New rules for debit, credit cards kick in with tokenisation from today | FULL DETAILS

Highlights RBI made it mandatory for all credit, debit card data to be replaced with unique tokens by Sept 30 Added security layer by way of tokenisation is expected to enhance users' digital payment experience The deadline was extended multiple times over the past two years at the request of stakeholders Debit credit cards tokenisation: The Reserve Bank of India has made it mandatory for all credit and debit card data used in online, point-of-sale, and in-app transactions to be replaced with unique tokens by September 30 this year. The extension was also given for creating public awareness about the process of creating tokens and using them to undertake transactions.Currently, many entities, including merchants, involved in an online card transaction chain store card data like card number, expiry date, etc. "Given the fact that many jurisdictions do not mandate Additional Factor of Authentication for authenticating card transactions, stolen data in the hands of fraudsters may result in unauthorised transactions and resultant monetary loss to cardholders. As per the RBI, tokenisation refers to the replacement of actual card details with an alternate code called the "token".