My company previously had us all use company credit cards but we’ve been growing rapidly and it is no longer best practice for the company to be issuing so many cards. This is a pretty standard practice but the timing puts me in a bit of a bind. I just got a new vehicle loan a little over a month ago and I don’t want to use the card I already have for these expenses as it would take up a large portion of my limit and could put me in a tough position if any emergencies arise. I am looking to apply for another card to use exclusively for this purpose but with my recent vehicle loan it will likely put a dent in my credit (761 when I applied for my car loan). Wondering what the best course of action is or if there are any cards that I would be best off applying for in this scenario. I typically have around $2,000 in monthly expenses for work so I’m looking for a limit of $2,500. I assume having these expenses which will be fully paid every month will help me build credit in the long run.
IF, and this is a giant IF, you trust your company to repay you in a timely manner, this could be a big boon for you by earning rewards on credit cards spending being reimbursed by someone else.
But if you’re skeptical and don’t trust them for whatever reason because you know them way better than some redditor, it may be a red flag that the company is lacking in liquidity or credit availability and is trying to push short term risks onto employees
@Zaid
This. I used to work at a company that let you use your personal card to pay for expenses on their behalf. I racked up SO MUCH points during my time with them. Also used rules in place at the time to use this activity to basically get me Bonvoy Lifetime Platinum status for free.
Alas, it was a shitty place to be at aside from that, so I left. I do miss that benefit, but it wasn’t worth my sanity.
@Elizabeth3
Yeah although it sounds like at what OP might be spending it won’t be quite that lucrative. Best bet for OP once they get their credit built up a bit would be to chase sign up bonuses. With $2k in company spend, plus OPs regular spend, per month, most SUBs will be in reach
@Zaid
Very true. Still. $2k month is a nice amount of additional earnings. Hell, something like Citi Double Cash would let you pocket $480/year.
@Elizabeth3
Did this once as well
@Elizabeth3
Same. If I couldn’t reimburse client spend, I wouldn’t have an Amex Gold. $1k+/month in restaurant spend alone.
@Zaid
I have a good relationship with my company. I was one of our first 10 employees and now we are upwards of 200. My firm is looking at selling off a portion of the company and in order to do this they need to get better control over finances. Having 200 people out there with credit cards they can use at their discretion just doesn’t work for them. When I first started we used personal cards and were reimbursed. They are reimbursing once very two weeks as well I do trust them to pay it back and the minute they don’t I’m out of here.
@Zaid
Totally agree on this. Most companies want the cash back/points for their employees’ business spending by utilizing their own company issued cards.
The ability to more easily monitor charges and audit spending, makes this switch to using the employees’ credit very suspicious as to their viability.
@Zaid
I seem to have gotten lucky. Currently work for a great company that recently acquired another company and they’ve had this practice implanted for quite some time. 950m market currently but it came from much less.
This is actually a great opportunity for cash back and SUBs. What will be normal spend categories?
Dustin said:
This is actually a great opportunity for cash back and SUBs. What will be normal spend categories?
Predominantly food, gas, and material expenses while I travel (Walmart, Home Depot, etc). Our company is still paying large expenses like hotels, airfare, and car rentals through corporate accounts with those entities.
@Zaire
Ok for food/gas:
AAA Daily Advantage Visa Signature
https://www.aaa.com/AAA/common/bread/breadfinancial.html
- 5% Grocery store
- 3% Gas/EV, Wholesale clubs, Streaming services, Pharmacy, AAA purchases
- 1% everything else
- No AF, No FTF
Limits: Maximum of $500 cash back ($10,000/yr spend for top category, $833/mo) earned in a calendar year at grocery stores, wholesale clubs and gas stations combined. After that, purchases will earn 1% cash back for the remainder of the calendar year.
Cash back redemption: statement credit (website) or bank deposit (need to call customer service) No minimum redemption.
For restaurants, this card is OP, but it’s now limited to AL and TN, sadly.
Redstone FCU Visa Signature (now only available to residents of AL and TN)
https://www.redfcu.org/personal/credits-cards/visa-signature/
- 5% Restaurants, Gas
- 3% Groceries, Discount stores, Wholesale clubs, Utilities, Phone, Streaming services
- 1.5% Everything else
- No AF, No FTF
Requirements: join a qualifying organization (it’s free and a simple button click), and keep $5.00 in RFCU bank
When applying, there is an area to select your eligibility. The last one is completely free:
- Associational Group
- Student
- A family/household member of applicant is currently a member of at Redstone FCU. Please enter the name of the person and their relationship.
- I opt to join the Association of the United States Army (Redstone-Huntsville Chapter) in order to become a member of Redstone FCU.
Limits: Cash back capped at $7,000/yr (about $533/mo) spend per category.
Cash Back redemption: Redstone bank account (can ACH out afterwards), gift cards, travel, or charitable donations. $5 minimum redemption.
@Zaire
Food is separated into 2 parts: grocery and dining.
There are very few grocery cards. Dining cards are common.
US Bank Altitude Go is 4% dining, 2% gas/grocery and has a streaming credit.
US Bank Altitude Reserve is 4.5% on mobile payments, but comes with a ~$60 effective annual fee. Built in priority pass is nice though.
Capital One Venture X is 2% flat, comes with a worse but unlimited priority pass. You’ll need to take a personal flight or pay for airfare at least once a year to offset the annual fee.
If you’re spending $500 on gas, $500 on home depot, and $500 on dining every month, it makes more sense to get a new card every 3 months so you can get 10-20% back.
That sounds fucking amazing and I wish my company does this
Sable said:
That sounds fucking amazing and I wish my company does this
There is risk associated with it. You really need to stay on top of the expenses and receipts, make sure you get reimbursed before the billing cycle ends. If not have the cash to pay it off before interest hits. Also, you better hope your company isn’t having any liquidity issues or else you could be SOL. Personally I don’t feel the rewards are worth the risks but I don’t have much of an option.
@Zaire
These’s honestly no difference. You’re responsible to pay off your corporate card regardless if your company is not reimbursing your expense
Sable said:
@Zaire
These’s honestly no difference. You’re responsible to pay off your corporate card regardless if your company is not reimbursing your expense
[deleted]
Sable said:
@Zaire
These’s honestly no difference. You’re responsible to pay off your corporate card regardless if your company is not reimbursing your expense
[deleted]
i am not sure how your employer operates, but mine requires using the corporate card for every single expense, and the corporate card is paid by my employer only when i file the corresponding expense report for each transaction, and i need to pay off whatever transaction not tagged to a corporate expense. i am responsible for every single transaction i made just like how i use my personal cards. the way you describe it makes me feel like i can use that card for a billion dollar purchase and run away, which makes absolutely no sense.
@Sable
You are correct. You are responsible for the card balance, the company is responsible to you to reimburse you. The company also is a credit line guarantor, allowing employees (especially new ones) make purchases that exceed their personal credit limits.