5. Interest rates
Refers to the amount it costs to borrow from the credit card company within a certain period. With this Policy, the interest rate is only 4% monthly if not paid in full. However, the Company ensures that the employee cardholder will keep a good credit record.
6. Official business transactions
Refers to the financial transaction between two or more parties that involves a change of goods, money, or services strictly related and in connection with the business.
7.Minimum and annual dues
Refers to the amount that a cardholder should pay after the billing period. Annual dues refer to the cardholder’s membership fees. These include purchases made within the billing period, possibly including interest charges if the previous balance hasn’t been fully paid. With this Policy, the employee cardholder must submit their statement of account every 7th of the month to the collection department for further processing. The employee must also submit all proof of transactions for proper documentation, such as official receipts, venue reservation confirmation, accommodation invoices, toll & gas receipts, hospital billings, and other related expenditures.
Refers to the charges incurred for borrowing money through a credit card.
Refers to the penalty charges the cardholder acquires if they breach the credit limit. It is always a good idea to keep your credit card balance as low as possible. It is advised that every cardholder should use only 30% of their credit limit.
10. Credit score
Refers to the rating that tells creditors how worthy you are as a creditor or, in other terms, your grade as a borrower. This rate changes depending on how responsible you are in paying all your monthly and annual dues. Generally, it ranges from 300-800, in which the higher the score, the better the lender views you as a borrower.