Disposable Credit Cards: A Safer Way to Pay Online

Every time you type your credit card number into a website, you take a risk. But what if you could protect your real card by never using it at all? Find out why and how to use virtual or disposable credit cards for online payments.

TL;DR

Virtual and disposable credit cards are digital cards used for safer online shopping and payments. Using them separates the account connected to your credit card from the payment you are about to make. Even if you get caught up in a scam, it is nearly impossible for your virtual or disposable card to be stolen and reused. Using disposable credit cards does not guarantee that you will not waste your money on a fake e-shop. However, since no more money than you allow can be withdrawn from it, it does guarantee that you will not be further victimized.

What is a virtual credit card?

A virtual credit card is a digital version of your real card stored in your phone. It has its own number, expiration date, and security code, that are different from the real card. You can usually use it for both online payments and in-store payments, just like a regular card, which means you no longer have to carry your plastic credit card everywhere you go. It can be obtained from your bank, typically through an app or online banking.

Why use a virtual credit card?

• More control – On some virtual cards, you can set a spending limit, which allows you to use the card to plan your finances in advance.
• Safer than a plastic card - Since it only exists digitally, there's no risk of losing it or having it physically stolen.
• More convenient - Since a digital card is stored in your phone, that is one less item you have to carry with you everyday.

What is a disposable card?

A disposable credit card is a special type of virtual card. It can only be used once or for a short period of time. Disposable card is designed to deactivate after either one use or 1-24 hours after creation (whichever comes sooner). After that, it becomes inactive and cannot be used to make any more payments. This makes it very hard for anyone to steal and reuse the card number, however, these cards are usually only used for online payments and cannot be used in stores.

Why use a disposable card?

• Better security – It deactivates after use. If a website on which you made a payment is hacked, your actual card and its information are safe. There is no way to steal money from a card that no longer exists.

What if my bank does not offer disposable credit cards?

Whether you can create virtual or disposable credit cards depends on whether your bank provides the service. In case your bank offers virtual cards, you may still be able to use them as disposable cards. In case you can freely delete any virtual card you made, the only difference will be that you have to do so manually instead of the card deleting itself after being used.

Where to get a disposable credit card?

Here are some examples of banks that offer virtual or disposable cards—though this list is not exhaustive.

International

Czech Republic

Austria

Slovakia

When to use a disposable card?

You can use them for any online purchase, but these are some cases when it's highly recommended:

• when buying from a new or unknown website
• when signing up for free trials
• when booking travel online
• anytime you are not 100% sure or you want extra safety