The payment trends shaping 2025

Several important trends are driving changes in business credit cards in 2025. From AI security to more payment options, card providers are introducing new features to help businesses better manage their finances.

Customer demands remain central to these changes, with flexibility and rewards becoming increasingly important factors when businesses choose credit card solutions. Here's what's shaping the market in 2025.

Trends in credit card tech

Credit card technology is advancing, with several developments likely to emerge over the next 12 months. Machine learning and AI are leading the charge in fraud prevention and can analyse transaction patterns in milliseconds to spot potential issues before they occur.

Meanwhile, biometric authentication is moving from smartphones into payment verification. And while it might not happen outright in 2025, the future could be one that is void of any PINs and passwords.

Key technology advances to look out for:

• AI-powered fraud detection that can boost protection rates
• Facial recognition and fingerprint scanning for payment verification
• Real-time transaction monitoring and instant alerts
• Enhanced encryption for data protection

As well as providing more security, these advances are making transactions faster and more reliable. Card providers are exploring using AI to reduce false declines on legitimate purchases while strengthening protection against fraud. The same technology helps provide instant spending insights and analytics, giving companies better visibility over their expenses.

What businesses want in 2025

For all the technological advancements, everything comes down to what businesses want from their credit card experience. They're looking for payment solutions that help manage cash flow and get more value from spending. The focus has shifted from basic payment functionality to features that actively support business growth and financial management.

More flexibility

While having multiple payment options is important, having control over when and how to pay is what really matters. FlexiPay from Funding Circle reflects this trend, giving businesses a flexible line of credit to pay costs upfront, whether by card, cash transfer or directly into their business bank account. Companies can then choose how to repay over 1, 3, 6, 9 or 12 months, with just one simple fee per transaction and no interest charges. Such flexibility lets businesses manage supplier payments, bulk purchases and unexpected costs without disrupting cash flow.

Better rewards

Business credit cards are evolving to offer more meaningful returns on everyday spending. Funding Circle's Cashback card demonstrates this shift, offering 2% cashback on all business spending for the first six months (up to £,2000), then 1% thereafter. Combined with features like 42 days interest-free credit, these rewards help businesses maximise value from their necessary expenses while maintaining healthy cash flow.

More choice in 2025

Businesses are looking for payment solutions that truly work for them. Gone are the days of one-size-fits-all business credit cards, as companies now have access to products designed around how they actually operate.

A business can choose a credit card that pays them back, like the Cashback card, helping get more from everyday spending. Or they might opt for the flexibility of FlexiPay, which offers complete control over payment terms without traditional interest and is replaced with a simple fee per transaction.

More choice reflects how the market is responding to what businesses really want; the freedom to decide how they pay and manage their finances. As businesses face changing demands and opportunities, having this flexibility to choose the right payment tools has become more important than ever.

Smarter financial management

Expect more credit card providers to enhance their platforms with advanced financial insights throughout 2025. Digital dashboards can offer real-time spending analytics, helping businesses understand where their money is going and spot opportunities to optimise their spending.

Integration with accounting software is becoming increasingly common, streamlining expense management and reconciliation. As these solutions evolve, businesses can enjoy better visibility over their finances and can make more informed decisions about their spending.

The trend toward data-driven financial management continues to shape how credit card providers develop their platforms, with new features and capabilities emerging regularly to help businesses better understand and control their expenses.

The ability to use cash transfers

Businesses now have more flexibility in how they move money. Beyond traditional card payments, solutions like FlexiPay allow businesses to make cash transfers directly to suppliers or into their business bank account.

This helps when dealing with suppliers who don't accept cards or when managing regular payments like VAT bills or payroll. With the option to then spread these payments over time, businesses can better align their outgoing payments with their cash flow.

2025 and beyond with business credit cards

Looking ahead, credit card providers will continue balancing innovation with practical business needs. While technology enhances security and convenience, the focus remains on delivering flexible payment options and meaningful rewards. Businesses that choose solutions aligned with these trends will be better equipped to manage their finances effectively in 2025 and beyond.

08/01/25: While we want to help as much as we can, the information found here is provided solely for informational purposes and should not be considered financial or legal advice. To the extent permitted by law, Funding Circle does not accept any liability for any loss or damage which may arise directly or indirectly from the use of, or reliance on, the information contained here. If you have any questions, please speak to your professional adviser or seek independent legal advice.

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