National Payments Corporation of India (NPCI) on Monday announced that RuPay, India’s own homegrown card network, has introduced the CVV (Card Verification Value) free payment experience for its Debit, Credit & Prepaid cardholders who have tokenised their cards on the merchant application or webpage. RuPay went live on Card on File Tokenisation in 2021, in line with RBI’s guidelines, for its domestic ecommerce transactions to ensure better security for all its cardholders.
Tokenisation is a simple technology to secure card transactions without sharing the clear or real card details with the merchants.
What Is Card Tokenisation?
When a cardholder opts to save their card for a domestic ecommerce transaction, they authenticate the transaction through the card details (Card number, CVV, Card expiry date) as a one time activity followed by entering the OTP (two-factor authentication), the details are then Tokenised and saved with the merchant. This safeguards the card details of the customer from cyber frauds as real details are not saved with the merchant.
The merchants live for CVV less payments, for the subsequent transactions customer can complete the payment by just entering the OTP without the need to enter the CVV or other card details again.
With the auto read OTP feature enabled on customer’s devices, this payment experience becomes smoother than ever. This feature has been made live along with RazorPay for merchants like Rapido, Porter, etc..
RuPay is further working with major aggregators/gateways like PayU, CyberSource, Firstdata, Paytm, etc. to extend this feature to other merchants.
Denny Thomas, head, RuPay said, “Our vision has always been to ensure effortless payments for all our RuPay card holders without compromising on the security aspect. Having worked with the payments industry extensively for implementation of Card on File Tokenisation, which ensures utmost security of sensitive card information, now we are aiming at making the payment experience of a tokenised card seamless.”
NPCI said that this new CVV less experience will ensure that the cardholder will not have to reach out to their wallet or remember any card details, if they have saved (tokenised) their card on the ecommerce merchant which supports this feature. They will just have to enter the OTP or their device will auto populate the OTP during the domestic ecommerce transaction and the payment will be done.