There are plenty of advantages to choosing a fuel card over a credit card for the purchase of fuel. Below we have detailed the advantages of fuel cards and how they can help your business.
Streamline Administration With a Fuel Card
One of the main advantages of fuel cards over simply using credit cards is the administration side of things. With a fuel card your monthly statement also doubles up as VAT invoice for all the fuel you have purchased throughout the month. The monthly invoice still itemises all the transactions throughout the month, but also on each transaction it gives the location of the petrol station, the number of litres purchased, if it was diesel or petrol and which fuel card made each transaction. This does away with the need for keeping each receipt and helps to streamline the whole admin process in relation to fuel cards.
Fuel Card Pricing Structures
The pricing structure differs from fuel card to fuel card. Different fuel cards offer different deals. One of the most common types of fuel cards is a fixed weekly rate card, the price is fixed based on current bulk pricing, the idea being that the price you pay is below the national average charged at the pump.
Other cards may not be fixed and offer a variable discount. A variable discount will be a certain amount off of the pump price. Other cards will not offer any discount at all and will simply charge the price advertised at the pump.
Increased Security With a Fuel Card
Fuel cards offer you a way to ensure that fraudulent activity is easy to detect. You will be able to see each transaction and it will be on a per vehicle registration or card number. The time and date of transaction are all recorded on the invoice to make it easy to spot any unknown activity.
If the fuel card is lost or stolen you have to notify the company at once. As soon as you make the company aware the card has been lost or stolen they can block charges being made on it. They can also make certain that you are not liable for the purchases. You may be liable for purchases made on the card up to the point you reported it. It is best to check the policy before obtaining the card.
It will take about 10 to 14 days to receive the fuel card. This is because it takes time to process the card. The application has to be approved and then the card will need 7 days to be printed before it is shipped.
You will be able to have information printed on the card like vehicle registration number and company name.
Where You Can Use Your Fuel Card
Your fuel card can be used to buy fuel from the company that has supplied it. For example, an Esso card may only allow you to use it in Esso petrol stations. While you may have another card offering multiple petrol stations that their card can be used in. The choice in cards is wide, so choose one that uses the petrol stations near you or that will give you the freedom to use it anywhere.
What Can Be Purchased Using A Fuel Card
Most fuel cards can only be used to purchase fuel and others can be used to buy certain other additional items. You may set your card to be used to buy only diesel or only petrol. On the other hand you may set it up to pay for either diesel or petrol.