In the interests In terms of privacy and security, the less information you provide about yourself, the better. You can hide your email addresses, your mobile phone number, and as we’ll show you in this guide, you can also hide your credit and debit card information.
The idea is the same as with email addresses and phone numbers, in that you can build a technological barrier between you and the person you’re dealing with. Companies can’t see your actual card details, which keeps your information safe and secure in the event of a data breach, but from their point of view transactions go through as normal.
While you may think of these virtual cards as disposable or temporary cards, they actually have a lot more to offer. Virtual cards give you more control over where and how they can be used, and you may want to set up multiple virtual cards for different purposes or different merchants. Use one for transportation expenses, for example, and another for all your online food deliveries.
There may be fees associated, depending on how much you want to use your virtual cards, but in some cases they are free, as virtual card companies typically make money from merchants, through credit or debit card fees. Read on to discover the benefits of virtual cards and how to set them up.
How virtual cards work
Sign up for a virtual card and you’ll get a whole new set of data: the 16-digit main card number, an expiration date, and a CVV (card verification value). This data can be provided to online retailers, while your real information is kept private. Then, with the help of the virtual card provider, your purchases and transactions go through as normal.
Just like with an email alias, the merchants you deal with never see your real details. If your virtual card digits fall into the wrong hands or are misused, you can simply delete them and start again. It’s a lot like using a regular card, but without the actual plastic and with the option to instantly cancel it at any time.
All the heavy lifting behind the scenes is done by the virtual card provider. Obviously, you should choose a provider you trust, as they will be the ones handling your financial information. Look for a provider that is well-known and widely used and that publishes information about their auditing and security processes. You may also be able to get a virtual card from your current card provider or bank.
