PhonePe launches a “SafeCard” solution ahead of the RBI’s deadline: Here’s how it works:

PhonePe launches a “SafeCard” solution ahead of the RBI’s deadline: Here’s how it works:

PhonePe, a digital payment business, has launched PhonePe SafeCard, a tokenisation solution for online debit and credit card transactions.

The Reserve Bank of India (RBI) recently announced guidelines for Payment Aggregators (PAs) and Payment Gateways (PG). Starting January 1, 2022, PAs and merchants must not hold card details of customers in their databases, according to RBI guidelines designed at making card payments more secure.

By turning sensitive card information such as card name, card number, and CVV to a string of randomly generated digits known as a ‘token,’ tokenisation adds an extra degree of security for users. To tokenize their debit and/or credit card for the first time, all a customer has to do is supply a one-time consent through OTP and complete a transaction.

By allowing payment providers to save cards using tokens, PhonePe’s SafeCard will make recurring payments convenient and secure. All major card networks, including Mastercard, Rupay, and Visa, are supported by this solution.

Merchant partners can create, process, delete, and alter tokens for online card payments with the approval of clients, according to the business. By eliminating the need to link with various card networks, merchant partners will save time and labour while also assuring full compliance with RBI requirements.

“Crucially, PhonePe SafeCard ensures that the enhanced protection has no impact on the user experience at all,” said Ankit Gaur, Director of Online Business at PhonePe. We’re also working closely with our huge merchant base to get them on board with this platform.”

 

Source: https://indianexpress.com/article/technology/tech-news-technology/phonepe-implements-safecard-solution-ahead-of-rbis-deadline-7603909/

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