company credit card - credit check?

omega3dave

if a company credit card is issued to an employee, does the credit card company perform a credit check on the employee ?

Gromitt

Depends on who pays the bill.

If its you, they credit check you.
If its the company, they credit check the company.

I have a company credit card but have never seen a bill, as its sent directly to our accounts department.

NPHammer

Gromitts reply is not accurate.

I work for a large multinational, and have a corporate card provided by Citibank. Before that I had a card with the companies previous card supplier GE. Both cards I have paid the bill personally for, neither carried out credit checks.

My company reimburse my expenses (i input the details into an internal system) and I settle the card bill myself each month in full.

No credit check is carried out on anyone who is issued the card.

Your companies deal with a card provider may be different. If you will be checked it will likely be in the terms and conditions in the application, and the card administrator for your company should be able to clarify it for you.

Gromitt

So if you spend on the card, claim it back from the company and then spend that money on gambling or whatever and eventually lose your job, what happens? Are you not liable for the debt that you just created?

NPHammer

The company is liable for the debt to the card provider, they then would likely revoke the card and take disciplinary action against me. If I left the company they'd take the hit financially, but perhaps seek to address it as a criminal matter. There are several instances where companies have involved the police and criminal charges for theft / fraud have been brought against people who have misused corporate cards in an extreme way.

Because I work for such a large and wealthy company my corporate card is small beans and any loss it may incur if I were to choose to go off the rails and blow the limit wouldn't matter a great deal in the big picture to them.

I think it's perhaps likely in smaller companies their agreement with the card issuer may be different, the card holder would perhaps own more of the liability and perhaps be more likely to be credit checked.

gazman100

Similar to HPHammer. Corporate Amex card in my name, I get the bill, and claim back with receipts etc that get paid to amex directly for my account. No credit check, and no reference on my credit file, but the in-and-outs of the account are my responsibility within the confines of the company. On the one occasion I screwed up the payments by more than 1 month (by ineptitude rather than anything else) I got an email about it cced to our big dept head!

Gromitt

Fair enough I sit corrected

Where I work they employ approx 200 people. All corporate credit cards are delivered to the accounts office and you have to sign the card in front of them and then sign to say you received it and abide by the terms and conditions, etc. The card has both your name embossed on it along with the company name. You never see the bill unless there's a transaction that you didn't tell them about, so the only responsibility you have is telling the accounts dept where you have used the card, how much and for what reason.

I guess in big multi national companies that might get a bit complicated, so best to let the employee check the statement themselves and apply for expenses. I have heard of some employees complaining about that system though, as in, not having the expenses paid until after the payment due date and then incurring late payment fees!

InsideInsurance

gazman100 wrote: »

Corporate Amex card in my name, I get the bill, and claim back with receipts etc that get paid to amex directly for my account. No credit check, and no reference on my credit file

The last corporate card I had was from AmEx but it did result in an ID check showing on my credit file (even though I hold other AmEx products). It wasnt a full credit check.

There are others on here that have previously claimed to have known colleagues to be refused AmEx company cards during the request process which would suggest they in some cases at least do more checks.

omega3dave

thanks for all replies, this site is great.

I think in my case,

The card has both your name embossed on it along with the company name. You never see the bill unless there's a transaction that you didn't tell them about, so the only responsibility you have is telling the accounts dept where you have used the card, how much and for what reason.

applies,

again, thanks for replies