Using virtual cards for subscriptions and free trials

These days, the majority of companies selling products and services to customers offer some kind of subscription service—nearly 75% of companies, in fact, according to research from Harvard Business School. And that figure is only expected to grow. 

That’s why finding a convenient and more secure payment method for managing subscriptions may be top of mind. Because as you take on more subscription services, you’ll need to save your payment details with more merchants. Luckily, virtual cards can provide greater control and an extra layer of protection that you may be looking for.

What you’ll learn:

• Virtual card numbers are different from your physical credit card number. For added security, they can be used online and in apps to avoid sharing your physical card number with merchants.

• You can use virtual card numbers to pay for subscription services without sharing your physical credit card number with merchants.

• Virtual cards can be beneficial for subscription payments because they can be locked or deleted anytime without impacting your physical credit card.

• You’ll still earn your typical credit card rewards when using a virtual card for subscription payments.

A virtual card is basically a digital version of your existing credit card. You can have multiple virtual cards associated with a credit card account. Each one you create will have a unique virtual credit card number that’s different from the number on your physical card. 

Depending on the issuer, virtual cards may come in different formats. For example, Capital One cardholders can create two types of virtual cards: merchant-specific virtual cards and a general-use virtual card. Merchant-specific virtual cards can only be used with one specific merchant online, as opposed to a general virtual card that can be used on any site or app where you’d typically use your credit card.

Using a virtual card for subscription services can offer greater control, added security and more flexibility in managing ongoing charges. You can generally use virtual cards for any digital purchases online or in apps where you’d use a credit card. And that includes subscriptions that require recurring payments. 

Here are some reasons why it can be especially beneficial to use a virtual card for your subscriptions:

Virtual cards give you more flexibility and control when managing your active subscriptions. You can lock or unlock virtual cards anytime—or delete them entirely—without interrupting the use of your physical credit card. If a merchant attempts to charge a locked or deleted virtual card, the payment won’t go through.

Just keep in mind that locking or deleting a payment method for a subscription isn’t the same as canceling the service. If you haven’t officially canceled a service, you may still need to do so.

If you keep a credit card number on file with a subscription service provider and there’s a security breach, your credit card number could potentially fall into the wrong hands. But if the number you have on file is a virtual card number, fraudsters wouldn’t get access to your physical card number. 

If the virtual card number is merchant specific, a fraudster wouldn’t be able to use it for purchases at any other merchant sites. And once you know a virtual card has been compromised, you can simply delete it and create a new one.

For some types of virtual cards, you can assign a custom expiration date. This makes them a helpful tool when signing up for a subscription service’s free trial. You can also lock a virtual card once the free trial is over to prevent further charges to that card.

Just remember to read the terms of the trial carefully and officially cancel with the merchant before the trial window ends to avoid owing a balance.

Purchases you make with a virtual card—including subscription payments—will still earn the same rewards as your physical credit card. So you won’t miss out on any rewards when you use a virtual card.

When setting up a payment method for your subscription service, simply select or enter your virtual card number instead of the number on your physical credit card. 

If you haven’t created a virtual card number yet, check out our full guide on virtual cards for online shopping. 

Capital One cardholders can easily create virtual cards through the Capital One Mobile app. And if you have your Capital One card saved to your Google account, you can autofill virtual cards when shopping in Chrome or in Android apps.

In addition to creating and managing virtual cards within the Capital One Mobile app, you can also access built-in subscription management tools to make managing your subscription payments even easier. These tools are free to use and allow you to view subscriptions linked to your credit card account, as well as cancel or block future charges with select merchants—all in one convenient place.

Still have questions about using virtual cards for subscriptions? Here are answers to some frequently asked questions.

Virtual card numbers can be helpful for subscription payments to provide an extra layer of security, convenience and greater control over recurring charges.

With the Capital One Mobile app, cardholders can create and manage virtual cards with ease, in addition to accessing subscription management tools to help stay on top of free trials and recurring payments.