How do Fleet Cards Work?

Fleet cards, also commonly known as fuel cards, are a popular solution for fueling fleets of vehicles. Because they eliminate the necessity for drivers to carry cash for fuel, they are becoming more common among all sizes of fleets. They also help prevent transactions that are fraudulent at the fleet owner's expense, which are somewhat common when drivers are given cash for fuel. Here, we'll go over how fleet cards work, as well as why many fleet owners use them.

Because fuel cards look like credit cards and work in a similar way, it is sometimes assumed that they are basically the same thing. However, there are several important differences between the two. Fleet cards typically offer shorter payment terms, and no rolling balance is cleared each month. They can also be customized so that they can only be used with a particular type of fuel, such as regular, premium, diesel, and so on. This helps cuts down on the chances of a driver either fraudulently using his or her card or mistakenly choosing the wrong fuel type. Limits on the number of fuel transactions or dollar amounts allowable per fuel transaction can be placed as well. Some cards can also be used for products other than fuel, such as vehicle maintenance, tolls, scales, or other driver necessities.

Fleet cards essentially take the cost of fuel and put it into an account which is paid off at a later date, so no money is actually exchanged at the point of sale. They provide a number of security benefits, including conducting cashless transactions, which also tend to be faster than those where drivers use cash. They can offer PIN protection, invoices and reporting with a greater degree of detail as well as account administration with online capabilities that allow managers and owners to examine transaction records online at any time. Unusual transactions are automatically reported, and credit card "skimming" is greatly reduced.