Fuel Cards Or Credit Cards?

Some people think they should not get a fuel card if they have a credit card. Even if there might be similarities, the fuel card is not a credit card and has its own use and benefits. The similarities pretty much stop at the way they both look and at the fact that the need for having cash is eliminated.

The first and most obvious benefit of fuel cards would have to be the possibility of buying petrol, diesel or other fuel at a discounted price. This is important especially because of the ongoing rise of the fuel. If you have a transportation business or your company has several cars for the employees, then the fuel card is the way to go. You do not have to give your drivers cash and all the invoices come with tax shown individually. This is important for your business because it smoothes the progress of tax recovery.

Fuel cards can be programmed in such a way that one can use them to buy one type of fuel or more depending on your needs. Because the fuel cards use Smartchip technology the number of fuelling transactions can be limited. These and other advantages make the fuel card more and more popular for both business and particular use.

Further benefits are listed below:

1. Simplified administration with itemised drawings in easy format in one invoice;
2. Simplicity of VAT reclaim even for European fills;
3. No home fuel tanks with security, monitoring and insurance implications;
4. You pay for actual drawings in arrears without necessarily needing to buy in bulk;
5. You pay for exact fuel amount used;
6. Costs are negotiable and often creditworthy businesses can agree a wholesale tariff cheaper than pump price;
7. A driver can fill on the road in Europe and take advantage of cheaper fuel provided that facilities fall within the card network;
8. In the event of fraud or misuse, cards can be electronically and quickly stopped;
9. Some card companies offer individual limits on each card for even greater control;
10. Returning drivers can fill to capacity when leaving EC ports and maximise cheaper prices of fills.