What is an instant virtual debit card, and where do I get one?
Communication Team
Communication Team

September 14, 2022

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What is an instant virtual debit card, and where do I get one?

With business growing and digitalisation taking over, the use of conventional payment methods like cash and cheques are getting harder to come by and much harder to process in many circumstances. As a result, card payments have become a major area for improvement and virtual cards are gaining popularity fast.

A virtual debit card is a prepaid card with a unique 16-digit number that can be used for online shopping, business transactions, managing and tracking company incomes and expenditures, subscriptions, employee salaries and more.

These cards come with multiple advantages and are safer than physical debit or credit cards, as the number is not linked to your personal information.

Additionally, it offers more flexibility and better control over your spending, as you can load them with the amount of money that you need, nothing less or more!

How does a virtual debit card work?

A virtual debit card works exactly like any physical debit card, but in digital form. When you make a purchase, the funds are transferred immediately from your account to the merchant's account. The users can also set expiration dates on card numbers and spending limits on these virtual debit cards.

The card numbers are temporary and can be changed. These are attached to a debit or bank account and the debit card number can be changed without the need for opening a new account. In this way, virtual debit cards offer an extra layer of security to your business transactions, spendings, payments and more.

Multiple card issuers, banks and digital-only banks offer virtual debit cards. These companies will require you to open an account with them and then they will generate a unique 16-digit number that can be used for online transactions.

Related: Best 3 ways to get a virtual debit card for your business

The best part is that you can use these cards anywhere in the world, irrespective of your geographical location! All you need is an internet connection and you're good to go.

How do I pay with a virtual debit card?

Paying with a virtual debit card is similar to making any online purchase. At the checkout, you will be asked to enter your 16-digit card number, expiry date and the security code. Once the payment is processed, the funds will be transferred immediately from your account to the merchant's account.

Some instant virtual debit cards are prepaid, which means you can set a certain amount of money on one or multiple card numbers and start using them. Once the balance goes out, the card expires. Whereas, when you create a virtual debit of another type, it allows you to reload them through the card numbers allotted.

If you own a business, then you can use virtual debit cards to make payments to your employees, suppliers and contractors. You can also use these cards to subscribe to online services, make merchant payments, whatever expenses your business needs to be able to cover with digital payments.

There are various banks and registered companies that offer virtual debit cards . Do your research and choose the one that best suits your needs.

Digital-only banks, also called mobile banks or ‘neobanks’, such as Wise, Revolut, wamo, Payoneer, etc. also offer virtual debit cards that can be used for online transactions. They work in the same way as any other bank does without any physical location, but offer you the same or sometimes even better benefits. When you create a virtual debit card and account with them, you can manage your accounts through smartphones or online.

Related: How to create your virtual debit card online?

Get a virtual debit card in a snap with wamo!

While there are many banks that enable you to create virtual debit cards for your business, they also come with a lot of hassle. Applying for one takes time, could be an expensive affair and you might even have to go through a credit check.

At wamo, getting your instant virtual debit card is quick and easy. It simply takes 10 minutes to open a bank account and create an instant virtual debit card. You don't have to go through credit checks or the hassles of managing a minimum balance requirement.

wamo’s sub-account feature means that you can open accounts for employees or per project, marketing campaign spend etc and issue a virtual card attached to that sub-account. This is a great help when it comes to organising and managing multiple expense streams and to your accountant too!

wamo has been further offering businesses with benefits like easy card renewals, no extra fees except the ones stated during card transactions, multi-currency accounts, money tracking and analytics features, activity notifications and high card limits.

Plus, you can use wamo’s instant virtual debit card anywhere in the world.

Related: How any business owner can open a business account in Malta in 10 minutes with wamo

© wamo 2022, all rights reserved wamo & the wamo logo are trademarks and trade names of wamo technology Limited and may not be used or reproduced consent of the owner

wamo.io LTD incorporated and registered in the United Kingdom under the company registration number 12352849 and the operational office of which is at WeWork, 199 Bishopgate, London EC2M 3TY. wamo operates the wamo.io website and the app. wamo is not a bank, the current account is an e-money account. Issuance of Electronic Money and payment services is provided by PayrNet Limited. PayrNet holds an amount equivalent to the money in the wamo current accounts in a safeguarding account which gives the customers protection against insolvency. We are authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 (register reference 922901) for the issuing of electronic money. wamo is an EMD agent of PayrNet.

© wamo 2022, all rights reserved wamo & the wamo logo are trademarks and trade names of wamo technology Limited and may not be used or reproduced consent of the owner