The travel and expense reimbursement process often poses challenges for organizations. American Express and Emburse address these issues through virtual card solutions.

In Emburse’s expense management platform, Amex introduces the capability to issue virtual cards, providing real-time transaction data that offers visibility into card activities for organizations.

For instance, a customer can issue an Amex virtual card for a business trip. Following issuance, automatic expense entries are generated, and live updates on spending are provided directly to the organization as transactions occur.

Clear Applications

Demonstrating the benefits of using virtual cards in enterprise payments, many industries have only recently begun to recognize their advantages. Each virtual card is issued with a unique number, expiration date, and security code—features that protect sensitive data while enabling detailed reporting.

The travel and expense management benefits of virtual cards are clear when compared to the traditional method where employees cover expenses upfront and later submit receipts for reimbursement.

In addition, virtual cards surpass company-issued physical cards by being less prone to loss or theft. Moreover, organizations can implement precise spending controls through these cards, such as setting transaction limits or restrictions to specific vendors or sectors.

Expanding Use Cases

Beyond travel expenses, commercial virtual cards find utility in a wide array of scenarios. They are particularly efficient for employee-initiated purchases like maintenance items or event supplies, allowing direct payments without navigating the purchase order process.

Despite their numerous benefits, many companies remain uncertain about how to effectively deploy these solutions.

“The card is good only when used by a specific supplier on that day,” explained Hugh Thomas, Lead Commercial and Enterprise Payments Analyst at Javelin Strategy & Research. “It encapsulates the convenience of a card while providing the ability to charge back in case of discrepancies or non-delivery.”

Thomas noted, “With these benefits come costs and complexities that require careful consideration of where they are best applied—knowledge not immediately intuitive for all businesses.”