Virtual payment cards are getting an increasing amount of attention these days, and they have also been displaying a positive impact on the way business is conducted at times when social distancing and cashless transactions are highly essential.
If your business is inclined towards integrating virtual payment cards, it is important to review the benefits of such modes of payments. Today we will discuss the business benefits of using virtual payment and debit cards, but first let’s understand what these mean.
What Is a Virtual Payment Card?
Virtual payment cards refer to debit or credit cards that are issued online. They consist of a card verification code, randomly generated 16-digit serial number, and its expiry date, just like physical debit or credit cards that you carry in your wallet.
They are used in the same manner plastic debit or credit cards are minus the need to be carried around. Issued by organizations like Mastercard, American Express, Maestro or Visa and can be used anywhere that traditional cards are conventionally accepted.
What are The Benefits of Using Business Virtual Payment Cards?
Extend the power of your Bento account with virtual debit cards to give your business an extra advantage today with these business benefits:
1. Empower Your Staff:
Virtual cards can be issued to more than one member of the department assigned to approve payments for the business. The staff can also be given an individual virtual payment card unique to them. The managers can track and put a ceiling on the spending limits of each card,keeping the budget in control and the team members informed about their spending capacity.
2. Greater accountability:
Since the managers can assign virtual payment cards to their suppliers and vendors, they will always know where the money goes without leaving room for mysterious cash losses. Purchases made using a virtual card are automatically recorded in the card management system, leaving all details well organized and up to date.
3. Improved Security:
One of the biggest benefits of a virtual debit or credit card is the enhanced layers of security a business can impose. Virtual payment cards are the ideal choice to make safe and encrypted online payments. As per reports, Virtual Card Use To Exceed $1T By 2022!
4. Simpler to Activate and Use:
In the past, virtual payment cards were available only to major corporations. However, due to the recent dependence on digitization and fintech advancements, they are now offered to everyday businesses too. Fintech organizations help businesses to create their virtual cards within seconds.
All one needs to do is set up an account online and start creating these cards for your business. The Virtual Cards Market was valued at USD 188.61 Bn in 2018 and is expected to hit USD 739.77 Bn by 2025 with the CAGR of 21.56% over the forecast period.
5. Smooth Reconciliation:
One of the biggest challenges of issuing corporate cards is the time taken to track the owner of a transaction for reconciliation purposes or receipt collection. Using virtual payment cards makes reconciliation a breeze as the manager can track exactly whom the card is assigned to.
Conclusion:
Now that you know how well suited virtual payment cards can be to your business, take a leap of advancement! Your business payments and financial transactions will be more organized, better accounted for, giving you better financial control.
