Instant Approval Virtual Credit Cards of February 2023

What is a virtual credit card?

A virtual credit card is a credit card to which the cardholder has instant access immediately after receiving approval from the credit card issuer. Such a credit card has all the same details and features as a traditional card in physical form, but to get a virtual card, the borrower does not need to wait for the card to be delivered to their home. The cardholder can add a virtual card to any digital wallet, such as Samsung Pay, Google Pay, or Apple Pay, and pay in stores. Many such cards can also be obtained in physical form if the borrower makes such a request.

Pros and cons of virtual credit cards

Pros

• Increased protection against fraud and theft. A virtual credit card allows the borrower not to have a standard card in physical form. A thief will not be able to steal such a card from the borrower's wallet. Moreover, if a hacking attempt is made, the cardholder can block it with one button, change the credit card number or even reissue a new card in a few clicks. Such a card is also very secure because only a person who knows the password can get access to the mobile application to configure the card.
• The ability to customize a credit card. The cardholder can not only choose its external design but also change the PIN code or card number in the mobile application in a few clicks. Changing the PIN code allows the borrower to stop the withdrawal of money from their card by a thief. Changing the card number helps in paying with a card in services that have automatic withdrawal of money for a subscription. The cardholder subscribes for the first time by entering the primary card number, and when the service tries to withdraw money for the subscription again and renew it, the card number will be different.
• Profitable rewards, bonuses, and perks. Many instant approval virtual credit cards offer cash rewards, sign-up bonuses, and various perks to holders for using the card. Usually, such cards have from 1% to 2% cash back on purchases in all categories and can have up to 6% cash back on purchases in eligible categories. Such categories can be gas stations, grocery stores, entertainment purchases, restaurant purchases, and others. Sign-up bonuses usually include cash rewards for a certain amount spent within a few months after account opening.

Cons

• Payment without a physical card is not always available. Not all brick-and-mortar stores have payment terminals that accept payments from digital wallets. The borrower needs to take this fact into account when receiving such a credit card. The way out of this situation may be to order a standard card in physical form, but this requires a fee payment and deprives the cardholder of some of the advantages of a virtual card.
• The cardholder may have problems when booking a hotel or car for rent. If the cardholder uses a change of card number, some of their reservations may be canceled because for booking a hotel or car for rent in advance, the card is checked for funds. Moreover, some hotels and car rentals do not accept virtual credit cards themselves, just because some holders of such cards change card numbers in order not to pay for the reservation made.

Types of virtual credit cards

1. Business credit cards are used by business owners to finance businesses of any size. Such credit cards can help a business owner monitor business-related expenses separately from personal expenses and keep financial records more accurately. Moreover, such cards often have perks useful for businesses and can help in building a credit profile for future loans.
2. Co-branded credit cards are issued jointly by two parties. The first party is a bank or other financial institution that ensures the card's operability from the point of view of the banking system. The second party is a company or brand that adds perks or bonuses associated with this brand to the credit card. Most often, retail stores such as Amazon act as the second party. From here, these cards have discounts and promotional offers for online retail purchases.
3. Cash-back credit cards offer holders of such cards the ability to receive cash rewards with each purchase. The percentage of cash-back is small, but the main advantage of such cards is that rewards are returned in the form of real dollars and not any points. Usually, such cards have from 1% to 2% cash back on purchases in all categories. The most profitable cash-back credit cards may offer increased cash back on eligible purchases in some bonus categories. Moreover, categories with increased cash-back may change every 3 months.
4. Travel credit cards are created specifically for travelers. All sign-up bonuses, rewards, and perks in such cards are applicable only for spending in the travel category. Often, such credit cards offer cardholders to receive rewards in the form of miles that they can use to purchase discounted airline tickets. Credit cards for travelers may have a reduced foreign transaction fee. As perks, travel credit card companies offer discounts on paying for hotels, paying for rental cars, or additional free luggage.
5. Secured credit cards, as well as unsecured credit cards, have a credit line. However, the maximum amount that the cardholder can withdraw from the credit line depends on the security deposit that the borrower deposits. Without making a deposit, the borrower will not be able to use a secured credit card. This card is great for borrowers with bad credit but a stable source of income. If the borrower has a low credit score, then most likely, they will be refused if they apply to open an unsecured credit card.
6. Rewards credit cards have a rewards program that awards the cardholder a reward in the form of points. The cardholder can later use these points to receive discount offers in certain spending categories. Rewards cards are different depending on the category of spending in which they offer rewards. For example, some of these cards may offer rewards in the restaurant's category, while others encourage everyday spending habits.

What banks give instant approvals on credit cards?

American Express Bank offers instant credit cards the most. Among the bank's loan offers can be found such instant approval credit cards as:

• Blue Cash Preferred®
• Blue Cash Everyday®
• Green Card®
• Delta SkyMiles Gold®
• Hilton Honors Aspire Card.

Blue Cash Preferred® Card and Blue Cash Everyday® Card are cash-back cards and offer up to 6% cash back on various categories of spending. For example, these cards allow the holder to have 1% cash back on all purchases and 6% cash back on streaming subscriptions in US services. Both of these cards also have an intro APR period during which the borrower has 0% APR on purchases and balance transfers.

The American Express® Green Card is a rewards card and has a sign-up bonus in the form of 40,000 points, provided that the cardholder spends $2,000 within 6 months after the account opening.

Delta SkyMiles® from American Express is a travel credit card that offers a $0 foreign transaction fee and a free checked bag, and priority boarding on Delta flights.

The Hilton Honors Aspire Card from American Express has many perks for those who choose Hilton hotels and also has up to $600 in statement credit.

The Walmart Rewards Card from Capital One allows the cardholder to receive 5% cash back at Walmart stores in the first 12 months of using the card. This card does not have an annual fee. The holder of such a card has 2% cash back in the restaurant category and the travel category, as well as in Walmart & Murphy USA fuel stations. Such a card from Capital One also offers 1% cash back on all purchases in stores that accept payment via Mastercard. The holder of such a card has access to a convenient mobile application in which they can pay bills and block the card in case of theft.

How to get instant approval on a virtual credit card?

To get instant approval for a credit card, a potential borrower must meet certain requirements.

• The borrower must have a stable source of income. The borrower's debt-to-income ratio should not be higher than 45%. Employment or self-employment is best suited for opening a credit card, but dividends and income from alimony may also be suitable. To confirm the borrower's income, the credit card company may ask you to download pay stubs, W-2s, tax returns, or bank statements.
• To be qualified for instant approval, the borrower must have a good or excellent loan. The minimum credit score is 650, but most credit card issuers have a minimum requirement of 670-700 credit score.
• The borrower is advised not to apply for any type of loan too often. Usually, lenders trust potential borrowers less in the credit history of which there are several hard inquiries made in a short time.

Ways to use an instant approval virtual credit card

Instant approval credit cards are suitable for all the same purchases as the traditional physical credit card.

With this card, the borrower can make an online purchase since such a card offers immediate access to the card details that the holder can enter on any website.

The borrower can add this credit card to the digital wallet on the mobile device to make in-store purchases. However, they should carefully study which stores support this payment method.

In general, currently, most shops, gas stations, restaurants, and other establishments have long supported all known payment methods.