If you are away on business a lot, or if you want to provide your employees and employees with a credit card as a managing director, you can use special credit cards that are specially designed for companies. These allow, for example, an easy accounting of expenses and offer a lot of information for the management of the cards. A business travel service is often part of the services offered on such a card.
The advantages of a credit card for corporate customers
If you use a company credit card and travel a lot, it is much easier to settle travel expenses with it. Thanks to the time saved, this leads to significantly lower accounting costs, especially for small and medium-sized companies.
Employees no longer have to pay for the company and all expenses incurred on business trips or business lunches are settled through the credit card company. All costs are listed in detail. Since the settlement of the payments made is somewhat delayed, the company has more air.
Which credit card model is suitable for companies?
There are company credit cards with a larger credit line aimed at the special needs of companies. These are interesting for companies because the bills that are paid with them are only settled later and thus offer an additional loan.
What conditions should you look out for?
There are many credit cards for companies that are often designed for special needs. The American Express corporate card with its numerous travel insurance policies is particularly suitable for corporate customers who have to travel a lot with it on business.
The Business Card from Fine bank, on the other hand, offers a double card: Business Visa is used to pay for business expenses, while MasterCard is used for private expenses. Since both cards are billed separately, operational billing is transparent.
If you are interested in a credit card for your company, you should also look at the other providers and their conditions in addition to the offers from your house bank .
There are free credit cards, but there are also those for which fees have to be paid. There are company credit cards that are linked to insurance and those that allow the card to be used free of charge abroad. That is why it makes sense to think about which services it should offer – and which ones are unnecessary before choosing the card. For example, if you are frequently sent abroad by your employer, you should use a card with which the international fees are as low as possible.
What needs to be considered in the cost structure?
Like the individual conditions and additional services, the fees and costs vary depending on the provider. It depends on the type of card whether an annual fee or debit interest is charged. If the provider waives the annual fee, it should be checked whether interest is due or whether withdrawing cash from the machine costs a fee.
Abroad, it is quite common for a 3.5% fee to be charged when withdrawing cash with a credit card. In addition, there may be charges for converting USD into another currency.
If a credit card provider demands interest on outstanding amounts, they are about the same as a bank overdraft facility and usually have to be paid if the loan amount is paid in several installments. If there is a credit on the credit card, this can then also be paid interest. If something is deposited into the account and the amount is due later, there will be interest on the credit until the amount is debited.