What Are Virtual Credit Card Numbers

By Author: Alisdair Cosgrove
Total Articles: 184
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While they are getting noticed by more and more people, the use of single-use or virtual credit card numbers will continue as new consumers learn the security benefits of the numbers for online purchases.

These virtual credit card numbers are analogous to the disposable cameras that many people take on vacation instead of their more expensive cameras. Both serve the same basic purpose, protecting precious information or products from theft or damage.

Today, it is more common to hear about instances of credit and debit card fraud as well as identity theft than it was only a few years ago. Worried consumers and credit card companies are putting new solutions into practice that lower risk while not sacrificing the convenience of using credit cards to buy from local retailers and online. It is not a stretch to say that virtual credit cards are the most successful and innovative solution to this very real problem.

The virtual credit card number is a means to make online payments. They are temporary numbers that take the place of your real credit card number when buying on the web so you do not have to ...
... give out sensitive information at all. These cards are often valid for a single online purchase. In some cases, if the card is not limited to one purchase, then you have access to the number for a limited period of time. It is brief window of opportunity to use the number while it is valid.

People are using virtual credit card numbers because are a means to safeguard your real credit card number from improper use or abuse that could lead to credit damage. For the computer criminal who penetrates secure processing centers to scavenge card info, the virtual number can make all the difference. If they try to use them, they will come up with nothing.

Even when it seems like your card information is completely safe on a secure location and you are fairly sure that the data is not vulnerable during online payment submissions, there is another threat. Unfortunately, there are some online merchants who may take your information and put it into the hands of criminals.
With so many online retailers doing business and providing secure processing centers to protect customer information it should be surprising that some employees may decide to risk criminal charges to sell information to others.

The benefits of virtual credit cards largely come in the form of protection of valuable information. If the number is stolen, the hacker of retailer who took it will gain nothing since the number is now worthless. Those consumers who do most of their shopping online can now breathe a sigh of relief at the simplicity and effectiveness of this ingenious security measure. There is no reason to fear identity theft or fraud when you can use a virtual credit card number.
Alisdair Cosgrove is a freelance writer specializing in personal finance. You can read more of his work at www.JSNet.org for credit card comparisons including cash back credit cards and also offers a comprehensive list of airline credit cards.