Company Credit Cards

Jayhawk

Is it legal to have any employee that has been assigned a company credit card in their name to sign a form when they receive the card that states something like "upon termination, any unauthorized charges remaining will be deducted from their final paycheck"? Any suggestions would be greatly appreciated.

Pixie

We have corporate american express cards for employees. Billing is set up so that statements are sent directly to the employees home, the employee is responsible for all charges, any business expendatures are reimbursed to the employee upon submission of an expense report, which must be approved by the respective dept head. When an employee terminates Am Ex is notified immediatley, the card is cancelled. If the employee doesn't pay charges he/she incurred it goes against their credit history. It's a pretty good system, employees don't abuse the card and the employer isn't held liable for personal charges made by an employee.

Don D

Unless your state law prohibits it, it is an excellent idea.

deniseE

Our system works much like the one detailed in the first post. We have a card in our name and charge business only expenses on it. We submit for our reimbursement and are responsible for any $$$'s not picked up by the company.

Upon separation of employment, the card must be returned (along with all other company property)...outstanding balances remain the ee's responsibility.