Saturday, December 17, 2011

Does each employee have their credit checked when issuing a company credit card?

We will be receiving a company credit card but do not want our personal credit checked in order to receive it. When getting a company credit card is the card just issued under the company's name and credit, or with the employees?|||Almost every company does check your credit because of their potential exposure|||The likelihood that your credit will be checked prior to your employer issuing you a corporate credit card varies from company to company. Your employer might have a policy in place that requires a credit check before corporate cards are issued. This is to mitigate risk and ensure that people who have bad credit are not issued corporate credit cards, which they might abuse. However, from the standpoint of the credit card company, corporate credit cards are linked to the credit worthiness of the business. Credit card companies will not check the credit of each employee before releasing multiple cards. When employees are issued corporate credit cards they are given a line of credit that represents some portion of the total amount of credit extended to the business. This is one of the main benefits of corporate credit cards 鈥?employees can be allotted different amounts of credit based on their individual business needs and regardless of their own personal credit histories.

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