Increase Revenues

How Virtual Cards can increase bank revenues

Issuing payments without a corporate card, usually involves complicated invoicing procedures or time-consuming and expensive processes, like issuing cash advances. Virtual Cards solve this non-cardholder headache, whilst boosting company spend and revenues for the bank. Below are some of the reasons Conferma powered Virtual Cards help to drive revenue growth:

1. Gain more of your clients’ T&E spend

With Conferma powered Virtual Cards, a greater percentage of a client’s company card spend is channelled through the bank. This is because rules are set to prohibit the use of personal funds or cash advances.

2. Reduce card fraud

According to the Nilson Report, fraudulent transactions accounted for 12.75% of card spend in 2014. Due to the tight controls of our system, using Virtual Cards eliminates the risk of fraud.

3. Save time, save money

Time is money. The use of Virtual Cards by your clients automates a lot of their buying procedures, saving time on all aspects of the process from purchase to reconciliation. This also saves the bank money in administration time on questioned transactions and client engagement.

4. Centrally billed cards = A bigger piece of the pie

Recent European regulation changes have significantly reduced the revenues banks can earn on individually billed cards – down to a maximum of 0.3% in Europe from December 2015. Not only does that impact on a bank’s revenue, it also reduces any rebate that can be passed on to a bank’s clients. However, the ruling doesn’t apply to centrally billed cards, and as all Conferma powered Virtual Cards work through centrally billed accounts, the reduction in interchange doesn’t apply. Good news indeed!

5. Happy banking; clients spend more

It stands to reason that a good partnership will create a better bond between bank and client, which could increase business opportunities for the bank. Conferma powered Virtual Cards are an innovative tool, which our partner banks can offer as a solution to their clients.