Virtual Credit Card (VCC)

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A virtual credit card is an electronic card which can be created using the bank’s net banking facility, by providing one’s credit or debit card details. No charges have to be paid for the same. As the name suggests, they need not be physically issued by card providers.

Features of Virtual Credit Card

  • It is a virtual card so you need not worry about theft or misuse.
  • It is a prepaid card where you can define your own limit.
  • A virtual credit card is one-time use card and it is self-destroying after 24 hours.
  • This card can be used only for online purchases.
  • No additional service charge applicable for using virtual credit cards.

Benefits of using Virtual Credit Card

A virtual credit card comes with a good number of benefits and the most significant ones among them have been listed below:

1. Convenience

Because the virtual credit card doesn’t have any physical form, its details can be saved on your mobile phone and the same can be used for carrying out transactions. Thus, the hassles of carrying physical cards are entirely eliminated.

2. Security

Because you don’t have to swipe the virtual card to make payments, it’s nearly impossible for miscreants to carry out fraudulent activities with the card. Also, the governing body for virtual credit cards in the country is the Reserve Bank of India (RBI). To get a virtual credit card, you have to submit the KYC documents and the issuer needs to approve them.

3. Limit Options

You also get the chance to set the limit on your virtual credit card and the payments would be authenticated by one time passwords (OTPs) sent on your registered mobile number.

4. Easy Cancellation

If for any reason, you have to cancel the card, you can do it effortlessly through your smartphone.

5. Statement

Like normal credit card statement all purchases you make with VCC will appear on your statement, just like any other transaction.

Who can use VCC Facility?

VCC facility can be accessed anywhere throughout the globe. It can be any person who wants to make payments and transactions online but prefers not to expose his or her own original credit card information.

How to use?

Each virtual card comes with its own card number, CVV number and validity details. It can be used for online transactions just like regular credit cards. You can just use your smartphone to transact.

Validity and Usage

Every virtual credit card is meant for one time use. It is created for a single online transaction and is valid for a maximum of 48 hours. The credit limit and validity period may vary from bank to bank.

How they are more secure than physical cards?

A virtual card allows secure online transactions as it reduces the risk of exposing the underlying credit/debit card details to the vendor. Since they are only visible to you, any chance of cloning or fraud is negligible.


This card gives the flexibility to end user. It can be generated anytime using any amount starting from Rs.10 to Rs.50, 000.


Virtual credit cards are free. In India bank don’t charge any money for making and usage of virtual cards.

Drawbacks of Virtual Card India (VCC)

As everything have some pros similarly have some cons. Let’s drive in and find out drawbacks of VCC.

  • Can’t use at merchant swipe machine.
  • Mobile Wallet is far more user-friendly than the virtual debit card.
  • Can’t withdraw cash