Virtual cards are on rise these days and people are moving towards this technology creating rise in the trend. The reasons are obvious. They are more secure and are their usage is more rewarding which comes with convenience and hassle free usage as the fear of it getting lost doesn’t exists.
To understand how these benefits are achieved, we need to first understand what a virtual card is. You might notice the details like card number, cvv number, holder’s name and the chip for scanning required for identification while swiping, on your debit and credit cards. One insight we can draw from this is that it is these details which matter and not the plastic card upon which these details are present. So all this information is digitized and this way your digital card is ready. Your card now is loaded on your banks mobile app. You can access it from there and scan QR codes available on the swiping machines to make a payment.
What are the benefits of using this instead of a physical contact?
Your card on your phone is password protected and only can be accessed upon logging in with correct credentials. This way you do not risk leaking of your information and payments happen only after your authentication.
- Contactless Payments:
The payments are happening without contact as only scanning is taking place and there is no need to swipe your cards into the slots where a lot many must have been. This protects from germs and viruses which is very crucial in today’s world of pandemic.
- Payment Without Barriers:
Payments can be made all across the nation or globe depending upon type of card, from anywhere without being physically present at the site of payment. It all happens online and the money is reflected in beneficiary’s bank account instantly.
- Monetary Tracking:
You do not need to check for your bank statement often after paying to keep track. The amount you pay is typed by you and is easy to keep track of. You can have easy record instantly created on your bank app with the records such as name of the organization of person to whom you made payments, purpose of payment, etc.
- Hassle Free:
In case of physical cards, you have to maintain it keep it safe and if it gets lost, there is a tiresome process of deactivating it so that it does get misused. All this adding upon the stress and anxiety. You do not have to take special care of your virtual card and you can access it from any device. This one thing less to be vigilant about.
Upon using virtual cards you get benefits and offers such as huge cashback, special discount, shopping coupons, and you have points adding up and upon reaching certain level you can redeem them in exchange of anything which holds equivalent value. It makes the usage more rewarding and you have another reason to prefer virtual cards.
- Negligible Fees:
Physical cards come with a usage fee and you have to pay this fees irrespective of whether you use it or not. Whereas virtual cards do not have any fees since it is online. They do carry any additional charges and or hidden terms and conditions of usage.
These were a few benefits of using virtual card over physical one. We are sure that they are more. Explore various offers and benefits as this method of carrying out transactions is gaining tractions and banks are giving out huge special offers and benefits to bring in more users to make usage.