Virtual debit cards Canada: Same-day approval for international purchases

You're ready to make that crucial international purchase, but traditional card applications take weeks. Your supplier needs payment today, not next month. This is where virtual debit cards transform how Canadian businesses handle global transactions.

With 83.4% of Canadians aged 15 and over already holding at least one credit card ¹, the demand for instant payment solutions continues to grow. Virtual cards are meeting this need – 42% of U.S. consumers used a virtual card in the past six months, and 65% say they're likely to use one in the next year ². Canadian businesses are following this trend, seeking immediate access to international payment capabilities.

Understanding virtual debit cards in the Canadian market

Virtual debit cards exist solely in digital format, designed primarily for online purchases and subscription services ³. Unlike physical cards that require manufacturing and shipping, these digital-only cards can be issued instantly ⁴.

The Canadian payment landscape is evolving rapidly. Credit cards account for 33% of all payment transactions in Canada in 2024 ¹, while mobile payment adoption surges. Interac data reveals a 53% increase in the use of Interac Debit for mobile contactless payments in stores between August 2022 and July 2023 ⁵. This shift toward digital payments creates perfect conditions for virtual card adoption.

The instant issuance advantage

Traditional card applications often involve lengthy approval processes. Virtual cards eliminate this wait. Companies like Airwallex offer virtual Visa cards that can be created instantly ⁶. This immediate availability proves crucial when businesses need to:

• Secure time-sensitive international deals

• Pay overseas suppliers without delay

• Access new markets quickly

• Manage unexpected global opportunities

Research shows that virtual cards stored in digital wallets are boosting activation rates by 15%, transaction volume by 23%, and revenue per account by nearly 20%, according to Galileo Financial Technologies ². These metrics demonstrate the immediate impact of instant card access on business operations.

International purchasing power without borders

Canadian businesses face unique challenges when making international purchases. The total annual credit card spend in Canada in 2025 is $605 billion ¹, yet many struggle with cross-border transaction complexities.

Multi-currency capabilities

Multicurrency accounts allow you to withdraw, receive and send money in multiple currencies ⁷. These accounts may give you access to over a dozen currencies ⁷. Virtual debit cards enhance this functionality by enabling:

• Direct payments in local currencies

• Reduced conversion fees

• Real-time exchange rate visibility

• Simplified international vendor management

Airwallex's virtual Visa card can be used for global transactions in multiple currencies with no transaction fees ⁶. This eliminates the traditional barriers that Canadian businesses face when purchasing internationally.

Speed matters in global commerce

Research indicates that 65% of respondents rank speed as their top priority when choosing a payment method ⁸. Virtual debit cards deliver this speed through:

• Instant card generation

• Immediate transaction processing

• Real-time spending controls

• Quick vendor onboarding

Global cross-border payments are expanding at an estimated 5% annually ⁹. Business-to-consumer segments such as payroll and contractor payouts are projected to grow at an even faster pace of 11.1% CAGR through 2032 ⁹. Virtual cards position Canadian businesses to capture this growth.

Same-day approval process explained

The traditional financial services application process can take weeks. Volopay's timeline for account approval can take up to four weeks ¹⁰. Virtual debit cards change this paradigm completely.

How instant approval works

Modern virtual card platforms leverage advanced technology to enable same-day approval:

1. Digital identity verification – Automated systems verify business credentials instantly

2. Real-time compliance checks – Regulatory requirements processed immediately

3. Instant card generation – Digital cards created upon approval

4. Immediate activation – Cards ready for use within minutes

Airwallex offers multi-currency accounts to receive funds, high-speed international transfers, and multi-currency company & employee cards ³. This comprehensive approach ensures businesses can start transacting globally the same day they apply.

Documentation requirements

While traditional applications require extensive paperwork, virtual card applications streamline requirements:

• Business registration documents

• Director identification

• Proof of business address

• Basic financial information

The digital nature of these applications means documents are processed instantly, not manually reviewed over days or weeks.

Security features for international transactions

With 44% of respondents frustrated by poor exchange rates and 35% frustrated by high or hidden fees ⁸, security and transparency become paramount. Virtual cards offer greater control and security, ideal for the demands of modern business spending ⁴.

Advanced fraud protection

Virtual debit cards incorporate multiple security layers:

• Unique card numbers – Each virtual card has distinct credentials

• Transaction limits – Set spending caps per transaction or period

• Merchant restrictions – Control where cards can be used

• Instant freeze capability – Disable cards immediately if compromised

Visa Direct and Mastercard Cross-Border Services incorporate industry-leading fraud prevention tools, tokenization, and predictive analytics ⁹. These systems help reduce fraud, enhance compliance, and ensure funds are delivered securely.

Real-time monitoring and controls

Airwallex's business debit card allows for setting spending limits and controls ¹¹. This real-time control extends to:

• Transaction notifications

• Spending category restrictions

• Geographic limitations

• Time-based controls

Nearly 75% of consumers say they prefer using virtual cards in at least one payment situation ², with security being a primary driver of this preference.

Cost advantages for Canadian businesses

Traditional international payment methods carry significant costs. Wire transfers typically charge a fee around $35 to $50 for outgoing wires ⁷. Virtual debit cards offer substantial savings.

Fee structure comparison

In the US, credit card fees are unregulated and can go up as high as 3.5% ¹². Canadian businesses face similar challenges, making virtual cards an attractive alternative.

Hidden cost elimination

Beyond visible fees, virtual cards eliminate hidden costs:

• No physical card production or shipping

• Reduced administrative overhead

• Eliminated card replacement fees

• No international ATM charges

Merchants paid approximately $138 billion in processing fees in 2022 globally ¹². Virtual debit cards help businesses reclaim some of these costs through more efficient payment processing.

Integration with existing financial systems

Modern businesses require seamless integration between payment tools and existing systems. Airwallex provides automated accounts payable management ¹³, demonstrating how virtual cards fit into broader financial operations.

Accounting software compatibility

Virtual debit cards integrate with popular accounting platforms:

• Automatic transaction syncing

• Real-time expense categorization

• Simplified reconciliation

• Detailed reporting capabilities

Volopay is designed for startups and SMEs managing both local and international transactions, with built-in tools for reimbursements, approvals, and accounting sync ¹⁰. This integration capability extends across various virtual card providers.

Expense management automation

Airwallex's business expense cards remove the burden of manual reimbursements ¹³. Virtual cards enhance expense management through:

• Automatic receipt capture

• Policy enforcement

• Approval workflows

• Budget tracking

52% of Canadians changed their credit card habits in 2025, mostly due to the cost of living ¹. Virtual cards help businesses adapt to these changing patterns through better expense control.

Use cases for Canadian businesses

Virtual debit cards serve diverse business needs across industries. With 74% of Canadians using credit cards for essential purchases in the last 12 months ¹, businesses need flexible payment solutions.

E-commerce and digital services

Subscriptions are the most commonly highlighted use case for virtual cards ². Canadian businesses use virtual cards for:

• Software subscriptions

• Cloud services

• Digital marketing tools

• Online marketplace purchases

70% of e-commerce transactions were processed by digital wallets in Asia-Pacific in 2023 ¹². Canadian businesses engaging with Asian markets benefit from virtual card compatibility with these systems.

International vendor payments

McLaren Racing modernizes cross-border payments with Airwallex ³. Similarly, Canadian businesses leverage virtual cards for:

• Supplier payments

• Contractor compensation

• Service provider fees

• Equipment purchases

Travel and entertainment expenses

Multicurrency bank accounts are useful for those who travel internationally on a regular basis ⁷. Virtual cards enhance travel spending through:

• Hotel bookings

• Flight purchases

• Ground transportation

• Conference registrations

Regulatory compliance in Canada

Canadian businesses must navigate complex regulatory requirements. Virtual card providers ensure compliance while maintaining speed and flexibility.

FINTRAC requirements

Canadian financial regulations require robust compliance measures. Virtual card platforms incorporate:

• Know Your Customer (KYC) procedures

• Anti-money laundering (AML) checks

• Transaction monitoring

• Reporting obligations

Volopay is SOC 2 compliant, demonstrating rigorous security controls to protect customer data and uphold high industry standards for data privacy ¹⁰. Similar standards apply to Canadian virtual card providers.

Cross-border compliance

International transactions require additional compliance considerations:

• Currency reporting requirements

• Tax documentation

• Import/export regulations

• Sanctions screening

Thunes' Network connects directly to over 7 billion mobile wallets and bank accounts worldwide, as well as 15 billion cards via more than 320 different payment methods ⁸. This global reach requires comprehensive compliance frameworks.

Getting started with virtual debit cards

Starting with virtual debit cards requires minimal setup. Unlike traditional applications, the process is streamlined and digital-first.

Application process

1. Choose a provider – Select a platform offering instant approval

2. Submit documentation – Upload required business documents

3. Verify identity – Complete digital verification

4. Receive approval – Get decision within hours

5. Create cards – Generate virtual cards immediately

Airwallex's business debit card allows for the creation of virtual Visa debit cards ¹¹. This instant creation capability transforms how businesses approach international payments.

Best practices for implementation

Successful virtual card adoption requires strategic planning:

• Start small – Test with specific use cases

• Set clear policies – Define spending guidelines

• Train team members – Ensure proper usage

• Monitor performance – Track savings and efficiency gains

27% of tech-savvy consumers say digital wallet integration was the main reason they used a virtual card in the last six months ². Business adoption follows similar patterns, with integration driving usage.

The future of international payments

The payment landscape continues evolving rapidly. The global digital payment market is expected to reach $32.07 trillion by 2033 ¹⁴. Virtual debit cards position Canadian businesses at the forefront of this transformation.

Emerging technologies

New developments enhance virtual card capabilities:

• Artificial intelligence for fraud detection

• Blockchain for transaction verification

• Open banking integration

• Real-time payment networks

Apple iOS 18.1 has unlocked the NFC chip used for contactless payments, opening up options for other payment methodologies outside of Apple Pay ¹⁵. These technological advances create new opportunities for virtual card usage.

Market growth projections

Digital wallets are forecast to be used in 61% of digital transactions in 2028, up from 50% in 2023 ¹². Virtual debit cards integrate seamlessly with these wallets, positioning them for continued growth.

The compound annual growth rate of the digital payment market is projected to be 13.5% from 2024 to 2033 ¹⁶. Canadian businesses using virtual debit cards capture this growth through:

• Expanded market access

• Improved payment efficiency

• Reduced transaction costs

• Enhanced customer experience

Transform your international purchasing today

Virtual debit cards represent more than just another payment method – they're a strategic tool for Canadian businesses competing globally. With instant approval, multi-currency capabilities, and robust security features, these digital solutions eliminate traditional barriers to international commerce.

RYSE transformed complex cross-border finances into streamlined, cost-saving, and efficient global operations with Airwallex ³. Your business can achieve similar transformation.

The combination of same-day approval and immediate international purchasing power positions Canadian businesses for success in the global marketplace. As 63% of Canadians polled expect that it will soon be normal to leave home without a physical wallet ⁵, businesses must adapt to meet evolving payment expectations.

Virtual debit cards offer the speed, security, and flexibility modern businesses require. Whether you're paying international suppliers, managing global subscriptions, or expanding into new markets, instant access to virtual payment solutions transforms how you operate. The future of international business payments is digital, instant, and borderless – and it's available today.

FAQ

How quickly can Canadian businesses get approved for virtual debit cards?

Canadian businesses can receive same-day approval for virtual debit cards, enabling immediate international purchases without the weeks-long wait associated with traditional card applications. This rapid approval process is particularly beneficial for businesses that need to make urgent supplier payments or capitalize on time-sensitive international opportunities.

What are the main benefits of virtual debit cards for international purchases?

Virtual debit cards offer multi-currency support, enhanced security features, and significant cost savings compared to traditional payment methods. They eliminate the need for physical cards, provide real-time transaction monitoring, and often include better exchange rates for international transactions, making them ideal for Canadian businesses operating globally.

How do virtual cards work for Canadian businesses making international payments?

Virtual cards are digital payment cards that exist only online, generated instantly through your business account platform. They function like traditional debit cards but offer enhanced security through unique card numbers for each transaction or vendor. Canadian businesses can use them immediately for international purchases, with funds drawn directly from their multi-currency business accounts.

Are virtual debit cards regulated in Canada for business use?

Yes, virtual debit cards in Canada fall under the Retail Payment Activities Act and are subject to oversight by the Bank of Canada's retail payments supervision framework. Providers must comply with FINTRAC regulations for anti-money laundering and know-your-customer requirements, ensuring Canadian businesses can use these payment solutions with confidence and regulatory compliance.

Can virtual debit cards handle multiple currencies for international transactions?

Modern virtual debit card platforms allow businesses to hold and manage funds in up to 11 currencies, similar to multicurrency bank accounts. This feature enables Canadian businesses to make international purchases without currency conversion fees and helps manage foreign exchange risk by holding funds in the currencies they frequently transact in.

What security advantages do virtual debit cards offer over traditional payment methods?

Virtual debit cards provide superior security through unique card numbers for each transaction, spending limits that can be set per card, and the ability to freeze or delete cards instantly. Unlike physical cards, they can't be lost or stolen, and businesses can generate new virtual cards immediately if security is compromised, providing better control over international payment security.

Citations

1. https://www.clearlypayments.com/blog/how-many-credit-cards-are-in-canada-in-2025-key-stats-and-trends/

2. https://thefinancialbrand.com/news/credit-card-trends/virtual-cards-are-gaining-ground-heres-what-banks-must-do-next-189896

3. https://www.airwallex.com/ca/blog/what-is-a-virtual-card-how-they-work

4. https://www.airwallex.com/ca/blog/virtual-cards-vs-physical-cards

5. https://www.interac.ca/en/content/news/canadians-leave-their-wallets-at-home-as-interac-debit-mobile-contactless-transactions-surge-53-in-the-last-year/

6. https://www.airwallex.com/ca/spend-management/cards/virtual-cards

7. https://www.experian.com/blogs/ask-experian/what-is-multicurrency-checking-account/

8. https://www.thunes.com/news/top-growth-drivers-in-consumer-cross-border-payments/

9. https://financialit.net/news/payments/mytu-enables-instant-global-payouts-visa-direct-and-mastercard-cross-border-services?ref=connectingthedotsinfin.tech

10. https://statrys.com/reviews/volopay-business-account

11. https://www.airwallex.com/ca/spend-management/cards/business-debit-cards

12. https://www.merchantsavvy.co.uk/digital-payment-market/

13. https://www.airwallex.com/ca/spend-management/business-expense-cards

14. https://www.globenewswire.com/news-release/2025/05/28/3089198/0/en/Digital-Payment-Industry-Report-2025-Market-to-Hit-32-07-Trillion-by-2033-Government-Initiatives-Propel-Global-Shift-to-Cashless-Transactions.html

15. https://www.form3.tech/news/payment-insights/key-us-payment-trends-in-2025-and-beyond-that-banks-need-to-be-aware-of

16. https://www.globenewswire.com/news/release/2025/05/28/3089198/0/en/Digital-Payment-Industry-Report-2025-Market-to-Hit-32-07-Trillion-by-2033-Government-Initiatives-Propel-Global-Shift-to-Cashless-Transactions.html