Best virtual debit cards: what are the best options in Malaysia?

Virtual cards are becoming increasingly popular for those who frequently shop online, as they provide a safe and convenient way to make purchases from anywhere in the world. International virtual cards can be used as a virtual alternative to your everyday physical card, making it easier and safer for you to shop from the comfort of your own home.

However, with the rise in popularity of virtual cards, it's important to ask the question: are international virtual cards really safe? How do they work? And how can you apply for one?

In this article, we'll answer all of these questions and more, and show you some of the best options currently available in the market, including the Wise virtual debit card, which is now available in Malaysia. So, whether you're looking for a safe and convenient way to shop online or want to explore your options when it comes to virtual cards, read on to find out more.

What is a virtual card?

A virtual debit or credit card is a digital version of your physical payment card that can be accessed through your smartphone or other smart devices. Unlike traditional cards, you don't need to carry a physical card with you. Virtual cards are not suitable for payments where a physical card is required, such as most ATM withdrawals - but they are ideal for contactless payments which can be made by simply tapping your phone.

Virtual cards can usually be generated instantly for free once you have an approved account with a bank or provider. You will typically need to add your virtual card to a digital wallet app, such as Apple Pay or Google Pay, to make payments easier. Once you’re set up you can also use your virtual card alongside your physical card so you have the best of both worlds.

Since virtual cards usually have a different card number than your physical card, they can help protect you from fraud - just create a virtual card, use it to pay, and then cancel it right away to prevent fraudulent activity. To help you pick the right card for you, we’ll look in more detail at 5 popular virtual cards available here in Malaysia including Wise, BigPay and Maybank.

Best virtual debit cards in Malaysia

Let’s look at some of the best virtual cards in Malaysia. Before you choose the right card for you, remember to check the eligibility requirements, features, fees and any other important details, so there are no surprises once you’ve signed up.

Not all of the virtual cards available in Malaysia have the same functionality, so you’ll want to compare both the features available and the fees you’ll pay for using them.

It’s particularly helpful to look at the foreign transaction and currency conversion costs, if you’ll be using your card for contactless payments when you travel, or to spend online with foreign retailers.

Plus, check out the details of how the cards work - some come with different card numbers compared to your physical card which can offer an added layer of security, while others simply link to mobile wallets for contactless mobile payments in person and online.

Here’s a reminder of the cards we looked at - more details on each coming right up:

• Wise virtual debit card: Hold 40+ currencies, and spend and convert with the mid-market rate and fees from 0.41% - great if you spend in foreign currencies often

• BigPay virtual debit card: Hold MYR and spend internationally with a fee of 1%, which can still be cheaper than using your regular card when you travel

• Maybank virtual debit card: MAE by Maybank is available to new and existing customers and has a suite of digital services, plus physical and virtual cards with preferential exchange rates when you travel

• Public Bank virtual debit card: Add any eligible PBE card to your preferred mobile wallet like Google Pay, to spend with just your phone when you’re out and about, and to make convenient online payments

• Hong Leong debit card: Broad range of cards which are compatible with wallets like Google Pay for convenience

Best features:

• Multi-currency account options to hold and manage funds in 40+ currencies

• Low fees and the mid-market exchange rate for international spending and transfers

• Transparent pricing with no hidden fees or markups

• Integrated with mobile wallets like Google Pay and Apple Pay

Best features:

• Budgeting features available to help you keep track of your money

• Send international payments to select countries with BigPay

• Visa exchange rate + relatively low 1% conversion fee for overseas spending

Maybank

MAE by Maybank is a digital wallet which comes with a linked physical and virtual card. You can get a MAE account as a new customer, or add in this service if you already have a regular Maybank account. Because Maybank is a large and established bank, this also offers an easy way to access a full suite of banking services.

To get a MAE by Maybank virtual card you’ll need to sign up for a MAE account in the MAE app. Once your account is verified you can order a physical and virtual MAE card for easy spending.

Best features:

• Open online and in app and access Maybank2u services

• Spend locally and internationally with preferential exchange rates

• Get budgeting tools and lots of other extras

• Use as your main day to day account if you’d like to

Public Bank

Public Bank’s virtual card offering is via adding physical cards to a mobile wallet like Google Pay. This means you won’t have a different card number compared to using your regular physical card, but it does make it easy to tap and pay in stores and when you’re travelling.

To activate Public Bank’s cards with your preferred wallet, you’ll just need to open the wallet of your choice and tap to add a new card. You can then either enter the details manually or scan the card with your phone’s camera to extract the details.

Best features:

• Large and trusted bank with wide branch network

• Pick the right card for your needs, from a broad selection

• Islamic banking services available

Hong Leong

There are a few different card options from Hong Leong which can be added to a mobile wallet like Google Pay. This means you can spend with just your phone, when you’re shopping online or when you’re out and about. Select the card you prefer, including some with no annual fee, to get started.

Add your Hong Leong card to your preferred mobile wallet by tapping on the wallet icon on your phone and scanning the card to upload the details.

Best features:

• Choose from a selection of cards which are compatible with mobile wallets

• Large bank with a branch network if you prefer to transact face to face

• Get all the banking services you need from one place

How do international virtual cards work?

Virtual cards are just like physical cards but in a digital format. They can be used to pay online, transfer money, or to make mobile payments through a wallet app like Apple Pay or Google Pay.

If your smartphone allows it, you can also make payments in physical stores by holding your phone to the card reader wherever the contactless symbol is displayed. Some ATMs also allow contactless withdrawals using your phone and a virtual card - although this technology is still being rolled out in many regions.

How to request an international virtual card

The exact process to get your virtual card depends on the provider you pick. If you’re choosing a virtual card from a major bank you might need to make a visit to a branch to have your account verified. On the other hand, digital providers like Wise and BigPay have online application processes you can complete from home.

As an example, here’s how to request a virtual debit card with Wise:

1. Open a Wise account online or in the Wise app

2. Complete the verification step by uploading your documents

3. Log into your account in the Wise app and open a currency balance of your choice

4. Go to the Cards tab and tap the option to order a card

5. Verify your personal details

6. Pay the low one time fee to order your card

7. Your Wise virtual card will be available instantly in the Wise app

How to use an international virtual card

Once your virtual card is active, you should be able to make purchases online and link your card to a wallet like Google Pay and Apple Pay. This also allows you to tap to pay with your phone in merchants wherever the contactless symbol is displayed.

Some banks and providers also offer one-time cards, or temporary cards. One-time cards are virtual single-use cards to shop at any online stores that accept prepaid cards. Once you’ve used the card once it will be cancelled, so the details can’t be copied or stolen.

What are the transaction fees applies to an international virtual card

Although it may be free to get your virtual card, there are some other costs to consider, particularly when using your card to spend in a foreign currency. For example, it’s important to look at any foreign transaction fees or exchange rate markups that might be applied so you’ll know what you’re really spending when you’re shopping online with international retailers or when you travel.

Here’s a rundown of the foreign transaction fees applied to the providers we picked earlier as an example:

Here’s a summary of the fees you need to consider:

• Wise virtual debit card: Low one time fee to get a physical card, no fee to get a virtual card, convert currencies with the mid-market rate and fees from 0.41%

• BigPay virtual debit card: Overseas spending comes with a fee of 1%,

• Maybank virtual debit card: MAE by Maybank physical cards have an annual fee of 8 MYR, exchange rates when spending internationally are likely to have a markup

• Public Bank virtual debit card: Varied fees depending on the card you pick, foreign transaction fees of 1.25%

• Hong Leong debit card: Varied fees depending on the card you pick, foreign transaction fees of 2%

Are virtual debit cards safe to use?

Virtual cards are popular particularly because they’re quite safe to use. If you have a ​​virtual card which has different card numbers to your physical card, this can provide additional security as you won’t need to share your normal card details when shopping. If a virtual card number is compromised, you can easily cancel the virtual number and keep your actual card number the same.

Even if your virtual card doesn’t offer unique card details, spending with a card is usually more secure than carrying cash - and by adding your card to a mobile wallet you can leave the physical card at home when you’re out and about.

Conclusion: are international virtual cards worth it?

Virtual cards can be handy to make mobile payments, and shop online easily - and as you won’t need to carry a physical card with you they can be more secure too. You’ll easily be able to generate and cancel virtual cards, even for one time use only, adding peace of mind when shopping with new retailers. Different cards have their own features and fees so you’ll want to shop around to pick the right one for you..

Check out options like the Wise virtual card if you like to travel or shop online with international retailers, and compare it to the cards available from major banks so you can see which fits your needs best. Wise accounts let you hold 40+ currencies, with mid-market exchange rate currency conversions and low fees, which can mean your foreign currency purchases cost less, compared to using a card with a high foreign transaction fee.