How Do Fleet Fuel Cards Work?
What is a Fleet Fuel Card?
A fleet fuel card is a type of credit card that can generate fuel rewards. If you are a business owner or a fleet manager, imaging getting one to two to ten percent back on all fuel purchases. Signing up for one of these accounts can give all of your drivers their own individual card that keeps track of their expenses. If you get a fuel card that is through a petroleum company, you can even reduce the cost of gas paid per gallon. Companies offer these cards to frequent fuel purchasers like truck drivers or people who drive daily for work.
How Do They Work?
A fleet fuel card is mostly like the average credit card. There is an account where each card has a limit and the card can be used exactly like a credit card. However, unlike most credit cards these are made for gasoline purchases. Using them at fuel stations is just like using any credit card. However, these usually offer better cash back rewards for fuel purchases. The biggest benefit of these cards is that they even reduce the price per gallon, usually around 25 cents saving you even more money. While these cards work like average credit cards, there are more opportunities to save.
How Much Can You Save?
There are several ways to save with a fleet fuel card. The first way to save is through the optional cash back offers. Usually, you can get around one percent cashback with every fuel fill up at a gas station. The second way to save is the most popular feature of fuel cards, a discount at the pump. Many fuel cards will give you a decent discount per gallon that can help reduce your overall cost. This discount is applied when you swipe your card. If you frequently fill up, you can be saving money and have more resources for your business.
How Are Savings Calculated?
Savings are calculated based on the type of fleet fuel card you sign up for. Depending on the credit score of your business or how many cars or trucks you have in your fleet, your savings will be calculated. This is why it’s important to shop around when searching for a fuel cards as some might have better benefits and lower interest rates than others. While cash back is a great feature some of these cards have, sometimes it could mean a lower fuel discount. Check to see if the cash back feature is worth it and calculate your current savings with how much you currently spend before moving forward.
How Can You Get One?
There are several ways to get a fleet fuel card. The first would be to contact your business bank, or the credit company your business uses and see if they have fleet fuel cards available. It's easy to check here first as getting a new card to your account is easier than signing up at a new establishment. However, if one isn’t offered going to a new establishment would be the next step. Be sure to shop around and ask about the benefits, fees, and what the fuel discount offered is. By looking at all options you can be sure to get the best benefits.