Credit card and debit card holders should rejoice! Your card information will be deleted from all e-commerce sites, apps, and OTT platforms on July 1, 2020.
According to the Reserve Bank of India’s (RBI) new rules, consumers will be required to employ card-on-file tokenization for online purchases in order to protect bank transactions. As a result, beginning in July, users will be required to restore their card details and generate a unique token in order to make online payments.
Netflix, Amazon, Swiggy, and Zomato are among the retailers on the list that will no longer be able to save users’ credit card information, and each transaction will need the generation of a unique token.
This new method aims to protect cardholder safety and security while also promoting the expansion of digital transactions.
According to reports, the tokenization method will allow users to hide their card details in the app, with only the last four digits of the card number visible. A unique token number will be assigned to each transaction, directing the user to a payment gateway where the bank can create an OTP for verification.