With the help of card tokenization service, when you do any transaction with the card on the online platform, your data remains secure. Under this, the details of the consumer’s card are converted into digital tokens in encrypted form.
Digital payment platform Visa on Thursday launched Card on File (CoF) tokenization service. This is according to the latest guidelines of the Reserve Bank of India. With the help of CoF tokenization, consumer’s data remains secure. Visa Card has launched this service in partnership with Juspay. The COF tokenization service is now available on e-commerce platforms such as Grofers, Big Basket and MakeMyTrip.
In fact, keeping in mind the incidents of cyber attacks and data theft, the Reserve Bank of India had issued a guideline recently. According to this, no e-commerce company or online company will save your card data. In such a situation, the users will need to fill the card details every time during the transaction. Tokenization concept was implemented for this. Let us tell you that Visa is the first card issuer which has taken this step regarding tokenization.
Card issuers and card network companies will have data
The Reserve Bank of India had issued a circular in this regard on 7 September 2021. According to this circular, from January 1, 2022, no online platform can save any information about the consumer’s card. However, the card issuer and the card network company will store and save consumer data. Visa, Mastercard, Rupay are the network companies.
Card details will be in encrypted form
Under the tokenization service, the consumer’s card details are converted into digital tokens in encrypted form. With this, your data is also safe and the transaction is also authenticated. This greatly reduces the chances of theft of your card data and makes the transaction much smoother.
Consumer confidence will increase
It is believed that after the introduction of the service of tokenization, the confidence of the consumer in e-commerce companies increases significantly, because their card details are safe. Consumers believe that all the transactions being done with the help of online companies are now more secure. Due to this, they are able to do transactions of high value and on a large scale without any hesitation.
