Tokenization: The rule of tokenization came into effect from today, the method of payment has changed

Tokenization: From the financial point of view, many rules are going to change from 1st October. A major change in this is related to tokenization , which is a new rule included in the payment system. Through this, efforts will be made to curb online fraud. According to the information, with the implementation of this rule, the personal data of the users will be completely safe.

According to the information, on making online payment through debit and credit cards from October 1, 2022, instead of giving your card details, you will have to give a token on the merchant website, point of sale (POS) or at whichever gateway you will make the payment. Due to this, the details of the users will not be able to go into the hands of any other suspicious or wrong person in any way.

RBI has decided new rule

According to the rules of RBI, after this tokenization rule, no payment aggregator, payment gateway or merchant can store any customer’s credit or debit card data with him from October 1. This means that no payment site or app will be able to store the 16-digit card number, expiry date and CVV as data with them from September 30 onwards.

Now how to make payment?

In such a situation, at whichever gateway the cardholders will pay with the card from today, instead of giving their card details there, they will have to give a token and then their payment will be done easily without giving the data. Now the question will be in your mind that how does this whole system work, then you should also know this in this news.

1. You can go to any e-commerce website for payment where you have to make payment.
2. After this, select whatever card you have to choose for the payment method.
3. After that fill the requested information correctly and then tap on the option ‘secure your card as per RBI guidelines option’ on the website and save it as per RBI guidelines.
4. In this case, OTP will come on the mobile number registered with your bank account, enter the OTP and the card details will be sent for the token. Apart from this, the token will also be sent to the merchant and he will save this token instead of the card details.
5. After this, if you pay again on this website, then your card will not be saved as before, but the website will have your token, which will show only four and only then you will be able to make payment easily.

It is believed that this new system will be helpful in preventing online frauds in the country because due to the data being stored on the websites, your payment details are also leaked when the data of the website is hacked, due to which you can also face huge financial loss.