Mastercard has introduced Cardholder Verification Code-less online payments for debit and credit cardholders in India who have tokenised their cards on merchant platforms.
According to the Reserve Bank of India’s guidelines, merchants who adopt tokenised payments will collect CVC only once.
After that, shoppers will be required to select their tokenised card from the checkout page, confirm the one-time password and complete the transaction without keying in the CVC.
E-commerce firms including Cashfree Payments and Zomato have already adopted CVC-less payments, which Mastercard says leads to higher authorisation rates, reduced checkout abandonment, and a better customer payment experience.
"Besides enhanced data security, CVC-less payments on tokenized cards come with benefits that make the online domestic card payment experience smoother and safer," says Anubhav Gupta, SVP, South Asia, Mastercard.