PhonePe implements ‘SafeCard’ solution ahead of RBI’s deadline: Here’s what it means

Tokenisation provides users an added layer of security by converting sensitive card information such as card name, card number, CVV to a string of randomly generated numbers known as a ‘token’. All a customer has to do is to provide a one-time consent via OTP and undertake a transaction to tokenise their debit and/or credit card for the first time.

PhonePe’s SafeCard will make recurring payments convenient and safe, by allowing payment providers to save cards using tokens. This solution supports all major card networks such as Mastercard, Rupay and Visa.

The company claims that with this solution, merchant partners can create, process, delete and modify tokens for online card payments with customers’ consent. This will save the merchant partners significant time and effort by removing the need to integrate with multiple card networks, while also ensuring full compliance with the RBI guidelines.

Ankit Gaur, Director of Online Business at PhonePe said, “Crucially, PhonePe SafeCard ensures that the added security doesn’t impact the customer experience at all. We are also closely working with our large merchant base to take them live on this platform.”