Virtual-credit-cards

Millions of people all over the world are victims of credit card frauds. Many of these people blame the internet, because they give their numbers to some systems that is not safer enough to avoid hackers to get their credit cards numbers and they use them. In fact, the first reason why people shy away from internet shopping is the fear of theft of personal information.

Virtual-credit-cards are a great alternative, because they substitute credit cards numbers, without having your personal information background. They are controlled payment numbers.

So, what is exactly a virtual-credit-card? A virtual-credit-card is a prepaid and non-reloadable card that works like a real credit card.

You generate an unique virtual number that only exists for a short time period (about 1 or 2 moths) and with a limited amount on money. If you use it, it is spent, if you do not use it, the money still remains in your account, and the number exists until this virtual-credit-card expires. If it happens that someone steels this number, not only they will not have access to your personal information, but also they will only steel the amount of money that is in that card.

It is a small risk to pay for an online payment. It can be used at web sites, online merchants, internet shops and web stores over the internet where payment by credit card is accepted.

There are several institutions that generate virtual-credit-cards: MBNA, MBNET, Citibank, Discover or PayPal - all have them. You sign up for their program and download their software. Then you enter your credit card info (usually this is made in conformity with your bank) – this is made only once - and then you can generate a new number whenever you want to make an online purchase.

Each new virtual-credit-card is constituted by a card number, a CVV2/CVC2 number, an expiration date and a credit limit.

Depending on the program, the new number, which is the virtual-credit-card, will be one-time or several-time use, will have a spending limit defined by you, and will have an expiration date.

It will be associated to one of your real credit or debit cards, and consequently to your actual account number. It can be done based on a Visa or Master Card. However, this personal data will only be visible to you and your bank. The merchant never sees your real credit card or account number and can’t retain your information in his database. This way, hackers will only be able to see your temporary number, which will be useless to them.

Can a virtual-credit-card be based on a debit card?

Yes, it can. Virtual-credit-cards can be based both on real credit or debit cards.

Do I need to use my real name and address?

No, virtual-credit-cards have no name. However, if you buy any goods you may be asked to provide an address for delivery.

Is it possible to have charge backs and refunds?

No. Virtual-credit-cards have a short existing time. So, due to its nature, there are no refunds on charge backs.

What happens to the money on my virtual-credit-card if it expires?

It depends on the virtual-credit-card. Usually, there is no problem if you do not spend all the money in your virtual-credit-card. Only the money spent will be removed from your account. However, in some cases you are advised to spend all the money that you have on your virtual-credit-card before it expires, because any money left on the virtual-credit-card will be lost. Read carefully the conditions of your virtual-credit-card company.

I want a lot of virtual-credit-cards. Can I get more than one?

Yes, you can. There can be many virtual-credit-cards in only one account.