Product updates Apr 01, 2026

How to use virtual cards and what are their benefits?

Learn how to use virtual cards for different types of everyday spending and discover their benefits for budgeting, security, and more.

Person holding smartphone over a card reader for payment.

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Tired of juggling physical cards, online logins, and fraud fears? Virtual cards are your digital wallet’s secret weapon. Here’s how to use them and why you’ll never want to go back.

TLDR:

Stored in digital wallets on smartphones, computers, or smartwatches virtual cards work like regular debit or credit cards.
Virtual cards can be used for payments almost anywhere.
Disposable virtual cards can be used only once, reducing the risk of theft and fraud.
Virtual cards work anywhere the underlying payment network is accepted (Visa, Mastercard, Amex, etc.), both online and offline.
No need for a full bank account. Some providers offer prepaid virtual cards that you can load with cash and use like any other debit card.

Person holding smartphone near payment terminal for contactless checkout

What are virtual cards?

A virtual card is your “card without the card”, a digital version of the plastic debit or credit card in your wallet. Virtual cards are stored in digital wallets on your smartphone, or sometimes in apps. When you make a payment, the cash is transferred digitally from the account associated with the physical card.

The virtual card functions exactly like a normal card at checkout. However, it exists only as data generated by your bank or payment provider, not as a physical piece of plastic. Virtual cards are generally accepted anywhere the underlying network handles online or card-not-present payments.

Virtual cards do not always have to be associated with a “full” bank account. The Skrill virtual prepaid card allows you to pre-load a card with cash, then spend as you would with any other debit card.

Some providers even offer “disposable” virtual cards that can only be used once, limiting damage if your card is ‘stolen’.

How to use a virtual card for spending

There are almost no limits on how to use a virtual card. If you can use a physical card, you can almost certainly use a virtual equivalent, like the Skrill virtual prepaid card.

Online shopping

Virtual cards make online shopping faster and more convenient. When you pay online, you can select your virtual card as the payment method. It works just like a physical card, but without having to find your wallet.

Shopping in store

Virtual cards can be stored in the digital wallet on your smartphone or smartwatch. Tap your device on the NFC card reader at the checkout and payment is debited automatically from your virtual card.

In-app payments

The virtual cards stored in your smartphone’s digital wallet can be used to make in-app payments. Simple and convenient, the entire transaction can be completed seamlessly, without leaving the app.

Over-the-phone payments

A booking or payment over the phone can be completed by reading the number from your virtual card. The process is exactly the same as when using a physical card for a “card-not-present” transaction.

Money transfers

Virtual cards can be used to transfer money from your digital wallet to another user. You can even make transfers to bank accounts or pay balances on credit cards and loans.

Benefits of virtual cards

Virtual card benefits include:

Convenient: Your virtual card is always available in the digital wallet on your smartphone, computer, or smartwatch.
Accepted everywhere: The virtual card works just like a physical card and can be used online, over the phone, or in store.
Secure: Disposable virtual cards can only be used once, reducing the risk of theft or fraud.

Get your virtual card today

In addition to these general benefits, the Skrill virtual prepaid card also offers the Knect loyalty program. You can earn points on card transactions, redeeming them for cash vouchers and rewards.

Contactless payment with smartphone and payment terminal

FAQs

How does a virtual payment card work?

A virtual payment card is stored in your digital wallet, like Apple Wallet, on your smartphone. The card can be used to pay at the contactless terminal in-store, online, or over the phone for a “card-not-present” transaction.

Are there spending limits or fees when using a Skrill virtual prepaid card?

There are fees and limits associated with your Skrill virtual prepaid card. These limits are typically imposed to meet regulatory obligations, such as postal address verification. Check your account in the Skrill app to learn more.

How do I add funds to my Skrill virtual prepaid card?

You can add funds to your Skrill account using various methods such as bank transfers, credit/debit cards, PaysafeCard, and other supported deposit methods.