The Reserve Ban k of India (RBI) has introduced Card-on-File Tokenisation (CoFT) facility through banks.
A recent circular from RBI read, “It has been decided to enable Card-on-File Tokenisation (CoFT) directly through card-issuing banks/institutions also. This will provide cardholders with an additional choice to tokenise their cards for multiple merchant sites through a single process,”
Further, according to the circular, a cardholder may tokenise the card at any time of his/her convenience, either at the time of receiving the new card or later. In addition, the card issuer should provide a complete list of merchants for whom it can provide tokenisation services.
“If the cardholder selects multiple merchants for which to tokenise his/her card, AFA validation may be combined for all these merchants,” mentioned the circular.
