Card on File in Vendor Pay: A Step-by-Step Guide

Card on File introduces a streamlined payment method for vendors, making recurring and automatic charges simple and secure. Whether you're handling utility payments, software subscriptions, or one-time bills, this feature automates card management between you and your suppliers through the vendor portal.

Let’s walk through how Card on File works, how to set it up, and how to manage payments and issues.

Introduction to Card on File

With Card on File enabled in Vendor Pay, you'll notice a new tab—Card on File—next to eligible suppliers. This allows you to create and maintain cards for vendors directly in their supplier portals. Suppliers charge your card automatically for both recurring and single payments.

Card on File is especially useful for:

• Recurring payments (e.g., monthly utilities, subscriptions)

• Vendors supporting child cards for location-specific charges

• Reducing manual intervention in payment runs

Unlike vCards, which requires you to initiate every payment, Card on File lets suppliers trigger charges on pre-authorized cards. Once transactions are posted, Ottimate pulls the funds from your selected bank account. 

Getting Started with Card on File

Step 1: Open the Card on File tab in Vendor Pay.

You'll see two options: Self Serve or Assisted Setup by Ottimate setup.

Step 2: Choose your setup option.

• Self Serve: You manage card creation, approvals, and reconciliation.

• Ottimate Assisted: Ottimate handles the full card lifecycle.

Step 3: In the Self Serve option, view the Vendors tab for a list of suppliers identified as Card on File ready.

Step 4: Check the Setup Progress bar to see which locations already have cards set up and which do not.

Step 5: Click Add New Card beside a vendor to start the card creation process.

Step 6: Decide if the card should cover all company locations or a specific location, based on your supplier’s portal capabilities.

• Some suppliers accept one card per company; others allow cards per location.
  
  

• Confirm with your supplier before proceeding.
  

Step 7: If creating for a specific location, the associated bank account is auto-selected. For all locations, manually select a bank account for transactions.

Step 8: Set a Monthly Spend Limit on the card to control maximum charges.

Step 9: Enter the card’s purpose and required details, then submit to create a card request.

Step 10: Users with Create Payments permission can submit card requests; admins with approval permissions will review these requests.

Step 11: As an admin, approve or reject card requests from your approval queue.

Managing Credit Limits

Vendor Pay extends a daily credit line for Card on File transactions, similar to a credit card with one-day terms.

Step 1: Check your account’s credit limit, outstanding card charges, and available credit from the account overview.

Step 2: To increase your credit limit, enter the new requested amount and submit for Ottimate’s review.

Step 3: Once approved, proceed to generate new card requests as needed.

Generating and Placing Cards on File

Step 1: After request approval, click Generate Card to create your card.

Step 2: View and copy the card details to lodge it in your supplier's portal.

Step 3: If your supplier doesn’t accept the first card type, use Recreate Card to generate a new card with a different configuration.

• The number of attempts is limited; each recreation gives another chance for successful lodging.

Step 4: If all card attempts fail, select Mark Unable to Lodge so invoices revert to regular payment methods (ACH, vCard, check run).

• Once a card exists for a location/vendor, Vendor Pay disables check runs to prevent duplicate payments.

Reconciling and Managing Transactions

Step 1: When charges appear, Vendor Pay matches transactions to invoices automatically in the Auto Match tab.

Step 2: Approve matches to move them to the Pending Export tab for accounting export.

Step 3: If a match is incorrect or missing, manually assign the correct invoice or create a new one via Create Invoice.

Step 4: Unmatched transactions appear in the Unmatched Transactions tab. Click Match Invoices, select the correct invoice(s), and click Match Invoice.

• The invoice amount must match the transaction for a successful match.

Step 5: Failed transactions are listed in the Failed Transactions tab.

Viewing, Editing, and Troubleshooting Cards

Step 1: In the Cards tab, see all cards under Card on File, filtered by your access permissions.

• You’ll see cards created for your accessible locations. Card details remain private if you didn’t create the card.

Step 2: For each card, options include:

• Permanently Close Card

• Put Card on Hold

• Increase Monthly Limit

• Recreate Card (if lodging failed)

Step 3: For failed card transactions with active cards, click Failed Transaction then Release for Scheduling.

Step 4: Select the invoice to move it back to Unpaid Invoices, making it available for regular payment processing.

Conclusion

Card on File transforms how you pay trusted vendors, letting you automate recurring or one-off charges through an integrated, secure workflow. With flexible management, approval workflows, and clear reconciliation, you save time and avoid duplicate payments. For best results, check supplier requirements, manage your credit limits, and monitor the Cards dashboard regularly to keep payments running smoothly.