Why more suppliers are embracing virtual cards

Why more suppliers are moving away from checks – and how virtual payments deliver real results

Commercial payments are evolving. Businesses are rethinking long-standing processes and asking a bold question: “Is there a better way to get paid?” For suppliers, the answer increasingly points to virtual payment solutions – especially as buyer expectations grow and the challenges of conventional payment methods become more apparent.

Across industries, many suppliers still rely heavily on manual processes. Nearly 40% of commercial payments are still made by check,¹ a method that drags down efficiency, delays cash flow and increases reconciliation challenges.

But a shift is underway. Forward-thinking suppliers are adopting B2B electronic payments and seeing tangible benefits: faster payments, stronger buyer relationships and reduced processing costs.

And now, with fresh research from Mastercard® and a recently updated Forrester® Consulting Total Economic Impact™ study, the case for change is clearer – and more compelling – than ever.

The case for virtual cards

Virtual card acceptance has been gaining momentum because it delivers measurable improvements on the issues that matter most to suppliers. In a 2025 Mastercard global study of over 1,000 senior finance decision-makers, suppliers reported that accepting commercial credit card payments helped them improve performance across working capital, operational efficiency and customer experience:

• Suppliers who accept cards are 14 percentage points more likely to say they’re efficient at maximizing working capital.²
• They’re also 12 percentage points less likely to face persistent working capital challenges.²
• 32% reported greater payment visibility, 30% saw faster payment processing and 24% experienced lower processing costs.²

The Forrester report backs this up, illustrating how automated payment processing and enriched data built into virtual payment solutions lead to significant operational gains. Businesses that adopted virtual card payments reduced reconciliation tasks by 90%³ – a dramatic improvement that frees up time, reduces errors and allows finance teams to focus on higher-value work.

Beyond efficiency: security, speed and satisfaction

Suppliers often have valid concerns about adding card acceptance: Will it be secure? Will it introduce more complexity? Will it be cost-effective?

Interestingly, Mastercard’s research shows that these concerns are often resolved by the very shift some suppliers hesitate to make:

• 35% of non-acceptors cite security as a concern, yet 31% of card acceptors say improved security is a top benefit.²
• 31% of non-acceptors worry about system integration, while 34% of card-accepting suppliers report faster, more seamless payment processing.²
• And where non-acceptors cite delays caused by fraudulent checks, 25% of card-accepting suppliers report lower fraud incidence as a direct result of card use.²

Essentially, virtual payments don’t introduce new problems – they solve existing ones.

The financial upside

While operational gains are critical, the financial return on investment (ROI) for suppliers accepting virtual card payments is just as convincing.

According to Forrester, organizations that adopted commercial virtual payments achieved a 132% return on investment (ROI) over three years, with a payback period of less than six months.³ The combination of faster payments, process automation and potential rebate opportunities creates value quickly – often with no upfront cost, as most providers offer free onboarding and supplier enablement services.

Plus, supplier adoption helps buyers hit spend thresholds tied to rebate tiers, opening the door for shared benefit models or pricing incentives that further improve the supplier’s financial outlook.

Did you know?

Suppliers that accept virtual payments are:

• 14% more efficient at maximizing working capital.²
• 12% less likely to report ongoing cash flow issues.²
• 90% more efficient in reconciliation when automated tools are used.³

Less time managing payments = more time growing your business

Buyer expectations are changing – quickly

Another factor driving the growth of B2B virtual payment solutions is demand. According to Mastercard, two-thirds of suppliers say they regularly fall short of buyer expectations around payment experience, and one in three report receiving late payments simply because they don’t accept the buyer’s preferred method.²

As payment strategies evolve, 48% of suppliers expect more buyers to request card payments by 2030.² That means suppliers who don’t adapt may miss out on new customer opportunities – or risk damaging existing relationships.

Accepting virtual payments doesn’t just meet today’s expectations – it positions suppliers for long-term success.

Making it easy to switch

Virtual payments can sound complex but the right partner simplifies the transition. When working with most banks and card providers, you can expect:

• Dedicated onboarding support
• Simple technical integrations
• Automated reconciliation and reporting tools

At U.S. Bank, we go beyond the standard offerings. Our comprehensive supplier enablement services are designed to help you maximize the value of virtual payments. We provide:

• A dedicated team to support your onboarding
• Tools and resources to simplify enrollment
• Strategic guidance to help you benefit from faster payments, reduced processing costs, and potential rebate opportunities

We’re committed to making virtual payments work for you – efficiently, securely and with minimal disruption.

In short: You don’t have to figure it out alone.

Final thoughts

The business case for accepting B2B virtual payments is strong – and growing stronger. Suppliers who embrace virtual payments aren’t just modernizing their payment operations; they’re saving money, improving speed and security, and building stronger partnerships with their buyers.

If you only accept checks or standard ACH, now is the time to evaluate what virtual B2B payment solutions could do for your business. It’s not just a forward-thinking move – it’s a smart, strategic decision that delivers real value today.

Whether you want to improve cash flow, streamline operations or better align with buyer expectations, virtual payments offer a proven, scalable way to get there – backed by data, supported by technology and led by partners like U.S. Bank who are committed to your success.