| olders can sign up for the free program at their credit | | | | information (such as credit card numbers) stop many |
| card company's website. When they want to make an | | | | people from making online purchases. Although these |
| online purchase, they receive a 16-digit number, | | | | types of problems don’t happen often, there is |
| randomly generated by the credit card company. This | | | | an ever-present fear among consumers that the |
| temporary credit card number can be used once or | | | | wrong person may get hold of their credit card |
| sometimes repeatedly at the same online store.virtual | | | | number or other private information. |
| prepaid credit card numbers were initially designed for | | | | Because of booming e-commerce and the love affair |
| Internet shopping, but can be also used for purchases | | | | with the Internet, there is much at stake for credit card |
| made over the phone as well as through the mail. | | | | companies should these problems or fears get out of |
| However, they cannot be used for in-store purchases | | | | hand. As you might expect, companies are working |
| or whenever a traditional plastic credit card is required | | | | quickly with new technology to stop the problems and |
| for payment. | | | | calm the fears of their customers. Their solution? |
| The virtual credit card technology has been around for | | | | Disposable or temporary credit card transaction |
| six years, but according to consumer advocates the | | | | numbers. |
| technology has not been very popular with consumers. | | | | Private Payments assigns unique random numbers |
| Interest in virtual credit cards seems to be increasing, | | | | that are linked to a consumer’s actual card |
| though, thanks to recent headlines regarding identity | | | | account, but the numbers are only temporary and do |
| theft breaches. A major benefit of virtual card | | | | not reveal any private information. This temporary |
| programs is that personal information is concealed | | | | credit card number is good for one purchase only, |
| during the transaction. | | | | meaning that it does no good for someone to swipe |
| A recent study found that 46% of credit card fraud | | | | that number because they won’t be able to |
| victims had no idea how fraud occurred, but 21% said | | | | use it after the initial purchase. |
| they believed their credit card number was stolen off | | | | For example, each single-use card number is unique to |
| the Internet. Obviously, card issuers hope that virtual | | | | an online store that you visit and will not be valid at any |
| card programs will help address such concerns. | | | | other store. In addition, you may use the same number |
| The virtual card program is simply an extra layer of | | | | for recurring charges such as monthly bills that you |
| security to protect the credit and identity of consumers | | | | elect to pay online. Although disposable credit card |
| who choose to buy online, much like installing a home | | | | numbers are not available with every company yet, do |
| security system helps to protect a home from | | | | not be surprised if these types of programs are |
| intruders. | | | | offered by most major credit card companies soon. |
| Is online shopping really safe? | | | | Regardless of whether you take advantage of |
| Stories of high-tech hackers breaking into company | | | | disposable card numbers , you should always protect |
| databases on the Internet to steal customer | | | | yourself with safe Internet shopping practices. |