Purpose of the MasterCard Program

The Procurement Card Program has been established as a service to campus departments through Fifth Third Bank and NKU Procurement Services. This new program will allow departments the opportunity to use a University credit card to purchase certain goods costing less than $1000.00. The University benefits by having a more efficient, cost-effective method of purchasing and paying for small dollar transactions. This program is entirely voluntary. If a department decides it is right for them and wishes to participate, the cardholders will be expected to follow the established guidelines and will be held accountable for use of the card.

The program will complement the existing purchasing and payment process. It is not a method to bypass appropriate purchasing policies and procedures nor to replace current travel regulations.

Advantages of the MasterCard Program

• Participating departments are allowed to procure small dollar items in person, or by mail, phone, fax, or through the Internet, without requisitioning the requirements.
• No additional paperwork is required to complete the payment process for properly billed transactions.
• The program will eliminate the need for most requisitions that currently generate an automatic payment. (Registrations, memberships, subscriptions, etc.)
• Vendors are paid immediately by the credit card company, increasing vendor good will, and at times generating better discounts.
• The University makes one payment per month to Fifth Third, rather than one per vendor.
• The program enhances the petty cash process. The card may be used for items that are needed immediately, that exceed the petty cash reimbursement limits.
• The card may be accepted by certain vendors who will not accept a purchase order.

The procurement card will be issued after receipt of the signed Procurement Cardholder Agreement. When you receive your card, just call the telephone number indicated to activate the card for immediate use.

It is important to remember that University funds are committed each time the card is used which is a responsibility that cannot be taken lightly. Use of the card that is not according to the guidelines established for this service may result in personal liability.