Business credit cards may offer extra loyalty points, insurance or concierge services to encourage you to spend overseas. They might also offer a foreign exchange rate that’s very close to the bank rate. However, in the context of business travel, credit cards have three significant drawbacks:
Costly cash withdrawals
This type of card allows you to buy one currency upfront. If you’re savvy, you can lock in a favourable exchange rate. However, exchange rates can fluctuate, so you may end up losing out
It may take some forward planning to preload your travel cards instead of paying them off later. But you’ll save money as a result compared to making interest payments.
Lack of control
Credit cards allow access to huge amounts of money, but you can’t set up granular controls and limits, which could put the business at risk of overspending. To save money on corporate travel, a prepaid travel card is a better option than a credit card.
If you’re looking for a prepaid credit card for travel, you’re in the right place! Technically, prepaid credit cards don’t exist, but prepaid travel cards work in the same way as your regular credit card would – the only difference is that you pay the balance when you spend, not after.