Credit, Debit Card Rule Change From July 1 — Check Steps To Tokenise Your Bank Cards

Credit Debit Card Tokenisation: Online payments and transactions using credit or debit cards are set to become smoother and secure from July 1. Online merchants will not be able to store customers' data-card number, CVV, expiry date, cardholder name etc after June 30.

Reserve Bank of India (RBI) last year issued debit and credit card tokenisation rules applicable to domestic online purchases. The deadline for the countrywide adoption of card tokenisation was January 1, 2022, which was later extended to July 1, 2022, to ensure a smooth shift from the current situation.

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According to RBI: “Tokenisation refers to the 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 the 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”).

The tokenisation system is completely free and not mandatory as well. Therefore, if a customer has not given consent for tokenisation of his or her card, then the customer will have to enter all card details instead of entering the card verification value or CVV, every time while making an online payment.

Registration for a tokenisation request is done only with explicit customer consent through Additional Factor of Authentication (AFA), and not by way of a forced or default or automatic selection of check box, radio button, etc, as per the RBI mandate.

Steps To Tokenise Credit/Debit Card:

Step 1: Ongoing to your favourite or most frequently used online website or mobile application to purchase items including food, grocery or clothes, initiate a transaction.

Step 2: When it leads to the checkout page, select the credit card or debit card payment option. Now provide the CVV details.

Step 3: Click on the option that says “Secure your card" or “Save card as per RBI guidelines"

Step 4: Click on save and enter the OTP received on your mobile number.

Step 5: Your credit or debit card is now successfully tokenised and is secured. Merchants will not be able to access your information anymore.