Have you ever been asked? “Do you need a fuel card?”, as a trucking owner operator? I am sure you have gotten that call at least 3 times when you started your authority. Have you ever sat back and wondered…should I get a fuel card? What are the benefits? What is the interest rate? Will I even qualify?
What I like about fuel cards in general is that at the end of the quarter you have one report that you can download that shows how many miles and gallons per state and dollars you have spent purchasing diesel. And if you have multiple trucks, you would be able to create a custom report showing when, where and how much. Makes things 1000x easier on yourself and when reporting IFTA.
There are 10 top fuel card providers, all of which offer cents off the gallon. It doesn’t sound like much now but when you think about you truck holding on average of 200 gallons and at $5.10 a gallon you are looking at $1020 just to fill up. Now say you are at an in-network fuel station, and they are offering you .30 off, you are saving $60 just for swiping a card.
When using a fuel card, make sure that you are in-network. Some fuel cards offer discounts at ALL your trusted fuel stations while some have an app to locate specific locations that will give you the best discount.
There are two different types of fuel cards: pre-pay and line of credit. If you know that you will not qualify for a line of credit, then I suggest a pre-pay fuel card. Yes, you have to put up some cash but as you grow with the company, and they see how trustworthy you are they will offer you a line of credit.
Next best thing about fuel cards is that they have benefits! Not only you can use the card for fuel but typically you can use them to buy fluids, get tire discounts, repair discounts and even get a cash advance to grab some grub.
Overall, it is good to have a few fuel cards in your back pocket depending on the perks that they offer.
As always, OOAA Consulting Firm will be here to help you find the right fit!
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