credit card expenses problem
Discussion
this may be a stupid or self-inflicted issue and there isn't a way out of it, but i will ask anyway...
i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
I assume the answer is no, but do the company offer advances ahead of expense claims, allowing you to clear the full balance in a timely manner?
Alternatively, can you clear the full balance and then get the money back from the company later?
Finally, if this is a timing issue (but not too far off) can you change your card billing date to give enough time between expenses and bill for everything to work?
Alternatively, can you clear the full balance and then get the money back from the company later?
Finally, if this is a timing issue (but not too far off) can you change your card billing date to give enough time between expenses and bill for everything to work?
Blown2CV said:
this may be a stupid or self-inflicted issue and there isn't a way out of it, but i will ask anyway...
i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
Firstly I would separate private from corporate with a separate card. It makes the accounting much easier. If this puts you in financial straits then I would ask them for a card. i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
If you’re not able to get the company to reimburse the expenses quick enough I’d pay it off privately and accept the points as the “bonus” for fronting the company the money.
My wife has had both situations. I always found it absurd companies expect their employees to front massive bills for things like corporate entertainment, flights, and travel. Even worse when they start getting picky about reimbursing. Some of her expense bills were 15-20k! These were big listed companies and she was director level so I was never really worried that we would get the money back but if it was a small privately owned company I think it would be different.
It did mean that we ended up with millions of hotel and flight points though. Swings and roundabouts.
Anything over a couple hundred quid a month and I’d want a corporate card.
Zero hassle but no reward.
If you want a rewards then you take the risk.
Get a separate rewards card and separate your private and business expenses its the only real way of doing it without causing headaches.
Zero hassle but no reward.
If you want a rewards then you take the risk.
Get a separate rewards card and separate your private and business expenses its the only real way of doing it without causing headaches.
loskie said:
Submit your claims more frequently? I'm not a PH high roller like everyone else here is but if away delivering courses or whatever will submit a claim at the end of that week rather than wait till the end of the month.
Not sure that would help, OP states it takes a long time to be reimbursed. I'm guessing once a month, the month following the expenses claim.I had a similar problem in the early 90s (to give idea of value)
I was spending several thousand pounds a month on both my card and, when provided, a company Amex. The expenses were always claimed and paid before we had to settle the cc bill, wife used to ask if all the money in the bank was ours.
I was responsible for settling the company Amex from expenses, only benefit was separation and it didn’t have a limit.
Sounds like you need to submit claims more regularly and push for the company to process them quicker.
I was spending several thousand pounds a month on both my card and, when provided, a company Amex. The expenses were always claimed and paid before we had to settle the cc bill, wife used to ask if all the money in the bank was ours.
I was responsible for settling the company Amex from expenses, only benefit was separation and it didn’t have a limit.
Sounds like you need to submit claims more regularly and push for the company to process them quicker.
IJWS15 said:
Sounds like you need to submit claims more regularly and push for the company to process them quicker.
This, you put the expenses on your card so your responsibility and risk to your credit rating, wrt the interest you need to check the terms and pay the card off as required.If the company aren't prompt in reimbursing then I wouldn't incur any expenses for them as you are basically supplementing their cash flow which isn't fair.
jonathan_roberts said:
Blown2CV said:
this may be a stupid or self-inflicted issue and there isn't a way out of it, but i will ask anyway...
i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
Firstly I would separate private from corporate with a separate card. It makes the accounting much easier. If this puts you in financial straits then I would ask them for a card. i have just started a new job where my work expenses are rather significant, and take quite a long time to be reimbursed. I have been putting these expenses onto the reward points credit card, where I also put all my personal spending. The personal spending has always been cleared at the end of every month when I get paid, but now with the expenses on there, I've been leaving that part of the balance to roll over until it is reimbursed. The interest I am then charged I have been adding as an expense in its own right in the following month.
I had made the assumption (having never really been hit with much credit card interest at all over the years) that the interest only applies to portion of the balance you leave unpaid on the statement due date. Instead, clearly it applies to the whole statement balance. You can argue the toss about whether this is moral or not, but it doesn't matter i guess.
My work queried it as the interest figure was high for the sorts of amounts of expenses i was claiming, and I only really found out what the reality of the situation was when I spoke to the credit card company.
Now you could argue yet again that because i am only being charged interest at all due to their expenses process, then even if the interest relates to a number far higher than just the work expenses, they should just pay it. However it probably is best I seek an alternative arrangement.
I'd sooner not have to pay a second annual card fee for a second card, but I do want the reward points (as I say the spend is large enough to make it worth thinking about). I don't particularly want a corporate card as they don't earn rewards.
Am I stuck with having to just clear the entire card before the statement due date, or taking out an additional card, or is there another way?
If you’re not able to get the company to reimburse the expenses quick enough I’d pay it off privately and accept the points as the “bonus” for fronting the company the money.
My wife has had both situations. I always found it absurd companies expect their employees to front massive bills for things like corporate entertainment, flights, and travel. Even worse when they start getting picky about reimbursing. Some of her expense bills were 15-20k! These were big listed companies and she was director level so I was never really worried that we would get the money back but if it was a small privately owned company I think it would be different.
It did mean that we ended up with millions of hotel and flight points though. Swings and roundabouts.
loskie said:
Submit your claims more frequently? I'm not a PH high roller like everyone else here is but if away delivering courses or whatever will submit a claim at the end of that week rather than wait till the end of the month.
because of their system i can only do one per month, at the end of the month, and then it ideally gets credited a month later. This means theoretically i could be waiting almost 2 months for a lot of it. Further, if there are any queries or issues with it, then it gets kicked back a further whole month and so on.Gassing Station | Finance | Top of Page | What's New | My Stuff