Payment services company Corserv has collaborated with Boost Payment Solutions to broaden the use of commercial card offerings for financial institutions, according to a Tuesday (Aug. 10) announcement.
A provider of credit cards, purchasing cards and digital cards primarily for banks and financial institutions, Corserv delivers bank-branded payment services to business customers. Boost, a business-to-business electronic payment provider, will expand the acceptance of digital card payments as part of the collaboration.
As PYMNTS reported earlier this year, commercial card adoption is growing at a fever pitch. More organizations are looking to not only digitize payments, but access value-added opportunities not available with traditional ACH payments, according to Corserv Chief Business Officer David Luther. Some of the highly sought after additions include the ability to integrate spending controls, automating expense management, and providing support for organizations who want to shift their own suppliers toward card acceptance.
Banks looking to roll out a commercial card offering with more involved features and benefits oftentimes hit roadblocks in developing their card program because of lacking knowledge of credit card policies and other formalities. Difficulties led Columbia Bank, earlier this year, to partner with Corserv in launching its own corporate card offerings.
The joint effort with Boost enables Corserv’s bank customers, with Boost’s help, the ability to provide their suppliers with Straight-Through Processed virtual card payments with automatic funding directly into the suppliers’ bank account. Remittance information will be available in the suppliers’ selected format so it can be posted into the AR systems and reconciled. Financial institutions benefit from expanding upon commercial card purchases from the virtual cards and broadening their customers’ network of entities that accept commercial cards.
“Virtual cards are growing in importance as more businesses move from the labor-intensive check payment and ACH processes to making and accepting electronic payments via Straight Through Processing (STP),” said Carl Mazzola, chief strategy officer for Boost.