Parking Money in Bluebird, Personal Expenses on a Business Card & Funding Checking Accounts with a Credit Card

8

Join over 5,000 people who are subscribed to receive a once daily email with all of our posts. Never miss out! Click here to subscribe.
Learn how to maximize your points & miles! Join Our Facebook Group!

business credit card personal expenses

DISCLAIMER: Miles to Memories & the author are not credit providers and do not provide personal financial or professional advice or credit assistance. The information published on this site/page is of a general nature only and does not consider your personal objectives, financial situation or particular needs.  All information published here is my own personal opinion and comes from personal experience. The information published on this site/page should not be relied upon as a substitute for personal financial or professional advice. Miles To Memories and the author strongly recommend that you seek independent advice before you apply for any product or service, which is described on the site/page.

Your Questions Answered

For the past week I have been asking readers to send in their questions so I can answer them. Here are the related posts:

If you want to get your question answered, simply head over to this post and leave the question in a comment. I am working to get through most of them this week.

Question 1

Our first question comes from Robert:

Can you still open a Citibank checking account and fund it with a credit card? If so, what type of Citibank account do I want to open (link?), and which credit cards could I fund it with?

business credit card personal expenses

The answer is yes. Citibank allows you to fund a bank account quite generously with a credit card. Some banks do charge cash advances though, so it is important to be careful. A good strategy before trying to do this would be to lower your cash advance limit to $0.

If you are looking to fund a bank account with a credit card Doctor of Credit maintains a great list of banks that allow this. (Along with cash advance data points.) As for which Citi  account you should open, there are a lot of factors to consider, but I would choose the Citigold and pickup 30,000 AAdvantage or 40,000 ThankYou points as a bonus.

Question 2

The next question comes from CJ:

For business credit cards such as Ink, if i dont have a business setup yet is it ok to to use it to pay normal bills to hit the minimum spend requirement? I know the terms say not to but what is the downside to doing this?

Business credit cards are designed for business expenses. With that said, I have never heard of anyone having issues putting personal expenses on a business card. Yes it can be a violation of the terms and is not generally something I would suggest doing, but I know a lot of people who have done similar things without incident.

With that said, any time you are violating a credit card issuers terms then there is always the possibility of consequences. With a card like Ink, Chase could take all of your Ultimate Rewards points for example. So I guess the short answer is that I know of people who do it without consequence, but there is always a risk when violating a card’s terms.

Question 3

Our final question comes from Jan:

I would like to use Bluebird to pay tuition for my daughters (yes, two tuitions). I’ve been loading BB with GCs but am a little unsure as to whether everything can just sit there until August, when I write two large checks. Then repeat the process in December. Does BB have a ceiling on check amounts? Would doing this raise any red flag? Thanks!

business credit card personal expenses

This is actually a great question. Without knowing how much the tuition is, I can’t answer your question specifically, but I can shed some light on the topic for you. Here are the Bluebird limits that pertain to your situation.

  • Maximum Account Balance: $100,000
  • Bluebird Check Limit: Subject to Total Account Balance and Add Money Limits

So as long as your balance remains below $100,000, then you should be able to keep the money in the Bluebird account and write a check. Keep in mind that you can also transfer the funds out to a normal bank account instead of keeping them in Bluebird. I do not think either strategy is a red flag based on my experience.

If it were me, I would probably transfer the money out to a savings account every month and then send the payments from there. Bluebird checks are a little strange since they require pre-authorization and I try not to keep too much money in my Bluebird/Serve/REDcard account. With that said, your strategy is perfectly fine and should work.

Conclusion

There are quite a few more questions left to answer and I’ll be trying to get to a few each day. If you want your question answered then please leave a comment here. Also, feel free to chime in with your experiences and opinions about any of these questions in the comments! Have a great weekend!

Miles to Memories operates under the Value for Value model. If you receive value from this site, find out how you can provide value back.

This post may contain referral, affiliate or sponsor links that provide Miles to Memories compensation. Thank you for your support.

8 COMMENTS

  1. Hi Shawn,

    I have one question extends your Question 1, which is how one can fund his/her bank checking/saving account with credit card?

    Thanks

    • Thanks, Yeah, I clicked the link and read the post, But what I saw from that post was some data point summary about if fund checking/saving account using CC were code as cash advance. Nothing mentioned about how to fund checking or saving. Did I miss something?

  2. Back to the personal expenses. If I travel for my job, is it ok to apply for business card even though it’s not my business in order to keep expenses separate? Or is that no different than just opening any other credit card? If you haven’t noticed I’m really trying to find an angle for the Ink card.

  3. Hi,

    For question #3, wouldn’t it be better to pay the tuitions with a cc and get miles or points? Then pay cc with BB?

LEAVE A REPLY

Please enter your comment!
Please enter your name here