Recurring merchants are continually looking for ways to successfully complete ‘card not present’ transactions. The goal is to have this process be as seamless to the customer as possible. One of the best ways to do this is with “Network Tokenization”. Network Tokens are created by the payment schemes to take the place of the original credit card number. Some benefits of using Network Tokens are:
- Tokens will never expire. The token will always be kept valid by the payments schemes and issuer as long as cardholder bank account is open. No more expired cards. If a customer loses their credit card, the token will be updated automatically with the new information.
- Help with fraud. Network Tokens strengthen the security of ecommerce payments. Card issuers have greater visibility around Network Tokens because they participated in creating them.
- This added layer of security has a positive impact on Authorization rates. By saving card data in a secure manner, merchants can offer a more frictionless checkout process.
- Portability. One of the best things about Network Tokens is portability. Merchants need not fear that their tokens will be held hostage by their payments processor. Network tokens can be moved easily whenever a merchant decides to make changes in their payments processing ecosystem.