A virtual payment terminal is a Web-based version of a credit card swipe device that allows merchants to process orders made by mail, over the phone or online.
Virtual terminals facilitate payment for small and medium businesses that might otherwise have difficulty accepting credit card payments. Once the merchant has signed up for the virtual terminal service, they enter customer payment data for transactions with fields for name, address, type and number of credit card, card verification value (CVV) and so on.
Virtual terminals are easier for the merchant because they don’t require specialized hardware or even software. Because payment transactions go through the virtual payment provider’s website, the third-party provider — rather than the merchant — is responsible for ensuring compliance with Payment Card Industry Data Security Standard (PCI DSS) requirements.
CloudBanking virtual terminal encrypts sensitive credit card details, ensuring that information is passed securely from the customer to the acquiring bank, via the merchant.
Virtual payment cards are streamlining the way payments are made for both customers and merchants. Here are 4 main reasons why merchants need to consider Virtual Payment:
Added Security and Fraud Protection
Receiving online payments is more secure and credible. CloudBanking innovative technology system monitors your payments and keep an eye on suspicious transactions. Our system is able to receive payment before completing the purchase, which helps reduce the hassle of fake and bounced checks. Online payment gateways allow you to protect your business and your customers, which consequently raises your credibility and reliability.
Improve Cash management
It’s often challenging to manage cash flow and the monetary requirements of a business. Merchants have to pay suppliers a required payment during an agreed-upon time frame. During this time, things may get a little fuzzy when trying to determine what funds are available for payment. However, with the CloudBanking Virtual terminal program, the system allows industries of any size to manage cash flow through enhanced reporting with data capture. Instant reconciliation facilitates improved reporting on cashed virtual terminal for internal transparency.
Another virtual payment is to improve oversight and accountability for a merchant over business’ money. When you assign virtual payment to specific suppliers or vendors, you always know exactly where your money is going, and why. Purchases made against this card are then automatically logged into your account management system. Everything is neatly processed, labelled, and accounted for—no more mystery payments.
It becomes easy to trace back and reconcile the transaction and reduce the number of hours spent chasing expense receipts by the accounts department.
Ease of reconciliation
One of the biggest pains for merchants is the time it takes with reconciliation or receipt collection. The typical merchant may need to chase multiple people just to understand what the transaction was for.
However, with CloudBanking Virtual Terminal, you can assign the card to a specific person, a specific department, or even a specific expense code. This will allow businesses to easily reconcile expenses to the right account and easily identify the right people to ask for receipts for given transactions, saving considerable time.
A virtual payment terminal has many benefits for both merchants and customers. It will streamline the payment process, reduce costs, improve cash management, and mitigate exposure to payment fraud. With CloudBanking Payment gateway, virtual cards are a safe, secure and easy way to administer vendor disbursements. What’s more, the convenience and improved cash flow it provides to customers can serve to strengthen merchant-customer relationships.
The keys to successfully implementing a virtual terminal program are to develop a detailed customer subscription or payment plan coupled with a systematic and communication program. CloudBanking is a payment gateway that gives everyday businesses access to virtual cards.