Businesses across Africa face challenges in getting quick and efficient transfer of value, and fintechs consistently provide solutions for these difficulties. One of the solutions to the several payment challenges of businesses is the Virtual Account, which is a fantastic alternative for quickly receiving, making and tracking payments.
What is a Virtual Account
A Virtual Account is a non-physical/online bank account set up virtually for clients. A Virtual Account functions as a traditional bank account; you can use it to collect payments and make payouts while holders are issued unique account numbers.
Businesses can experience more flexible functions than a physical account with a Virtual Account. It also offers merchants a more efficient way of receiving payments from multiple customers. Virtual Accounts provide flexible solutions to accommodate all types of customers, regardless of their location.
It is almost impossible for businesses with international customers to provide payment solutions via traditional banks. Virtual Account opens a new world of possibilities where companies have to generate Virtual Accounts for customers.
Either merchants or customers may be on the move, travelling between countries, but with Virtual Accounts, these business partners can make transactions through a fast, painless, electronic method.
When done right, Virtual Accounts cut down on multiple channels to do banking, make payouts, collect and reconcile payments. Virtual Accounts are helpful for businesses, allowing them to track receivables against unique Virtual Account numbers of customers without any unnecessary back and forth.
Fincra Virtual Account
One of our core offerings at Fincra is the Virtual Account which helps businesses to receive payments from anyone and anywhere. Fincra also provides easy-to-integrate APIs for businesses in different currencies to their customers. Fincra offers Virtual Accounts in three currencies; EUR, GBP and NGN.
NGN Virtual Bank Account
The accounts for these currencies are tied to respective wallets on Fincra, which automatically settles each currency inflow into a respective merchant wallet. For instance, if a merchant receives payment in an NGN Virtual Account, it gets settled into the merchant’s Fincra NGN wallet. From the wallets, merchants can also make payouts to distributors and partners. Easy!
For merchants, the NGN Virtual Account is helpful for Nigerian-based customers, customers and businesses anywhere in the world who want to make payments in Naira. With that same Virtual Account, merchants anywhere in the world can pay their partners in Nigeria in the local currency.
Businesses that can use NGN Virtual Accounts
Virtual Accounts can provide payment solutions for many businesses across different industries, from e-commerce platforms to Fintechs (lenders, savings apps, etc.) to restaurant owners, B2B distributors, etc.
With Fincra, onboarded merchants such as fintechs can provide NGN accounts to their customersvia API for payment collection in Naira.
Fincra’s Virtual Account Use Cases
1. A means to fund your merchant wallet.
Fincra’s merchants can use named virtual accounts in the supported currencies to fund their wallets to initiate payouts. All merchants have to do is to fund their wallets in the desired (and supported) currency on our platform through their virtual accounts, fill in the necessary information and begin to make seamless payouts to their suppliers, customers and individuals with no hidden fees.
2. Easy Payment collection
Fincra’s virtual accounts are a reliable and secure way for merchants to facilitate payment collections in NGN at the best rates. The merchant requests a virtual account in NGN and can share the account information manually or via their business platform. They can begin to collect payments from their customers from anywhere (inflow). The merchant can initiate a payout into a regular bank account via their virtual Account if they wish to do so (outflow) via their portal or integration to our API.
Why you should use Fincra’s Virtual Account Solution
- Seamless payment collection: Merchants can collect payments securely from almost anywhere in the world without the headaches of traditional banking methods
- Quick and easy payouts: With named virtual accounts, merchants can easily top up their wallets to make secure payouts to their suppliers, customers and individuals in Africa, Europe, and the UK with no hidden fees.
- A dime a dozen Virtual Accounts providers exist, but most miss the mark on some key features that Fincra’s Virtual Account offers. For example, For NGN Virtual Account, you can switch between three banks- Providus, Wema and VFD, unlike Virtual Accounts from other providers.