PEAKLIFE

By Kratika Agarwal

In an increasingly digital world, the importance of using a virtual credit card cannot be overstated. As the name implies, a virtual credit card exists solely online, unlike traditional credit cards you can hold in your hand. Virtual credit cards offer enhanced security, reducing the risk of data breaches and fraud by providing temporary card numbers for online transactions. They also add a layer of convenience, allowing users to make purchases without needing a physical card.

All the details typically found on a physical card—such as the card number, expiration date, and CVV—are provided digitally. Credit card issuers offer virtual credit cards as an additional feature alongside your primary card. These virtual cards are often temporary and are ideal for seamless online shopping. We’ve curated a selection of the best virtual credit cards worth considering. Take a look:

1. HSBC Virtual Card

The HSBC Virtual Card represents a cutting-edge solution designed specifically for businesses aiming for effortless payment and financial oversight. Through HSBC’s sophisticated online reporting platform, MiVision, you can gain an unparalleled level of control over your expenditures. By generating unique account and card numbers for each transaction, the system ensures heightened security and adherence to compliance standards. Furthermore, users benefit from comprehensive fraud protection, optimised working capital management, and the potential to negotiate more favourable terms with suppliers, thereby reducing payment costs.

2. American Express Virtual Card

Discover a swifter online shopping experience with the American Express® Virtual Card Number. Whether you’re indulging in a new pair of shoes or replenishing your essentials, the Amex virtual card number streamlines your shopping experience when using your American Express® Card via Google Chrome on your desktop or Android mobile device, or within Android apps where available. This innovative feature ensures faster, easier transactions while enhancing security measures. With the virtual card number, users can enjoy the majority of benefits typically associated with traditional Amex credit cards, including Membership Rewards® points, Amex Offers discounts or bonuses, and robust security features.

3. Axis Bank FreeCharge Plus Credit Card

The Axis Bank FreeCharge Credit Card presents a hassle-free approach to credit with its virtual card format, seamlessly integrated within the FreeCharge app. Exclusive to invitees, this card offers the convenience of a credit card without the physical clutter, fitting snugly within your smartphone. You can experience a plethora of benefits with the Axis Bank FreeCharge Credit Card, including up to 10% off on Myntra, monthly credits on Shuttl, and discounts on Freshmenu. Moreover, you can also earn 1 eDGE Rewards Point on eligible transactions, with extra rewards for consistent monthly spending.

4. HDFC Virtual Credit Card

HDFC Bank launched its first virtual credit card, taking up a partnership with Visa’s network. The bank has made its Virtual Credit Card available in two variants – PIXEL PAY and PIXEL GO, allowing users to step into the digital world and avail themselves of personalised benefits. With PIXEL PAY, users can create cards with different personalised benefits, while beginners can go with PIXEL GO to build their credit scores. Both cards have a membership fee of ₹500, including taxes. One can register for PIXEL cards via the bank’s PayZapp application in the Play Store. Cardholders enjoy 5% cashback on their choice of two packs across popular categories: dining and entertainment with BookMyShow and Zomato, travel with MakeMyTrip and Uber, grocery shopping with Blinkit and Reliance Smart Bazaar, electronics with Croma and Reliance Digital, and fashion with Nykaa and Myntra. Additionally, they can earn 3% cashback on purchases from their preferred e-commerce merchant. Furthermore, the card provides 1% unlimited cashback on all other purchases, making it a versatile and rewarding option for a variety of shopping and lifestyle needs.

Why do you Need a Virtual Credit Card?

A virtual credit card offers a suite of features that make it an indispensable tool for modern online transactions. These cards are typically available for single-use, with a validity of 24 to 48 hours, making them ideal for temporary needs. You can cancel them at any time if they’re not required. One of the primary benefits is the enhanced security it offers. Since you don’t need to link or store your physical card information online, your sensitive data is protected from breaches and cyber threats. This also eliminates the risk of theft since there’s no physical card to swipe or carry.

Moreover, obtaining a virtual credit card is incredibly easy. You can access one instantly through mobile apps and bank websites without undergoing stringent eligibility criteria. This convenience extends to both domestic and international transactions, providing flexibility for all your shopping needs. If your virtual credit card expires with an unused credit limit, the remaining amount is seamlessly transferred to your primary credit card, ensuring you don’t lose any available credit. Additionally, should you suspect unauthorised access, you can block the card within minutes online.