Fiserv adds tokenization to be used via Apple Pays service

The functionalities will be available to all Fiserv-processed debit and credit issuers. Fiserv will also enable its Accel debit payments network to support tokenization for its participants.

By supporting tokenization functionalities, Fiserv is set to leverage financial institution clients to play an integral role in the mobile payments ecosystem. For example, tokenization is required for cards to be used through the newly announced Apple Pay service, which will enable mobile payments at a variety of physical and online merchants and service providers.

Tokenization enables additional security for mobile and online payments by creating a digital account number, or token, which acts as a substitute for a consumers personal account number (PAN). Tokens can be used for mobile proximity payments at a physical point of sale, for mobile remote payments such as in-app purchases, and for e-commerce transactions.