From July 1 onwards, Indian customers online will have to either enter their card details every time they make a payment or make use of tokens to complete transactions.
Customer who does not tokenize their debit or credit card will have to enter the details every time they make a payment online.
Tokenization process is not mandatory and a customer can choose whether or not to let his / her card tokenized.
When you start an online transaction with a merchant, the merchant will ask for your consent to tokenize your card.
Once you approve, the merchant will send a tokenisation request to the card network.
The card network will then create a token, which will act as a proxy to your 16-digit card number, and send it back to the merchant.
The merchant will save this token for future transactions. You will also have to enter your CVV and OTP like before to approve the transaction.
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