Credit Key provides a line of credit to businesses that can be used to finance purchases at several retailers that accept it.
This platform works similarly to Citizens Pay’s but instead of allowing individuals to access its services, it focuses on verifiable businesses.
With a high credit line, registered companies can utilize it to enjoy buy now pay later purchases and spread order costs for up to 12 months, including an interest-free 30-day payment plan.
Credit Key
Max. Amount
$50,000
Type
Credit Line
APR
Up to 36%*
Tip: With Credit Key, your business can be offered a line of credit of up to $50,000 which can be used for a payment plan of up to 12 months in length with monthly interest ranging from 0 to 3%.
It is one of the credit-based buy now pay later which you can access at checkout points of several merchants ranging from wholesale dealers in restaurant products, hotel needs, constructions, and other categories.
Considering that its services are for registered businesses, it works similarly to Clicklease enabling corporate entities with EIN to access checkout financing needed for re-stocking their inventories and getting new equipment.
The platform does not need only your personal details to determine eligibility but it also relies on your business information and what is called a commercial credit score obtained from the analytic and business insight company, Dun & Bradstreet.
To grade your business and know how much of a credit line to assign, you are required to provide the Employer Identification Number (EIN) in addition to your SSN.
This is similar to only providing SSN when you request to use any of the other buy now pay later services that give financing to both individuals and corporate bodies.
When you apply for Credit Key financing, it will not affect your credit score as the platform employs a soft inquiry to determine eligibility.
This inquiry is only for informational use and has no real impact on your personal bureau profile as it will not be visible to other lenders.
The platform has different payment plans ranging from 30 days to as long as 12 months but while the first is interest-free, you will be required to pay a monthly interest rate ranging from 1% to 3% if you go beyond the first 30 days.
It works similarly to many credit-based checkout financing providers like Fingerhut, Stoneberry, Citizens Pay, and others hence, you can avoid interest as long as you clear your pending balance on or before the end of your due date.
Though it has a credit limit of $50,000 available to access, you may be eligible for more than that depending on your business standing, and also, some merchants can offer more than 30 days of interest-free financing during the promotional periods.
While the monthly interest rate is between 0 to 3%, continuing the installment payments until the end of 12 months means that you will bear an APR of up to 36%.
Where to Use Credit Key Line of Credit
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Below are some of the top merchants that accept Credit Key for buy now pay later:
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KaTom Restaurant
KaTom Restaurant Supply is a reputable online and brick-and-mortar provider of restaurant equipment and kitchen supplies. Known for its vast inventory and competitive prices, KaTom serves businesses in the food service industry, offering a comprehensive range of products to meet diverse culinary needs.
Culinary Depot
Culinary Depot is a respected supplier of restaurant equipment and kitchen supplies. Renowned for its extensive product range and quality service, Culinary Depot caters to the diverse needs of the food service industry, providing a reliable source for commercial kitchen essentials.
Event Decor Direct
Event Decor Direct is a leading supplier of event and wedding decorations. Recognized for its extensive inventory and affordable prices, the company offers a wide range of products, including drapes, lighting, and decor items, to help create stunning and memorable event atmospheres.
Justrite
Justrite is a company specializing in safety and environmental protection products. It offers a wide range of solutions, including safety cabinets, spill containment, and industrial storage products, designed to ensure workplace safety and compliance.
WebstaurantStore
WebstaurantStore is a prominent online restaurant supply company, offering a vast selection of products for the food service industry. Known for its competitive prices and efficient service, WebstaurantStore provides a one-stop shop for restaurants, catering businesses, and other food-related establishments.
How Credit Key Works
Credit Key allows you to apply for a line of credit for your business which you can use for checkout financing at merchants that accept it for payment plan purchases.
Below is a better explanation of how the Credit Key business financing works:
Access to Credit Key at Checkout
The option can only be used for financing at one of its partner merchants because it is a payment gateway checkout service.
While it operates similarly to conventional revolving loans, it can only be used when you want to make payments at one of the retailers that accept it.
Credit Key also offers virtual buy now pay later cards as part of its add-ons and still, a merchant you want to buy from has to be permitted, or at least, you will need to inform Credit Key in cases the retailer does not accept it directly.
Application for Credit Line
At the preferred retailer once you have selected the option, you will need to apply to be assigned purchasing power in the form of a credit line which you can use to complete the order process.
You will be required to provide essential information including that of your business like corporate name and address, Employer Identification Number, annual gross revenue, and others.
This stage will also need your details including your social security number and others which are required for personal creditworthiness validation.
Personal Guarantee Verification
Once you have submitted an application, Credit Key will start the pre-approval process through validation of the personal details you have provided.
This process utilizes a soft credit inquiry without your bureau profile to determine the business owner’s or representative’s financial standing.
Even though not only your personal details retrieved based on the soft inquiry are required for decision-making, the application can be declined if you do not have the minimum FICO score of 600+ needed for Credit Key financing.
Approval and Credit Account
After the personal guarantee stage, Credit Key will begin the process of approving a credit line for your business.
The platform will rely primarily on the information available to it through the Dun & Bradstreet (D&B) data, a credit profiling company for businesses.
With D&B, it will use details such as the commercial credit score, financial stress rating, and PAYDEX to determine your business’s financial behavior, history of credits, and the probability to still be in existence or pay pack the given financing within the required months.
While there is a likely better chance of getting a higher credit line if your company or business has a D&B Score, other factors like your personal details can also influence its decision in cases where no D&B profile exists.
Once it has established the worthiness of your profile for financing, a credit line will be assigned that you can utilize to complete the purchase.
Order Completion
Once you have been approved for an amount that covers your cart value, you can proceed to complete your order by agreeing to the terms linked to using the Credit Key revolving line of credit for payment.
At this stage, you will see different plan options. These plans outline the duration, expected minimum monthly repayment amount, and the corresponding monthly interest rate.
Keep in mind that certain merchants provide promotional rewards for new businesses using the option for the first time.
Depending on the retailer where you are making your purchase and credit application, you may be eligible for varying discounts and interest-free promotions.
Features of Credit Key
Below are some of the features that come with using the financing provided by Credit Key:
Revolving Line of Credit for Business
Credit Key financing offers businesses a versatile and flexible revolving line of credit.
This financial tool empowers companies to make purchases and manage their cash flow efficiently.
Unlike traditional loans with fixed terms, a revolving line of credit allows businesses to borrow up to a specified limit, repay, and borrow again, providing a continuous and adaptable source of funding.
Up to 12 Months of Financing
One notable feature of the Credit Key buy now pay later option is the ability to access up to 12 months of financing.
This extended timeframe provides businesses with the necessary breathing room to make strategic decisions, invest in growth, and navigate seasonal fluctuations without the immediate pressure of repaying the borrowed amount.
30 Days Interest-free Payment Plan
The platform extends a 30-day interest-free payment plan to businesses, offering a grace period for settling their balances without incurring additional interest charges.
This feature adds a layer of flexibility, enabling businesses to optimize their cash flow and manage their financial commitments more effectively.
Similar to a Conventional Credit Card
The platform functions akin to a traditional credit card by providing a line of credit determined by the applicant’s creditworthiness.
This implies that users with verifiable businesses can engage in transactions up to their approved credit limit without the need for an upfront down payment.
The feature is in harmony with the convenience and flexibility commonly attributed to credit cards, establishing Credit Key as a financing option that feels familiar and easily accessible to use for business checkout payment plans.
No Downpayment Required
This is one of the buy now pay later options that requires no downpayment at the time of creating the order with your first payment expected at most 30 days after the purchase date.
With zero-down, it means that you can re-stock the company’s inventory and purchase what you need with your business-assigned credit line when you are short of funds.
Creditworthiness Check
In assessing a business’s eligibility for financing, Credit Key employs Dun & Bradstreet (D&B) to conduct a thorough creditworthiness check.
This ensures that businesses entering into financing agreements have a reliable and established credit history, contributing to responsible lending practices.
Minimum and Maximum Cart Value
Credit Key does not have a minimum spend value before you can use it for financing as this is determined by and varies per merchant but at most of the platforms that accept it, you will need a cart worth at least $1,500 to see it at checkout.
However, the maximum credit line you can access is $50,000 with individual business spend limits also varying based on the information obtained through D&B and the business representative’s credit score.
Interest-Free Financing
Credit Key has an appealing incentive by offering interest-free financing to users who can successfully clear their outstanding balance before or by the due date.
This particular feature serves as a motivator for responsible financial management and punctual repayments.
Users are given the opportunity to sidestep interest charges entirely by promptly settling their balances, fostering a proactive approach to debt management and financial responsibility.
Even if you have selected the 12-month plan during the application stage, you will avoid interest as long as you clear the full balance by the due date on your statement.
Credit Key Interest Rates
The platform applies monthly interest rates ranging from 1% to 3%, resulting in an Annual Percentage Rate (APR) of up to 36%.
This structure provides transparency regarding the cost of borrowing, allowing businesses to make informed decisions about their financial commitments and assess the affordability of the financing option.
Credit Reporting to D&B
Credit Key actively reports credit information to Dun & Bradstreet (D&B).
This reporting feature contributes to building and strengthening a business’s credit profile, potentially enhancing its creditworthiness over time.
Businesses benefit not only from the immediate financial assistance but also from the long-term positive impact on their credit standing in the business ecosystem.
Exclusive to Businesses with EIN
The platform accepts businesses with an Employer Identification Number (EIN).
This criterion sets Credit Key apart by specifically catering to entities that possess an EIN, ensuring that the financing service is tailored to meet the unique needs and structures of business entities.
By limiting eligibility to businesses with EIN, it reinforces its commitment to serving the commercial sector, aligning its offerings with the financial requirements and frameworks commonly associated with business operations.
How Credit Key Payments Works
The platform only accepts repayments through an automated process on the portal:
Linking Bank Account for Autopay
Repayment of outstanding Credit Key balance is facilitated seamlessly via your designated bank account.
Once your application is approved, you will receive instructions to set up your bank details directly on your dashboard.
Automated bill payments will be initiated and scheduled to transfer funds on a specified date, ensuring the settlement of a recurring bill.
This automated billing process continues at regular intervals until the outstanding balance is fully paid off, streamlining the repayment procedure for your convenience.
Frequently Asked Questions on Credit Key Financing
Here are some frequently asked questions regarding the use of Credit Key revolving line of credit for buy now pay later trade financing:
What is Credit Key?
Credit Key provides a buy now, pay later solution for businesses, offering a revolving line of credit to companies, allowing them to make purchases and defer payments over time.
The platform’s financing model is designed to enhance cash flow management for businesses by providing flexibility in payment terms.
Key features of Credit Key include a revolving line of credit, the ability to access up to 12 months of financing, a 30-day interest-free payment plan, and credit reporting to Dun & Bradstreet (D&B).
Businesses can utilize it to make purchases up to their approved credit limit without an initial down payment.
What are the requirements for Credit Key financing?
To access the credit line offered by Credit Key, you and your business will need to satisfy the requirements below:
1. 600+ personal FICO score
2. Your business must be registered and operating with a valid EIN
3. A minimum of $40k gross annual revenue in terms of your yearly sales turnover
4. Though optional, a Dun & Bradstreet profile will enhance your chances for a higher spending limit
Does Credit Key check credit?
Yes, it conducts a soft inquiry to assess your information without impacting your credit report as it will not be visible to other lenders.
The platform also checks that of your company using Dun & Bradstreet, a business intelligence and analytics provider.
What is the credit score for Credit Key?
Credit Key mandates a minimum FICO score of 600 for business owners applying for its services.
This requirement underscores the platform’s commitment to ensuring a certain level of creditworthiness among its clientele, aiming to work with business owners who meet or exceed the specified FICO threshold.
The FICO score serves as a key determinant in the evaluation process, providing a standardized measure of credit risk and financial responsibility.
Business owners with a FICO score of 600 or higher are considered eligible to access Credit Key’s financing solutions.
What is Credit Key’s interest rate?
Credit Key implements a tiered monthly interest rate system, offering businesses a range of 1% to 3%. This structure translates into an Annual Percentage Rate (APR) of up to 36%.
The tiered approach allows for flexibility in accommodating varying financial scenarios, with the interest rate determined based on specific factors such as creditworthiness and other considerations.
However, you can avoid paying this interest if you are able to complete the full payments within 30 days.
Is Credit Key legit?
Yes, Credit Key is a legitimate financial service provider that offers buy now, pay later (BNPL) solutions for businesses.
It provides a revolving line of credit to eligible businesses, allowing them to make purchases and defer payments over time.
What is the maximum credit amount offered by Credit Key?
There is a standard maximum limit set at $50,000, despite the variability in its approval considerations.
Therefore, your business’s purchasing power will not surpass this predefined threshold when utilizing Credit Key for financing.
The determination of the maximum revolving line of credit approval when utilizing Credit Key for financing is influenced by various factors. These include considerations such as your business and personal FICO score, plan duration, the particular merchant, your business’s annual gross revenue, and other criteria evaluated by the platform.
Can I pay off Credit Key early?
Yes, you can pay off your Credit Key balance early with no penalty.
The platform allows users to make early payments or pay off the full balance before the scheduled due date without incurring additional fees.
Paying off your due balance early with Credit Key is not only permissible but also comes with its advantages.
By settling your outstanding balance before or on the due date, you effectively bypass any interest charges, making it a financially advantageous practice.
This flexibility encourages and rewards responsible financial management, offering users the opportunity to save on interest costs by committing to early repayments.
Is Credit Key a credit card?
Credit Key is not a traditional credit card; rather, it offers a revolving line of credit specifically tailored for business purchases.
Users can access a predetermined credit limit and defer payments over time, allowing for greater flexibility in managing cash flow and making business-related transactions.
While it operates similarly to a credit card in terms of providing a line of credit, it is important to note that it is a distinct financial product with its terms, conditions, and features.
Users can make purchases within their approved business credit limit and are required to repay the borrowed amount over a specified period, often with interest.
Where can I get more details about Credit Key?
You can check its FAQ page as the platform has documentation covering the features it provides regarding how its services work.
Embracing the Credit Key line of credit provides a distinctive alternative for those seeking buy now pay later services at well-known retailers.
Its notable high-spending capacity makes it an appealing choice, especially for businesses engaging in high-ticket transactions.
While it caters to near-prime business owners, it is recommended to manage payments promptly to capitalize on the interest-free benefits that come with this service.
Clearing bills by the due date enhances the overall advantage and financial efficiency of utilizing Credit Key for your business needs.
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