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Cash Management: Benefits and Limitations of the Small Purchases Credit Card Program

AFMD-90-89BR Published: Sep 11, 1990. Publicly Released: Sep 25, 1990.
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Highlights

Pursuant to a congressional request, GAO provided information on the federal government's small purchases credit card program.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of the Treasury In order to accurately assess the savings associated with using the small purchases credit card program, the Secretary of the Treasury should revise the instructions to agencies for reporting savings from the small purchases credit card program. Those instructions should require that agencies calculate their savings estimates based on their costs for using the small purchases credit card versus other procurement and payment methods, covering the entire procurement and payment process.
Closed – Implemented
Treasury issued instructions to all federal agencies using the small purchase credit card to conduct their own cost benefit analysis to calculate their savings.

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Topics

Billing proceduresCash managementContractor paymentsCost effectiveness analysisCredit salesFeesInternal controlsSmall purchasesCredit cardsFinancial management