The payments and card issuance firm Nium has brought its virtual card issuing tool to the U.S., a move the company says will make it easier for travel-related businesses to pay suppliers.
Nium said in a Wednesday (Dec. 15) press release that the virtual card lets online travel agencies, tour operators and corporations revamp their spend management processes, save money and digitize their supply chain, while receiving better rebates and more security.
“Even before the current global pandemic, the travel industry has been long overdue for technology and process modernization,” Spencer Hanlon, global head of travel payments at Nium, said in the release.
“Our virtual cards solve an urgent need for online travel companies looking to improve operations and to create long-term efficiencies that improve margins and cash flow,” Hanlon said.
The company said developments such as the COVID-19 pandemic have turned virtual card issuance from a luxury to a necessity for travel businesses, and estimated that the yearly value of virtual cards used by businesses will top $1 trillion next year.
Nium says its card helps travel-related businesses optimize payments by unlocking more working capital, offering faster transaction reconciliation and minimizing fraud. The cards can be implemented in as little as two weeks.
“Nium will use its new virtual card solution to expand its card issuing capabilities in the United States, initially within the travel sector, with plans to expand into new verticals,” the news release says. “The global reach of Nium’s card issuance business now includes 34 countries, with more than 31 million physical and virtual cards already issued.”
Read more: Nium, Modern Exchange Partner on International Payments
The announcement comes a little more than a week after Nium launched a partnership with Modern Exchange of Oman, which will see the latter leverage Nium’s payments infrastructure around the world.
The companies say the partnership will connect Modern Exchange with correspondent banks around the globe, letting customers make real-time payments. Nium’s payout capability will let Modern Exchange offer P2P and B2B cross-border payments in all major currencies, access to several real-time payment corridors, fast settlements and competitive FX rates.
