cinderellie74 wrote: »

Unfortunately, yes. Self employed are always treated differently.

You know the rules here as well as those in Tennessee, then?