Follow US Immigration and Life in the US: Mastercard, Visa, and American Express recently announced a proposed framework for new global standards, aimed at enhancing the security of online payments and improving the convenience of shopping via mobile phones, tablets, personal computers, and other smart devices.
This proposed standard will meet consumer demand for payment security and attempts to use "digital tokens" to replace traditional account card numbers for online and mobile payments. With these "tokens," consumers no longer need to enter their actual card numbers when making payments online or through smart devices. "Tokens" provide an additional layer of security and eliminate the need for merchants, digital wallet operators, and other institutions to store card numbers.
Key elements of this proposed standard include: new data fields that provide more information about transactions to improve fraud detection and accelerate the approval process; a consistent approach to identifying and verifying consumer information when using "tokens" instead of traditional card numbers; and the use of unified standards for contactless payments, online payments, and other transactions to simplify processes for merchants.