Bank of America has introduced Virtual Payables Direct, expanding its Virtual Payables capabilities in the EMEA region. This new business-to-business payment solution offers buyers the usual working capital benefits of card transactions, such as extended payment terms, and adds the ability for suppliers to be paid via direct bank transfer. The global B2B payments market is growing rapidly and is projected to reach over $2.4 trillion by 2031.
"Virtual Payables Direct offers our clients in EMEA greater flexibility as they can make card payments to any supplier in the region, regardless of whether the supplier typically accepts card payments," said Chris Jameson, head of Product Management for Global Payments Solutions (GPS) EMEA. "The payments are made much earlier in the procurement cycle, thereby helping to improve important supplier relationships and allowing the buyer to take advantage of any prompt payment discounts."
A key advantage of Virtual Payables Direct is that it helps businesses manage working capital, which has been a top priority for corporate treasurers recently. The solution provides greater flexibility for buyers by allowing large or last-minute payments. Suppliers benefit from fast payments through bank transfers. These features help all parties manage cash flow more effectively and enhance operational efficiency.
Benefits of Virtual Payables Direct include:
- Helping corporate treasurers and buyers optimize working capital.
- Providing greater flexibility for large or last-minute purchases.
- Eliminating the need for suppliers to set up technical processes for card payments.
- Offering buying organizations extended payment terms as part of their card program.
- Ensuring suppliers receive prompt payment through bank transfers.
"We’re pleased to expand payment options for our clients with this new capability," said Duygu Tasdelen-Stavropoulos, Senior Product Manager – B2B and Payables, GPS EMEA. "Virtual Payables Direct will contribute to the considerable benefits of virtual card payments, such as streamlining and automating processes, and reducing payment acceptance complexity, risk and costs."
The rollout of Virtual Payables Direct in EMEA will continue into 2025 with further product enhancements and expansion into other regions.
Bank of America serves individual consumers, small businesses, middle-market businesses, and large corporations with a range of banking products and services. The company operates approximately 3,800 retail financial centers in the United States along with around 15,000 ATMs. It also provides digital banking services used by approximately 58 million verified digital users globally.
For more information about Bank of America's Card and Comprehensive Payables solutions or media inquiries:
Megan Pearson
Phone: +44.20.7995.6977
megan.n.pearson@bofa.com