Credit Debit Card Tokenisation: RBI has once again extended the card tokenization deadline till September 30, 2022. From July 1, the payment aggregator, payment gateway or merchant had to delete the customer’s card data, but the RBI has given a moratorium to all payment systems till 30 September.
In fact, from June 30, 2022, payment aggregators, payment gateways or merchants were prohibited from storing debit and credit card data of their customers. After June 30, by taking all the online portals, the traders had to delete the data of the customer’s debit-credit card. Earlier this rule was to be applicable from January 1, 2022, but RBI has extended the card tokenization deadline till June 30, 2022. But RBI has decided to extend this deadline till September 30, 2022.
Debit-credit card details have to be entered every time
After the implementation of RBI Card Tokenisation, for every transaction the customer makes for shopping on Amazon or Flipkart or to recharge Netflix, Disney + Hotstar, 16 digit debit-credit card number, expiry date, card verification Value (CVV) has to be typed every time.
With the rise in digital usage increasing in the country, more and more people are using online payments to book hotels, shops or cabs. But in the digital world, cybercriminals are waiting to grab the data of the users. In order to provide better security to the people and make online payments secure, the Reserve Bank of India (RBI) has asked all merchants and payment gateways to store the debit and credit card details of the customers, post the implementation of card tokenization. Will happen.
What is tokenization?
As per the existing rules, the transaction is executed on the basis of 16-digit card number, expiry date of the card, CVV and one-time password or OTP (in some cases transaction PIN also). Tokenization is the ability to replace the actual card number with an alternate code, called a “token”. According to RBI, tokenized card transactions are considered secure as the card details are not shared with the merchant during the transaction. In this, the details of the customer’s card cannot be saved. According to RBI, converting the token back to the original card details is known as de-tokenisation. The customer will not have to pay any charge for availing this service.
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