Saturday, 16 November 2013

Features of Procurement Card and Credit Cards for online Shoping and walmart shopping.


A really worth questioning on the use of procurement card probably is the possibility of getting mistreated by bad purchasers.

As there is always a risk of having bad purchasers purchase personal items (for private use) with a cash advances or overly expensive purchases through credit card, the procurement card adds a couple of features to control what exactly is purchased. Listed here are two built-in controls a procurement card provides:

Purchase Limitations – As an example, it can have a limitation on the total daily quantity purchased, the amount of money purchased per deal, or the total procured per month. It may also restrict purchases to a specific store or to only those stores that belong to a specific Standard Industry Classification (SIC code) category, for example a plumbing supply store and nothing else. These in built controls efficiently reduce the risk that procurement cards will be exploited.
Expenses Statement – When the card statement arrives, it may be too disordered, with hundreds of purchases, to determine the expense accounts to which all the products are to be charged. To help things, a company can identify how the credit card statement is usually to be sorted by the credit card processing company. By way of example, it can list expenses by the place of each purchase, by Standard Industrial Classification (SIC) code, or by cash amount, along with by date. It is even possible to get an electronic communication of the credit card statement so that a company can do its own sorting of expenditures.

Note: The buying limitations and price statement changes are the key distinctions between a regular credit card and a procurement card.

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