|Title:||Corporate Credit Card Ė National Australia Bank|
|Document ID:||Operational Circular OP 1844/04|
|Date of issue:||Thursday, 16 September 2004|
|Status:||NO LONGER APPLICABLE|
|Description:||This Operational Circular outlines change in credit card provider as a result of new DTF contract, and provides guidance on change in processing of corporate credit card payments.|
|Applicable to:||All credit card holders within Health|
|Period of effect:||from 1 October 2004|
|Authorised by:||Mr John Griffiths, Director, Finance Directorate, 15-Sep-2004|
|Print version:||View print version|
Corporate Credit Card Ė National Australia Bank
The Department of Treasury and Finance (DTF) has recently announced that the Corporate Credit Card (CCC) contract has been awarded to the National Australia Bank as from 1 July 2004 (for a period of 3-years and a possible 2-year extension).
The existing CCC contract with ANZ (etc) has been extended for a period of 3 months to 30 September 2004 in order to allow for a smooth transition to the new provider. The Finance Directorate within Royal Street is overseeing and managing the transition for the whole of Health with the assistance of the various Health Services.
The CCC contract is mandatory and the National Australia Bank (NAB) is a sole supplier. The new contract has no card or transaction fees for users (as is the current practice with ANZ), but as a trade off the contract states that NAB will direct debit Agencies bank accounts for the value of transactions made 15 days after the monthly statement cycle.
Direct debiting of bank accounts is sanctioned by the FAAA as a method of payment and under this contract there is no other alternative.
To ensure that the direct debit and posting to the general ledger works effectively some changes to existing practices and procedures will be introduced immediately on transition to the NAB CCC:
Health Services and the Royal Street Divisions spend in excess of $400,000 per month through the CCC and this amount cannot be allowed to remain in a clearing account at the end of each month, that is it must be expensed and included in the monthly management report. To ensure that the above processes are adhered to, the following business rules must also be agreed and implemented:
To assist officers with this change in processes, the Finance areas will:
Please note these changes will be effectively immediately upon the issue of the new NAB CCC. Accordingly, can you please ensure that all card holders and other officers who have an involvement with CCC are made aware of these new processes.
Mr John Griffiths
This circular last updated: Thursday, 16 September 2004 at 12:00am