What constitutes cardholder fraud?

Obtaining goods for personal use is considered cardholder fraud because it violates the fundamental purpose of the Government Purchase Card (GPC), which is intended solely for official government business and procurement. Using government funds to acquire items for personal benefit undermines the integrity of government purchasing processes, reflects misuse of government resources, and can lead to disciplinary actions and legal consequences for the individual involved. Fraud occurs when someone manipulates the system to benefit themselves financially, which is precisely what happens when a cardholder uses their government purchase card to obtain goods for personal use.

The other choices may involve misuse or inappropriate conduct, but they do not directly constitute fraud in the same sense. Authorizing team purchases can fall within the acceptable use of the card if done according to regulations, transacting on behalf of others may occur in specific roles and circumstances where it is authorized, and encouraging others to use government cards typically indicates a breach of protocol but does not fit the specific definition of fraud like obtaining personal goods does.