“Until now, activating merchant-specific virtual cards required cardholders to laboriously create and update every merchant one-by-one,” says Chris Hopen, CEO of Switch. His company has created the CardSavr API, which automates the process of uploading and securing credit cards with merchants in one user-friendly step. “We make it all invisible to cardholders. They can reap all of the benefits of virtual cards without being bothered with the set-up or updating details.”
Hopen says Cardsavr will make virtual credit cards more accessible to the average customer and will enhance security and convenience for online shoppers, as well as benefiting rewards programs, private label cards, and person-to-person payment programs.
Virtual card use has stalled
Although the use of mobile wallets and virtual credit cards gives customers the benefit of better protection against fraud and greater convenience, adoption has been slow and has stalled. The increased usage of the technology, however, will be good for merchants as well as consumers, says Hopen.
“Making it effortless and immediate for customers to tap into the advantages of virtual cards will also make it easier for issuers to manage and grow their businesses. It builds a healthy virtual payment ecosystem for everyone.”
One of the advantages of virtual credit cards over physical ones is that they can be replaced and reissued instantly in case of fraud, without having to wait for a new card in the mail. However, virtual cards are also less vulnerable to fraudulent use, since they are merchant-specific and can only be used for transactions at certain places and can include spending limits.
Mobile wallets, such as Apple Pay and Google Pay, are digital wallet platforms and online payment systems that allow users to make in-app and tap-to-pay purchases using their Apple or Android phones, tablets, or watches. As consumers’ comfort levels with the technology increase, adoption is sure to speed up.
Read Also Related News
-
18 Nov
Starting this month, Discover is finally introducing the contactless feature for all their Discover it® cards and the Discover More® card (the old version of the Discover it® Cash Back) joining such major issuers like American Express,...
-
3 Jan
The way you pay for a purchase with your credit card may be very different in five years than it is now. That's because biometric cards - credit cards that scan your fingerprint to prevent fraud or theft - are forecast to flood the market...
-
14 Dec
The holiday season is a busy time for retailers and consumers alike—and, unfortunately, also for fraudsters. Identity theft and payment fraud abound at all times of the year, but especially during peak spending times such as...
Customer Questions
-
You can pay your Macy’s card online using Macy’s online pay service. Just visit their official website and follow the prompt to create your online profile and add your Macy’s card to that profile. Also, consider CheckFree, a partnering payment service. You can also pay your Macy’s American Express...
-
Currently, the Alaska Airlines credit card has the following offer: “Annual companion fare from $121 ($99, plus taxes and fees from $22) after you make $1,000 or more in purchases within the first 90 days of your account opening”. This benefit will qualify for a round-trip coach Companion Fare on Alaska...
-
You may like one of the regular travel rewards credit cards offered by major banks. Travel rewards credit cards allow earning miles on all purchases. The cards also have one-time sign up bonuses which may be enough for a domestic flight. There are credit offers without annual fees, the other offers come with rather low...
-
The US Airways Premier World MasterCard is no longer offered. US Airways removed their credit card after merging with American Airlines. Today you can apply for one of the AAdvantage credit cards offered by Citi or for a regular travel rewards credit card. Both types of credit cards will allow you to earn miles and redeem...