Visa, an established player in global payment solutions, has announced its pilot plan for the Visa AR Manager. This innovative tool aims to alleviate the challenges commercial merchants currently face in accepting virtual cards. Set to kick off its limited pilot phase in November, the solution showcases Visa’s dedication to crafting an effortless digital payment journey for both issuers and suppliers. This move signifies Visa’s further intent to cater to the B2B commercial segment’s evolving demands.

The Shift to Virtual Cards in Business

The business sector has swiftly transitioned to using virtual cards for managing accounts payable, given their clear advantages. An insightful study from the Institute of Commercial Payments discloses that a staggering 84% of commercial merchants recognized accelerated payment timelines as a primary motivation for selecting virtual cards as their preferred payment method. However, the current landscape of virtual card acceptance can be quite tedious, requiring manual handling, which is both costly and time-intensive. Merchants often grapple with varying protocols across different banks they engage with.

Visa AR Manager: A Solution Tailored to Merchant Needs

Visa’s AR Manager promises to tackle these merchant challenges head-on. It is designed to automate the entire virtual card transaction journey — from fetching card account specifics to initiating authorization, facilitating the clearing phases for suppliers, and eventually offering crucial reconciliation information to finalize invoices within the merchant’s ERP system.

Abhishek, Global Head of B2B Acceptance at Visa Commercial Solutions, said: “This innovation is a direct result of deep, meaningful conversations with our valued partners and customers, who have highlighted the friction they experience today with virtual card transaction processing.

“Visa AR Manager will enable us to create an optimal transaction experience for our commercial customers, automating an antiquated process and transforming the way they work.”

Launch and Expansion Timeline

Beginning in November, Visa AR Manager will roll out for pilot customer integration and is anticipated to see a wider launch as the new year progresses. This initiative complements Visa’s ongoing strategic collaborations, emphasizing continuous innovation to reduce merchant challenges in commercial payment acceptance.

  Abhishek, B2B payments, virtual card processing, Visa, Visa AR Manager