As technology continues to advance, more and more people are shopping online rather than going to physical stores. This is due, in large part, to the fact that credit card issuers have begun offering virtual credit cards. Virtual credit card are electronic versions of your physical credit cards. They can be used instantly–even if you haven’t received your card or password yet. Virtually every credit card issuer offers a virtual card as an add-on to their primary card.
What is a Virtual Credit Card?
A virtual credit card is basically a temporary card number that replaces the 16-digit number on a physical credit card when shopping online. It uses an operational number, which is generated by a computer algorithm, similar to how EMV chip cards work when used in person.
This type of card is issued in such a way that the customer receives a number different from his or her actual credit card. This number can be used to make online purchases, just like any other debit or credit card. One difference is that virtual cards may have limitations on when and where they are usable to prevent them from being used by thieves.
Features and Benefits of Virtual Credit Card
Virtual credit cards offer numerous benefits when compared to their physical counterparts. Some of the most important features and benefits are as follows:
Improved Security: Virtual credit cards offer more security than physical cards. They come with a limited-time lifespan and never leave your account, so the chances of being stolen are minimal. Plus, you can only use them online, which protects your financial information from possible hacks.
Flexibility: Credit cards are one way to pay for your site. However, they usually require an annual fee to use. That’s why we created virtual credit cards that can be used with any merchant site that accepts credit cards. This makes it more flexible than traditional credit card payments and eliminates the annual fees associated with those other methods.
Convenience: Virtual credit cards are safer than physical ones because all the information is stored online. You can even access them using your phone, so there’s no need to carry a card in your wallet or purse. They’re also more convenient, as you only have to carry one card with you wherever you go, instead of carrying a physical one wherever you go.
Easy Cancellation: You can’t be a victim of fraud. Virtual credit cards provide you with the facility of cancelling your card in case of any fraudulent activities. The cancellation is easy and can be done effortlessly on your smartphone in a few seconds.
Drawbacks of Virtual Credit Card
Virtual credit cards provide a number of advantages, but there are also some limitations. Here are some of the limitations included in this lot:
- Virtual credit cards can’t be used at real world swipe machines,
- The biggest challenge with purchasing items online is returning them to physical locations.
- Short-term promotions can cause subscription problems.
- The virtual credit card does not allow you to withdraw cash.
There are two ways to get a virtual credit card- either directly from the bank if you already have a card it provides this service, or by linking a pre-existing card from another bank to a service. Banks that offer virtual credit cards in India include:
A virtual credit card is a great way to protect your finances and keep your information safe. By using a virtual credit card, you can make online purchases without having to worry about your personal information being compromised. If you’re looking for a secure and convenient way to shop online, consider getting a virtual credit card.