Everything You Need to Know About Virtual Credit Cards – And Why You Should Get One Today!

In the digital-first era, it is more crucial than ever to protect your online payments. Virtual Credit Cards (VCCs) are a solution many people turn to for secure and hassle-free payments. This article outlines what virtual credit cards are, how they are used, why they are useful, and a few of the most popular virtual credit card companies in India in 2025.

Table of Contents

What is a Virtual Credit Card?

A Virtual Credit Card is a digital version of your physical credit card. It generates a unique card number, expiry date, and CVV that you can use exclusively for online transactions. This virtual number links to your actual credit card account but keeps your real card details hidden, adding an extra layer of security. Unlike physical cards, virtual cards usually have a set valid period or are single-use, minimizing risks to online fraud.

Virtual Credit Card Uses

Online Shopping: Pay on online stores without exposing your true card information.
Subscriptions: Virtual cards with short life spans can be used to prevent unwanted automatic subscription renewal or incurring unnecessary charges.
Trial Offers: Utilize a virtual card for trial offers and stop surprise deductions upon expiry of the offer period.
International Payments: Get currency conversion surprises out of the way and make secure cross-border payments.
One-Time Payments: Great for infrequent purchases on new or less secure platforms.

Also read: Major Changes for American Express Credit Cardholders – Will They Benefit You or Cost You More?

Advantages of Virtual Credit Cards

Increased Security: Your core card information remains secured, minimizing opportunities for theft and fraud.
Spending Limits: Establish spending limits or expiry periods to avoid excessive spending.
Reduction in Fraud: Even when a virtual card number is leaked, it will not be of any use after the expiry or balance of permitted transactions is exhausted.
Instant Issue: Order virtual cards on-demand through your banking app instead of waiting for physical issuance.
Convenience: Makes online payments easy, particularly for many subscriptions or recurring transactions.
Improved Credit Management: Limits and expiration dates promote responsible spending.

Restrictions to Consider

Not Everywhere Accepted: Offline retailers and overseas websites do not always accept virtual cards.
Usage only Online: Can’t be swiped or used for transactions in-person.
Refund Processing: The refunds can be delayed if the virtual card has expired.
Feature Availability: Dependent on the bank and issuer, with some banks having restrictions or charges.

Popular Virtual Credit Cards in India

1. HDFC Bank Virtual Credit Card: One of India’s first virtual cards, HDFC Bank’s virtual credit card can be generated instantaneously using their NetBanking or Mobile App. It offers secure online payments with limits that can be set.

2. ICICI Bank Virtual Card: ICICI Bank has a virtual credit card connected to your primary credit card account for easy generation and disposal post-use, which boosts security in online transactions.

3. Axis Bank eDGE Virtual Credit Card: Axis Bank offers virtual credit cards with adaptable spending limits and tenor, suitable for paying bills and infrequent purchases.

4. SBI Virtual Card: State Bank of India users can create virtual cards using the YONO app, for secure online shopping with spend control.

5. Kotak 811 Virtual Card: Kotak Mahindra Bank digital savings account Kotak 811 provides virtual cards immediately for online transactions, with convenience and security.

6. Paytm Payments Bank Virtual Card: Most used by fintech consumers, Paytm Payments Bank instantly provides virtual cards with simple linkage to your Paytm wallet, making online payments easy.

7. Jupiter Virtual Credit Card: Jupiter neobank offers virtual cards as part of its digital banking service, with the ability to control spending limits and generate cards instantly.

How to Get a Virtual Credit Card?

Log in to your bank or fintech app.
Go to the credit card or virtual card tab.
Select to create a virtual credit card.
Configure your spending limit and validity period (if opted).
Make use of the created card details to make online payments.

Final Thoughts

Virtual credit cards are a convenient advancement in online payments, providing greater security and convenience for online buyers and subscription consumers. By protecting your primary credit card information and providing control of spending, they lower fraud risks and make online purchasing easier. With more digital payments on the horizon, virtual credit cards are a necessity for serious secure online spending in 2025. Research the products of your bank or digital wallet company to incorporate virtual cards as part of your financial arsenal.