Payments and API banking solutions company, Cashfree Payments (Cashfree) today launched tokenization solutions, ‘Token Vault’ enabling merchants to save card network tokens effortlessly, in adherence to RBI guidelines.
The company’s Token Vault Service offers both, saving tokenized cards and processing payments using tokenized cards as a single solution, eliminating merchants’ need to look out for multiple payment partners.
A tokenized card transaction is safer because the actual card details are not shared with the merchant during a transaction. The generated card token can be used for processing payments, as a substitute to the actual card details like card number and card expiry and CVV. This eliminates the issue of loss of sensitive card information while making card payments.
The recent circular by Reserve Bank of India (RBI) on Tokenization states that neither the authorised Payment Aggregators nor the merchants shall store customer card credentials on their servers. Only the card issuing banks or the corresponding networks are authorized by the RBI to save customers’ card details. The deadline for card tokenization is December 31, 2021.
Akash Sinha, CEO and Co-Founder, Cashfree Payments said, “It gives us immense pleasure to launch Token Vault, which will help us to assist our entire customer base stay aligned with the RBI’s guidelines. The specifications have come at a critical time and will contribute towards sustained growth of a safe digital payments ecosystem in the country. Our tokenization solutions will help merchants save customers’ tokenized card details while enabling a quick and secure card checkout experience. At Cashfree, it is our focus to build innovative and effective solutions, to help provide multiple experiences under one roof.”