New Delhi: In order to make the data of customers more secure, a new rule of RBI is going to be implemented from January 1. Under the new rule, with the beginning of the coming year, there will be a big change in the rules of payment by debit and credit cards. Let us know what is this new rule and what is its effect on our life.
Payment will be like this
From next year onwards, RBI will give a token number to your card for making debit or credit card payments. From the new year, customers will be able to make payment through the same token.
What is tokenization?
Be it a small shop or a shopping mall, most people have started paying through cards only. In such a situation, we give the data of our card to any company or merchant and this merchant or company stores our data. This increases the chances of data theft. To prevent such fraud, RBI has introduced a new rule, in which it will give a token number of any credit or debit card, which is being called tokenization.
What is the new rule?
Under the new rule, from January 1, 2022, no company or merchant will be able to store customer card information such as card number, expiry date or CVV. Let us tell you that the RBI has asked all the companies to delete the stored data in advance to the customers, so that the security of online transactions can be increased.
RBI approved
The RBI has approved the issuance of a token on behalf of the bank or company issuing Visa, Mastercard and Rupay cards, which is called tokenization.
In this way data theft will stop
From the new year, you will have to choose the option of tokenization to make the payment without giving any details. In this way, the card details of the customers will not be stored with the merchant, which will prevent the incidents of data theft and fraud.
