Virtual Credit Cards: Features, Benefits, & How to Them

Updated on: 11 Dec 2023

Virtual credit cards (VCCs) are digital copies of regular credit cards offered by issuers upon your request. These cards help protect your card details, especially when making online transactions. This is especially important in recent times due to the increase in fraud, hacking and fake websites impersonating genuine e-commerce platforms.

When you generate a virtual credit card, you get temporary card data from your credit card company, which is similar to your primary card. This includes the:

Credit card number
Expiry date
CVV number

This helps ensure that your details do not land in the wrong hands.

Learn more about the features, benefits and how to apply for a virtual credit card.

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Features of a Virtual Credit Card

Here are some features of virtual credit cards in India that make them a smart choice:

Offers High Security

The main feature of virtual credit cards is that they help protect your data from fraudsters. These cards come with alternate details that are valid for a limited time, which allows you to shop without the risk of data breaches from an insecure network connection.

Comes With a Set Limit

Once your request for a VCC gets approved, issuers generate card data valid for up to 48 hours. Moreover, the card has a set credit limit that you can utilise multiple times for a limited period.

Provides Instant Protection

Primary cardholders can request an instant VCC before making an online transaction. Furthermore, if you suspect any suspicious activity, you can instantly block your VCC.

Requires No Additional Charges

Cardholders do not have to pay any extra fees or charges for this facility, which makes this card more wallet-friendly!

Helps Track Your Transactions

All the transactions made via virtual credit cards show up on the account statement, similarly to any other transaction you make using your credit card.

Benefits of Using a Virtual Credit Card

Keeping their features in mind, here are some benefits of getting virtual credit cards in India:

Applying for a virtual credit card is quick and easy
You can get instant protection from fraud
There are no additional costs that apply
Once the card expires, your unutilised credit limit gets transferred to the physical card
This facility is available for all international and national transactions

Precautions to Take Before Getting a Virtual Credit Card

Here are some drawbacks you must consider before you generate a virtual credit card.

You cannot apply for a VCC if you are not the primary cardholder
You must have a physical credit card to generate a VCC
These cards cannot be used for physical transactions at stores and outlets using a POS but may be used only online
They have limited usage and validity
You cannot withdraw cash from your VCC limit
Once your card has expired, getting a refund may be difficult

How to Apply for a Virtual Credit Card

Now that you know its pros and cons, here’s how you can generate a virtual credit card.

Step 1: Log into your credit card issuer’s website
Step 2: Go to the virtual credit card option
Step 3: Fill in the application with your credit card details
Step 4: Enter the OTP to authenticate the request
Step 5: Get instant approval
Step 6: Submit your KYC document

With these steps, you can easily apply for a virtual credit card and make payments safely. You can also opt for entirely virtual credit cards, like the Fibe Axis Bank Credit Card. This is India’s first numberless credit card, which helps keep all your credit card details private and offers better protection.

Moreover, you can link this RuPay card with UPI applications and make seamless payments. You can also enjoy up to 3% cashback on every transaction and access many other exciting benefits. Download the Fibe Instant Loan App on your device or register on our website to apply for this lifetime-free credit card!

FAQs on Virtual Credit Cards

What is a virtual card and how does it work?

An add-on facility you can get when you have a physical credit card, a virtual credit card helps make digital payments safer. When you generate a virtual credit card, issuers give you alternative card details to use to mitigate fraud when paying online.

Are virtual credit cards a good idea?

For security and protection against fraudsters and identity thieves, you can apply for a virtual credit card.

What is the difference between a virtual credit card and a credit card?

You can use your regular credit card for both online and offline payments. However, virtual credit cards are only valid when you’re transacting digitally. Moreover, they are available with a set credit limit for a limited time.