What is a virtual credit card (VCC)?
A virtual credit card (VCC) is a pre-charged card issued to your business by an online travel agency (OTA) like Booking.com or Expedia. It’s designed to make payment collection from OTA bookings more secure and reliable.
How can I tell if I’m charging a virtual credit card (VCC)?
Before charging a card, make sure it’s a virtual credit card, not the guest’s personal card.
Here’s how to tell:
- On Booking.com, the card type is clearly listed as “Virtual credit card”
- The cardholder name is usually the OTA’s name — e.g. Booking.com
- These cards typically allow unlimited viewing of the card details through the OTA’s portal
How can I charge a virtual credit card (VCC)?
You can charge a VCC using a third-party payment provider like Tab or tools such as Sirvoy if you have a Stripe account:
- Open the VCC details on your OTA dashboard
- Enter the guest’s name and VCC details into your payment provider’s interface
- Input the exact amount and correct currency shown on the OTA
Enter the correct amount and currency as mistakes can cause the transaction to fail.
What are the fees for charging virtual credit cards (VCCs)?
Processing virtual cards often comes with higher fees compared to regular card payments.
- For example Tab (tab.travel) charges:
- 2.9% + $1 USD per advance payment
- 5.9% for virtual credit cards
- Be sure to factor this into your pricing or cost calculations.
How can I reduce virtual credit card (VCC) fees?
If you'd prefer not to use VCCs or want to reduce fees, consider:
- Asking the guest to pay by bank transfer
- Requesting access to the guest’s personal card details, then processing them via your preferred payment system (this is usually far cheaper)
