Corporate Credit Cards

Corporate credit cards

Corporate credit cards have been widely used around the world for years now and for good reason; a corporate credit card backed by a long standing company can boast some of the best deals in the industry.

Business credit card offers are everywhere and they all seem to be a little different so you need to think exactly what you need before you sign up for any Corporate credit cards.

First to consider is the interest rate, which in almost all cases will outmatch that of a small business or personal card.

Why is this? Because larger corporations can:-

a) pay their bills consistently
b) back their lines of credit with huge levels of equity.

However this is not the key draw as most corporate customers pay their bills on time every time; instead the focus is on top level rewards. Some card issuers call these cards platinum or gold cards, and other providers have other names, but a factor that is common to all of them is an opportunity for rewards and incentives programs.

What sets corporate credit cards apart from a personal or small business card is the rate of return on points and loyalty programs as well as their tendency to have a high end spending limit. Companies see corporate card users as the ideal repeat customer and are willing to do almost anything to reward the product loyalty of corporate cardholders.

Corporate Credit Cards

Merchant Consolidation Cards
A merchant consolidation card serves the purpose of its name, rolling several debts and payments into a single account for ease of management. The account and card type is a two way account and is chiefly used to allow a company to accept all methods of payments, and issue refunds or make payments to suppliers. This kind of account and its associated card can be one of the most valuable corporate credit cards.

Batch Corporate Credit Cards
corporate credit cardsBatch cards are targeted at companies that deal primarily with direct marketing such as door to door mail and telephone orders. Their greatest strength is their specialization in handling large batches of deals quickly and at low transaction rates, and can be potentially held by many of the company’s representatives, hence their name.

Retail and Hospitality Corporate Credit Cards
Similar to a merchant consolidation card but more narrow in scope. This is the credit account and accompanied card that is considered standard for a front line point of sale. Ideal for processing large volumes of transactions in a situation where there would only be need for a single card connected to the point of sale system for authorizing refunds.

Linked Insurance Corporate Credit Cards
Banks and other financial institutions are now giving cardholders the option to pair their insurance directly with their credit accounts. Using this option can potentially save money on insuring company vehicles and further ease the burdens associated with paperwork.

Secured business credit cards
While these are not often considered in the search for corporate credit cards they can be a good way of controlling the company exposure to any less than scrupulous members of staff and fraud.

Corporate cards can be very flexible, so take the time to explain what your corporation does, and what the specific needs that you and your employees have. (Needs can vary drastically from department to department.)

Often bundling services within the same financial group can save your company a great deal of money so your Corporate credit cards could be just one item to review.

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