RBI has disallowed businesses, payment aggregators and acquiring banks from storing customers’ credit/debit/prepaid card data.
Online payments solutions provider PayU on October 28 announced the launch of ‘PayU Token Hub’, a tokenisation solution for businesses that will allow their customers to conveniently use saved cards with added security and in compliance with the RBI guidelines.
Built jointly by PayU and Wibmo, a PayU-owned full-stack global PayTech company, PayU Token Hub has partnered with card networks, including Visa, MasterCard, as well as with leading issuing banks, the company said.
“PayU Token Hub is developed as an interoperable plug-n-play solution, to enable card on file and device tokenisation using a single integration point. Its unique two-pronged solution is available to all merchants, including PayU’s 3.5 lakh merchants and 65 issuers supported by Wibmo,” PayU said in a statement.
It said that businesses can enable PayU Token Hub with minimal technical changes while in compliance with RBI’s latest norms.
Last week, fintech firm Razorpay had launched a similar tokenisation solution ‘Razorpay TokenHQ’.
In a bid to step up the safety of online transactions, the RBI has recently issued a set of guidelines that disallow businesses, payment aggregators, and acquiring banks from storing customers’ credit/debit/prepaid card information.
The new guidelines allow only card networks and card issuers to store customer card information, and sanctions businesses to use tokens for offering saved card experience during online payments.
Card-On-File (COF) tokenisation is the process of turning sensitive cardholder data into a string of randomly generated numbers called tokens, which has no meaningful value if breached.
All stakeholders are required to ensure full compliance with the tokenisation framework by December 31, 2021.”PayU Token Hub is fully interoperable, providing best of network and issuer tokens for card-on-file use cases extensible to device tap-and-pay. It will ensure that popular payments use cases including EMI, subscriptions, instant refunds and offers engines which rely on card numbers can continue seamlessly,” said Manas Mishra, Chief Product Officer, PayU India.
