What is a VCC Card?

Posted by Checkbook on Sep 16, 2024

What is a VCC Card?

A VCC is a digital version of a traditional credit card, designed for online transactions. Unlike physical cards, a VCC consists of a card number, expiration date, and security code, enhancing payment security. This digital payment method, also referred to as a digital credit card or virtual card, conceals actual bank details during transactions, reducing fraud risk. As consumers increasingly ask, "What is a VCC card?" and "What is a digital credit card?", the VCC emerges as a key tool for safer, more efficient online payments, reflecting the future of secure digital finance.

How to Get a VCC for Your Business?

To obtain a Virtual Credit Card (VCC) from Checkbook, follow these steps:

• Sign Up: Create an account on Checkbook.io by providing your business details and completing the onboarding process.
• Set Up Your Payment Methods: Link your business bank account or other funding sources to your Checkbook account.
• Request VCC Access: Contact Checkbook support or your account manager to enable VCC capabilities.
• Issue VCCs: Once approved, generate VCCs for specific transactions through Checkbook’s dashboard or API.

Feature	Traditional Company Credit Card	Virtual Credit Card (VCC)	Convenience
Form	Physical	Digital/Intangible	High
Security Risk	Prone to loss or theft	Enhanced security features	Medium
Usage	In-person and online transactions	Primarily online transactions	Low
Fraud Protection	Limited	Dynamic security authentication	Low
Bank Detail Exposure	Details can be exposed	Conceals real bank information
Control and Flexibility	Fixed credit limits, limited control	Flexible spending limits, customizable controls
Expiration & Security	Fixed expiration and security code	Unique number, security code, and expiration date for each transaction
Popular Providers	Traditional credit card companies	Providers like Mastercard, PayPal
Business Adaptability	Less adaptable to changing needs	Highly adaptable, secure, and user-friendly
Fraud Prevention	Moderate protection	Strong protection against fraud

Are VCCs Safe?

The short answer is yes, virtual credit cards are generally considered safe and can even enhance online security.

Why VCCs Are Safe:

• Limited Exposure: VCCs shield your actual credit card details, reducing the risk of exposure.
• Fraud Prevention: A compromised virtual card number won't affect the linked credit card.
• Control Features: Users can set spending limits and expiration dates for added security.
• Easy to Disable: VCCs can be quickly disabled if suspicious activity is detected.
• Enhanced Online Security: Though no payment method is flawless, VCCs offer an extra layer of protection for online transactions.

Can You Use a VCC In Store?

A VCC is designed mainly for online transactions, offering enhanced security for e-commerce. Due to this, VCCs generally cannot be used in physical stores, where point-of-sale systems are not compatible. Some retailers may support VCC payments through smartphone apps, but for broader acceptance in physical locations, traditional credit cards are still preferred.

Popular VCC Providers

Several providers offer "virtual credit cards," including:

• Capital One Eno
• Citi Virtual Account Numbers
• Privacy
• Revolut
• and at just a click you can now get a VCC from your Checkbook account.

Each offers distinct features, so it's important to evaluate and choose based on individual needs.

Does it cost me to take payment using VCCs?

Costs for VCCs vary by provider, with some charging a fee and others offering the service at no cost. Despite potential costs, the added security and convenience make VCCs a valuable investment. They are expected to continue transforming online transaction management.

Frequently Asked Questions

What is a VCC?

Read in detail about what a VCC is here.

How do VCCs provide an extra layer of security?

VCCs enhance payment security by masking real bank account details, essentially protecting your funds from potential online fraud. Each transaction with a VCC generates a unique security code, which considerably reduces the risk of fraudulent activities.

Which companies provide VCCs?

Various companies, including prominent credit card providers like Mastercard and financial services like PayPal, offer VCCs. To acquire one, you must sign up with these companies, share your business information, link a funding source and set up spending limits.

What makes VCCs more efficient than traditional credit cards?

Unlike traditional credit cards, VCCs are digital, making them less prone to loss or theft. They are equipped with dynamic security features that significantly reduce fraud risks, making them adaptable, secure, and user-friendly for online transactions.

Can VCCs be utilized for physical store purchases?

Primarily, VCCs are designed for online transactions. Some retailers may facilitate VCC payments via smartphone apps; however, for in-store purchases, traditional credit cards remain the optimal choice.

Are there limitations to using a VCC?

While VCCs provide excellent security for online transactions, they aren't designed for use in physical stores. Despite some retailers being equipped to accept VCCs via smartphone apps, conventional credit cards still triumph for in-person transactions.