What is a fuel card?

14 March


Fuel cards are a popular choice for businesses of all sizes to help them improve fleet management, simplify expenses and are a cost-effective way to fuel their fleet.

With access to over 7,700 sites, our Allstar fuel cards are the perfect way to manage your fuel costs without drivers having to deviate from their routes to fill up. Plus, it takes care of your HMRC-compliance through VAT-detailed invoicing.

What is a fuel card?

Put simply, fuel cards make the purchasing of fuel much easier. A fuelcard is an alternative payment solution that businesses give to their drivers, exclusively for purchasing fuel and motoring expenses. Unlike a credit card, there is no interest charged on payments.

It also gives you extra control and security, where you can restrict purchases to fuel only, or open it up to other forecourt services. It’s up to you what restrictions you set.

Fuel cards are growing increasingly popular with businesses of all sizes that are looking to gain more control over their fuel expenses. Each fuel card can be assigned to either an individual driver or specific vehicle, with spend limits per card and 24 hour access to the associated online account.

While our Allstar One card is ideal for any type of fuel management, other cards are specifically set up for your particular business needs. For example, our Allstar Supermarket+ card offers you great deals at all major supermarket fuel sites nationwide. Our Allstar One Monitor card, however, has been designed specifically for the public sector and is CCS (Crown Commercial Service) approved.

How does a fuel card work?

The fuel card is just as easy to use as any traditional payment card. When your driver(s) are filling up at the pump, all they have to do is pay for the fuel using their Allstar fuel card, and the transaction will be recorded. Your driver(s) don’t even need to keep receipts. This doesn’t just make expenses easier to manage; it also makes VAT easier too.

Lighten your administrative load with Allstar's fuel cards. All transactions are recorded; you’ll receive a HMRC-compliant invoice, which consolidates all the payments made on each card, including the VAT breakdown.

If your employees use their car for personal trips, you can also get an accurate breakdown of private and business use with our Business Mileage Monitor. The Mileage Monitor accurately records both private and business miles and allows you to view actual pence per mile calculations. HMRC-compliance made easy.  

For additional safeguarding, a variety of authentication types are available for each fuel card registered. With our Allstar chip technology, each fuel card can also be configured to only purchase certain products, such as specific fuel types or consumables, including engine oil and car washes.

How can my business save by using fuel cards?

Many businesses pay their drivers’ fuel expenses with a set rate per mile. While this method works just fine, it doesn’t take into account the fluctuations in fuel price and it can mean that you are paying your drivers too much for their fuel (or not enough). Using a fuel card ensures that you pay the right price  for fuel.

The fuel card will also be better for your employees, making sure they won’t be out of pocket while their expenses claims come through. As the fuel card charges directly to the company, your drivers’ finances remain safe and unaffected.

For businesses running large fleets or several vehicles, the introduction of fuelcards will have an immediate impact on the bottom line.

With each Allstar product, our online account management tool, Allstar Online, ensures you stay in control of fuel costs and your business is productive every minute you’re on the road.  Every purchase made is tracked providing fleet or business managers with the full visibility of fuel card usage, how many gallons per litre are achieved and your driver(s) behaviour.  

What are the alternatives to a fuelcard?

One fuel policy used by companies is to expense the mileage per employee. This is a more costly method both in expense and time, and can often leave both parties disgruntled through delayed reimbursement or lack of control.

While you could ask your drivers to use a corporate card or a company credit card for their fuel expenses, it wouldn’t offer the same control a fuel card can offer. Corporate cards or credits card can easily be used for all sorts of purchases, both business and private, without your permission.

Both of these options discussed leave much to be desired, but the good news is that there is a solution.

What are the main benefits of an Allstar fuel card?

Whether your business is local or nationwide, Allstar have a fuel card to suit your needs. With access to over 90% of the UK fuel network including all major oil brands and low cost supermarket sites, you’re never far from an Allstar accepting site.

Offering the best fuel card capability to enhance your business, our Allstar fuel cards or business credit cards ensures your driver(s) keep on the road whilst minimising route deviation.

Further savings on fuel can be made on every litre of diesel purchased across our Discount Diesel network, helping you to keep a tight rein on fuel costs.

Secure your spend with one of our cards today here.

Share this article