What is a Virtual Debit Card and Why Should You Have One?

Virtual debit card
Virtual debit card

Virtual debit cards are a type of innovation that allows for all card transactions to be completed online, eliminating the need to physically carry the card. This can be convenient for individuals who want to avoid the risk of losing or damaging their card, or who want to protect it from potential theft. In this article, we will discuss the benefits of using virtual debit cards.

What is a Virtual Debit Card?

A virtual debit card is a digital version of a traditional debit card that is provided by a bank through a mobile banking app. It contains all the same information as a physical debit card and can be used for making purchases, buying goods or services online, and more. However, it can only be used at places that accept chip and card swipes, just like a physical debit card. Here are some key features of a virtual debit card:

  • Name of the card holder
  • 16-digit debit card number
  • CVV number
  • Card expiry date
  • Type of debit card
  • Transaction settings

A virtual debit card can be accessed and used through the mobile app of the bank that issued it. While it cannot be used for physical transactions such as swiping or tapping at a terminal, it can still be used for online purchases. It is not possible to use a virtual debit card to withdraw cash from ATMs or to make in-person purchases at physical stores.

Through the mobile app of the bank, users can access various services related to their virtual debit card, such as upgrading their card, setting transaction limits, and more.

Benefits of a Virtual Debit Card

Following are the reasons to start using a virtual debit card:

Safe to Use

Virtual debit cards are considered to be very secure because they are protected by both a mobile app password and a digital platform. Unlike physical debit cards, virtual debit cards are not at risk of being stolen, lost, or duplicated, and they cannot be easily copied or counterfeited. If a virtual debit card is used on a suspicious website or if its details are accessed by hackers, it can be quickly blocked to prevent unauthorized use.

Activated Cards

Unlike a traditional debit card, which often requires activation through an ATM, phone call, or SMS message before it can be used, a virtual debit card is already activated and ready for use. This means that users do not need to go through any additional steps to activate their virtual debit card before they can begin using it for online transactions and services.

Can be Blocked Anytime

While a physical debit card must typically be blocked by contacting a bank or a bank’s customer service center, a virtual debit card can be blocked at any time if a user suspects that it is being misused. This can be done simply by logging into the mobile app and selecting the block option. This is a convenient feature that allows users to quickly and easily protect their virtual debit card if they suspect any unauthorized activity.

They Provide Offers

Virtual debit cards offer access to a wide range of online discounts and promotions on items such as food, shopping, and dining. Additionally, users can earn bonus points with their virtual debit card and redeem them online through the mobile app of the issuing bank. This can make using a virtual debit card a convenient and rewarding way to make online purchases.

Miscellaneous Advantages of a Virtual Debit Card

Apart from the aforementioned benefits of a virtual debit card, there are a few other advantages to having one.

  • A virtual debit card’s transaction limit can be set by the user
  • Virtual debit cards are suitable for making international transactions
  • They can be useful for parents who want to limit their children’s spending
  • Since a virtual debit card is stored in a mobile app, it cannot be stolen, lost, or used online without the user’s knowledge
  • Virtual debit cards can be conveniently carried digitally.

Also Read: What are the Different Types of Debit Cards?

FAQs

Is it necessary to pay a fee to obtain a virtual debit card?

Some banks may charge a fee for issuing a virtual debit card, while others may offer it for free as a service to their customers. It depends on the bank or financial institution that is issuing the virtual debit card.

Is it safe to use a virtual debit card?

Virtual debit cards are considered to be safe to use because they include security features such as a CVV number, a 16-digit card number, the cardholder’s name, expiration date, and other identifying information. These credentials are only accessible to the user through the mobile banking app, making it difficult for unauthorized individuals to access or use the card. As a result, virtual debit cards are generally considered to be secure for online transactions.

Where can I get a virtual debit card?

Virtual debit cards are offered by banks and financial institutions and can be obtained by having an account with one of these institutions. They can typically be applied for through the bank’s website or mobile app, or by contacting the bank directly.

Is it possible to set a transaction limit on my virtual debit card?

Yes, it is generally possible to set a transaction limit on a virtual debit card. Transaction limits are used to restrict the amount of money that can be spent using the card within a specified period of time.

Is it possible to block my virtual debit card?

If a user suspects any unusual or unauthorized activity on their virtual debit card, they can block the card through the mobile banking app. This can be done to protect the card and prevent further unauthorized use.
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