Gas rebate credit cards offer the promise of lower prices and easy transactions. When gas prices are high this kind of credit card looks attractive. Should you sign up?
These gas rebate cards are not always as good a deal as they seem. Often, the tempting rebate is only for an introductory period and then drops, and even after that terms can be changed on short notice. Also, if the rebate card is for one particular brand of gas, then drivers may have their hands tied and can’t pick the cheapest station or may have difficulty finding the right brand in certain areas.
What are the alternatives? Instead of paying high interest on a gas rebate credit card, effectively eating up any savings you may have expected to receive, you could opt for a business prepaid card. With prepaid for business, there is no interest and no limitation on where you can fill up. Furthermore, it can be used not just on gas but on other necessary travel expenses, like food and vehicle maintenance. And with the current credit crunch, a prepaid card is much easier for your business to get than a credit card.
Toffer Grant is PEX's Founder and CEO. He founded PEX in 2006 as a prepaid card solution for small businesses. His background in the prepaid industry began at Clarity Payment Solutions, where he initiated 65 prepaid card programs in consumer, corporate, and emerging verticals of the prepaid card industry.