- How RBI’s new tokenisation rule will effect credit/debit card payments?
- What is tokenisation?
- How Tokenization will benefit consumers
1. How RBI’s new tokenisation rule will effect credit/debit card payments?
As per RBI mandate with effect from 1st January 2022, the clear card number, CVV and Expiry date and any other sensitive information related to cards cannot be stored by merchants for processing online transactions.
2. What is tokenisation?
Tokenisation is an alternate code system by way of token replacing the actual card details of a person.
3. How Tokenization will benefit consumers?
This will make the card transaction safer as the actual card details are not shared or stored by the merchants or a party that perform the transaction.
For more details regarding tokenisation, you can also refer to Reserve Bank of India - Frequently Asked Questions