Can you share with highlights of the latest tokenization solution by Razorpay?

Fintech firm Razorpay has recently announced a tokenisation solution allowing customers to save card details with added security and in compliance with the RBI guidelines. RBI has now prohibited merchants and banks from storing customer inflation on debit and credit cards, forcing them to input all the card details each time they transact online. Razorpay’s TokenHQ will work across all major card networks like Mastercard, RuPay and Visa.

The new guidelines allow only card networks and issuers to store customer card information but businesses can use tokens for offering saved card experience at the time of online payments. Card on file or COF tokenization turns sensitive cardholder data into a string of randomly generated numbers called "token", which cannot be hacked. Card tokenisation ensures that card information rests only with customer, card network and bank.

In the absence of tokenisation, customers have to enter card information manually every time they transact online. This leads to transaction failures. With TokenHQ, merchants and online portals can still offer seamless payments while ensuring individuals have full control over their card data. Razorpay will enable existing customers on standard and custom checkouts to support card tokenisation at zero cost.