When looking to shop, a lot of people want to use a virtual credit card as it’s easier and safer. Not only that, when using a virtual credit card, one has more freedom and can shop with ease. Simply put, a virtual credit card is a temporary number that allows a person to shop without worrying about serious issues like theft or data breaches, and here are three pros and three cons of using a virtual credit card.
Cheap or free: Without a doubt, if you want to use a credit card, you will not want to spend a lot of money to get one. Luckily, many credit card companies will provide you a free virtual credit card number to use online. In the end, this is a huge benefit as you won’t have to spend any money to get a credit card.
Protect your account information: When shopping online, you are going to send all your important information online and across the internet, and plenty of people will have the chance to steal that information. Remember, when you look at big breaches and theft, you are talking about regular credit cards and not one-time use cards that offer security and safety.
Limited to one vendor: Finally, when you use a virtual credit card for a one-time shopping experience, you are limiting yourself to that one vendor. This helps you avoid any problems as you won’t’ see your information stored on a network and shared with the world.
Not always available: Now, some credit card companies don’t offer this service yet, so you are out of luck if you don’t have the right credit card company. This is not a huge deal if you have multiple credit cards as you can probably find one company that offers you virtual credit cards. If not, you should consider signing up or a new card that offers this important and useful service.
Not good for recurring: If you want to sign up for a monthly service, you should not use a one-time virtual credit card. This is a pain for people who want to pay their phone bill or other bill every month. For this reason, virtual cards are not good for people who only want to use their credit cards for monthly expenses.
More work: Finally, if you are like most people, you don’t want to deal with creating a new credit card number every time you shop online. While you enjoy more protection and don’t have to worry about fraud, you will have to log in to your bank or credit card Company’s website and generate a one-time use number. While this may not be a big deal to some people, it’s a time-consuming task that others hate to do all the time.
Virtual credit cards are a great thing to use if you want to protect your account information and avoid fraud. In the end, they are great for online shopping, but they have limits if you want to use them often.