Mastercard and Google Pay Come together to Tokenization for Card-based Payments across India

Mastercard and Google today announced the rollout of tokenization that will enable Google Pay users to safely transact using their Mastercard credit and debit cards while enjoying a hassle-free experience. Through tokenization, Mastercard cardholders can make payments through a secure digital token without having to share their credit or debit card details such as card number, expiry date, etc. with a merchant. This collaboration is a commitment to ensure the best-in-class user experience and security features in an increasingly digital first world.

With this collaboration, Google Pay Android users can scan and pay across all Bharat QR-enabled merchants, tap-and-pay, and make in-app transactions through their Mastercard debit and credit card. For a convenient registration, users will do a one-time setup by entering their card details and their OTP to add their card on the Google Pay app.

Mastercard Digital Enablement Service (MDES) allows payment credentials to be securely tokenized and stored in mobile devices. When making a purchase with a Mastercard debit or credit card using Google Pay, cardholders and merchants will enjoy a similar experience as a regular card-based transaction with enhanced safety and convenience. Even if the cardholder’s mobile device is misplaced, details of the card still remain secure as they are stored as digital tokens. The token can be updated by the card issuer allowing lost, expired, or replaced cards to be automatically updated with the merchant. This simplifies the consumer experience and improves success rates by reducing the number of failed transactions on account of expired card details.

Speaking about the latest collaboration, Sajith Sivanandan, Business Head: Google Pay and NBU – APAC said, “At Google Pay, our endeavor is to simplify payments and make it accessible to as many users as possible – one key pillar in making this a reality is to offer the highest levels of security for every transaction with the help of technology. We are excited to collaborate with Mastercard for card tokenization which will offer users state-of-the-art security for card payments. This is already live for several credit card issuers on Mastercard, and we are working closely with other banking partners to further expand the adoption of tokenization in India. We are hopeful that the added simplicity and convenience will make an ever-larger base of users feel secure in making more payments digitally.”

Commenting on the launch, Nikhil Sahni, Division President, South Asia & Country Corporate Officer, Mastercard said, “Mastercard continuously focuses on introducing technology that brings simplicity and safety to cardholders, every time they pay. Mastercard has also been at the forefront of enabling choice for banks and cardholders through multiple ways to pay including Pay by App, PoS terminals, Click to Pay, and more. Tokenization enables an additional layer of security for payments, which reduces friction and improves the shopping experience. It will redefine the current payment ecosystem by enabling a safe experience for the consumer and facilitate millions of mobile – first users from remote locations in migrating towards a cashless society. This initiative is an extension of Mastercard’s long standing collaboration with Google and will go a long way towards enabling India’s digital economy.”

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