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How Does A Virtual Visa Card Work & How To Choose A Provider

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Virtual Visa Card

If you have recently become curious about the idea of virtual visa cards, then there is a chance that you have a reason to not only learn about these but also start using them.

You might be running an e-commerce company and you might have realized that the benefits of using these virtual financial tools are large and that your business definitely needs them. Or, you might simply be curious about how all of this works without having any actual intentions of using the solution.

Well, whatever your case may be, I am sure that you could largely benefit from a credit card with virtual number, which just means that you might get quite interested in using these tools after learning about them, even if you don’t have any intentions of doing it right now.

The fact that you are here tells me that you are interested in these instruments and solutions, which is why I don’t buy the idea that you are just curious and that you have no intentions of actually using the tools. After all, you are showing interest and that immediately means that there are some intentions, no matter how deeply buried they might be right now.

I am not here, however, to dissect your mind and try to figure out why it is that you are interested in learning about these instruments because that is practically irrelevant to me. I would, however, urge you to think about those reasons and intentions you have all on your own because that might reveal a few things to you.

Most likely, it will reveal that you are subconsciously rather drawn to these cards and that you are aware of how beneficial it can be for you. As previously said, though, I’m not here to take wild guesses regarding that.

What I am here for is this. I will help you understand precisely how a virtual visa card works, which will lead you towards getting a completely clear picture of it all and thus decide if you want to use this option, or if you would like to continue ignoring it. It is especially important for digital company owners to read about these solutions because they are the ones who benefit the most from these virtual visa cards.

In any case, as I am quite sure that you will become even more interested in using these once you realize how they work, I will do one more important thing for you. In short, I will tell you a bit more about how you should go about choosing the right provider for you, because there are certainly various different companies out there ready to offer you their virtual cards, and you cannot just randomly pick out one of those. Well, yes you can, but that’s not quite wise. Anyway, let us take things one step at a time.

Here’s a comprehensive explanation of virtual cards: https://money.usnews.com/credit-cards/articles/virtual-credit-cards-explained

Virtual Visa Card works

How It All Works

Since we will be taking things one step at a time, it is only logical for us to begin with the step of showing you how all of this actually works, since you cannot go any deeper into the topic if you still don’t know this. I know that it might all sound a bit confusing and puzzling in the beginning, especially if you have never had the chance to listen to anyone who knows their way around these virtual instruments, but here’s the thing. It is all actually pretty simple. You just need to go through the initial stage of confusion and do your learning, which is when you’ll realize the simplicity of it all.

So, a virtual visa card is basically a set of numbers that are generated completely randomly and that represent your visa or your bank account. While you can use these random numbers to complete online transactions, the good thing is that thieves cannot use them in order to breach your account and basically get your personal information and your money. The random numbers that you will use, for example, today to complete certain transactions will automatically get reset after the transactions have been done, which further makes it impossible for those thieves to steal your information.

The explanation above has probably helped you realize that these virtual options are much safer than the traditional ones that we are all used to. Well, that is precisely why businesses are increasingly turning towards using them in their daily online operations. That is also why I previously mentioned that digital company owners will largely benefit not only from learning about these cards but also from starting to use them. Read more about those benefits.

Given the popularity of these virtual options, there is talk that they will actually become a must for businesses in the future. Even if that does not happen to be the case, every single company owner who starts using them will swiftly become aware of their importance, because they provide better security, and security is the one thing that businesses should never lose sight of. So, it might be a wise idea for you to swiftly start transitioning towards this particular solution, as it can be much safer for your business.

Virtual Visa Card works1

You probably have a better understanding of how all of this works right now, but there is a small chance that you need some further explanations, so let me provide those for you. Basically, this virtual visa card represents your specific account, but it is actually nothing but a set of random numbers and, of course, a CVV code that will be instantly generated for you. So, you can use it just like you would use your traditional card and there is no waiting period here. In other words, you can start completing transactions the moment you generate those numbers I’ve mentioned.

If you’re not sure how this functions money-wise, let me explain that as well. When you make a transaction with this virtual instrument, the actual cost will be routed back to your underlying account, i.e. the one that is linked to the random set of numbers that you’ve received, meaning that you’ll easily get charged for whatever it is that you have bought. After you’ve completed the purchasing process, the automatically generated number will just as automatically expire, which brings us back to the fact that those numbers are practically useless to potential thieves that might try to steal your information and your money.

Since these cards are not made from plastic given that they are, well, virtual, you can only use them for online transactions. So, if you were planning on giving these random numbers to brick and mortar stores when doing your shopping, you should know that this is impossible. Those stores aren’t equipped to accept virtual cards, but the Internet very well is, meaning that you can easily use them to make online purchases from any suppliers and merchants that accept visa cards in general. Given that we’re all shifting to online shopping in general, I’d say this is enough.

Virtual Visa

How To Choose A Provider

Now that you comprehend what virtual cards can do for your business, you are most likely interested in starting to use them. In order to do that, though, you will need to find the perfect provider that will offer you these specific services. Once you begin your online research, because you’ll definitely use the Internet to search for these providers, you will probably get surprised by the number of companies that operate in this line of work. So, the fact that there are so many different providers out there will just make your decision on which one to work with much more difficult.

I get the fact that you might be overwhelmed with all the different options and the choice you have to make, but here’s what you should know. As long as you put some effort into it, you will, without a doubt, manage to make the best possible choice and start working with the perfect provider of these virtual visa cards. Of course, you need to know what it is that you should keep in mind while doing the research and while putting the effort into making this choice, and that’s what I’ll help you out with.

First of all, you should always check the experience of these firms, because the idea of working with amateurs who are just starting out on the market is probably not appealing to you. I am not saying that you should never give new companies a chance, but you would need to be absolutely sure that the new company is legit and capable of providing you with the best services if you decided to give it a chance. This is why going for those more experienced firms is actually a better move because it provides you with a sense of security right away.

There is one thing, however, that is much more important than experience and that you should never take for granted. All of these providers will have built a certain reputation over time and that reputation will be the result of the way they have operated in the market, i.e. of their success or their lack of success. You can check their success and their reputation by learning what other clients have to say about their specific services, meaning that you should read some online reviews before making a choice. Of course, apart from all of this, you should also check the fees offered by these providers, so as to be sure that you are making the smartest choice.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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Economy

FAAC Disburses 1.727trn to FG, States Local Councils in December 2024

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faac allocation

By Modupe Gbadeyanka

The federal government, the 36 states of the federation and the 774 local government areas have received N1.727 trillion from the Federal Accounts Allocation Committee (FAAC) for December 2024.

The funds were disbursed to the three tiers of government from the revenue generated by the nation in November 2024.

At the December meeting of FAAC held in Abuja, it was stated that the amount distributed comprised distributable statutory revenue of N455.354 billion, distributable Value Added Tax (VAT) revenue of N585.700 billion, Electronic Money Transfer Levy (EMTL) revenue of N15.046 billion and Exchange Difference revenue of N671.392 billion.

According to a statement signed on Friday by the Director of Press and Public Relations for FAAC, Mr Bawa Mokwa, the money generated last month was about N3.143 trillion, with N103.307 billion used for cost of collection and N1.312 trillion for transfers, interventions and refunds.

It was disclosed that gross statutory revenue of N1.827 trillion was received compared with the N1.336 trillion recorded a month earlier.

The statement said gross revenue of N628.972 billion was available from VAT versus N668.291 billion in the preceding month.

The organisation stated that last month, oil and gas royalty and CET levies recorded significant increases, while excise duty, VAT, import duty, Petroleum Profit Tax (PPT), Companies Income Tax (CIT) and EMTL decreased considerably.

As for the sharing, FAAC disclosed that from the N1.727 trillion, the central government got N581.856 billion, the states received N549.792 billion, the councils took N402.553 billion, while the benefiting states got N193.291 billion as 13 per cent derivation revenue.

From the N585.700 billion VAT earnings, the national government got N87.855 billion, the states received N292.850 billion and the local councils were given N204.995 billion.

Also, from the N455.354 billion distributable statutory revenue, the federal government was given N175.690 billion, the states got N89.113 billion, the local governments had N68.702 billion, and the benefiting states received N121.849 billion as 13 per cent derivation revenue.

In addition, from the N15.046 billion EMTL revenue, FAAC shared N2.257 billion to the federal government, disbursed N7.523 billion to the states and transferred N5.266 billion to the local councils.

Further, from the N671.392 billion Exchange Difference earnings, it gave central government N316.054 billion, the states N160.306 billion, the local government areas N123.590 billion, and the oil-producing states N71.442 billion as 13 per cent derivation revenue.

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Economy

Okitipupa Plc, Two Others Lift Unlisted Securities Market by 0.65%

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Okitipupa Plc

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange recorded a 0.65 per cent gain on Friday, December 13, boosted by three equities admitted on the trading platform.

On the last trading session of the week, Okitipupa Plc appreciated by N2.70 to settle at N29.74 per share versus Thursday’s closing price of N27.04 per share, FrieslandCampina Wamco Nigeria Plc added N2.49 to end the session at N42.85 per unit compared with the previous day’s N40.36 per unit, and Afriland Properties Plc gained 50 Kobo to close at N16.30 per share, in contrast to the preceding session’s N15.80 per share.

Consequently, the market capitalisation added N6.89 billion to settle at N1.062 trillion compared with the preceding day’s N1.055 trillion and the NASD Unlisted Security Index (NSI) gained 19.66 points to wrap the session at 3,032.16 points compared with 3,012.50 points recorded in the previous session.

Yesterday, the volume of securities traded by investors increased by 171.6 per cent to 1.2 million units from the 447,905 units recorded a day earlier, but the value of shares traded by the market participants declined by 19.3 per cent to N2.4 million from the N3.02 million achieved a day earlier, and the number of deals went down by 14.3 per cent to 18 deals from 21 deals.

At the close of business, Geo-Fluids Plc was the most active stock by volume on a year-to-date basis with a turnover of 1.7 billion units worth N3.9 billion, followed by Okitipupa Plc with the sale of 752.2 million units valued at N7.8 billion, and Afriland Properties Plc with 297.3 million units sold for N5.3 million.

In the same vein, Aradel Holdings Plc remained the most active stock by value on a year-to-date basis with the sale of 108.7 million units for N89.2 billion, trailed by Okitipupa Plc with 752.2 million units valued at N7.8 billion, and Afriland Properties Plc with a turnover of 297.3 million units worth N5.3 billion.

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Economy

Naira Trades N1,533/$1 at Official Market, N1,650/$1 at Parallel Market

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Naira at P2P Market

By Adedapo Adesanya

The Naira appreciated further against the United States Dollar at the Nigerian Autonomous Foreign Exchange Market (NAFEM) by N1.50 or 0.09 per cent to close at N1,533.00/$1  on Friday, December 13 versus the N1,534.50/$1 it was transacted on Thursday.

The local currency has continued to benefit from the Electronic Foreign Exchange Matching System (EFEMS) introduced by the Central Bank of Nigeria (CBN) this month.

The implementation of the forex system comes with diverse implications for all segments of the financial markets that deal with FX, including the rebound in the value of the Naira across markets.

The system instantly reflects data on all FX transactions conducted in the interbank market and approved by the CBN.

Market analysts say the publication of real-time prices and buy-sell orders data from this system has lent support to the Naira in the official market and tackled speculation.

In the official market yesterday, the domestic currency improved its value against the Pound Sterling by N12.58 to wrap the session at N1,942.19/£1 compared with the previous day’s N1,954.77/£1 and against the Euro, it gained N2.44 to close at N1,612.85/€1 versus Thursday’s closing price of N1,610.41/€1.

At the black market, the Nigerian Naira appreciated against the greenback on Friday by N30 to sell for N1,650/$1 compared with the preceding session’s value of N1,680/$1.

Meanwhile, the cryptocurrency market was largely positive as investors banked on recent signals, including fresh support from US President-elect, Mr Donald Trump, as well as interest rate cuts by the European Central Bank (ECB).

Ripple (XRP) added 7.3 per cent to sell at $2.49, Binance Coin (BNB) rose by 3.5 per cent to $728.28, Cardano (ADA) expanded by 2.4 per cent to trade at $1.11, Litecoin (LTC) increased by 2.3 per cent to $122.56, Bitcoin (BTC) gained 1.9 per cent to settle at $101,766.17, Dogecoin (DOGE) jumped by 1.2 per cent to $0.4064, Solana (SOL) soared by 0.7 per cent to $226.15 and Ethereum (ETH) advanced by 0.6 per cent to $3,925.35, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 each.

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