Corporate Credit Cards for Combating Expense Fraud
Majority of the times there will be errors in expense reports; they may be due to employees reporting in a rush or in ignorance. Most times they report transactions here and there or get the numbers wrong because of receipt loss.
In a few cases, employees involve in malicious practices such as intentionally submitting fake receipts or providing false expenditure. There are ways to fight fake receipts and credit card is one of them.
How credit cards can combat fraud
Fake receipts can occur in a number of ways; the traditional method is to modify the existing receipt and change the numbers. Using a corporate credit card for employees in addition to expense report software can have a huge impact on fake receipts. The biggest advantage of company’s credit card is that the actual expenses gets recorded instantly, so that there will be no scope for employees to falsify expenses. Credit cards log all credit transactions automatically, making expense reporting a painless process for employees and eliminating the need to fill a new report. As all the transactions get imported automatically into the expense report solution, it saves a lot of productive time for employees.
More importantly, credit cards will completely eliminate the process of keeping piles of receipts. Companies can get rid of all fake receipts, and all expenses that are paid for in cash. And, the discrepancies between the credit card transactions and the receipts can tell whether the tampering of expenses has occurred.
Corporate credit cards would bring in great benefits to the company as it is becomes difficult for employees to fake transactions. By moving to credit cards for expense management, both employees’ and employers’ lives become easy, while making it extremely difficult for employees to submit fake receipts. Also, companies can get discounts by using credit cards, which accounts for a good bottom line on the whole.