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The Military Wallet

The Dos and Don’ts of Government Travel Charge Cards

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What is a Government Travel Charge Card?

Obtaining a government travel charge card, types of government travel charge cards, uses of a government travel card, the rules of a government travel card, how to responsibly use your government travel card, incorrect uses of a government travel card, resources and contacts.

You just received your first GTCC — the federal government’s version of a corporate travel credit card. But before your “ Wolf of Wall Street ” fantasies about perks and points come alive, it’s best to learn a bit more about how the GTCC program works, what’s expected of you as a cardholder, and how to use the card appropriately and legally.

Within this article, we explore the basics of the GTCC program at the Department of Defense, the different types of charge cards offered, and ways to obtain a card. Read on for some savvy tips on how to use (and how not to use) your government charge card so that you remain in control and out of trouble.

A GTCC is a commercial credit card offered to DoD personnel (both military and civilian) to pay for costs related to government-specific travel. For military members, this may include Permanent Change of Station moves and temporary duty assignments so that the service member doesn’t have to pay for work-related expenses out of pocket.

Currently, credit cards issued under the GTCC program are from the commercial partner, Citibank. However, the program itself is managed by DoD program coordinators within the Defense Travel Management Office (DTMO), who provide troubleshooting assistance to service members and federal employees. While Citibank issues GTCC credit card statements, DTMO set policy regarding GTCC use. It is the main agency that does so.

In general, military members will not have access to the GTCC program until it becomes a job requirement. Those who become eligible for holding a GTCC must first complete an online training course and then be invited to apply for the card through Citibank.

There are two main classifications for government charge cards: 

• Individually Billed Accounts (IBAs) 
• Centrally Billed Accounts (CBAs)

Individually Billed Accounts (IBAs)

Individually Billed Accounts are issued to service members for travel and travel-related expenses. With these types of cards, the service member is responsible for settling the account. 

According to the DoD , the Standard card options within this category are typically issued to those with a 660 or higher credit score. They have a credit limit of $7,500. 

In contrast, the Restricted card option is issued to those with lower credit scores (500-659) and has a lower credit limit of $4,000. Restricted government charge cards are closely monitored. They are sometimes deactivated during periods when travel has not been approved.

Centrally Billed Accounts (CBAs) 

Centrally Billed Accounts can also be used to pay for travel expenses. 

These cards are settled directly by the U.S. government (so the cardholder has fewer personal responsibilities). They have limited use. Unlike Individually Billed Accounts, where the service member is personally liable for card charges, Centrally Billed Accounts assume government liability.

Approved uses of a government travel charge card include, but are not exclusively:

• Meals (not including alcohol)
• Transportation (airfare, train, etc.)

For additional guidance on what constitutes “official travel,” see page 14 in the GTCC Regulations (2020) and the newly amended Joint Travel Regulations (2021) .

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Responsible use of your government charge card entails three main activities: 

• Ethical use of the card for official government travel expenses only;
• Timely and accurate reporting of charges (often with printed receipts);
• Timely payment of the card’s balance

The cardinal rule to follow: the government charge card is not to be treated as a personal card in any way. It should be used only for official travel . (Commuting to work or going on a family vacation do not constitute “official travel”). 

Following the travel event such as PCS or TDY , cardholders are expected to submit a “travel claims” report within five days of its conclusion in the Defense Travel System. This should include scanned receipts of individual charges as well as amounts, dates and descriptions. Foreign currency charges must be converted into U.S. dollars.

Additionally, cardholders with Individually Billed Accounts are responsible for ensuring that the government travel card is ultimately paid off. When entering trip report details in the Defense Travel System, cardholders are encouraged to use the split disbursement option to ensure that the service member is reimbursed for all out-of-pocket expenses and per-diem rates while the charges on the government credit card are settled in full.

Although it isn’t difficult to imagine the multitude of ways that service members can get into hot water for misuse of government travel cards, the most common missteps involve:

• Using the card for unofficial/non-approved travel or personal use
• Overspending
• Using the split disbursement feature incorrectly
• Failing to submit timely and/or accurate travel reports in DTS
• Failing to pay the card balance on time
• Including alcohol on receipts for DTS submission 

In addition to accruing late fees, which begin at 75 days past the due date, cardmembers can have their accounts suspended or terminated for improper use of a GTCC. For more serious offenses, service members may receive formal counseling, an Article 15, or even a court-martial . Therefore, it’s best to be on the safe side and remember the basics for proper GTCC etiquette:

• Use it only for official/approved government travel;
• Provide a timely and accurate report in DTS, using the split reimbursement option;
• Ensure that the GTCC is paid off in full by the due date

For more information on the DoD GTCC:

Citibank Customer Service: 1-800-200-7056 (or 757-852-9076 when calling collect)

GTCC Travel Assistance Center: 1-888-HELP1GO (1-888-435-7146)

Citi’s DoD Travel Card Webpage

Email of the DoD Travel Card Helpdesk

DoD GTCC Regulations (2020)

DoD Joint Travel Regulations (2021)

About Post Author

Meaghan Doherty Myers

Meaghan Doherty Myers is a freelance writer, specializing in military benefits, personal finance, and defense and security issues. She holds an M.A. in Strategic Studies and International Relations from the Johns Hopkins School of Advanced International Studies (SAIS) and recently graduated from the Russian language program at the Defense Language Institute in Monterey, CA. She is an Army spouse, a former ballet dancer, and a former management consultant who lives with her husband and daughter in Alexandria, VA.

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Honeywell Backs Growth Drive With $1.9 Billion Aerospace and Defense Deal

FILE PHOTO: A Honeywell logo is pictured on the company booth during the European Business Aviation Convention & Exhibition (EBACE) at Cointrin airport in Geneva, Switzerland, May 24, 2016. REUTERS/Denis Balibouse/File Photo

By Ananta Agarwal

(Reuters) -Honeywell will buy aerospace and defense technology provider CAES Systems for $1.9 billion, the U.S. manufacturing giant said on Thursday, part of its focus on three broader business trends to drive growth.

Since taking charge as chief executive in June 2023, Vimal Kapur has steered the company toward three "compelling megatrends" - automation, the future of aviation and energy transition.

The all-cash transaction with private equity firm Advent International for CAES is Honeywell's third deal this year.

"We do believe there has been a demonstrable uptick in deal activity this year under Vimal's leadership, a growth dimension that was notably missing under the previous CEO," said Deane Dray, equity analyst at RBC Capital Markets.

CAES develops electronics such as antenna systems and communication networks for aerospace and defense companies, and the deal comes when orders have surged in response to drawn-out conflicts, including Russia-Ukraine and Israel-Hamas.

The deal complements Honeywell's offerings on programs such as Lockheed Martin's F-35, Boeing's EA-18G, and missiles including Raytheon's AMRAAM, Sheila Kahyaoglu, equity analyst at Jefferies, said in a note.

Advent completed its buyout of CAES (then Cobham Advanced Electronic Solutions) for $5 billion in January 2020 and later carved out CAES as a standalone entity in 2021.

The CAES deal, which is expected to close in the second half of 2024, will add to Honeywell's adjusted earnings per share in the first full year of ownership.

With the CAES acquisition, the company has deployed just under $10 billion, or about 40% of the targeted amount set in 2023 for M&As and buybacks, halfway through the targeted timeline of three years, Dray said.

The deal will provide additional automated facilities and about 2,200 employees, many of them highly skilled engineers who could boost the aerospace operations, Honeywell said.

(Reporting by Ananta Agarwal in Bengaluru; Editing by Shailesh Kuber and Sriraj Kalluvila)

Copyright 2024 Thomson Reuters .

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More than half of banking jobs could be automated by AI — but banks will be slow to adopt, Citi report says

• A new Citi report says finance will be "at the forefront" of changes due to artificial intelligence.
• Banking jobs are most at risk of AI-driven displacement, the report says.
• The adoption of AI in finance, however, will be slow due to regulatory challenges and other factors.

AI has already been thought to have the potential to change jobs in every industry profoundly. But , according to a  new report  from Citigroup researchers, "finance will be at the forefront of the changes."

"What a bank or financial firm looks like in the mid-2020s, be it retail or wholesale finance, looks very different to the mid-1980s, or the mid-1940s," the report said. "AI will repeat this cycle, possibly speeding it up."

While general-purpose technologies, or GPTs, create new opportunities for innovation and can improve quality of life, "they also destroy existing ways of doing things," the report added. "And as such, they also create losers, especially in the short term."

With data pulled from Accenture Research and the World Economic Forum, Citi's researchers said that about 67% of banking jobs have "higher potential" to be automated or augmented by AI. That means "banking jobs" (which the report didn't narrowly define) have the highest potential for AI-led job displacement.

However, according to Citi, a decline in head count may be partially or completely offset by an increase in AI-related compliance managers and ethics and governance staff.

Related stories

One upside Citi pointed out, however, is that they estimate the profit pool for the 2023 global banking sector "could increase 9% or $170 billion from the adoption of AI, rising from just over $1.7 trillion to close to $2 trillion."

AI adoption in finance will be slow

The Citi researchers believe the "pace of implementing modern AI tools in financial services, in particular, GenAI, will be relatively slow when compared to other sectors," they said in the report, in part because of the "highly regulated nature of the sector and lack of 'ready to go globally aligned rules.'"

"A regulatory landscape is evolving in some jurisdictions, but it is a challenging road ahead for financial services firms when it comes to implementation because countries are moving to different speeds, taking different approaches towards regulation and in some cases changing their position on whether to regulate," it said.

In an interview featured in the report, Shameek Kundu, the head of financial services and chief strategy officer at TruEra, weighed in on the same point.

"I would describe traditional AI adoption in financial services as: widespread, shallow, and inconsequential," said Kundu.

Kundu explains that there are "a large number of enterprises experimenting with AI across different use cases," yet "limited scale of AI adoption across use cases" and a "limited perceived impact of AI system failures on critical business operations."

He cited a 2022 Bank of England survey, which found that "72% of firms reported using or developing machine learning applications," yet the "median number of ML applications for mainstream UK financial institutions to be just 20-30" and "less than 20% of the already few AI use cases were critical to business."

Watch: How Twitter panic took down Silicon Valley Bank

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