A controlled payment number, disposable credit card or virtual credit card is an alias for a credit card number, with a limited number of transactions, and an expiration date between two and twelve months from the issue date. This "alias" number is indistinguishable from an ordinary credit card number, and the user's actual credit card number is never revealed to the merchant.
The technology was introduced primarily as an anti-fraud measure, so that a virtual unique credit card number may be generated to settle a specific transaction, on an exact date by an authorized individual. The possibility of a fraud occurring is significantly less than a traditional physical card, which can be lost, stolen or indeed cloned.
The number is generated through the use of either a Web application or a specialized client program, interacting with the card issuer's computer, and is linked to the actual credit card number. While it could usually be set up to allow multiple transactions, it could only be used with a single merchant. Consequently, if it is compromised a fraudulent user can usually not steal money, and the limit reduces how much a fraudulent person can steal.
The term "controlled payment number" is a trademark of Orbiscom. The technology is also called by generic names "substitute credit card number", "one-time use credit card", "disposable credit card" and "virtual credit card number", or "virtual card number" (VCN).
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