News

Center's survey explains employees' feelings about using personal cards for work

Thursday 14 January 2021 13:16 CET | News

Center, a technology company helping businesses manage and optimise spend, has unveiled the results of its first Business Spender Sentiment Survey.

For the survey, the company asked over 500 business spenders — employees who make purchases or travel on behalf of their company — how they feel about using personal cards for work expenses. It highlights that:

Nearly 70% of corporate cardholders still use personal cards for business expenses. 25% use personal cards because their corporate card isn’t accepted everywhere.

  • 60% of those who choose to use a personal card over a corporate card do so to earn points, rewards or cash back. 

  • 87% of respondents agree that ‘Employees should be trusted to make the right decisions on purchasing’, but 51% of respondents have a corporate credit card. 

  • Nearly 80% believe that ‘employees want to use personal cards to earn points’. 52% agreed that ‘it’s reasonable for companies to ask employees to use personal cards to pay for business expenses and wait for reimbursement’.

  • 49% of respondents use personal cards for work expenses because they hadn’t been issued a corporate card or because their company did not have a corporate card programme. 

  • 51% also said there are burdens that come with using personal cards, such as financial impacts, stress around reimbursement timing, embarrassment when they don’t have enough credit available, and a sense of unfairness that they have to use their own money for business expenses.

  • Nearly 70% of those who use personal cards for work, whether by choice or necessity, carry or sometimes carry a balance on their personal credit cards. 

Even if survey respondents’ companies reimburse them quickly, people who carry a balance forward will immediately begin accruing interest charges on new purchases (business or personal). Those interest charges cannot be expensed for work, but impact employees’ personal finances and ultimately negate the value of the points earned for those purchases. 


Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: center, survey, personal cards, work expenses, cardholders, payments , credit cards, card programme, Business Spender Sentiment Survey
Categories: Payments & Commerce
Companies:
Countries: World
This article is part of category

Payments & Commerce