What Is a Virtual Credit Card? How They Work and How To Get One
-
Written by
Jasmin Baron
-
Edited by
Antonio Ruiz-Camacho
Every time you enter your credit card number on a website, you share sensitive financial information that could be exposed to cybercriminal scams or data breaches. With the holiday online shopping surge just around the corner, guarding your credit card details is even more important.
That’s why virtual credit cards are one of the easiest ways to protect yourself while shopping online. They hide your real card number, which gives you more control over spending and allows you to deactivate the virtual number immediately if you suspect fraud. Many issuers allow you to generate virtual credit card numbers to use in a single transaction or for a limited time period.
Let’s break down exactly what virtual cards are, how they work and why they’re one of the best online shopping tools this holiday season.
What Is a Virtual Card?
A virtual credit card (sometimes called a virtual card number or digital card) is a temporary, digital version of your credit card that’s designed for safer online transactions. It’s generated instantly by your bank or credit card issuer and linked to your real account — but it uses a different card number.
You can use this number just like a regular card when you shop online — to merchants, it looks and functions the same. The key difference? Your actual card number remains private, and if that virtual number is ever stolen or leaked, your account is protected.
Think of it as a disguise for your credit card online. The transaction still goes through, but your real card number stays hidden.
A virtual credit card is not the same as a digital wallet. Digital wallets, such as Apple Pay and PayPal, are apps that store your credit card information to make online or mobile payments more easily. Digital wallets have security features to protect from fraud, but they still typically use your real account number.
How Do Virtual Credit Cards Work?
Using a virtual credit card is relatively simple. Here’s how a virtual credit card works, step-by-step:
1. Log In to Your Card Account or Mobile App
Many credit card issuers, including major banks, fintechs and neobanks, offer the option to create a virtual account directly from your account dashboard.
2. Generate a New Virtual Card Number
Navigate to your account page that allows you to create a new virtual credit card number, usually instantly. This 16-digit number is unique and typically comes with its own expiration date and security code (CVV). In some cases, you can create a virtual card for one-time use only.
3. Use Your Card To Make Online Purchases
Shop online as usual. When checking out, enter the virtual credit card number instead of your actual card number.
4. The Purchase Is Charged to Your Real Credit Card Account
The charge will appear on your statement just like any other transaction. However, the merchant will never see your actual card number. You’ll still earn rewards points or cash back on the purchase, if applicable.
5. Disable or Delete the Virtual Card if Needed
You can disable, regenerate or cancel the virtual card number at any time without affecting your real card account. If the virtual card is compromised, your main card remains untouched.
That’s it. It’s quick, seamless and much safer than typing your real card number all over the internet. This extra layer of protection takes seconds to set up, but can save you hours of hassle if your card info is ever leaked.
Safety and Security of Virtual Credit Cards
Virtual cards were designed for online security and fraud prevention — two areas that matter most during the holiday shopping rush.
Any time you use your real credit card number online, it may be stored by the merchant or payment processor — sometimes temporarily, and sometimes for recurring payments. If that retailer or platform is ever hacked, your information may land in the wrong hands.
Why Are Virtual Credit Cards Safer?
Virtual cards prevent that problem before it starts. Here’s why they’re more secure than traditional physical cards:
- They protect your real card number: A virtual card is like a mask or nickname. Merchants and payment processors only see the virtual number, not your actual card information.
- They’re easy to disable if compromised: Spot a suspicious transaction? If hackers or other bad actors get hold of your virtual card number, you can instantly deactivate it — without having to cancel your main card and wait for a replacement in the mail.
- They help prevent identity theft: Because websites don’t see your true financial details, there are fewer opportunities for your information to be stolen or misused.
- They limit exposure in data breaches: Even if a retailer’s database is hacked later, your main account stays safe. Using different virtual cards for different sites reduces your risk if one merchant is compromised.
- They add an extra layer of control: Some virtual cards let you set spending caps and expiration dates. If someone tries to use the card beyond those limits, it will be declined.
In short, virtual cards reduce the risk of fraud and financial stress, especially when you’re shopping across multiple sites during the busy holiday rush. As LifeLock members know, identity protection starts with limiting your exposure — and virtual credit cards do exactly that.
Gain More Control Over Spending and Subscriptions
Security isn’t the only benefit of virtual credit cards. They can also help you take charge of your spending. Virtual cards give you better financial control by allowing you to:
- Set spending limits: Whether you’re buying from a new online store or letting your teenager shop for a gift, you can cap how much can be charged to that card.
- Add expiration dates: If you just need a card for a one-time purchase or free trial, you can set it to expire after a day or a week. After that, it can’t be used again.
- Simplify subscription management: You can generate a unique virtual card for each subscription — think Netflix, meal kits, cloud storage and paid apps. If you ever want to cancel a recurring payment, you can just disable that specific virtual card instead of digging through your bank statements and hunting for hidden cancellation links.
These features can save money, prevent unwanted renewals and make it easier to track where your funds are going. Virtual cards give you greater peace of mind — and fewer surprise charges.
Comparing Physical vs. Virtual Credit Cards
Virtual credit cards offer convenient and safe features, but in some cases, using a physical card may be a better choice. Here’s how physical and virtual credit cards compare:
| Virtual Credit Card | Physical Credit Card | |
| Form | Digital-only (used online or via mobile wallets) | Physical plastic card |
| Security | High — uses temporary or masked numbers | Moderate — real number exposed during transactions |
| Usage | Best for online purchases and subscriptions | Best for in-person purchases |
| Control | Can set spending limits, expiration dates or merchant locks | Limited control unless managed through app settings |
| Fraud Risk | Lower — easily deactivated or replaced | Higher — if lost/stolen, full card must be replaced |
| Convenience | Instant issuance; no waiting for mail | Requires physical delivery |
| Compatibility | May not work for in-person or card-present transactions | Universally accepted in-person and online |
| Subscription Management | Easier — use unique cards per service | Harder to track — all charges go to one card |
| Replacement | Instant — generate a new number in seconds | Slower — must wait for a new card to arrive |
| Mobile Wallet Support | Often compatible with Apple Pay, Google Pay, etc. | Fully compatible |
How To Get a Virtual Card
Getting a virtual credit card is easier than you might think. If you’re ready to try one, here are a few easy ways to get started:
- Check with your credit card issuer: Many major banks, including Capital One, Citi, and American Express (CardCritics™ advertising partners), already offer virtual card numbers to cardholders. You’ll typically find the option in your online account or mobile app, or through a browser extension.
- Explore fintech or digital-first banking apps: Apps like Revolut and Privacy.com let you create virtual cards linked to your funding source.
- Open a credit card that includes virtual card capabilities: If your current card doesn’t support this feature, it might be worth exploring new ones that do — especially if you do a lot of online shopping.
How To Choose a Virtual Credit Card Provider
Before applying for a credit card with virtual capabilities, it’s important to know what to look for. Not every provider offers the same level of protection, flexibility or compatibility. Here are some key factors to help you choose the right one for your needs:
- Security features: Look for banks or card issuers that offer strong encryption, easy number deactivation and real-time fraud alerts.
- Ease of use: Choose a provider that lets you generate, manage and delete virtual cards quickly through a mobile app or online portal.
- Spending controls: Make sure you can set spending limits, expiration dates and merchant restrictions. This is especially useful for subscriptions or family use.
- Integration with your wallet: Check whether the virtual card works with your banking or budgeting apps and with mobile wallets such as Apple Pay, Google Pay or PayPal.
- International acceptance: If you frequently shop from international websites, ensure the card works for global merchants and supports multiple currencies. You’ll also want to make sure the card doesn’t charge foreign transaction fees, which can add up to 3% to each purchase.
- Rewards and perks: Some virtual cards still earn rewards like cash back or travel points, just like their physical equivalents.
- Customer support: In case something goes wrong, reliable and responsive customer service is a must.
Interested in applying for a credit card with the virtual card feature? Check out our recommendations.
How Do Major Issuers Stack Up?
Not every issuer offers virtual credit cards — for example, Chase, one of the biggest banks in the US, does not. Among those that do, the features can vary widely. Some focus on tight security and advanced controls, while others emphasize convenience and integration with digital wallets or browser tools.
To help you find the best fit, here’s how three of the biggest issuers — American Express, Capital One and Citi — compare when it comes to virtual card capabilities, flexibility and overall user experience.
| American Express | Capital One | Citi | |
| How Virtual Card Numbers Are Issued | Primarily through Google Chrome integration Aimed at one-time online or in-app purchases using Google Chrome | Issued via Eno (Capital One’s virtual assistant) Generate numbers in the Capital One app, website or via the Eno browser extension Works with Google Pay on Chrome in many cases | Create virtual account numbers through your Citi online account |
| Ease of Use | Smooth when shopping via Chrome (Amex plus Chrome auto-fill) Good for quick one-time checkouts Limited options outside Chrome | Very customer-friendly, Eno provides browser extension pop-ups, in-app controls, alerts and simple management of virtual numbers Widely recognized as easy to use | Requires manual activation Reduced customizability after recent updates |
| Custom Spending Limits | Limited, Amex’s Chrome-based virtual cards are aimed at one-time purchases | No, Eno supports locking/unlocking virtual numbers and monitoring, though | Yes, but can only set a daily spending limit in preset amounts: $25, $50, $75, $100 or $300 |
| Custom Expiration Date | No, focused on one-time, short-lived use via Chrome | Yes, can set card to single-use or to expire on a specific date through your Capital One account | No, all virtual account numbers are set to auto-renew every three years |
| Best Use Cases | Best if you’re a Chrome user and want a simple, streamlined one-time checkout flow with Amex | Best for overall consumer convenience thanks to Eno’s extension and customizable expiration dates | Best for setting daily spending limits, not great for user experience or customizable expiration dates |
When To Use a Virtual Credit Card
Virtual credit cards can be helpful in a wide range of everyday situations — not just during the busy shopping season. These are some of the best times to use one:
- Online shopping: Any time you’re entering card details on a new or unfamiliar website.
- Holiday purchases: When you’re buying from multiple online stores or taking advantage of flash sales.
- Subscriptions and free trials: Perfect for avoiding unexpected charges once the trial ends — we’ve all forgotten to cancel free trials now and then.
- Travel bookings: Use one for hotel reservations or flight bookings, especially with lesser-known platforms. One caveat: Some providers, such as hotels or car rental agencies, may require you to present your physical card when you travel.
- Shared purchases: When you’re shopping on behalf of someone else, like a family member, you can set a limit to stay in control.
- International orders: To reduce the risk of your primary card being compromised abroad.
Is a Virtual Card Right for You?
If you do most of your shopping online, a virtual credit card can add a valuable layer of protection. It keeps your real card number hidden, minimizes fraud risk and gives you more control over where and how your money is spent. That’s especially important during busy shopping periods, such as Black Friday and Cyber Monday, when scammers often ramp up their activity.
However, virtual cards aren’t perfect for every situation. For example, you might still need a physical card for in-person transactions or when a merchant requires a card to be presented for identity verification. Smaller businesses or older systems also may not accept virtual cards.
Virtual cards are an excellent complement to — but not a replacement for — your main credit card. If you value privacy, security and control, adding virtual cards to your financial toolkit can be a smart move, especially as part of a broader identity protection strategy through LifeLock.
Frequently Asked Questions
Do virtual credit cards build credit?
No, virtual credit cards use the same account as your regular credit card, so they don’t create a separate credit line. However, your activity still contributes to your main credit account history.
Can I use a virtual card for recurring payments?
Yes, many issuers let you create a separate virtual card for each merchant, which makes tracking and canceling recurring payments much easier.
Are virtual credit cards safe for travel bookings?
Virtual credit cards can be ideal for booking flights, hotels or rental cars online, especially if you’re not sure how a vendor handles payment data. Just be aware you may need the same card number when checking in, and in some cases, you may have to present a physical card — so plan ahead.
Do virtual cards earn rewards or cash back?
Yes, since virtual cards are linked to your existing credit card account, you’ll typically earn the same rewards, cash back or points for purchases as you would with your physical card.
Can I use a virtual card in physical stores?
You can often use a virtual card in brick-and-mortar stores if you add it to a mobile wallet like Apple Pay or Google Pay. Otherwise, virtual cards are primarily meant for online and in-app purchases.
