MasterCard will integrate a fully tokenized checkout experience within MasterPass, using its Digital Enablement Service (MDES), which the company says will allow consumers to shop more securely online.
The digital wallet allows consumers to pay with any enrolled payment card, online or in-app, using any device, without having to enter detailed payment shipping information with every purchase.
It securely stores shoppers’ preferred payment and shipping information and therefore doesn’t require long strings of numbers or details to enter. The “Buy with MasterPass” button is currently found within the website and apps of more than 250,000 merchants globally across sectors such as travel, entertainment, quick service restaurants and retail.
At the request of Issuers enabling MasterPass for their customers, MasterCard will replace the personal account numbers (PAN) for consumer credit, debit, commercial and prepaid cards stored in MasterPass with a secure “token” – a new 16-digit number that represents the existing PAN on the front of a payment card.
The tokens are specific to each bank-connected MasterPass wallet.
“We continue to see exponential growth in online purchases and in the role of connected devices in enabling commerce. Our customers want a simple way to make purchases online which Citi MasterPass delivers, by reducing checkout to just a few clicks,” said Barry Rodrigues, head of Citi Enterprise Payments Solutions at Citi.
He went on to say that integrating tokenization is an important part of the bank’s digital payments strategy that would deliver an extra layer of security for our customers.
“MasterPass enables consumers to pay for the things they want with the security they demand, online or in-app, using any device. In tokenizing MasterPass, we’re creating for consumers a secure ‘digital stream’ directly from their bank which can be connected through the online and mobile banking tools they already know,” said Ed McLaughlin, chief emerging payments officer at MasterCard.
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