The Future of B2B Payments: 7 Reasons To Make the Switch to Virtual Cards

As businesses look for additional ways to secure their finances, virtual cards are becoming a viable option. These cards function as single-use credit cards with unique numbers and spending limits. Once you’ve used one, it disappears, and you receive a new one. Here are seven reasons why switching to virtual cards might put you on the cutting edge of B2B payments. 

Protecting your company’s finances

When you choose solutions like the Divvy virtual card, you protect your business’s finances. Hackers cannot reuse the 16-digit numbers assigned to each virtual card, making them an ultra-secure way to process your transactions. Once you use a virtual card, those 16-digit numbers disappear. The single-use virtual cards only cover the one-time expense, so hackers cannot wring additional dollars out of them even if they gain access to sensitive financial records.

Uses fewer natural resources

When you choose to pay with a virtual card, you use fewer natural resources. Credit card companies don’t have to make plastic cards, and check companies don’t print paper checks. Virtual cards do not need to be physically delivered, so the reliance on fossil fuels to power delivery trucks is reduced, too. 

Cash-back rewards

Companies attach cash-back rewards to encourage more people to use virtual cards. Since these cards use fewer labor and materials resources, card companies can give companies up to 1.5% back. These outstanding benefits should be enough to convince more companies to use them. 

Unique benefits for merchants

Some card processing companies charge slightly higher merchant fees, but with those merchant fees come more benefits. 

Companies that accept virtual cards are guaranteed to receive their money from their customers. These companies are also less likely to have that money hacked by criminals. Future-forward enterprises see the cash from virtual cards move into their bank accounts faster than money from typical credit cards. 

Reduce card-management worries

When companies turn to virtual cards, they reduce their worries from managing real credit and debit cards. Rather than tracking where the cards are and who is using them, financial offices release virtual cards to those who need them when they need them.

Companies don’t have to worry about their virtual cards falling into the wrong hands or the money falling victim to card-hacking technology. Criminals cannot use illegal technology to read card numbers from swipers. Virtual cards outsmart criminals, making them a valuable tool for B2B expenses. 

Instant reconciliation

Financial offices also get to reconcile the money spent through a virtual card instantly. The office doesn’t have to wait for the transaction to process through a bank, and they don’t have to wait for a check to return at the end of the month. 

Avoiding overdraft problems

Virtual cards immediately deduct money from bank accounts, so companies can stop worrying about overdraft fees. The bank will not put money on a virtual card if the bank account cannot cover it. 

Wrap up

As more businesses look for ways to increase their financial security while making B2B payments, they turn to virtual cards. This technology reduces expenses and offers cash-back rewards and benefits, making it a responsible choice for businesses that want to increase security and their bottom line. 

Murtaza Ali

Murtaza Ali is a tech enthusiast and freelance writer with a passion for all things digital. With 5 years of experience in the tech industry, He has a deep understanding of the latest trends, innovations, and best practices. He loves sharing his knowledge and insights with others, and has written extensively on topics such as [Ai, cybersecurity, cloud computing, programming languages, etc. When he's not writing or tinkering with gadgets, he can be found exploring the great outdoors, practicing cricket, or experimenting with new recipes in the kitchen. He believes in the power of technology to improve people's lives and is excited to be part of an industry that is constantly pushing boundaries and breaking new ground.
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Murtaza Ali

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