The Reserve Bank of India (RBI) has given a new order for banks in India, effective September 30, 2023. The order requires all debit and credit cardholders to either convert their card details into a token or enter the complete details for every transaction.
What is new payment system
Tokenization is a process of replacing sensitive card details with a unique code, called a token. Token is used for online transactions instead of the actual card number, expiry date, and CVV.
Tokenization helps to protect cardholder data from fraud and other cyberattacks.
To convert your card details into a token, you can contact your bank or use the tokenization service offered by the merchant.
Your card details have been tokenized, you will no longer need to enter them for online transactions,the token will be used instead.
The RBI has issued this order to improve the security of online transactions in India. Tokenization is a proven way to protect cardholder data, and this order will help to make online payments more secure for everyone.
Here are some of the benefits of tokenization
It helps to protect cardholder data from fraud and other cyberattacks, makes online payments more convenient and secure,reduces the risk of card-not-present fraud, can help to improve the customer experience.
If you have any questions about tokenization, you can contact your bank or the merchant where you are making the online transaction.
