According to a recent article released by PYMNTS, Mastercard has launched “widescale global availability” of an enhanced automated virtual card solution named Mastercard Receivables Manager. New proficiencies in securing card-on-file data and multi-language aid in supporting the digital commerce processes around the world.
As B2B digital payments grow in popularity, exciting news such as Mastercard’s announcement of advancements in securely transmitting credit card data will benefit all consumers. The PYMNTS Intelligence report, “Digital Payments Evolution: Virtual Cards Poised to Take Off,” found that 42% of consumers in the United States had used a virtual card for online purchases and subscriptions. The report continues to state that more than half of U.S. consumers store a minimum of one card in digital wallets such as Apple Pay or Google Wallet.
Is a virtual card the same number as my physical card?
Short answer – no. A virtual card has its unique 16-digit number, expiration date, and CVV that is linked to your actual card or bank account. Therefore, the virtual card acts as a secure proxy, keeping your actual account details hidden from merchants or potential hackers.
How does it create a more secure transaction?
Many virtual cards reduce potential fraud by setting limitations against unauthorized use. Customizable controls enable consumers to create single-use, multi-use, or merchant-specific cards, depending on the issuer and the intended purpose. Setting preferences such as spending limits, expiration dates, and merchant restrictions will add another layer of security.
What happens if the information is compromised?
The consumer can cancel or generate a new number instantly, without replacing their physical card. Similar to tokenization, the actual cardholder’s account number is encrypted, which means no actual card data is transmitted.
How do consumers create a virtual card?
Many major banks, credit card companies, and third-party apps offer virtual cards. Log in to your bank or card issuer account via a website or mobile app and navigate to the “card controls” section, set preferences, and select “Generate”. Use this number as the credit card information for online purchases and subscriptions.
Apps like Privacy.com, Revolut, Venmo Credit, and Apple Card allow you to link your funding source (bank account or card). Choose options such as one-time use or reusable. Copy the card details and use them during checkout.
In conclusion, as the shift toward digital payments accelerates, virtual cards are proving to be a powerful tool for secure, flexible, and efficient transactions. With major players like Mastercard leading innovation in this space, both businesses and consumers stand to benefit from enhanced fraud protection and greater control over how payments are made and managed. Whether for online purchases, subscriptions, or B2B transactions, virtual cards are shaping the future of secure commerce.