You work for a boutique-sized firm. For want of a better term, you’re in middle-management. You don’t have a corporate credit card but are on the road quite a bit. Sometimes you’re away for over a fortnight and need to shell out a couple of thousand pounds for flights and hotel rooms and rental cars and expensive dinners. That all goes on your personal credit card.
You have access to a whizzy online expense tool, but repayments are not instant. Your credit card direct-debits your current account and your overdraft function can’t take that kind of hit. Your credit card company hits you for interest.
You wonder whether it would be ok to put in an expense claim for the ensuing interest. Your company’s Financial Director isn’t very sympathetic – but then he has a corporate card. Senior management have discussed whether the firm is now of a size to warrant handing out corporate credit cards. They decided against the idea; they know how people are sometimes tempted to abuse their expenses.
Enter the prepaid card. John Sharman, CEO of Tuxedo Money Solutions, a firm which provides prepaid cards for travellers, says for the very reasons stated above they’re experiencing more traction with firms who employ business travellers. Apart from the fact that no one likes spending their own money when on company time, there’s also security concerns when on the move in some of the more… obscure parts of the world.