Online virtual credit cards are the future of financial management.
Late payments, cancelled memberships and overdraft fees are common problems for those managing multiple subscriptions on a single credit card.
Advancements in financial technology have brought about an ever-increasing growth in the popularity of virtual credit cards; A new payment system designed to manage numerous payments across multiple platforms.
Virtual credit cards provide you with temporary card numbers, expiry dates and security features. This allows you to have a single-use card for every website you make payments on. Payments are made onto your card through your usual bank account without the risk of exceeding account limits or receiving negative strikes against your credit score.
Online credit cards also provide an extra layer of security to ensure that your actual card details never fall into the wrong hands. Data breaches are an unfortunate but increasingly common security risk, especially when single-use data is stored across multiple websites such as emails, passwords or card details.
Taking precautions with your online payments means that you’ll never fall victim to ‘scam’ or unsecured websites that claim to be trusted retailers.
Another benefit is that virtual credit cards assist with monthly budgets.
Setting savings goals and attempting to cut spending is often easier said than done. It’s easy to repeatedly use your card to make frivolous payments (especially with the emergence of auto-fill and contactless tapping) and fall into the trap of never checking your account balance.
Online cards work on a top-up payment system. Although this means you can’t rack up huge overdraft fees, it also means that you have to be conscious of the money you’re sending across. Effectively, this keeps one eye on your products and one eye on your account balance so your spending never gets out of hand.