How virtual credit cards can boost payment security and mitigate fraud in B2B payments 

Virtual credit cards make it easier and more secure for companies to make and take payments. Whether it’s a card issued to process invoice payments with a specific supplier, or cards used to cover general business expenses, virtual credit cards offer a range of security benefits and help mitigate fraud. Keep reading below for an overview of how virtual credit cards can make B2B payments more secure. 

Enhance security with a virtual card number 

When virtual credit cards are issued, a card number can be assigned (and it can also be immediately revoked, which is vital to manage instances of fraud). This allows companies to enhance payment security at the transaction level. When a virtual credit card is issued, it’s available for immediate use. There’s no need to wait for a physical card (and no chance that it will get lost or stolen in transit). By assigning a random 16-digit card number associated with a pre-existing bank account or credit card, businesses enhance their payment security by protecting the information directly linked to their corporate accounts.  

Virtual credit cards have to comply with the payment card industry data security standards (PCI DSS), so businesses have peace of mind knowing that the appropriate security measures are in place. Further, without sharing sensitive personal and financial information for payment to be processed, it reduces the data security burden of the entity accepting payment. 

Issue multiple virtual cards for all your cash flow needs 

Virtual credit cards can help businesses manage their spending in a more efficient manner by issuing cards for specific uses to specific people. These uses include expense management cards and cards for single-use or ongoing payments. By maintaining control and oversight of the cards at the transaction level, businesses can reduce fraud risk caused by a lack of transparency or misuse of company funds. Similarly, when a card needs to be cancelled or its security parameters updated, this can be done instantly without contacting the issuer and waiting to cancel the card. 

Reduce fraud risk with preset parameters 

One of the primary benefits of virtual credit cards in B2B payments is the ability to set predefined spending parameters that guarantee funds are used as intended. By restricting factors such as credit amounts, user permissions, and expiry dates, businesses can mitigate unauthorised charges and safeguard against potential fraud. This ensures compliance with corporate spending policies and improves the overall financial security of the business. 

Unlock smarter payments with Spenda 

Backed by an international third-party virtual card provider, and delivered through our Accounts Payable and Pay by Link technology, Spenda offers an unsecured line of credit that provides businesses with the funds needed to manage their Australian-based B2B invoice and expense payments. 

• Simple digital sign up 
• Access up to 25% of annual turnover
• Extend trade terms by up to 90 days 
• Make fast, secure payments 

This article is for general information purposes only. Consult a qualified financial advisor regarding any changes to or decisions about your business’s finances.