All about Virtual Card
As a catalyst, technology has evolved the facets of financial business in India. It has introduced many new methods for people to transfer money, shop, make payments, etc. One of the immense innovations was Virtual Credit Cards.
These cards have made the checkout experience more smooth. They have continuously changed their physical appearance. It’s not-so-permanent nature makes the card safe. Moreover, the data remains useful in it for a particular period of time.
Let’s read all about Virtual Credit Cards.
What is a Virtual Credit Card?
Virtual Credit Card is termed as a digital card. It is not available in a physical form but has similar properties. The VCC comes with a validity date, card number and CVV. A customer can access all these details online and carry out online transactions.
The VCCs are offered by primary credit card issuers to customers for online shopping. These cards are dispensable and designed to secure the actual credit card of the customer.
Features of VCC
The features of VCC are as follows:
- Transactional limit
VCC comes with a set credit limit similar to physical cards. A user can make multiple transactions within a limit.
- Improved security
Virtual Credit Card comes with an option to use it for one-time. The card number generated is authentic for a particular period of time. Since the card number is accessible online, there are less chances of theft or misuse.
- Issued to prime customers
The VCC is not issued to any add-on card holders. It is only given to primary card holders.
- Available on immediate basis
Customers can access VCC instantly for making transactions. It is provided by the card issues through an online medium.
- Facility of instant blocking
If the customer suspects any fraud activity, they can promptly block their online VCC.
- Same CVV for all transactions
The CVV number in the virtual card doesn’t change in every transaction. It remains consistent regardless of how many times a customer makes online transactions. The CVV changes in one condition if the customer avails a new card and cancels the previous CVV.
- Benefits of VCC
The VCC has numerous benefits for its users. They are as follows:
- Safe & secure than physical credit cards.
- Doesn’t show customers credentials to the vendor.
- Can be issued to non-credit card holders.
- Provide ease to make online transactions.
- Quickly accessible to its users.
- The unutilised credit limit gets transferred to the primary credit card, if VCC expires.
- No additional charges to have VCC from credit card issuers/banks.
- Usable for all international and national transactions.
How to use VCC?
A VCC is used to make online transactions without physical swipes. The customer will have to follow the below-mentioned steps for transactions:
- Put the Card Number
- Fill up the mentioned validity
- Authenticate your registered phone number with OTP
- Accomplish the transaction
Is VCC safe?
Absolutely yes, the VCCs are safe. Below are some few reasons-
- Though VCC is disposable, it provides an additional security level to customers.
- If the fraudster gets customers’ details, they can simply cancel the VCC.
- There are some VCCs that are designed to use it for a single time. If the scammer gets the details of VCC, that card will become invalid immediately.
What is the dissimilarity between Credit Card & Virtual Credit Card?
The major difference between Credit & Virtual Credit Card is described in the following table:
In terms of traditional credit cards, virtual credit cards are regarded better then them. They reduce the fraud risk and do not show your credentials to any person. These cards are also valid for a limited transaction number.
They are user detectable and include negligible fraud chances.
Q1. Who is eligible for VCC?
Any customer with a Credit card issued by an Indian bank is eligible for VCC. He/She must have enough credit to make online transactions.
Q2. Are there any fees or charges on VCC?
Most VCC issuers don’t apply charges to issue VCC for their customers. You can contact the issuer and inquire about the charges.
Q4. Is VCC accessible to make offline transactions?
No, it is not accessible to make offline or Pos transactions because of its non-physical appearance.
Q5. Can I add-on card holders for VCC?
No, you cannot add-on card holders for VCC. It is only issued to the primary card holders.