Tue, 21 Jun 2022 06:04 PM IST
RBI (Reserve Bank Of India) is all set to change the current debit and credit card rules from July 1, 2022. According to the new debit card tokenisation rule, online merchants will not be allowed to store customer's data on their servers so as to protect their privacy. The data includes debit or credit card number, CVV, card expiration date and other sensitive information.
The central bank mandated the adoption of card-on-file (CoF) tokenisation applicable to domestic online purchases. In January 2022, the deadline for the adoption of the card tokenisation was extended upto July 1, 2022. The step was taken to ensure a smooth shift from the current situation.
According to the RBI website, “Tokenisation refers to replacement of actual card details with an alternate code called the “token", which shall be unique for a combination of card, token requestor (i.e. the entity which accepts request from the customer for tokenisation of a card and passes it on to the card network to issue a corresponding token) and device (referred hereafter as “identified device")."
Here's How You Can Tokenise Your Debit Or Credit Card?
Follow the simple steps and it's done:
Step 1: Open your most frequently used online website or mobile app, you use to purchase items including food, grocery or clothes.
Step 2: Add it to your cart and initiate the payment
Step 3: When the page leads to the checkout page, select the mode of payment, i.e, the debit or the credit card.
Step 4:Enter the CVV details
Step 5: Click on the option that says “Secure your card" or “Save card as per RBI guidelines"
Step 6: Click on save and enter the OTP (One Time Password) received on your registered mobile number.
Step 7: Your credit or debit card is now successfully tokenised and is secured. Merchants will not be able to access your information anymore.
The tokenisation is not a mandatory process and customers can choose if they wish to tokenise their card.
If a customer is agreeable towards card tokenisation, then he or she will only have to enter the CVV or one time password (OTP) details while doing the transaction.
The tokenisation system is totally free of cost while providing smoother payment experience securing one's card's data.