Pyypl Virtual Cards: A Secure and Convenient Payment Solution

1. Introduction

Sleek and user-friendly user interfaces are available through web-based and mobile device apps. Virtual cards, a relatively recent financial innovation, can be conveniently accessed online via smartphones and are foreseen to be the next step in the evolution of how we make internet-based transactions. Also known as prepaid cards, they can be issued by a variety of service providers and are available from a wide range of sponsoring financial institutions. At the same time, virtual cards are distinct from conventional credit and debit cards because they generate a unique card number for each and every transaction. This feature adds an extra layer of security for the purchaser, meaning that if a particular card number is compromised, private financial information isn’t exposed. This first section of the report begins with providing a detailed definition of the term “virtual card” and then differentiates virtual cards from other types of electronic payment methods. Next, concrete benefits that come with using virtual cards for online transactions are provided. The section then shifts focus to the semantics of virtual cards as it introduces the reader to the unique features of virtual cards. Lastly, there’s a general overview of Pyypl’s Virtual Card program which will be further elaborated upon in the subsequent sections of this report. By now the reader should already have a good idea of which directions the report will take in relation to the discussion of virtual cards.

Understanding Pyypl’s Virtual Cards: A Secure and Convenient Payment Solution

1.1. What are virtual cards?

Virtual cards are the digital and temporary version of the plastic debit or credit cards. They have 16-digit card numbers and CVV codes just like any other plastic card. These cards are designed to be used just once and they don’t have any magnetic stripe or any chip for in-store purchases. Every time a transaction is made with a virtual card, a different card number is used for the transaction, increasing the security. Virtual cards can be used for online purchases and they can also be added to the digital wallet. When the virtual card is created, it is issued a set of card details, a set of card expiry date and a card verification value (CVV). Once the virtual card expires or the maximum transaction limit is reached, the card becomes invalid. This makes virtual cards a very safe option for online purchases. Also, the card number is shortened to provide 4 digits, making users confident that the right card number was used for the transaction. However, these digital cards do not work for every type of transaction. For example, if a car rental company tries to book a deposit using a virtual card, this might not work, since they try to put a hold on certain amount of funds on the card. But when it comes to day-to-day transactions, it’s a simple and secure way to pay for items online.

1.2. Benefits of using virtual cards

1.2. Benefits presented by virtual cards. In addition, as they are valid for one purchase, often can be purchased on the internet and customers can choose the preferred type and the issuing dollar amount of the virtual card. In this way, such cards allow consumers a safe and secure way to make purchases or payments, using a payment method that is today complete and cost effective as well as essentially free. Another benefit is that the online virtual cards are those that are the most widely accepted forms of payment which makes them ideal for making unpaid or late payments, perhaps somewhere like a trust deed. However, one important thing that people should be aware of before using these types of cards as a payment option is that in most cases, they are unable to be used to obtain a cash withdrawal at an ATM or even to access cash over the counter at a bank. Particularly for consumers who want a little more of a solution, the cards are not found lacking at all. There are certain providers that have even taken the extra steps to ensure that customers can be provided with convenient instant issue virtual cards. These types of cards ensure that consumers looking to use these types of payment options have a wide selection and can find a credit card type that meets their specific needs.

1.3. Overview of Pyypl Virtual Cards

Typically, the users load their Pyypl virtual card with the amount they desire to spend and details of the transactions are instantly updated on their mobile apps. However, the card details are not openly displayed on the app for security purposes – it uses quick response (QR) technology whereby the card details are hidden on the mobile app but can be accessed by a merchant essentially by scanning a QR code displayed on the app. Pyypl virtual card accepts multiple currencies and exchange rates are readily available on the app – users can take advantage of favorable exchange rates to load their cards when the rates are good. Besides, Pyypl virtual card also operates from the cloud and as a result, the users’ cards are accepted worldwide since it does not rely on any specific country’s communication networks or global positioning systems (GPS). The virtual card contains a sequence of randomly generated numbers different from the actual card numbers essentially aiming at protecting the financial identity of the users. The card users can access instant alerts and are insured against any online fraud from the banks – Pyypl does not offer credit facilities on its virtual cards, the users can only spend the money they have. Apart from virtual cards, Pyypl also offers cloud-based services on digital banking, peer-to-peer (P2P) payment and payment solutions to merchants. Pyypl virtual cards are suitable to people regardless of the social status, and age since the cards can be used by the low and high earners alike. The application of Pyypl virtual cards also have greater impacts in the modern society ranging from handy shopping, business trips, students and also for managing family expenses.

2. How Pyypl Virtual Cards work

After the user creates and loads a virtual card into their Pyypl Wallet, this card can be used freely online until there are no funds remaining. Pyypl virtual cards share the same international acceptance as physical Pyypl cards and can be used anywhere online where prepaid cards are accepted. As such, users are asked to treat any virtual card details with the same security and confidentiality as any physical card details. When the user makes a payment, the card details and billing address are provided to the payment processing. If payment was successful, the payment processing will provide a unique payment reference that can be stored against the transaction and used as proof of payment. However, all transactions that are not yet completed, for example where the payment has not been successful or where the user has cancelled the payment, will be listed on the Wallet until they either expire or until the payment has been completed. If the user closes their web browser or navigates away from the payment page before the process is completed, this can cause the payment to fail. The user should make sure that they keep the web browser open and do not navigate away from the payment page until the unique payment reference has been provided.

2.1. Creating a virtual card

Creating a virtual card is an incredibly simple process which requires no real technical knowledge or skills. First, you enter the Pyypl app and head to the “Financial products” section. Right there in the main menu, you can choose the option “Virtual cards”. Each user can have a maximum of three Pyypl virtual cards, but creating them is always the same. When you choose that option, you already see a list of your already created cards. When you scroll down, there is a button to create a new one. After clicking on it, you can choose the default wallet for the card you are about to create. Then it is necessary to give a name to a new card. And that’s it. You have successfully created a virtual card. Every new virtual card will automatically be linked to your default wallet, but afterwards you can easily change it. All you need to do is go to the details of a certain card by clicking on it into the virtual card’s list and selecting the button “Change card wallet”. Also, on this screen, you are able to see details of a certain card, such as card number and validity date or the current balance in the wallet that is linked to that card.

2.2. Loading funds onto a virtual card

First, whether you are creating a new virtual card or topping up an existing card, select the card you want to load funds to and click the “add funds” button. You will then have the option to select a debit or credit card that you have registered on your Pyypl account. This card will be used to provide the funds for the virtual card. You can choose to use a saved card, or, if you do not have the required available balance but have funds in your Pyypl account, you could select the card that represents your Pyypl account and Pyypl will use the balance in that account to fund the virtual card load. After that, choose whether you want to perform a one-time load or to set up a direct debit instruction. A one-time load is a single, one-off transaction that provides the virtual card with a specified amount of available balance. In comparison, a direct debit instruction tells Pyypl to take the funding from your selected card when the available balance on the virtual card falls below a certain amount. Be aware that the option to set up a direct debit instruction may not be available in all circumstances. After confirming the details of the transaction, click “proceed” and the card will be loaded with the selected available balance. This money can then be used for online transactions.

2.3. Using a virtual card for online payments

To execute an online payment with a virtual card, buyers type in the 16-digit card number followed by the expiry date that is given on the front of the card. This is normally succeeded by the Card Verification Value number, which is a 3-digit number printed on the back of the card. Not only are virtual cards very easy to use, they are also much safer than traditional plastic cards. This is because, from the moment the card detail is created to when the transaction is executed, hardly any of the customer’s personal data is transmitted or stored, making it nearly impossible for that data to be stolen. When a consumer logs into their online account or makes a payment on an app, they can choose what virtual card they want to use. This is because associates can often have up to 6 virtual cards at one time, aiming to further streamline their budgeting strategies. Subsequently, not only are virtual cards straightforward, they also give the customer much more control in terms of their security and the option to tailor their card details to ensure that in the impossibly event of a cyber breach, no financial data can be compromised.

3. Security features of Pyypl Virtual Cards

Pyypl virtual card is far more secure than physical plastic cards, or indeed most other virtual card services currently available. At the center of its security measures is an extremely sophisticated data encryption technology. This encryption process makes obvious the difference between virtual and physical cards. When a user makes a transaction using a Pyypl virtual card, the encryption is said to “scramble” the card’s data. In simple terms, this means that the data is turned from a clear and understandable set of numbers into an incomprehensible mess without any apparent order to it. The result is that the data is effectively indecipherable to hackers. Even if data is intercepted between the user’s device and the online retailer, it would be of no use as the hackers would be unable to make any sense of the data. By comparison, when a transaction is made using the details on a physical card, the data is not encrypted at the point of the transaction and is therefore exposed when it is typed into a webpage or an electronic terminal. In terms of the user experience, the encryption process is said to be entirely automatic and does not require the user to generate keys or perform any additional security functions. This means that Pyypl virtual card transactions are just as fast and convenient as transactions with a physical card.

3.1. Encryption and secure transactions

Calculations and innovation in the field of encryption technology mean that transactions, as standard to the Pyypl virtual card security, are encrypted and protected with the latest, most secure methods of defense.

When information is being transmitted between a card or account provider, a merchant, and the customer, it is crucial that the details exchanged remain secure and are not vulnerable to interception – particularly if it is financial information such as account numbers, sort codes, and personal details. This process combines both the protection of user information from dissemination and attack. By preventing unauthorized parties from gaining access to details, fraudulent activities are curtailed and give users peace of mind when they make a transaction, knowing that their data maintain secure throughout the process.

Included in the security features of Pyypl virtual cards, encryption is widely used for two main purposes. In the first instance, it is used to obscure information to ensure that unauthorized parties cannot access or misuse it. It is also used to protect sensitive data – known as cryptographic data – that is accessed by authorized users; people who have the right to see that information. This is achieved through the aforementioned method of encryption, which translates data into another ‘language’, so that even if someone was able to access it without authorization, they would be faced with what appears to be a string of random characters rather than anything potentially meaningful.

3.2. Fraud protection measures

After the transaction has passed all the checks and validation in the second level, the transaction request is sent for processing. However, the system will verify if the card has been reported as lost or stolen or the card has been terminated before carrying out the transaction. If any of the foregoing is true, the transaction will not be processed. The transaction can only be processed if all the reviewing steps are passed and the user will obtain a successful transaction message which will contain a unique authorization code for the successful transaction. The transaction will be updated in the transaction history immediately after the successful transaction message is received by the user.

Firstly, the details on the transaction request such as the recipient, the amount, and the currency are verified. If all the mandatory information in the transaction is missing, the transaction will not be processed. When all mandatory information provided in the transaction, the request is passed through the second level check. In the second level checks, Pyypl Virtual Card system validates if the card is active and if the details are in correct format. The Card Validation Code (CVC), which is a security feature, is utilized in these checks. If the details on the transaction request are not in correct format or if the transaction amount is $1000 and above and is not carried out in the card currency, the transaction will not be processed.

In order to minimize unauthorized transactions and to help our customers protect their Pyypl Virtual Cards, Pyypl has put in place a number of fraud protection measures. Whenever a Pyypl Virtual Cardholder tries to perform a transaction, information carried in the transaction request must pass checks and validations in various stages before it can be processed.

3.3. Card blocking and replacement options

When a virtual card from Pyypl is lost or stolen, the customer can immediately block the card. This can be done through the website and means that the card can no longer be used to make any payments. For temporary security, a customer can also “freeze” a card. This can be done if the customer believes that the card might be found and therefore wishes to be able to unblock it later. No further payments can be made from a frozen card, but once it has been found again, the customer can unblock it so that it can be used once more. Should something happen to a card, a customer can easily have a replacement produced for them. By following the link to “order a replacement card,” they are able to fill out an online form to provide details of the request. Once this has been submitted, the replacement card will typically be delivered within 3-5 working days. This gives the customer a convenient, hassle-free option for dealing with lost or stolen cards, ensuring that they continue to have access to their funds as quickly as possible.

4. Convenience and flexibility of Pyypl Virtual Cards

Pyypl virtual cards can be used wherever major card types are accepted. This means you can pay with a Pyypl virtual card wherever Visa, Mastercard or American Express is accepted. You can also use Pyypl virtual cards for recurring payments, such as subscriptions. Since Pyypl virtual cards are digital, new cards can be created within seconds. This means if you suspect that a card has been compromised, you can delete it and create a new one immediately. Pyypl virtual cards offer currency conversion that is based on real-time exchange rates, with no additional fees. You can make a past purchase before you have received a physical payment card. However, for some merchants, Pyypl may need to complete additional security checks before a card is fully activated for making payments. Pyypl virtual cards provide real-time transaction notifications, so you can check what has been paid from your virtual cards and monitor your expenses easily. There’s also a transaction hub that displays reports of every expenditure. This means you can trace any transaction and check what funds have been used. Thanks to the transaction hub, you can keep on top of your finances from what’s displayed in your virtual card account. Also, should a card ever be compromised, it’s easy to see what transactions have been made. Pyypl virtual cards offer prepaid transactional cards which can be used for all purchase types. You can set temporary spending limits for better control on business spending and purchase larger amounts for travel expenses or team events. Also, with the option to have regular updates on the sum of money being spent, this makes it easy to budget for all company spending. The 16-digit number for the prepaid card will be displayed on the virtual card in the purchases page, making it easier to keep track of what funds have been used.

4.1. Easy card management through mobile app

Thanks to the partnership with a French tech start-up, the Pyypl virtual cards are optimized for easy management through its dedicated mobile app. By downloading the Pyypl mobile app on the Apple App Store or Google Play Store, users can sign up for a virtual card in just a few minutes, and even retrieve card details without having to log in to the website. After the set-up, the physical card is completely disconnected from the virtual card in every way. For each online purchase, users can open the mobile app and within seconds generate a new card number, along with expiry date and security code. This is such a helpful feature especially when the users are dealing with unfamiliar online sellers, where there is a risk of card number being compromised. Other features included in the app which ease the card management are transaction overview, where users can keep track of their purchases and payments; freezing and unfreezing cards, if the users suspect their card has been used without their consent; and access to PIN number, so that users can quickly check their digits without having to retrieve the physical card. The mobile app has been praised in the FinTech industry, being awarded the winner of the ‘Best Debut Innovation’ category by the Emerging Payments Award 2015 and being nominated as finalists in 2016. The Pyypl physical card only allows 18 partial changes on the security code before it locks the card, which the customer may have to pay for a replacement. On the other hand, changes on the virtual card’s security code are unlimited. This feature is very important in order to maximize protection against fraud.

4.2. Global acceptance and currency conversion

Naturally, central to any payment solution is its acceptance. Pyypl Virtual Cards are Visa-accepted, meaning that it can be used in 200 countries across the globe. With 25 million sellers across the world accepting Visa card payments, this means that Pyypl Virtual Cards can be used in just about any country that you can think of. And with Dynamic Currency Conversion (DCC) supported, you will have the ability to use Pyypl Virtual Cards in 120 different currencies, without incurring any transaction fees or having to carry out currency conversion at your local bank. This is because DCC will automatically convert the transaction amount to your chosen currency, at a competitive exchange rate, providing you with greater control and transparency of your spending. So if you are shopping in France or even travelling to somewhere like Lithuania (where it’s not really common for some merchants to accept other currency payments), using a Pyypl Virtual Card to benefit from DCC will both save you money and make your experience more convenient. Also, the ability to convert different currencies using our card opens up the possibility of benefiting from Flash Sales or promotions internationally – for example, in Europe – that you may not be able to in your own country. This makes the proposition of a Pyypl Virtual Card very attractive for those that are looking to make online purchases or go travelling abroad. Oh and before I forget, if you’re a frequent traveller, using Pyypl Virtual Cards can also protect yourself from fraud and unnecessary liability. Security is always crucial when it comes to buying items online, and the procedure of using Pyypl Virtual Cards ensures that your data is handled safely during purchases.

4.3. Real-time transaction notifications

Real-time transaction notifications provide a very important security layer for Pyypl Virtual Card users. Every time a payment is done, the user receives a notification in real-time showing the amount of money and the place where the transaction took place. This way, you remain informed in case there is an unauthorized transaction being performed using your card details. Combining the real-time notifications and the option to freeze and unfreeze the card, you can effectively minimize the financial damage in case of stolen card or card details. This is something absolutely fantastic and exclusive to virtual cards. In contrast, if I use my physical credit or debit cards, the transaction history is usually updated after a few days or even a week. Fraudulent activities can happen within quite a long time and charges can be made before I even realize I am in trouble. But if every transaction is being alerted to me in real-time like in Pyypl Virtual Cards, there is simply no time-window for any unlawful activities. In addition, being provided with real-time transaction notifications will educate the users the process of making a payment from their card, which is a very useful experience, especially for the youngsters. Minor features of these real-time notifications will also help to make their routines more efficient. By knowing the account balance at all times, development of overdrawn situation will be mitigated. The parents can also transfer money effectively and the children can learn what it is like to budget their own money. By providing and sharing these benefits to the users, it is likely that they will be more adaptable and acceptable to the new virtual card system, which is definitely better for both the provider and the users.

4.4. Budgeting and expense tracking tools

When you use a Pyypl virtual card, such as the physical or virtual cards offered by Pyypl in the UAE, you can benefit from the use of certain budgeting and expense tracking tools that have been integrated with the card. For example, you can use the Pyypl app to receive detailed breakdowns of your spending by category, be it shopping, dining, or travel, which can help you to identify where you may be able to make potential savings. Also, by being able to set daily, weekly or monthly spend limits through the app or by receiving optional low balance alerts, this can help you to regain some control over your finances and prevent the risk of unnecessary overspending which may, in turn, allow you to better plan for the future. Admittedly, some of these tools may already be becoming standard for other types of bank cards. However, by making use of these features and others, which are in line with modern-day personal financial management best practices, you as a cardholder of a Pyypl virtual card can enjoy the benefits of efficient money management that a lot of traditional cards may not be able to provide. Overall, such tools give you a higher level of control over your spending than may be possible with other types of bank cards and therefore provide a great advantage for you when you choose to pay with a Pyypl virtual card, whether for a one-off purchase in a shop or when making an online payment to a retailer overseas.