Capital One Spark Classic Delivers Small Business Credit With No Annual Fee

Capital One Spark Classic Delivers Small Business Credit With No Annual Fee
Rebecca Hosley
on March 16, 2020
Read in 2 min

The Spark® Classic from Capital One®  is designed for business owners with a spotty credit history, or who are just starting out.

If your credit is strong and you’re looking for better rewards on a Capital One credit card, you may want to try the Spark Cash Select instead.

Who is the Capital One Spark Classic card for?

If you compare small business credit cards, the Spark Classic doesn’t offer a lot of the perks you’d find elsewhere.

Instead, it excels at offering a way for business owners to establish a solid credit history.

This makes it an option for startups or entrepreneurs who have struggled with financial problems in the past.

Learn more about how the Best Banks For Business May Not Be Banks At All

Capital One Spark Classic Review of Benefits

Most small business credit cards require good, or even excellent credit.

The Spark Classic is a lot less stringent on this requirement.

Learn more about Bad Habits To Break For Gigantic Business Growth

If a small business owner has been declined for other cards, the Spark Classic provides them with a chance to begin establishing their creditworthiness:

No Annual Fee with Capital One Spark Classic

Many business credit cards charge an annual fee and the costs can really drag your business down.

The Spark Classic doesn’t charge any annual fee, so that’s a huge perk in itself!

Unlimited Cash Back

Earn unlimited 1% cash back on all purchases, which can be redeemed as either a statement credit or a check.  


No Foreign Transaction Fees

The Spark Classic from Capital One is great for traveling overseas, especially since many other business cards impose fees on foreign purchases.

While this small business credit card may not come with a lot of extras, the unlimited cash back feature makes it one of the best small business credit cards for the less-established entrepreneur.

Capital One Spark Classic Review of Drawbacks

Because it’s a card geared toward small businesses with fair to no credit, the Spark Classic is truly a no-frills card.

It offers a good path to establishing a strong credit history, but it doesn’t come with a lot of the extra features common to many other business credit cards.

Some of the biggest drawbacks for business owners who are considering the Spark Classic include:

No Special Introductory Incentives with this Business Credit Card

Unlike many other business cards, the Spark Classic does not have a promotional 0% APR when you open your account.

So you’ll be paying interest from day one, and it doesn’t offer any type of signup bonus either.

Prepare for Low Spending Limits with Spark Classic

Because this card is targeted to businesses with less-than-ideal credit, the credit limit can be quite low initially, with some cardholders approved for as little as $500.

Still, even a card with a low spending limit can be useful for credit-building purposes.

Relatively High APR Compared to Other Small Business Credit Cards

The APR for purchases and transfers is 24.49%, which is high for a business card.

As we mentioned earlier, there is no 0% introductory rate, so this APR will go into effect immediately.

If you aren’t able to pay off your balance monthly beware of the Capital One Spark Classic, the interest charges will add up fast.

Learn more about How to Compare Business Credit Tools

Final Thoughts on the Capital One Spark Classic

The Spark Classic may not be the best choice for every company…

If you are an established small business owner with good credit, you may want to look elsewhere for a business credit card.

However, if you are trying to repair your credit and increase your business cash flow, the Spark Classic is still a solid option.

See Business Lenders


The editorial content on this page is not provided by any of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are the author’s alone. Additionally, the opinions of the commenters are not endorsed or supported by Many of the listings that appear on this website are from companies which we receive compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). The site does not review or include all companies or all available products.

Rebecca Hosley Finance Journalist

Rebecca Hosley is a content writer based in Chicago.

She frequently writes about small business, insurance and finance.

In her free time, she enjoys trivia, craft beer and disc golf.

Important Disclosures. Please Read Carefully.

Persons facing serious financial difficulties should consider other alternatives or should seek out professional financial advice. This website is not an offer to lend. is not a lender or lending partner and does not make loan or credit decisions. connects interested persons with a lender or lending partner from its network of approved lenders and lending partners. does not control and is not responsible for the actions or inactions of any lender or lending partner, is not an agent, representative or broker of any lender or lending partner, and does not endorse any lender or lending partner. receives compensation from its lenders and lending partners, often based on a ping-tree model similar to Google AdWords where the highest available bidder is connected to the consumer. Regardless,’s service is always free to you. This service is not available in all states. If you request to connect with a lender or lending partner in a particular state where such loans are prohibited, or in a location where does not have an available lender or lending partner, you will not be connected to a lender or lending partner. You are urged to read and understand the terms of any loan offered by any lender or lending partner, and to reject any particular loan offer that you cannot afford to repay or that includes terms that are not acceptable to you. By submitting your information via this website, you are authorizing and/or lenders and lending partners in its network or other intermediaries to do a credit check, which may include verifying your social security number, driver license number or other identification, and a review of your creditworthiness. Credit checks are usually performed by one of the major credit bureaus such as Experian, Equifax and Trans Union, but also may include alternative credit bureaus such as Teletrack, DP Bureau or others. You also authorize to share your information and credit history with its network of approved lenders and lending partners. For qualified consumers, our lenders offer loans with an Annual Percentage Rate (APR) of 35.99% and below. For qualified consumers, the maximum APR (including the interest rates plus fees and other costs) is 35.99%. All loans are subject to the lender’s approval based on its own unique underwriting criteria. Example: Loan Amount: $4,300.00, Annual Percentage Rate: 35.99%. Number of Monthly Payments: 30. Monthly Payment Amount: $219.36. Total Amount Payable: $6,581.78 Loans include a minimum repayment plan of 12 months and a maximum repayment plan of 30 months. In some cases, you may be given the option of obtaining a loan from a tribal lender. Tribal lenders are subject to tribal and certain federal laws while being immune from state law including usury caps. If you are connected to a tribal lender, please understand that the tribal lender’s rates and fees may be higher than state-licensed lenders. Additionally, tribal lenders may require you to agree to resolve any disputes in a tribal jurisdiction. You are urged to read and understand the terms of any loan offered by any lender, whether tribal or state-licensed, and to reject any particular loan offer that you cannot afford to repay or that includes terms that are not acceptable to you.

Lender’s or Lending Partner’s Disclosure of Terms.

The lenders and lending partners you are connected to will provide documents that contain all fees and rate information pertaining to the loan being offered, including any potential fees for late-payments and the rules under which you may be allowed (if permitted by applicable law) to refinance, renew or rollover your loan. Loan fees and interest rates are determined solely by the lender or lending partner based on the lender’s or lending partner’s internal policies, underwriting criteria and applicable law. has no knowledge of or control over the loan terms offered by a lender and lending partner. You are urged to read and understand the terms of any loan offered by any lenders and lending partners and to reject any particular loan offer that you cannot afford to repay or that includes terms that are not acceptable to you.

Late Payments Hurt Your Credit Score

Please be aware that missing a payment or making a late payment can negatively impact your credit score. To protect yourself and your credit history, make sure you only accept loan terms that you can afford to repay. If you cannot make a payment on time, you should contact your lenders and lending partners immediately and discuss how to handle late payments.