ReVault
FR

What is a virtual card and how does it work in Canada?

A virtual card gives you payment details digitally for online purchases and, where supported, a mobile wallet. It may draw from a prepaid balance, a bank account, or a credit account. Some providers give it a number separate from the physical card, with its own controls; others provide a digital version of an existing card.

Published by · Last updated · 5 min read

How a virtual card actually works

A provider makes card details available in its app or website. At a supported checkout, you enter those details as you would a physical card. The funding source, acceptance, refunds and dispute process follow the particular card program.

The useful distinction is whether the provider gives you a separate number and lets you manage it independently. Some programs support multiple numbers for different merchants or purposes; others offer one virtual card linked to your account. Check the program's controls and acceptance before relying on either model.

Controls to look for

  • Multiple card numbers, so different merchants or purchases can use different credentials.
  • Independent closure or replacement, so changing one virtual number need not affect your physical card.
  • Per-card spending limits, with clearly explained authorization rules and exceptions.
  • Single-use cards, with clear rules on when they close and how adjustments or refunds work. These controls are provider-specific.

Who offers virtual cards in Canada?

Canadian offers are not all the same. RBC Virtual Visa Debit is a debit number tied to an eligible RBC account. KOHO and Wealthsimple each offer a virtual card with a number separate from the physical one, but it is still tied to the same account and balance.

Dedicated virtual card platforms are built around multiple numbers and rules. Privacy.com is the best known example, but it is for US customers: it requires an eligible US checking account, a US phone number, identity credentials, and a US residential address. ReVault is built for Canadians who want that kind of control.

When should you use a virtual card instead of your real one?

  • Subscriptions. Cancel with the merchant first. A separate card can limit exposure, but closing or replacing a card is not a reliable substitute for ending the subscription.
  • Free trials. A single-use card may limit later use, but cancel with the merchant before the trial ends if you do not want the subscription.
  • Stores you are buying from once. A merchant-locked card means a one-time purchase does not leave your permanent card number sitting in someone's database forever.
  • Unfamiliar stores. Check the merchant before paying. Card controls cannot guarantee delivery or make a fraudulent checkout trustworthy.

What a virtual card does not do

Virtual does not mean anonymous. Account-linked providers collect identity and account information under their terms. Read the privacy policy to understand what the provider and merchant receive.

It does not protect against a merchant you deliberately paid taking your money and not delivering. That is a dispute, and it works the same on a virtual card as on a physical one.

It does not help with in-person payments in most cases. Virtual cards are an online and in-app instrument, though many can be added to a mobile wallet for tap payments.

Related questions

  • Is a virtual card the same as a digital wallet card?

    No. A digital wallet like Apple Pay uses a token for a supported card on your device. A virtual card gives you card details digitally. It may have a separate number and independent controls, depending on the provider, and may also be added to a wallet.

  • Can I use a virtual card in a physical store?

    Usually only by adding it to a mobile wallet and tapping your phone. Virtual cards are designed for online and in-app checkouts. If a merchant needs to swipe or insert a card, you need the physical one.

  • Do virtual cards expire?

    Yes, they carry an expiry date like any other card. Some programs also offer single-use cards, while others let you close a virtual number yourself. Ask the issuer how it handles refunds before relying on a closed or single-use card for a purchase.

  • Does a virtual card cost money in Canada?

    It depends on the provider. A bank or prepaid virtual card may be included with an account, while dedicated services can charge for additional controls. ReVault is pre-launch, so its final card program and pricing will be confirmed before cards are available.

Sources and scope

This guide is published by ReVault, which develops a virtual-card platform for Canada. The sources below explain the examples and procedures discussed; controls, protections and refunds depend on each card program.

Every dollar gets a mission

ReVault is pre-launch in Canada. The waitlist is free and invitations go out in order.

Join the waitlist

Keep reading