[What’s New] Your customers can now access their saved cards securely via Token Vault by Cashfree Payments

The recent circular by RBI on Card-on-File Tokenization (CoFT) 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.

How does Cashfree Payments help your business with card tokenization?

Token Vault by Cashfree Payments enables merchants to provision and save card network tokens effortlessly, thereby helping merchants in staying compliant with RBI guidelines. 

Merchants can use these tokenized saved cards to offer a seamless payment checkout experience for their customers.

What is card tokenization?

Tokenization is the process of replacing private card details like the 16 digit primary account number with a cryptographically generated random string, commonly referred to as the token. These tokens are then used for processing card payments as a substitute to the actual primary account number, thus eliminating the need of passing sensitive card details.  

What are the benefits of tokenization?

With tokenization, since there is no exchange of actual card PAN while processing payments, there is no question of card details getting compromised because of any intermediate insecure payment system. Even if any payment request is intercepted at any of the compromised intermediate payment systems, the actual PAN details of the user cannot be retrieved from the token thus making the tokenized card payments extremely secure.

The added security layer increases trust among customers making them willing to use tokenized card payments for frequent transactions instead of entering card details repeatedly. With the increase in adoption of saved card payments we can see a growth in online card payments.

How does saved card flow work?

This process enhances payment security as the sensitive information is now only in the hands of the card network and the end customer.

Is there a deadline for businesses to comply with tokenization?

As per the RBI guidelines, the deadline for card tokenization is 31st December 2021. Beyond this, any business or payment aggregator who does not support card tokenization will no longer be able to provide saved card experience for their customers.

Benefits of using Token Vault by Cashfree Payments 

A complete tokenization solution

Token Vault offers both saving tokenized cards and processing payments using tokenized cards as a single solution so that merchants do not have to look out for multiple payment partners

Certified Token Requestor

Cashfree Payments is a fully certified and compliant Token Requestor, which means we can provision card network tokens from all the major card networks on your behalf.

Easy adoption

Cashfree Payments handles all the changes required for your business to stay compliant. There will be no change in your integration to implement Cashfree Payments’ checkout page for processing payments. 

Provide a smooth checkout experience

With Token Vault, your business can now provide a personalized checkout experience to your customers, thereby reducing cart abandonment rates and increasing payment success rates.

If you want to know more about tokenization, click here.