Having credit or in this case, a credit card is an essential part of every business, be it a small entrepreneurial venture, medium sized business, or a multinational corporation. However, the financial requirements for different businesses are not the same.
Hence, this is why many businesses opt for a corporate prepaid Visa card as a sensible way to keep corporate costs in check. Prepaid cards come with many different benefits and features. This payment solution should definitely be considered when looking into a new or improved corporate expense strategy.
1. Avoid Overspending
Most traditional credit cards that offer dangerous levels of credit limit, reckless spending can be a real issue. Though, with a prepaid card, the only funds the cardholder can spend is the money that was pre-charged on the prepaid card account. This totally negates the opportunity of overspending.
2. No Accumulated Debt
Accumulating high interest rates and debt are a thing of the past. It is no longer possible to create debt by overspending, since there is no credit attached to the card. This means only the money you have deposited into the card can be spent, and in the event that the transaction exceeds the available balance on the card, the card will simply be declined. Traditional credit cards make it easy to accumulate debt as the available credit can easily trigger insensible spending. Prepaid cardholders will be immune to such problems.
3. Transaction Monitoring
Since prepaid Visa card funds are preloaded and managed with corporate funds, administrators get full visibility into what cards are disbursed, how much is loaded on each card, and where money went. This not only provides new levels of control and oversight on expense spending, it also minimizes improper use of corporate funds.
4. Other Prepaid Payment Applications
Prepaid cards can be a huge benefit for a wide variety of different business functions. Companies are not just using the prepaid cards to rein in corporate expenses prepaid cards can also be used for the following:
• Distribute consumer rewards, rebates and incentives
• Employee rewards and incentives
• Health and wellness benefits disbursement
• Insurance and emergency payments
• Goodwill payments and class action settlements
5. Brand Recognition
With your business name and logo on the prepaid company card, users will see and remember the company logo every time they use it. In another scenario, if the card is being used as a promotional or marketing tool on the consumer’s end, it also means that your customers will be able to see and recognize your company’s logo every time they use it. Prepaid cards with your custom branded design or logo keeps your company’s brand in front of customers, and in their wallets. This is a highly visible and valued touch point.
After all, spending someone else’s money is always more fun than spending your own. Please visit www.transact24.com to learn more about prepaid cards.