{"id":18675,"date":"2023-12-27T10:33:26","date_gmt":"2023-12-27T05:03:26","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=18675"},"modified":"2025-04-05T12:23:46","modified_gmt":"2025-04-05T06:53:46","slug":"card-on-file-tokenization","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/card-on-file-tokenization\/","title":{"rendered":"What is Card-on-File Tokenization?"},"content":{"rendered":"<h2>About Card-on-File Tokenization<\/h2>\n<ul>\n<li>Tokenisation refers to\u00a0replacement of actual credit and debit card details with an alternate code\u00a0called the \u201ctoken\u201d.<\/li>\n<li>It is a combination of\u00a0card, token requestor and device.<\/li>\n<li>The card detail when stored with a merchant is known as card-on-file (CoF).\u00a0<\/li>\n<li>This token is\u00a0a randomly generated string of characters that has no intrinsic value and is meaningless outside of the context of a specific transaction.<\/li>\n<li>The token is used as a surrogate for the actual card details, making it more secure to store and transmit.<\/li>\n<li>Requirements for enabling CoFT through card issuers:\n<ul>\n<li>Generation of CoFT tokens for a card can be\u00a0enabled through mobile banking and\u00a0internet banking channels.<\/li>\n<li>The token can be generated only on explicit customer consent and with AFA (additional factor authentication) validation.<\/li>\n<li>The\u00a0cardholder may tokenise the\u00a0card at any time of their convenience, either on receipt of the new card or at a later stage<\/li>\n<li>The cardholder can select the merchants with whom he\/she wishes to maintain tokens.<\/li>\n<li>The\u00a0card token so issued may be either by\u00a0the card network or the issuer or both.<\/li>\n<\/ul>\n<\/li>\n<li>Advantage\n<ul>\n<li>Tokenisation replaces a debit or credit card\u2019s 16-digit number with a unique token that is specific to just your card and is valid for one merchant at a time.<\/li>\n<li>The token\u00a0masks the true details of your card, so in case there is a data leak from the merchant website,\u00a0the fraudster cannot misuse the card.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<hr \/>\n<h3>Q1) What is a Card-on-File transaction?<\/h3>\n<p>It is a transaction where cardholders authorizes merchants to store their payment information securely and bill cardholders\u2019 stored accounts for future purchases.<\/p>\n<p><strong>Source:<\/strong> <a href=\"https:\/\/www.livemint.com\/money\/personal-finance\/tokenisation-rbi-expands-the-scope-to-cards-issuing-banks-details-here-11703150319565.html\" target=\"_blank\" rel=\"nofollow noopener\"><u>Tokenisation: RBI expands the scope of CoFT to debit cards issuing banks. Details here<\/u><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Card-on-File Tokenization refers to replacement of actual credit and debit card details with an alternate code called the \u201ctoken\u201d.<\/p>\n","protected":false},"author":5,"featured_media":18676,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-18675","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/18675","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=18675"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/18675\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/18676"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=18675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=18675"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=18675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}