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Net terms vs prepay: two ways to fund instant reimbursement

PuraFi reimburses your team the moment an expense clears. That instant payback has to be funded, and you have two ways: prepay a balance it draws from at $4 a person, or let PuraFi front it and settle weekly at $7. Here’s how to choose, and why neither is a credit line.

The trade is cash flow, not speed

PuraFi reimburses your team the moment an expense is approved, so employees are never out of pocket waiting on a cycle. That instant reimbursement has to be funded somehow, and you have two ways to do it: keep a prepaid balance it draws from, or let PuraFi front every reimbursement and settle up on a weekly statement. That’s the whole of “net terms vs prepay” for travel and expense, and it comes down to the time value of your cash versus a small, known premium.

Either can be the right answer. The point is to choose deliberately, not by default.

Prepay: $4 per person, zero financing fee

On the prepay plan you keep a balance topped up, and approved reimbursements draw straight from it. Because nobody is fronting the money, there’s no financing fee, and it’s the lowest seat price at $4 per person per month. The only cost is opportunity cost: that balance sits funded instead of earning or working elsewhere.

Prepay is the right call when you’re comfortable holding a working balance and want the simplest, lowest per-person price.

Net terms: $7 per person, settle weekly

On net terms, PuraFi fronts every reimbursement so your team is paid back within the minute, and you settle up on a simple weekly statement, with nothing to pre-fund. The seat price is $7 per person per month, and the difference over prepay buys you the flexibility of keeping your cash until that weekly settle.

This is not a loan and not a credit line. There’s no revolving balance, no interest accruing, and nothing landing as debt on your balance sheet, just instant reimbursement now and one clean statement each week.

Side by side

 PrepayNet terms
Price$4 / person / mo$7 / person / mo
Financing feeNoneNone, built into the seat price
Your cashHeld in a prepaid balanceStays working until the weekly settle
SettlementDraws as you goOne weekly statement
Best whenYou want the lowest priceCash is worth more kept than the $3 premium

The honest rule of thumb

Compare two numbers: the $3 per-person difference, and what a dollar of working capital is worth to you. If keeping your cash until the weekly settle is worth more than $3 per person a month, take net terms. If not, prepay and pocket the lower price. For most teams it’s a small, clear-eyed call, not a policy debate.

How PuraFi handles it

Whichever you choose, the employee experience is identical: they pay on their own card, keep their points, and get reimbursed the instant an expense clears. Expenses still code themselves and finance still gets clean books. The only thing that changes is how you fund it, prepay for the lowest price, or net terms to keep your cash and settle weekly.

The takeaway: “net terms vs prepay” isn’t about whether your team gets paid back fast, they always do. It’s simply how you’d rather fund it: a lower per-person price, or your cash kept working until one weekly statement.

Common questions

It depends on your cash position. Both pay your team back instantly and let them keep their points. Prepay is the lowest price at $4 per person per month and draws from a balance you keep funded. Net terms are $7 per person per month: PuraFi fronts every reimbursement and you settle on a weekly statement. Take net terms if keeping your cash is worth more than the ~$3 per-person difference.
No. PuraFi never lends and it’s never a credit line. On net terms PuraFi fronts your team’s reimbursements and you settle on a weekly statement. Nothing lands as debt on your balance sheet.
Both deliver the same instant reimbursement and let employees keep their points. At $4 per person/mo you prepay a balance reimbursements draw from, with no financing fee. At $7 per person/mo PuraFi fronts every reimbursement and you settle on a weekly statement, nothing to pre-fund. Estimate it on your numbers →

See it on your numbers

See which funding mode, $4 prepay or $7 net terms, costs your team less.

Open the savings calculator →

Fund reimbursement your way

Prepay or net terms. Never a credit line.

PuraFi reimburses your team the moment an expense clears, on their own card, and lets you fund it your way, prepay or weekly settlement. Book a demo and we’ll map it to your team.

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