What is a Virtual Credit Card ?
15 January, 2024
In today’s digital age, almost everything is accessible virtually. All you need is your internet-enabled smart device to carry out purchases, make payments, or settle your various bills. Gone are the days of physically carrying cash and standing in long lines to pay the merchant, while also struggling for exact change. Today, you can conveniently use your Credit Card online to manage your purchases and order your desired products and services. While using your Credit Card digitally, if the thought of entering your card credentials has you concerned, a virtual Credit Card is a safer alternative. Read on to decode what it means and how to use it in detail.
What is a Virtual Credit Card?
As the name suggests, a virtual Credit Card is a type of Credit Card that exists online. It is unlike traditional Credit Cards that you can touch and feel. With this type of Credit Card, all the information visible on your physical Credit Card, such as the card number, expiration date, CVV, etc., is displayed online.
Credit Card issuers offer Virtual Credit Cards as an add-on card feature with your primary Credit Card. These cards are usually temporary and useful for convenient online shopping experiences. Also, since these cards exist virtually, you cannot use them for over-the-counter purchases.
Salient Features of a Virtual Credit Card
The following are the typical features of a Virtual Credit Card:
Limited Validity
Virtual Credit Cards are available for temporary usage, usually for a single transaction. Typically, these cards are valid for up to 24 to 48 hours. The exact validity period varies from one card issuer to another. You also have the option to cancel your card anytime if you do not require it.
Enhanced Security
With online virtual Credit Cards you need not link or store your card-related information online like you would with your physical Credit Card. Hence, your sensitive information is safeguarded against data breaches and other vulnerable cyber threats. Additionally, you need not swipe or physically carry virtual cards, which eliminates the risk of theft.
Easy Availability
Since a virtual Credit Card is provided online, you can access it instantly through mobile apps and bank websites. Once you have successfully applied for the card, a unique virtual card number is generated, which you can use instead of real numbers for shopping or making payments online.
Simple Onboarding Process
You can obtain an online Credit Card without undergoing a stringent eligibility criteria. The process is simple and convenient. You can use your online card for domestic and international transactions. Besides, there are no charges applicable to availing this card.
Convenient Transfer of Unused Amount
If your virtual Credit Card expires and you are left with an unutilised credit limit on it, you need not worry about losing the remaining amount. The remaining credit limit is transferred to your primary Credit Card.
Hassle-free Blocking Facility
Virtual Credit Cards enhance safety as the details are not shared online. But if you suspect unauthorised access, you can block it conveniently within a few minutes online. You can carry out the card blocking process on your card issuer’s website or mobile app.
Basic Components Similar to the Physical Card
Both virtual and physical Credit Cards share similar basic features. For instance, you may only initiate spends up to the credit limit. Plus, both cards comprise a CVV which you must enter while initiating transactions. You also need to authenticate your transactions through a secure PIN and OTP.
How to Use a Virtual Credit Card?
In terms of usage, the steps to use a Virtual Credit Card mirror those of a physical Credit Card. The only difference is that you may use virtual cards only for online transactions. Here are the steps to follow:
- Go to your desired merchant’s website or app.
Select the product or service you would like to purchase.
On the payment gateway, input your virtual Credit Card number, validity date, CVV, and other required details.
Enter the OTP sent to your Registered Mobile Number to authorise the transaction.
Once your payment is successful, you will get a real-time update on the amount debited from your Credit Card, and the transaction will appear on your Virtual Credit Card statement.
Get Your Virtual Credit from HDFC Bank
Considering the multiple benefits and simple usage of a Virtual Credit Card, you may want to apply for one. If you are looking for a good option, consider the NetSafe Credit Card by HDFC Bank. Powered by NetSafe, this virtual card from HDFC Bank addresses your safety concerns while engaging in online transactions. A unique virtual card number is generated after you apply for the card, which you can use while shopping on merchant websites. Additionally, you can create a unique password to enhance the protection levels. To take it a step further, you can also create a personal message that requires confirmation during each transaction. This prevents cyber criminals form using your card even if they retrieve the card details from you.
Conduct online transactions without stressing about security with HDFC Bank’s Virtual Credit Card.
*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Credit Card approvals at the sole discretion of HDFC Bank Limited. Credit Card approvals is subject to documentation and verification as per Bank's requirement. Interest rates are subject to change. Please check with your RM or closest bank branch for current interest rates.
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