Payment solutions firm eNett International and Conferma are to provide small and medium sized travel management companies access to low cost, integrated payments with Virtual Account Numbers (VANs).
The partnership will allow TMCs on Conferma’s payment network to be able to make supplier payments using eNett VANs via virtual card technology.
The deal will see eNett integrate into Conferma’s global travel payment network, which provides financial institutions and payment solutions providers with point of sale integration into leading TMCs, global distribution systems, self-booking tools and online travel agencies.
VANs are automatically generated MasterCard numbers for supplier payments.
With manual payments handling and reconciliation costing the industry an estimated $1.5 billion a year, virtual cards help agencies to automate their processes, cutting handling times and costs, enabling them to save between $300 to $6,000 a week.
Virtual cards also reduce risk from fraud and supplier default.
Anthony Hynes, chief executive and managing director of eNett, said: “In Europe and Asia Pacific, we have already seen the phenomenal uptake of eNett VANs driven by the inefficiencies and cost of traditional payment methods.
“As we extend our solution to North America, our funding model will immediately address a desire by Conferma’s travel partners to use VANs for direct hotel billing and other supplier payments. Our simplified on-boarding processes mean they can be up and running within days.”
Simon Barker, chief executive of Conferma, added: “Our partnership with eNett will provide a much needed alternative funding model for small and medium sized travel management companies through our global travel payment network.
“Across the travel industry virtual card payments continue to replace expensive and error prone manual tasks, with paperless, automated processes.
“This is a major boost for these businesses who will be able to reduce processing costs and free up their people to focus on delivering other customer needs.”
eNett VANs are available in 27 currencies, 15 of which are locally funded and settled, enabling lower cost foreign exchange.