Online Fraud: Fear of cheating! Credit and debit cards are not required for online shopping

 According to the RBI, it is possible to make quick payments without the need for 'tokenization'

                Image Credited By: Inc42

Shopping from online shopping websites such as Amazon, Flipkart, Myntra, and BigBasket will be much easier from now on. From January 1, 2022, the Reserve Bank of India (RBI) is introducing a new payment method. Not only will this make shopping easier, but the new method also protects your confidential information.

For this type of digital platform, you no longer have to remember the details of the 16-digit card and the expiration date of the card. As per the instructions of Reserve Bank of India (RBI), it is now possible to make quick non-contact payments in a new method called 'Tokenization'.

Tokenization is a method of exchanging card information with a token. This process ensures that the shopping goes smoothly without compromising the customer's personal information.

The RBI's tokenization policy confirms how it should be implemented. Server will no longer require CVV number for contactless banking. This will make the entire network more secure.

Although tokenization does not completely prevent data intrusion, it does reduce the likelihood. From tokenization, in-store retail POS activities to payments, from e-commerce to modern app payments, all systems are much more secure.

To maintain the tokenized card, the supplier bank will provide a separate interface (on its own website). Card members will also have the opportunity to delete the token at any time.

Tokenization is available completely free. Customers can tokenize as many cards as they need. In the current system, only the internal card of the country will have this system.

When purchasing goods online, users will need to submit their card information and opt out of the tokenization system on the check-out page of the shopping website.