Employee Credit Card Agreement Template for India

The Employee Credit Card Agreement is essential for organizations operating in India that provide corporate credit cards to their employees for business-related expenses. This document becomes necessary when companies want to streamline their expense management process while maintaining control and compliance with Indian regulatory requirements. The agreement comprehensively addresses card usage policies, spending limits, reporting procedures, and security measures, incorporating provisions from RBI guidelines and relevant Indian legislation. It serves multiple purposes: protecting the company's financial interests, ensuring proper card usage by employees, maintaining compliance with regulatory requirements, and establishing clear procedures for expense management. The document is particularly relevant in the current business environment where corporate credit cards are increasingly used for business expenses, travel, and procurement.

1. Parties: Identifies the employer (company) and the employee who will be issued the credit card

2. Background: Explains the context of issuing corporate credit cards to employees and the general purpose

3. Definitions: Defines key terms used throughout the agreement including 'Corporate Credit Card', 'Authorized Uses', 'Credit Limit', etc.

4. Card Issuance and Ownership: Establishes that the card remains company property and terms of issuance

5. Authorized Use: Specifies permitted uses of the corporate credit card and spending limits

6. Employee Obligations: Details the employee's responsibilities regarding card use, security, and reporting

7. Expense Reporting: Outlines procedures for submitting expenses and required documentation

8. Prohibited Uses: Clearly lists unauthorized uses of the corporate credit card

9. Payment Responsibilities: Describes how payments will be handled and any employee reimbursement requirements

10. Security Measures: Specifies requirements for keeping the card and PIN secure

11. Lost or Stolen Cards: Procedures for reporting lost or stolen cards and liability allocation

12. Termination: Conditions and procedures for card cancellation and return

13. Breach and Consequences: Details consequences of misuse or violation of agreement terms

14. Governing Law: Specifies that the agreement is governed by Indian law