What are the types of commercial cards? Do you know? Well if you are a business person or an employer of labor, then you should know that there are various types of commercial cards and they all serve a different purpose.
If on the other hand you are new to the whole thing and you don’t know about these things, then this post is a must-read for you.
Types of Commercial Cards
In this post, I will be hitting the nail on the head. There are three types of commercial cards and they are;
- Purchasing card
- Business card
- And a corporate card.
What is the purchasing card and what is it used for? This card and its uses are simple. This very card is issued to corporations and it allows for the corporations numerous parameters to control the daily to monthly spending limits of the company, the total credit limits, and also where the card can or may be used. Many employees of a firm may be issued the same card number. Many state agencies and the government use purchasing cards.
The Business Card
This card is very similar to the corporate card which will be discussed next. The difference however is that this card is only issued to a business or organization with fewer employees. And each employee with a card is held responsible for his or her own purchases.
The corporate card which is the third type of commercial card is normally issued to the employees of a large corporation, unlike the business card. In this situation, however, the company assumes all the present and future liability for the usage of the card.
Benefits of a Commercial Card to a Business
Commercial cards help many businesses and their employees in many ways and they are;
- Commercial cards allow for the disbursement of emergency cash and the replacement of cards.
- Commercial cards also enhance the security of travel and also give you convenience when it comes to saving money.
- Improve on the reporting with data consolidation that allows your company in grouping and analyzes the spending data of its corporation by merchant category code, geography, expense type, and many more.
- Commercial cards help you to easily and quickly pay for entertainment and travel expenses such as meals, hotels, rental cars without making use of personal funds or the advances of company cash.
- These cards also provide the travelers of a company or within a company the benefits of including access to cash through millions at ATMs.
- Commercial cards also help monitor compliance with the spending policies and purchases towards negotiated volume thresholds.
These are just about some of the many benefits of a commercial card to businesses. Each of the many commercial business cards is drafted to fit into the plans of a company both the now and future plans.