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Company Credit Card Policy Template

Monday, January 27th 2025. | Templates

company credit card policy template professional template

A company credit card policy is crucial for managing expenses, preventing misuse, and maintaining financial control. This template outlines guidelines for issuing, using, and reconciling company credit cards.

Eligibility and Issuance

Credit cards are issued to employees whose roles require frequent business-related expenses such as travel, client entertainment, or purchasing supplies. Eligibility is determined by department heads and approved by the finance department. To apply for a card, employees must complete a Credit Card Application form, outlining their role, spending needs, and agreement to adhere to this policy.

Credit limits are assigned based on the employee’s position and anticipated spending. These limits are reviewed periodically and adjusted as needed. The finance department maintains a record of all issued cards, credit limits, and cardholders. Cardholders are responsible for the security of their cards and must report lost or stolen cards immediately to both the card issuer and the finance department. Failure to do so may result in the cardholder being held liable for unauthorized charges.

Permitted and Prohibited Uses

Company credit cards are strictly for business-related expenses that are pre-approved or fall within the scope of the employee’s role. Permitted expenses include: business travel (flights, accommodation, ground transportation), client meals and entertainment (with proper documentation), office supplies, professional development (conferences, training), and subscriptions directly related to work duties.

Prohibited expenses include: personal expenses of any kind, cash advances (unless pre-approved in exceptional circumstances), gambling, adult entertainment, illegal activities, and any expenditure that violates company ethical guidelines. Using the card for personal gain will result in disciplinary action, up to and including termination of employment.

Expense Reporting and Reconciliation

Cardholders are required to submit expense reports, along with original receipts, for all transactions made with their company credit card. Expense reports must be submitted [frequency – e.g., monthly, bi-weekly] by the [date] deadline. Reports should be submitted through the company’s designated expense reporting system [e.g., Concur, Expensify].

Each transaction must be clearly documented with the date, vendor, amount, a detailed description of the expense, and the business purpose. For client meals and entertainment, include the names and affiliations of attendees. Missing receipts require a detailed explanation and may be subject to denial. The finance department reviews expense reports for accuracy and compliance with this policy. Discrepancies or unapproved expenses will be investigated and may require reimbursement from the cardholder.

Card Cancellation and Termination

Upon termination of employment, or when an employee no longer requires a company credit card, the card must be returned to the finance department immediately. The finance department will cancel the card and reconcile any outstanding transactions. Failure to return the card may result in legal action. The company reserves the right to cancel a credit card at any time, with or without cause.

Policy Violations

Any violation of this policy will be subject to disciplinary action, ranging from a warning to termination of employment, depending on the severity and frequency of the violation. The company reserves the right to pursue legal action to recover any funds used inappropriately. This policy is subject to change at the company’s discretion, and employees will be notified of any updates.

1187×1536 company credit card policy template professional template from template.pejuang.net