Many businesses today are leveraging technology to manage finances. With Accounts Payable, you will find that technology can make your process inexpensive, fast, convenient, AND provide a high level of security to your company.
One of the newest forms of electronic payments is virtual cards. This unique 16-digit credit card number is created solely to pay for a transaction or multiple transactions at a predetermined amount, but without a physical card. Virtual card payments are used for any vendors that accept credit card payments. To the vendor, the virtual card payment will work exactly the same as a credit card payment.
So Why Are A/P Departments thankful for Virtual Cards? Here are a few reasons why:
There is no need to provide vendors/suppliers with an open line of credit, leaving the risks of theft and fraud significantly reduced. Virtual cards have a high level of security, serving as a buffer between your actual credit card account number and the vendors you work with. Consequently, you won’t have to worry about someone intercepting your payment and running up fraudulent charges.
2. Cash Rebates
With virtual credit cards, your company can earn cash rebates while paying your vendors or suppliers. The amount of cash rebates you earn is tied to the volume of virtual card payments you make. The more payments you make, the more cash back you’ll earn. Some providers pay rebates on a monthly, quarterly or annual basis.
3. Cost Efficient
It’s much less costly to use a virtual card than it is to print and mail checks. The process is paperless, which eliminates the cost associated with check stock, envelopes, postage and man-hours required for manual process.
4. Applicable to All Businesses
Virtual Cards are not just applicable to large businesses as many people may think. Small and mid-size businesses can also leverage technology to issue virtual card payments to streamline A/P processes. In this case, size does not matter. Your company will always be able to use virtual cards payments for your A/P processes.
Virtual card payments offer many benefits in the form of high-level security, earned cash rebates , lower costs than paper checks, and the ability to streamline your AP processes. That's a lot to be thankful for this holiday season.
If your A/P department isn't using virtual cards, there isn’t a better time than now to jump on the movement. Learn more by reading our eBook on using Virtual Cards with your Accounts Payable.
In today's digital world, no one really uses checks regularly for their personal transactions. Ask anyone outside of the finance industry the last...
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Listed by CFO Tech as one of the Top 10 Accounts Payable Solution Providers 2018 and 2019 and by CIO Review as part of the 20 Most Promising Corporate Finance Tech companies for 2017, OnPay Solutions streamlines processes for accounts payable by automating invoice processing and payments.