CCAvenue Introduces RBI Compliant ‘TokenPay’
Infibeam Avenues (IAL), a leading fintech company has announced that CCAvenue, its digital payments platform, has introduced 'TokenPay', to help merchants to comply with Reserve Bank of India's (RBI) data security norms. 'TokenPay' is a secure multi-network tokenisation solution, which works across all major card networks, including MasterCard, RuPay, and Visa.
CCAvenue's 'TokenPay' solution for businesses will help merchants enable their end-customer to continue experiencing the saved card transactions with enhanced security and allow merchants to remain RBI guideline compliant with its online data storage norms, the company said in a statement.
The new RBI guidelines on card storage has been a welcome move widely appreciated by all stakeholders as they make advances towards ensuring safer and convenient online transactions for customers. However, in the absence of tokenisation, customers will have to enter their card information manually every time they transact online which can increase the probability of manual error leading to transaction failures and a bad customer experience, experts pointed out. "Using CCAvenue’s TokenPay, businesses can generate, process and manage tokens with customers' consent and continue offering a secure and frictionless online transaction experience," said Vishwas Patel, Executive Director -Infibeam Avenues and Founder of CCAvenue.
As per the new RBI recommended framework, only card networks and card issuers are permitted to store customer card information. With an aim to strengthen the security of online transactions, the RBI earlier this year had introduced new guidelines that prohibit merchants, businesses, payment aggregators, and acquiring banks from storing customers' credit/debit/prepaid card information. This makes the existing system of saved card experience and its associated flows defunct.
Thus, the new system authorises businesses/merchants to use only 'tokens' to continue offering the saved card experience during online payments, said Patel.
Network tokenisation is the process of substituting the 16-digit static card number with a string of randomly generated numbers called "token", which is virtually impossible to decrypt. Also, since the framework ensures that a customer's card information rests only with the customer, the card network, and the issuing bank, it minimises the risk of card data leaks & fraudulent activities significantly. All stakeholders are required to be fully compliant with the tokenisation framework by December 31, 2021.
CCAvenue's 'TokenPay' is an interoperable solution for all businesses/merchants and helps them comply with the RBI guidelines. Merchants using other payment gateways can also tokenize cards through CCAvenue and continue using their preferred gateways to process token-based transactions.
