If you're looking to save some money on gas expenses, a gas credit card could be an ideal choice. One of the major advantages of using a gas or fuel card is receiving discounts at certain gas stations. These discounts help offset the rising cost of fuel that has been seen recently, but before applying for one, there are several things you should take into account.
1) Bonuses
Gas is one of the biggest expenses for many Americans, but you can reduce its impact by using a credit card with bonus rewards on fuel purchases. These rewards can range from 2% to 3% and the best cards offer up to 5% cash back on fuel purchases.
Some cards are affiliated with a particular station brand, while others provide general-purpose rewards that can be applied to any purchase. It's essential to read the fine print on these types of cards so you know what benefits come with signing up and which ones are worth signing up for.
These rewards can take the form of cash rebates that appear on your monthly card statement, points redeemable for travel or other benefits. While these aren’t typical for other cards, you can expect benefits like these on most accounts used exclusively for petrol across the United States. Check with your employer if the company you’re doing business with has accounts that offer these benefits because you may be missing out!
2) Discounts
If you spend a lot of money on gas each month, a credit card that provides discounts or cash back can be an advantageous tool. But before making any decisions regarding which card is best suited for you, take into account how much money is spent each month on gasoline expenses.
Branded gas station cards are typically issued by an oil or gas company and offer discounts at the pump or as statement credits. Always check statements to make sure the credits have been made official on your balance statement.
These accounts usually grant discounts of between 3 cents and 10 cents per gallon, with many offering introductory discounts. General-purpose rewards cards provide cash back or points for every purchase you make.
Some, like the Citi Custom Cash Card, adjust their bonus categories automatically according to your biggest spending category. Certain general-purpose reward cards may offer bonus cash or points when buying gas station gift cards at eligible stores during designated quarters.
3) Rewards
If you spend a lot of time driving or traveling, getting a gas card could be an advantageous way to reduce fuel expenses. But before making any decisions, it's essential to understand exactly what rewards and savings you can anticipate from it.
Some companies offer bonus discounts to new cardholders, in some cases. These incentives can accumulate to significant savings if you frequently buy gas at the pump.
Another advantage of these gas cards is that they tend to be easier to qualify for than other types of credit. This can be particularly advantageous for consumers with poor or no credit histories.
If you're uncertain how much money you could save with a particular card, our calculator can estimate it for you. It takes into account the cents-off on gas purchases as well as any rewards earned in general.
4) Protection
Some credit companies even provide protection from station skimming, which involves thieves attaching devices to credit card readers at stations in order to steal customers' card information. You can visit this site to learn more or continue on. The device reads the magnetic strip on the card and stores all pertinent details including customer name, card number and expiration date.
However, fraudsters are becoming more inventive in their methods and have discovered ways to circumvent security measures. Some of these ploys include pinhole cameras that are concealed so small you barely notice them.
These cameras can capture footage of customers entering their PIN numbers when using debit cards. The information could be used to commit debit card fraud and withdraw funds directly from a consumer's bank account.
When trying to protect against card skimming, it's best to pay inside rather than at the pump. Additionally, keep an eye out for anti-tampering tape around the credit card reader; if visible, it could mean that someone has tampered with things and you should use a different pump or go to another gas station.
5) Reporting
Gas cards can be a great way to build credit, especially if you use them regularly. These cards report to one or more of the three major credit bureaus, and if you pay your bill on time each month, your credit score will improve.
Some cards cater to customers with bad credit, and others provide rewards that could be beneficial. No matter which option you opt for, remember that gas credit cards charge interest on purchases with a balance.
Gas cards come in a variety of forms, such as those exclusive to certain chains of stations or those that allow you to pump any brand of gasoline. Station-affiliated cards tend to offer the most generous rewards; however, these may not be suitable for everyone.
A business fuel card can make a major impact in your fleet's operational transparency, helping you monitor spending and identify any potential misuse immediately. These fuel cards help eliminate time-consuming reimbursement processes.
Some fuel cards also include powerful reporting features, like exception monitoring and fuel pump prompts. These tools enable you to manage your fleet's spending within predetermined boundaries, detect fraud attempts or unexplained changes in purchases before they become larger issues.
6) Tracking
If your business involves shipping and transportation or another sector that requires a lot of fuel, tracking a gas card is essential. These cards provide an efficient way to reimburse drivers for their purchases while helping track all your company's expenses.
Many fuel cards come equipped with GPS tracking technology that enables you to confirm each purchase was for one of your vehicles. This prevents drivers from making fraudulent or non-business related purchases, saving your company money in the process.
Fleet fuel cards provide odometer tracking as well as other expense-tracking capabilities to help you stay on top of your business finances in the long term. These capabilities enable you to set spending limits and analyze data so that you can make informed decisions about where and how to spend money.
For optimal efficiency with these cards, select a company that provides mobile apps that help drivers locate the cheapest gas stations nearby and make purchases more efficiently. You’ll have control of account settings as well as real-time alerts when drivers spend too much or don't spend enough. Doing this keeps your company's fuel costs under wraps while guaranteeing everyone gets an equitable deal.
7) Monitoring
Transportation or hauling businesses often face major expenses related to fuel. That's why getting a fuel card for your fleet can be such an advantageous strategy: it keeps drivers happy while saving you money at the pump.
Many fuel cards offer built-in monitoring features to help you monitor your drivers' purchases and manage your budget. Plus, some credit cards provide rewards you can use for other expenses or everyday shopping.
For instance, you can earn airline miles, hotel points or bank points for gas purchases. The value of these rewards depends on the price of gas and your overall budget.
You may want to consider getting a co-branded or general credit card that discounts gas by an established percentage. Depending on your needs, you can pick one with deeper discounts at popular stations or one that's more flexible and accepts more brands.
If you want to take your fuel management to the next level, consider installing a GPS tracking system that combines fuel cards with vehicle-specific tracking to detect discrepancies in purchases and gallons. This can help detect fraud and notify you if a driver's vehicle wasn't present during a transaction.
