Pcards are

Pcards are

• A. Issued by internal finance team
• B. Issued by a bank with restrictions, management oversight, and reviewer capabilities
• C. Not used for purchases
• D. Only for travel

Answer: (B)

Pcards are bank-issued payment tools that organizations give to authorized staff to handle small, routine purchases more efficiently. The key idea is that the card is provided by a bank and comes with built-in controls—like per-transaction and monthly spending limits, restricted merchant categories, and required oversight and review. This setup helps streamline purchasing while maintaining accountability: purchases are monitored, reconciled, and reviewed by managers or designated approvers to ensure they align with policy and avoid misuse. Other options don’t fit because a procurement card isn’t issued by an internal finance team, and it isn’t limited to travel or to non-purchasing use. While travel-related charges can be paid with a Pcard, the card is meant for a variety of legitimate procurement needs, within the configured restrictions.

Pcards are bank-issued payment tools that organizations give to authorized staff to handle small, routine purchases more efficiently. The key idea is that the card is provided by a bank and comes with built-in controls—like per-transaction and monthly spending limits, restricted merchant categories, and required oversight and review. This setup helps streamline purchasing while maintaining accountability: purchases are monitored, reconciled, and reviewed by managers or designated approvers to ensure they align with policy and avoid misuse.

Other options don’t fit because a procurement card isn’t issued by an internal finance team, and it isn’t limited to travel or to non-purchasing use. While travel-related charges can be paid with a Pcard, the card is meant for a variety of legitimate procurement needs, within the configured restrictions.