Visa has launched a new “Creator Card” in the UK so that TikTok LIVE earnings reach the online entrepreneurs faster and more simply.
Visa UK announced its new debit card product specifically targeting social media creators on April 21. The “Creator Card” developed in collaboration with TikTok offers swift cash flow and easier separation between business and personal finances.
The product is aimed at a new generation of TikTok LIVE creators, who typically receive their earnings in a personal bank account. During the live events, these entrepreneurs showcase some products or services and earn rewards, which then have to undergo the whole gamified process before being converted into real cash. That may be interesting, but it also creates a chaotic money inflow schedule. Half of them experience late payments, which hinders steady cash flow needed to cover daily costs or reinvest in the business. Strong liquidity is even more essential since 86% of TikTok creator businesses have no external funding.
However, due to payment delays, many creators face unsatisfactory business outcomes:
- Almost half (49%) of creators report that late or inconsistent payments have impacted their ability to run their business
- Two in five (41%) have had to turn down new opportunities due to cash flow issues
- Over a third (37%) say payment delays cause stress or anxiety
These findings of the latest Visa UK research, conducted by Censuswide, display serious structural shortcomings of current financial and monetisation instruments that are not fully adapted to the needs of modern digital and virtual economies.
“TikTok LIVE is creating the next generation of digital entrepreneurs, transforming the way creators and audiences connect in real-time. By partnering with Visa, we’re giving the LIVE community even more ways to manage their rewards – helping creators to turn their passion into a sustainable career.”
Paula D’Urbano Country Manager, TikTok LIVE UK, Ireland & Baltics
The “Creator Card” is not the first Visa’s effort to address payment gaps faced by self-employed entrepreneurs within the creator community. Last November, the card network introduced stablecoin payouts for creators, freelancers, and gig economy workers, especially those working on flexible schedules within cross-border business settings. Besides that, Visa launched a Creator Report and Creator Agent Pilot with Karat to give creators practical tools to manage their finances and streamline operations.
