Cashfree Payments launches CVV-free card payments

Wednesday 21 June 2023 12:52 CET | News

India-based payments and API banking company Cashfree Payments has announced the roll out of CVV-free card payments to enable faster transactions for partner businesses.


CVV-free payments allow customers to experience faster, smoother, and more convenient checkouts for saved(tokenized) cards on major networks such as Visa, Mastercard, and RuPay. By eliminating the need for CVV entry, the checkout process is streamlined, reducing transaction time by up to 5 seconds. CVV-free payments maintain high levels of security, ensuring compliance with the Reserve Bank of India (RBI) regulations.

Cashfree Payments to launch CVV-free card payments to enable faster transactions for partner businesses

How do CVV-free payments work?

CVV-free payments eliminate the need for cardholders to manually enter the CVV, a 3 or 6-digit number found on credit, debit, or prepaid cards. Previously, incorrect manual entry of CVV resulted in payment failures. With this launch, users can select their saved card, enter the OTP, and complete transactions seamlessly, reducing potential payment failure and friction.

Officials from Cashfree Payments said they are happy to introduce CVV-free payments, a game-changing feature that goes beyond user convenience. Credit card and debit card users play a crucial role in the success of digital businesses, contributing significantly to the Indian market. With CVV-free payments, they are reducing friction for cardholders, aligning their payment experience with other popular modes like UPI Intent.

Visa’s representatives expressed their enthusiasm about introducing the revolutionary concept of CVV-free transactions for tokenized cards to Cashfree Payments and the merchants they serve. This advancement offers numerous small businesses and their customers a smooth and secure shopping and transactional journey. They believe that by reducing obstacles, such as the need for CVV codes, transaction success rates will improve, fostering a climate of trust and confidence that encourages businesses to fully embrace the digital ecosystem.

A safe payment method

CVV-free payments are 100% compliant with the Reserve Bank of India (RBI) regulations ensuring highest level of security. The RBI guideline on the Card on File Tokenisation (CoFT) process, ensures enhanced card security by securely encrypting and storing customer's card details with restricted access limited to card networks and issuing banks.

The CVV-free feature will be automatically enabled for businesses using Cashfree Payments’ ‘Token Vault’ solution for tokenization of cards. ‘Token Vault’ is Cashfree Payments’ tokenization solution which enables merchants to provision and save card network tokens effortlessly, thereby helping merchants in staying compliant with RBI guidelines. ‘Token Vault’ offers an interoperability feature that helps businesses who use multiple payment gateways to process tokenized card transactions across any payment gateway and card network of their choice.

The market share of Cashfree Payments

With over 50% market share among payment processors, Cashfree Payments today leads the way in bulk disbursals in India with its Payouts and is also among the leading online payment aggregators. One of India’s largest lenders, SBI, invested in Cashfree Payments, underscoring the company’s role in building a robust payments ecosystem. Cashfree Payments works closely with banks to build the core payments and banking infrastructure that powers the company’s products. Cashfree Payments is also integrated with major platforms such as Shopify, Wix, Paypal, Amazon Pay, Paytm, and Google Pay. Apart from India, Cashfree Payments products are used in eight other countries including the USA, Canada, and UAE.

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Keywords: credit card, debit card, Visa, MasterCard, NPCI, tokenization
Categories: Payments & Commerce
Companies: Cashfree Payments
Countries: India
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Payments & Commerce

Cashfree Payments

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