As per the latest RBI order, all merchants will have to delete customer debit and credit card data and replace card payments with unique tokens for all online, point-of-sale and in-app transactions on or before June 30 Will happen.
“We will temporarily no longer accept American Express and Diners Club cards as payment methods with effect from June 28, 2022,” Uber India said in a message to its customers. “RBI has changed the guidelines for storing card details by merchants (such as Uber) for transactions in India. Merchants can only use the tokenized card for repeat transactions. We do not currently support network tokenization for American Express and Diners Club cards.”
Uber said it is working towards including the token system on these cards.
“We are working on supporting these cards soon,” it said. “We encourage you to use one of the many other payment options available on the latest version of the Uber app. We still support payment through other cards (except Amex and Diners Club).
Tokenization is a process by which card details are replaced with a unique code or token, allowing online purchases to be made without exposing sensitive card details.
ET reported on June 6 that many large online merchants were nervous about the ecosystem’s readiness to handle transaction and token volumes, while also wanting to avoid disruption to payments for consumers.
Several large merchants had earlier told ET that they were unsure about the scalability of the payment network for tokenization, as they feared disruption to the payment experience of consumers.