With just a couple of weeks left for the implementation of tokenization in India, Mastercard and Google today announced the rollout of tokenization that will enable Google Pay users to safely transact using their Mastercard credit and debit. The newly introduced process of tokenization will replace sensitive information with a unique set of characters. Thus, customers can do online transactions without saving sensitive card details like the card number, CVV and expiry date.
This collaboration will allow Google Pay Android users to scan and pay across all Bharat QR-enabled merchants, tap-and-pay, and make in-app transactions through their Mastercard debit and credit card. For registration, users will have to complete a one-time setup by entering their card details and their OTP to add their card on the Google Pay app.
Mastercard Digital Enablement Service (MDES) allows payment credentials to be securely tokenized and stored in mobile devices. Now, cardholders can make a purchase with a Mastercard debit or credit card using Google Pay, without saving the details on the app. In case the cardholders’ mobile device gets misplaced, details of the card still remain secure, as they are stored as digital tokens. Tokenization can also minimize the chances of failed transactions. Tokenization is absolutely free for users, who can tokenize any number of cards. However, only domestic cards fall under the current guidelines. Tokenization is not applicable to international cards as of now.
“Tokenization enables an additional layer of security for payments, which reduces friction and improves the shopping experience. It will redefine the current payment ecosystem by enabling a safe experience for the consumer and facilitate millions of mobile- first users from remote locations in migrating towards a cashless society,” said Nikhil Sahni, Division President, South Asia & Country Corporate Officer, Mastercard.
“We are excited to collaborate with Mastercard for card tokenization which will offer users state-of-the-art security for card payments. This is already live for several credit card issuers on Mastercard, and we are working closely with other banking partners to further expand the adoption of tokenization in India. We are hopeful that the added simplicity and convenience will make an ever-larger base of users feel secure in making more payments digitally” said Sajith Sivanandan, Business Head, Google Pay.
