Many people are turning to virtual cards as a convenient way to make purchases and pay for services online. This is especially important given the limited access to traditional banking services in some African regions.
Virtual cards offer a secure and convenient method for online payments. This solution is particularly relevant for those working with cryptocurrencies or frequently dealing with international payments. Supported by Visa and Mastercard, virtual cards are widely accepted. In most cases, these cards can be used for payments anywhere standard bank cards are accepted.
In this article, we will explore the top virtual dollar cards for payments, as well as discuss the future of mobile banking in African countries.
PSTNET
PSTNET is a financial platform that issues virtual cards for various purposes. The service offers the best virtual dollar cards for online payments from African countries, known as Ultima. These cards have no spending or funding limits. They operate via Visa and Mastercard, allowing for worldwide payment of goods and services.
Key Features:
- First card without KYC: not need to provide any documents to receive your first card.
- Fee structure: No fees for transactions, withdrawals, or operations on blocked or frozen cards. A top-up fee of just 2% makes it one of the lowest on the market
- Variety of funding options: You can top up the card with 18 different cryptocurrencies, including BTC, ETH, and USDT, as well as via SWIFT/SEPA bank transfers and other Visa/Mastercard cards
- Security: PSTNET cards are equipped with advanced security technologies like 3D Secure and two-factor authentication (2FA), ensuring secure payments and the protection of user data
- Quick and easy registration without documents: You can register using a Google, Telegram, WhatsApp, or email account. The card is issued instantly without requiring user verification
- 24/7 Customer Support: Support agents respond quickly via Telegram, WhatsApp, or live chat
- Telegram bot: Receive 3D Secure Codes and service updates through this feature
PayDay
PayDay is a digital financial platform offering a wide range of financial services, including virtual cards, physical debit cards, and wallets. The service targets users in Africa, enabling them to make local and international payments, as well as shop on global online platforms like Amazon, Netflix, and Apple.
PayDay allows users to receive payments from foreign employers and transfer money to individuals in Rwanda and Nigeria, as well as within the PayDay system. Sending funds to other PayDay users is free, regardless of location.
Key Features:
- Supported currencies: US Dollar (USD), Euro (EUR), British Pound (GBP), Nigerian Naira (NGN), Rwandan Franc (RWF)
- Top-up via PayDay Wallet: Users can convert NGN to USD in their personal account and then transfer funds to the dollar card
- Transaction limits and card usage: The maximum transfer amount is 1,000,000 NGN per transaction, with a daily limit of 1,333 USD. Spending limits vary by card type: Visa cards have a monthly limit of $3,000, while Mastercard offers up to $10,000
- Withdrawal options: PayDay allows users to withdraw funds to any local Nigerian bank or MOMO account in Rwanda
- Fee structure: Transfers to Nigerian banks incur a fee of 35 NGN per transaction. Transfers to Rwandan banks or MOMO accounts are subject to a 600 RWF fee per transaction
- Simple card registration and activation: Download the PayDay app (App Store, Play Store) and complete verification. In Nigeria, this requires your BVN and a selfie; in Rwanda, your national ID and a selfie
Payoneer
Payoneer is a financial service that provides virtual cards for various purposes. Integrated with the Mastercard payment system, it is suitable for financial operations worldwide. One of the key features of Payoneer’s virtual cards is their versatility.
Key Features
- Supported currencies: USD, EUR, GBP, and other major currencies, depending on location and transaction type
- Fee structure: Withdrawals to local bank accounts (same currency) incur a fee of $1.50 USD, €1.50 EUR, £1.50 GBP. Currency conversion rates are up to 2-3% above the market rate
- Card funding: Funding options include bank transfers, payments from clients, and other supported methods like ACH transfers from bank accounts
- Fee structure: A 3% fee applies to credit card transactions, and ACH transfers incur a 1% fee. Currency conversion fees are also applicable
- Simple card registration and activation: The registration process on Payoneer is straightforward. After creating and verifying an account, users can immediately issue virtual cards
Kuda
Kuda Technologies is a fintech company providing virtual cards, operating in both Nigeria and the UK. Kuda Cards are Visa-supported and can be used to pay for services like Spotify, Netflix, Prime Video, Showmax, and many others.
Key Features:
- Supported currencies: Kuda primarily supports Nigerian Naira and US Dollars
- Top-up methods: You can fund your Kuda account through various channels, including bank transfers, cash deposits, and mobile money transfers
- Fees: Kuda typically does not charge for account maintenance and allows up to three free ATM withdrawals per month. After that, a standard fee of 35 Naira per withdrawal applies
- Deposit and spending limits: Kuda imposes spending and deposit limits, which users report to be relatively low. For instance, you cannot spend more than 50,000 NGN (around $40) or 250,000 NGN (around $215) at a time, depending on individual account conditions
- Loan program: Kuda also offers a loan program. Users can take out loans with a fixed repayment amount plus interest, which is added to their monthly payment. Loans of up to 150,000 NGN (around $130) are available
- Simple registration and card activation: To get started, you need to download the app, complete verification, and wait for the physical card to be delivered to your address
Chipper Card by Chipper Cash
Chipper Cash is a financial technology company known for providing seamless money transfer services across Africa. The Chipper Card is an extension of its services, designed to facilitate easy online transactions for its users.
The Chipper Card is a pre-funded, reloadable virtual card that can be used for online payments. This card operates similarly to physical debit or credit cards, providing users with a versatile tool for various online transactions. It’s especially useful for payments on platforms like Netflix, Amazon, Shopify, and Apple Music.
Key Features:
- Currency Support:
The Chipper Card is available in multiple currencies, tailored to the regions where Chipper Cash operates. Notably, users in Nigeria can utilize the Chipper USD Card and Chipper NGN (Naira) Card, enabling both domestic and international transactions
- No Fees for Adding Funds:
Topping up the Chipper Card is free of charge. Users can easily add funds from their Chipper wallet without incurring any additional fees, making it a cost-effective option for frequent users
- Spending and Withdrawal Limits:
The Chipper Card comes with specific funding, spending and withdrawal limits designed to ensure security and manageability. Details about these limits can be accessed through the Chipper Cash app or their help center
- Simple Registration and Card Activation:
Obtaining and activating a Chipper Card is straightforward. Users can request the card through the Chipper Cash app, and it becomes active upon adding funds from their Chipper wallet
ALAT Card by Wemo bank
The ALAT Card by Wema Bank is an integral part of ALAT, Nigeria’s fully functional digital bank. This virtual prepaid card offers various options, including Classic, Gold and Platinum cards, designed specifically for international transactions and online purchases, such as media buying on platforms like Facebook Ads and Google Ads.
Key Features:
- International Transactions:
The ALAT Card is ideal for international transactions, allowing users to make payments for purchases and subscriptions on various websites and apps. It’s especially useful for media buying and digital advertising needs
- Funding Methods:
Users can fund their ALAT cards through transfers from local banks such as UBA, Zenith, and GTBank. Additionally, cash deposits can be made at any Wema Bank branch
- Transaction Limits:
Per Transaction: Maximum of 1,000,000 NGN (approximately $860)
Per Day: Maximum of 5,000,000 NGN (approximately $4,300)
- Usage Restrictions:
The ALAT Card cannot be used at ATMs, POS terminals or websites requiring 3D Secure authentication. It’s important to note that additional card activation is necessary to avoid issues with processing payments from Nigeria
- Easy Registration process:
Registering for an ALAT card is free. The process involves obtaining a USSD code on your mobile phone, following the provided instructions and confirming the access code
- Customer Support:
ALAT offers comprehensive support to its users, ensuring that any issues or queries are promptly addressed through various customer service channels
The Future of Virtual Banking in Africa
The outlook for the growth of virtual banks in Africa is highly promising due to the increasing demand for digital financial solutions and the limited access to traditional banking services in the region. With rising internet penetration and the growing number of smartphone users, more people are gaining access to online banking and virtual cards, helping to address the challenges of financial inclusion. Virtual banks offer flexibility and convenience, allowing customers to manage accounts, make payments, and access financial products without the need to visit physical branches.
In the first half of last year, over $2 billion was invested in African fintech startups, driving the expansion of digital banking platforms. This trend is accelerating due to increased internet connectivity and the growing use of smartphones, which provide more people with access to online banking and virtual cards. Virtual banks in Africa deliver flexibility and convenience, especially for those who have historically lacked access to traditional financial services.
Conclusion
Virtual cards are becoming an essential tool for users in Africa, particularly for those who face limitations with traditional banking systems. Platforms like PSTNET, PayDay, Payoneer, Kuda, Chipper Cash, and ALAT by Wema Bank offer convenient solutions for international payments, cryptocurrency top-ups, and secure transactions. Supported by Visa and Mastercard, these virtual cards enable users to pay for goods and services worldwide. With flexible terms, low fees, and simple registration processes, these services are attractive to many. The future of virtual banking in Africa holds even greater potential for improving financial inclusion and expanding access to digital services.
