Mastercard expands virtual card platform with Citi as first issuer

Mastercard announced on July 22 a series of enhancements to Mastercard In Control, its virtual card number platform, adding new controls aimed at reducing risk across the payment lifecycle and a single connection to its embedded partner network, according to a company statement. Citi is the first issuer to use the new capabilities and is expected to roll them out globally later in the year.

The additions include what Mastercard calls Issuer Enforced Controls, which let issuers set spending limits, transaction caps and validity periods when creating a virtual card number, alongside enhanced clearing controls. The company also updated its Commercial Connect API, combining virtual card creation and payment initiation into a single integration, according to Fintech News Singapore.

“As virtual card adoption accelerates, our clients need smarter, stronger tools to manage risk,” said Scott Southall, global head of Citi commercial cards and domestic payments, in the statement. He said the collaboration makes Citi the first issuer to deliver the security capabilities on a global scale.

Mastercard said fraud rates on virtual cards are less than one-fifth of those on non-virtual cards, with lower rates still for cards issued through Mastercard In Control. The platform’s ecosystem now spans issuers, platforms and corporates transacting across 43 countries and 174 currencies, the company said.

Marc Pettican, global head of corporate solutions at Mastercard, said expectations around performance, security and control rise as payments become more embedded in business workflows. The company identified the Asia-Pacific region as an important market for virtual card adoption, citing the volume of cross-border trade corridors that businesses there manage.