In an increasingly digital world, virtual cards have become a game-changer for both personal and business transactions. Whether you're shopping online, managing your company's expenses, or running ad campaigns, understanding how virtual cards work and their benefits can help you make more secure, efficient, and controlled payments.

In this beginner’s guide, we’ll explain what virtual cards are, how they work, the benefits they offer, and how they can be a valuable tool for businesses, marketers, and even individuals managing everyday expenses.

Virtual Card Basics

When you get a virtual card, you get a digital version of a traditional credit or debit card. Just like a physical card, it has a unique card number, expiration date, and CVV code, but unlike a traditional card, it exists only in electronic form. This makes virtual cards ideal for online shopping, subscription management, and various business applications.

Virtual cards are issued by financial institutions or fintech companies (just like Elibrium) and are often linked to an existing bank account or credit line. You can generate them instantly, set custom spending limits, and use them for specific purposes, such as online purchases, SaaS subscriptions, or even for ad spending on platforms like Google or Facebook.

There are several types of virtual cards:

• Single-use virtual cards: These are designed for one-time transactions, offering extra security for online shopping.
  
  

• Multi-use virtual cards: These are reusable and can be used for ongoing expenses, such as subscription management or recurring payments.
  
  

• Corporate virtual cards: These are designed for businesses to control spending across multiple teams, projects, or departments.

How Do Virtual Cards Work?

Virtual cards work similarly to physical credit or debit cards but are entirely digital. When you request a virtual card, the issuer generates a unique card number, along with an expiration date and CVV code, which you can use for online purchases or any other digital transaction.

The technology behind virtual cards is built on standard payment networks like Visa and MasterCard, meaning they are accepted wherever these cards are supported. You can use virtual cards for transactions just like physical ones, but without the risk of losing a physical card or exposing it to theft.

Once issued, you can set a spending limit, restrict where the card can be used (e.g., only for ad spend or subscriptions), and even track real-time transactions through the issuer’s dashboard.

Key Benefits of Virtual Cards

1. Security

Virtual cards provide an extra layer of protection for both individuals and businesses. For the latter, virtual cards help minimize identity theft and credit card fraud, ensuring that each team member only has access to the funds they need.

2. Control

When it comes to managing business expenses, virtual cards are a game-changer. Businesses can issue individual cards for specific purposes—whether it's for advertising spend (like Google or Facebook Ads), travel expenses, or SaaS subscriptions. Each card can have its own spending limit, and transactions are easily tracked in real-time, offering greater control over ad spend and preventing any unauthorized purchases.

3. Flexibility

For startups, SMBs, and remote teams, virtual cards provide flexibility like no other payment method. You can issue multiple cards under one account, each with different limits and specific usage purposes. Whether you're handling subscriptions for tools like Slack, Zoom, and Spotify, or managing expenses for marketing campaigns, virtual cards for SaaS subscriptions can streamline payment processing and reduce unnecessary costs.

4. Efficiency

Setting up virtual cards is fast—most cards can be generated in just a few minutes. For remote teams, virtual cards are an excellent way to simplify global payments, as they can be issued in multiple currencies and used internationally. Plus, since virtual cards don't require physical cards to be shipped, employees and contractors can start using them almost immediately.

Virtual Cards vs. Physical Cards

When deciding between a virtual and a physical card, it’s essential to understand the differences. Virtual cards are ideal for online shopping, subscription management, and remote team payments, while physical cards are more suitable for in-person transactions or withdrawals from ATMs.

Virtual cards have distinct advantages for specific use cases:

• Security: With virtual cards, all your information is stored in a bank, so there will be no fraud..
  
  

• Convenience: You can issue and use them instantly, making them ideal for temporary expenses or specific projects.
  
  

• Control: Set unique limits and restrictions to ensure the card is used only for its intended purpose (for example, only for ad services).

On the other hand, physical cards remain necessary for situations where you need to make in-person purchases, withdraw cash, or visit ATMs.

Who Uses Virtual Cards in 2025?

1. Individuals

For personal use, virtual cards offer greater security for online shopping, control over subscription payments (like Netflix, Spotify, and Amazon), and even the ability to manage travel expenses more effectively. As digital payments continue to rise, virtual cards are becoming a standard tool for everyday online transactions.

2. Startups and SMBs

For startups and small businesses, virtual cards are essential for expense management. With virtual cards for SaaS subscriptions, businesses can keep track of their software expenses, avoid paying for unused tools, and ensure all payments are accounted for. Many startups also use virtual cards for ad spend on platforms like Facebook Ads and Google Ads, allowing them to easily set limits and track costs.

Mini Case: One marketing agency fully met its needs through Elibrium API integration, which proved to be much more efficient for managing their marketing campaigns. By using our virtual cards for ad services, they benefit from unlimited virtual card issuance, easy top-ups, a user-friendly interface, and a seamless integration flow that simplified their daily operations.

3. CFOs and Finance Teams

CFOs use virtual cards to streamline business expenses, reduce overhead, and improve cash flow control. Virtual cards give finance teams real-time visibility into spending and enable them to set budgets for departments or projects, providing clear financial oversight. ,

How to Get a Virtual Card in Elibrium

At Elibrium, we focus exclusively on B2B clients. Each company goes through a quick boarding and KYB verification process to ensure compliance and secure account setup.

On average, registration takes 1–2 business days, provided that all company documents are in order. Once verified, clients gain access to their business dashboard, where they can issue virtual cards, set spending limits, and start managing payments for ads, SaaS subscriptions, or travel expenses.

For a detailed overview of each step, visit our full guide:
👉 KYB Onboarding for B2B Clients

Conclusion

Virtual cards are revolutionizing the way we handle payments, offering unmatched security, control, and convenience. Whether you're an individual looking to protect your personal information or a business looking for efficient expense management and advertising spend control, virtual cards are the solution for 2025 and beyond.

Start using virtual cards today and experience the ease of managing payments with enhanced security and real-time control. Try Elibrium Virtual Cards to see how they can help optimize your business expenses and streamline payments for your remote teams and SaaS subscriptions.