Payments

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/04/banner1251-5-1.webp" alt="M2P Fintech" title="" id="l0awqi5yp" width="100%" height="356">Swiping a credit card for purchases has been a standard practice for decades. All we need to do is swipe the card, and the transaction is complete. If it is an E-commerce transaction, entering the card details and other requisite information does the trick. And the time taken to complete this happening is mere seconds. But there are many steps between the card swipe and receipt of the swipe. All those actions are an intricate part of how credit card processing happens on the inside.<blockquote class="block-node" id="6mo1864fw">Simplifying Wikipedia’s terms: The Credit card is a payment card used by consumers to pay the merchant in exchange for goods or services. It is a promise between the card issuer and the cardholder to abide by a few drafted financial terms &amp; conditions — the cost of the goods + interest rates or late fees.</blockquote>It is a calculative risk taken by many parties involved in the transaction.From transferring the funds securely to collecting the payment from the user later, it revolves under a virtual promise. So that the importance of understanding credit card processing is to avoid any mishaps.<h2 class="heading-node" id="b7b9">What is credit card processing?</h2>Credit Card Processing is the funnel through which the data related to the Consumer Credit Card and purchase are transmitted from their Credit Accounts to Merchant Account. As consumer uses their credit card to buy a product, a virtual process happens swiftly between many financial participants to allow or decline the purchase.The credit card processing framework is a blueprint that serves as a guide for payments to go in the right direction during the transaction, and when they take a toll, it acts as an investigator.<h2 class="heading-node" id="bab3">Stakeholders in credit card processing</h2>The credit card processing network actively processes millions of transactions with the help of rigid network infrastructure and various stakeholders behind each network architecture.Each task is a mini approval request raised and approved in a circular motion by the financial entities involved in the process.Card Holder:&nbsp;The consumer is the credit cardholder.Merchant:&nbsp;The owner of the online selling platform or the offline store where the goods or services are placed for the consumers to buy.Example: Amazon (online store) Costco HyperMarket (offline store)Payment Processor: These are the companies that communicate and relay information from Consumer’s credit card to both Issuing and Acquiring Bank. All this occurs at lightning speed. Payment processors collect, receive, and accept the payment using a combination of hardware and software advancements. They ensure the security and fraud protection measures in the transactions.Card Network: Visa, MasterCard are the dominant examples of the card network, followed by American Express and Discover. They are virtual payment infrastructure facilitating the communication between merchant and issuer bank. Along with these international players, we have an India-borne network RuPay, launched by NPCI (National Payment Corporation of India).American Express and Discover are also issuers in the credit card industry. Discover also owns and operates Discover Bank. In India, Discover-branded credit cards are seen in collaboration with HDFC Bank and Diners Club International.Issuing Bank:&nbsp;An Issuing Bank (or “Issuer”) is an entity that provides Credit/Debit Cards to customers (VISA, Master, American Express, etc.). It authenticates a customer’s purchase at a store/online site. When a payment is made at a store, funds are transferred from the issuing bank (which authenticates the transaction) to the acquiring bank.Acquiring Bank:&nbsp;An Acquiring Bank (or “acquirer” or “merchant’s bank”) is an entity that maintains the merchant’s bank account. With the help of the acquiring bank, the merchant can process debit and credit card payments, access payment gateways, and receive payments from transacting customers.Any eCommerce entity or a brick-and-mortar store can collect online payments only after signing a contract with an acquiring bank. Once the contract is signed, the merchant can receive online payments, and the acquirer takes care of it on behalf of the merchant.In short, acquirers accept payments while issuers make payments. Also, the Acquirers provide their services to businesses, whereas Issuers offer their services to individuals. Acquirers and Issuers are like two sides of the same coin; though there are subtle differences in how they work, one cannot exist without the other.<h2 class="heading-node" id="92d9">How does credit card processing work?</h2>Credit card processing, which happens in a fraction of seconds, is a complex process in the background. We have tried demystifying the process in 7 simple steps:<img src="https://miro.medium.com/max/1400/1*K9bp4Kbg_HWik1wOxQw9jw.jpeg" alt="Credit Card Processing Flow" title="" width="100%" height="284"><h3 class="heading-node" id="46f4">Consumer confirms purchase</h3>The consumer, who is also the cardholder, confirms the purchase at the POS (Point of Sale) terminal or the checkout webpage of the e-commerce website.<h3 class="heading-node" id="7fec">Consumer submits transaction details</h3>To complete the purchase, the consumer swipes the credit card or submits his card details to begin the payment. The transaction here will follow two flows; if it is a POS transaction, the POS device will read the card information. In the case of e-commerce websites, the consumer enters card details in the payment gateway.<h3 class="heading-node" id="1675">Secured data transmission</h3>There are multiple levels involved in the card data transmission and the purchase amount.<ol class="list-node" id="z0vfnyiw9"><li>Encrypted details sent to Payment Processor-&nbsp;The card reader or the payment gateway passes the transaction information in an encrypted format to the payment processor.</li><li>Payment Processor to Card Network-&nbsp;The payment processor collects and transmits information to the Credit Card Network.</li><li>Card Network to Issuer Bank-&nbsp;The Consumer’s Bank or the Issuing Bank which has issued the Credit Card, receives the information.</li></ol><h3 class="heading-node" id="1ae6">Payment verification by issuing bank</h3>The Consumer’s Bank verifies the availability of sufficient funds for the purchase. It also checks the legitimacy of the purchase. Once all these checks are done, it sends an approved or declined message to the Credit Card Network.<h3 class="heading-node" id="834e">Payment authorization</h3>Authorization response from the Card Network is sent to the Payment Gateway or the Card reader, displaying the response at the Purchase window. Once the authorization is approved, the merchant can deliver goods to Consumer.<h3 class="heading-node" id="665c">Payment processing by acquiring bank</h3>Merchant’s Bank or the Acquiring Bank receives the approved authorizations and credit card payments in a batch from Merchant for settlement. The payments are processed by the Bank on behalf of merchants.<h3 class="heading-node" id="e50a">Payment settlement flow</h3>The merchant bank further raises the Credit Card issuing bank request for batch settlement. The issuing bank, in turn, makes a settlement payment to the merchant bank the following day. Once funds are received by the Merchant Bank; certain amount towards interchange fees, acquirer fee, etc. are deducted before depositing the remaining to the merchant’s account. The settlement process typically takes 2–3 Business days.<h2 class="heading-node" id="ec35">What happens if the card transaction fails to go through?</h2>In case of refunds, payment disputes, or fraud reports, the process begins at the issuer end and then flows to the acquirer. In these cases, too, the issuer will authorize, and the acquirer authenticates. Though the minor details may differ from case to case, the overall process is the same. This activity is also known as the&nbsp;Chargeback process.&nbsp;Here the issuing bank will reverse the transaction in question by withdrawing money from the acquirer and returning it to the cardholder.The merchant can dispute the chargeback through&nbsp;Representment, where the acquirer must gather evidence on the merchant’s behalf to prove the original transaction validity. The issuer will examine the collected facts and offer an outcome supporting either the merchant or the cardholder.<h2 class="heading-node" id="280d">What are credit card processing services?</h2>A credit card processing service handles the data transfer that happens between the card machine and the bank. It processes all kinds of credit card transactions, both offline and online. Also known as&nbsp;Merchant Service&nbsp;Providers, these companies are authorized by card networks such Visa, MasterCard, etc. They help businesses open merchant accounts and manage their daily card transactions for a fee.<h2 class="heading-node" id="3ad2">Credit card processing fees</h2>The whole operation of credit card settlement and processing is notoriously confusing and complex. Still, it’s made easy for a price, and that is your credit card processing fees. This amount is charged to the merchant based on the payment processor he is using.Payment processors like the fintech providers who provide the payment infrastructure in the selling platform are the ones that collect this fee. It is then split among the other active players in the credit card processing framework.Credit card processing fees are broken into<ol class="list-node" id="5i5ncnxcm"><li>Interchange:&nbsp;The commission fee that goes to the issuer bank, non-negotiable.</li><li>Assessments:&nbsp;The commission fee that goes to the card network brand, non-negotiable.</li><li>Markup:&nbsp;The commission fee that goes to the payment processor, negotiable.</li></ol><h2 class="heading-node" id="f95c">Payment processing technologies</h2><img src="https://miro.medium.com/max/1400/1*jEPc3qSRo-kXAHW_35lr0w.jpeg" alt="Payment Processing Technologies" title="" width="100%" height="284">Payments are sensitive everywhere. Lose a tooth nobody cares but lose a penny in the transaction everybody loses their temperance.It is essential to place your business into the next generation of the digital world that demands trust, fast, easy, and scalable fintech solutions. Only when your chosen payment processing technology can act as more than an enhancement can one survive the competition.To process a credit card, settle the credit card funds, and secure the payment process, the fintech industry caters to the technology accordingly. Irrespective of online or offline stores, payment processing, needs to happen few seconds to place an active bet in the competition. And here are some of the technologies<ul class="list-node" id="gt7lqlsep"><li>Mobile POS terminal (mPOS)- It is a device used at stores for retail card transactions</li><li>Payment Gateway- It is the key component of the payment processing system, and it sends the customer information to the acquirer</li><li>Real-Time Payments (RTP)- As the name suggests, RTP payments are initiated and settled almost instantly. Ideally, this technology is available 24*7*365</li><li>Mobile Wallets- It is a virtual wallet that stores an individual’s card details on a mobile device. They are used to make payments without the need for a physical card.</li><li>Blockchain in Payments- It is a promising tech for payment processing. Many companies worldwide are exploring its potential in the same.</li><li>NFC/Contactless Cards- NFC is available in smartphone payment gateways. It allows users to store multiple card data on their mobile, thereby reducing the need to carry cash.</li></ul><h2 class="heading-node" id="3bfc">Conclusion</h2>I know this is a lot to take in. We wish for an easy backend process, too, with fewer complications involved.However, that’s a job for us to worry about while you think only of choosing the right credit card processing system. The only thought you should have is about bringing in a suitable payment processor to make your credit card transactions occur in a fraction of seconds for a lower fee.Want to know more on this? Write to us at business@m2pfintech.com.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

Credit Card Processing - A Definitive Guide

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/04/banner1251-7.webp" alt="M2P Fintech" title="" id="47w9r0aue" width="100%" height="447">Over the past few years, we have been witnessing ongoing digital advancements, ranging from communication to the way we transact. Out of these advancements, cashless transactions are reigning supreme and are further fueled by this raging pandemic. They have taken over traditional payments and banking practices.Also, there is a multitude of payment options available today. Major players such as Google Pay, Apple Pay, PayPal have access to sensitive user data stored across international servers. These actions led to many raising their voice about user data security and privacy.Being a global concern, RBI brought forth the concept of Data Localization to protect user data from potential threats.<h2 class="heading-node" id="909f" style="text-align: justify">What is data localization?</h2>Data protection created a buzz way back in 1993 when Public Records Act ensures the data transfer is restricted outside India for security purposes from surveillance of other countries.<blockquote class="block-node" id="gvz0ve27e">Data localization is the act of storing citizens’ data within the country’s geographical boundaries to avoid any foreign accessibility.</blockquote>It also plays a crucial part in the government’s cloud computing policy.<h2 class="heading-node" id="a1d6" style="text-align: justify">RBI guidelines on the data localization Policy</h2>Reserve Bank of India (RBI) issued a circular dated April 6, 2018, stating that all authorized Payment System Operators (PSOs) in India to ensure that the data related to payment systems such as customer data, payment sensitive data, payment credentials, and transaction data should be mandatorily stored within India itself under the Payment and Settlement Systems Act, 2007.A deadline of six months was tagged along with the data localization policy. Since the payment ecosystem has ballooned in the last few years, RBI was pushed to undertake this crucial step in protecting consumers’ data.All payment firms, including American Express, Master Card/Visa, PayPal, Google Pay, WhatsApp Pay, Paytm, and Phone Pe, should adhere to the RBI’s data localization rule. Subsequently, RBI insisted system providers for unfettered access to all data on complete end-to-end transaction details/information collected/carried/processed as part of the message/payment instruction by submitting Audit Report (SAR) conducted by CERT-IN.<h2 class="heading-node" id="b109" style="text-align: justify">As per RBI’s data localization policy...</h2><ol class="list-node" id="2v2w7zt70"><li>There is no bar on payment processing outside the country, but post-processing, the data should be deleted from the foreign systems and brought back to India not later than the one business day or 24 hours from payment processing, whichever is earlier. The same should be stored only in India.</li><li>However, any subsequent activity such as settlement processing after payment processing, if done outside India, shall also be undertaken/performed on a near real-time basis by storing it only in India.</li><li>In case of any other related processing activity, such as chargeback, etc., the data can be accessed, at any time, from India, where it is stored.</li><li>RBI’s prior approval is necessary for sharing the payment system data with overseas regulators.</li><li>The banks operating in India must strictly adhere to the storage norms.</li><li>Exceptionally, a foreign leg of a transaction is permitted to store their banking data abroad. However, the domestic payment transactions should be stored only in India along with the details which include end-to-end transaction, payment, and settlement transactions — customer name, mobile number, e-mail address, Aadhar card number or PAN, beneficiary details, and payment credentials like One Time Password (OTP), PIN and passwords.</li><li>For cross-border transactions that include data with a foreign and domestic component, a copy of the domestic component may be stored abroad, if required.</li><li>System providers were given six months to ensure the directive’s compliance and report the same to RBI.</li></ol><img src="https://miro.medium.com/max/700/1*UWIdZTi2f31G70qkfQJqLw.png" alt="An image representing the RBI Data Localisation Policy" title="" width="100%" height="349">The RBI guidelines on storing payments data provoked a noteworthy impact on Payment System Operators. Indian payment firms, viz. Paytm, PhonePe, and MobiKwik backed the RBI regulations on data localization policy in protecting citizens’ data and restricting any foreign accessibility.But the representatives of top leading companies such as Amazon, Flipkart, Google, Microsoft, Facebook, and American Express met with government and RBI officials to raise concerns regarding the stringent nature of this policy (2019).Later the Indian government took the responsibility to determine the category of data to be stored locally. This categorization ensured that the data is not misused by various companies, which involves transferring it to third-party providers.<h2 class="heading-node" id="f733" style="text-align: justify">Personal data protection bill</h2>The Personal Data Protection Bill (PDP Bill) applies to the processing of personal data by the companies registered in India, foreign companies dealing with personal data of individuals in India, and the Indian Government. The PDP bill categorizes the collected data into three categories:<ul class="list-node" id="0gtvgf1gh"><li>Personal data,</li><li>Sensitive personal data and</li><li>Critical personal data.</li></ul>The PDP bill is not applicable for the processing of anonymous data.The PDP bill proposed to store sensitive personal data and critical personal data in India. However, it permits the processing of sensitive personal data by transferring it to outside of India in certain cases provided that at least a copy of that data continues to be stored in India and explicit consent is needed for the same. Whereas critical personal data can only be stored and processed within India.<h2 class="heading-node" id="e7e0" style="text-align: justify">The impact on payment industries</h2>Multinational payment systems located in India faced a major impact after the RBI’s intervention on Data Localization. Popular foreign credit card companies such as Visa and Mastercard missed the strict six-month deadline set by the RBI (2019). Usually, International payment companies store their data on global servers, but this rule made them store data locally with an additional investment.India is the fastest-growing market for mobile apps and digital banking. The Indian start-up companies in the FinTech sector often go through the toughest challenge of outsourcing technical support and shifting from cloud services to cheaper and cost-effective services.Data Localization Policy will prohibit these start-ups from opting for cost-effective cloud service providers globally and choose localized alternatives, which ends in high operational costs. But this will be a fruitful drift that leads to shielding of payments data from identity fraud and other digital breaches associated with it.<h2 class="heading-node" id="3200" style="text-align: justify">The current scenario</h2>RBI reiterated its stand on data privacy by issuing a circular stating that from April 1, 2021, all Payment system operators to submit a compliance certificate duly signed by their CEOs or Managing Directors on a half-yearly basis adhering to the RBI’s regulations on securing payments data.This again triggered an active interest in RBI’s continuous intervention on securing and continuously monitoring the data to avoid any future risks to the country. With the advancements in the digital economy, financial data security is a must for the country’s economic growth and development.Want to know more about data localization? Write to us at business@m2pfintech.com<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

Decrypting RBI Data Localization Policy for Payment Companies

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/Artboard-1-copy-7-4.webp" alt="M2P Fintech" title="" id="z6xoivwf2" width="100%" height="356">The fintech industry is a big ocean where one gets easily lost if unaware of the operational standpoint of digital solutions. It has so many entities built with innovative ideas, frameworks, and processes that offer high scope to elevate the business to different levels.Among the pool of technology offered by the fintech world, payment solution is the essential competitive niche with robust ideologies already in action.The statement&nbsp;Payments are happening in the air&nbsp;is surreal because of the customized payment solutions popping out from every nook. These customized payment solutions are powered by two little, but mighty players called the Payment Gateway and Payment Switch. Though invisible to the human eyes, this duo is at the center of every scalable payment method that today’s banks and businesses are trying to deploy for a niche customer experience.<h2 class="heading-node" id="5533">What is a Payment Gateway?</h2>A payment gateway is a tool that potentially takes care of the transaction process end-to-end, covering security to settlement. Payment gateway, also known as the facilitator of the payment, is an online digital cashier who charges, verifies, collects cash, and hands over the deliverables.Payment Gateway is developed and launched by fintech’s to allow the merchants (businesses) to accept the payments in their selling platform, online or offline.They are third-party software sitting between businesses (merchant selling platform) and issuing bank account. This software creates a pathway in which the user (customer) can submit his/her sensitive information (card details, passwords, PINs) to the merchant in exchange for the promised goods.The payment gateway validates the submitted information, checks for the fund availability, deducts the fund. When the products are shipped or handed over, the fund is moved to the merchant account in 1–2 business days.<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/Artboard-1-copy-10-3.webp" alt="M2P Fintech" title="" id="ueyc1wyvd" width="100%" height="284">The powerful coding lines in the payment gateway enable the user to request a payment transaction within the seller platform. It assists the transaction process by executing the following steps,<ul class="list-node" id="qof5gk3a6"><li>Accepts the payment request</li><li>Verifies the user card details or submitted account details</li><li>Check for the fund availability</li><li>Processes the transaction</li><li>Transfers the fund to the acquirer bank account (merchant bank account)</li></ul>In simple terms, the software allows the smooth transaction between the issuing bank account and the acquirer’s bank account.<h2 class="heading-node" id="29e9">Benefits of a Payment Gateway</h2><ol class="list-node" id="bcxfx2siy"><li>Allows millions of users to perform a transaction with the merchants</li><li>Reduces the fraudulent services in online payments with various authentication steps like OTP, CVV, or CCV</li><li>Allows multiple payment options like a credit card, net banking, mobile wallet, or digital transactions.</li><li>Easy report generation, reconciliation, and settlement for accounting frameworks.</li></ol><h2 class="heading-node" id="5679">What is a Payment Switch?</h2>Payment switch is also a technology but embedded into the payment gateways. It is an independent entity that conveniently sits inside the payment gateways to assist the <a class="link" href="https://m2pfintech.com/blog/future-of-payments-processing-matched-with-industry-needs/">payment processing</a>.Being an OLTP (online transaction process tasks) a payment switch takes care of all the nuances inside a transaction. Suppose the payment gateway is a founder who oversees the transaction. In that case, the switch is the executive who does the actual payment processing tasks.In a payment gateway, there are multiple merchant accounts boarded with their bank (acquirer bank). So, when a payment request comes from a merchant selling platform, switch dynamically identifies the acquirer bank (associated with that merchant) and the issuing bank of that specific request through <a class="link" href="https://m2pfintech.com/blog/the-bin-migrationpreparing-for-8-digit-bins/">BIN</a> allotment and then permits the transaction to happen securely.BIN allotment is one among many ways for the payment switch to route the transaction. It also supports routing by amount, routing by the time of the day. Once it receives the message from the issuing bank, it formats and sends back the response to the acquirer.The payment switch is a flexible entity accepting the payment request from the payment gateway and beginning the transaction steps.<ul class="list-node" id="5zkz91mvg"><li>Accepts the validated payment request from the PG</li><li>Reads the merchant rules for the transaction process</li><li>Identifies the PSP for that particular payment request</li><li>Routes (switches) the transaction based on a BIN allotment for a specific PSP associated with that payment request</li><li>Processes the transaction based on failure or success</li></ul><img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/Artboard-1-copy-9-1.webp" alt="M2P Fintech" title="" width="100%" height="284"><h2 class="heading-node" id="h40nrxm4e">Benefits of a Payment Switch</h2><ol class="list-node" id="ccsypcdsi"><li>Highly Scalable</li><li>Dynamic Routing</li><li>Fewer outages’ issues</li><li>No more connectivity time out</li><li>Secure and eliminates the fraud risks because of the encrypted BIN allotment</li><li>Allows extension of payment networks</li></ol><h2 class="heading-node" id="eeqyxyhej">Payment Gateway vs. Payment Switch</h2>In the whole payment ecosystem, payment gateway and payment switch are the two variables that have become the atom to all the online and offline businesses appending banks. The two entities are not different but not the same too. They are embedded onto each other to reduce downtime and outages.It is easy to confuse both and interpret them as one, but it is not. Although on a bird’s view, the operations of both are alike, the underlying subtlety in the payment processing tasks differentiates payment gateway from payment switch.<h2 class="heading-node" id="2280">How do they work together in sync?</h2>Payment gateway and Payment switch work together in a fashionable way enabling faster, safer, and dynamic transactions. At a fraction of a second, the payment gateway can process more than a million transactions because of the flexible switch. You can imagine a payment gateway as the train track, and the payment switch is the railroad switch to change train routes. Just like the railroad switch guides the train to their proper destinations, the payment switch guides the transaction process to the right acquirer’s place.<blockquote class="block-node" id="u3fmyga0u">One platform, multiples payment requests, no mishaps, no outages, and no time outs — all possible because of payment switch.</blockquote><h2 class="heading-node" id="q8g6rg92k">What is the future of both?</h2>Payment switches will not go away because banks face intense competition to bring the topmost secure and faster payment methods. Payment initiatives will take the revolution road only till the switch exists.However, the future remains unpredictable (after what 2020 has taught). So, maybe the end might eliminate the switch and bring in a more robust payment gateway technology.In retrospect…The switch will be the payment gateway and grow as a monopoly in the payment ecosystem.Since owning a switch needs BIN allotment, the regulations charges are heavy; also, the technology requires a fast server with 24*7 hours access.But the real question for our thought here is, what if AI intelligence operations are allowed into payment technology. Then the game changes — switches will get a complete upgrade. But the future is yet to be witnessed.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

What is a Payment Gateway and Payment Switch?

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/banner-1-1.webp" alt="M2P Fintech" title="" width="100%" height="358">Payment Tokenization — One technology to make all the stakeholders of digital transactions happy!<blockquote class="block-node" id="pcv6p2tv7">“Tokenization market worth is estimated to be $4.8 Billion by 2025.”-&nbsp;Markets and Markets</blockquote>Simply put, the word “Tokenize” means substituting, and it is an ingenious concept introduced in 2005 by Shift4payments to protect cardholder data. It factored in data security at its core and is now a popular term due to the surge in online transactions.In fact, a token is a concept that has been long around; for example, the coins that we buy in the gaming arcade or a casino have no value outside the premises. But inside the building, you get to buy your stakes or favorite superhero toy. Likewise, tokens replace or mask the sensitive data in the online transaction by replacing it with random alphanumeric characters.By enabling payment tokenization, the merchants and networks can move data without the hovering threat of payments fraud or identity theft. Tokenization helps in finding a perfect balance between “data security” and “user experience.”<h2 class="heading-node" id="5806" style="text-align: justify">What is ‘Tokenization’ in payments?</h2>In the world of payments, the card account number is masked by a single-use randomized alphanumeric character of the same length. This camouflage is called tokenization in payments. Meaning, each account number is now a ‘Token’ representing the original confidential information. In contrast, the actual data is stored safely in a digital token vault.It is also referred to as ‘Credit Card tokenization’&nbsp;interchangeably. It helps in removing the credit card information from the internal network or database. The concept is more popular with <a class="link" href="https://m2pfintech.com/blog/credit-card-processing-a-definitive-guide/">credit cards</a> as it involves a higher magnitude of the fraud.<h2 class="heading-node" id="8f6f" style="text-align: justify">Why do we need Payment tokenization?</h2>Pandemic fostered digital transactions at a faster pace than ever before indeed. As there is an increase in digital commerce, businesses came up with enhanced solutions that facilitated online transactions to confront consumer preferences.Improved digital transactions put security under question. While the consumers are worried about their sensitive data being visible to many online platforms, the merchants fret about losing loyal customers.‘Tokens — the trustworthy representatives,’ alleviates these roadblocks effectively as the original data (ex: credit card number) never reaches the merchant’s server. The merchants enjoy retaining the customers without compromising the reputation while staying <a class="link" href="https://m2pfintech.com/blog/pci-dss-the-payments-armour/">PCI-DSS</a> (Payment Card Industry Data Security Standard) compliant.<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/int.webp" alt="M2P Fintech" title="" id="92tjhlk3p" width="100%" height="358"><h2 class="heading-node" id="aa74" style="text-align: justify">How does Payment Tokenization/Credit Card tokenization work in action?</h2>Tokenization is not a costlier technology as it sounds. Any organization can adopt it irrespective of the structure and size. It is ideal for organizations that cannot afford to spend more on sophisticated encryption algorithms or infrastructure to secure the data.Let’s see an example,<ul class="list-node" id="a9ehiej48"><li>Sara orders a pair of sports shoes on Amazon. After choosing all her preferences, she reaches the payment section.</li><li>She enters the sensitive data on the portal (credit card number, cardholder name, etc.)</li><li>This goes straight to the tokenization server without storing any data in the amazon application’s server</li><li>There are many tokenization providers in the market like Fiserv, Mastercard, American Express, TokenEx, 3D Delta Systems, Meawallet, etc.</li><li>Then it reaches the token vault, where the original data is secure. It, in turn, returns a&nbsp;token&nbsp;of randomized alphanumeric representation of the same length.</li><li>This has no relation to the original data, like in the typical&nbsp;‘data encryption&nbsp;process. The actual data is contained within the ciphered text. Tokens are, in general, generated by mathematical algorithms.</li><li>This token is now passed to the merchant’s acquirer bank, and this bank passes the token to the credit card network.</li><li>Then the card network processes the token and maps it to the customer’s account number, authorizes and passes it to the issuing bank.</li><li>The issuer bank now authorizes or denies the transaction based on the fund balance.</li><li>After the successful transaction, a unique token returns to the merchant.</li><li>Amazon now has no record of Sara’s sensitive original information but her tokens. In this way, Amazon can enable Sara to make one-click payments the next time she shops.</li></ul>It is evident that&nbsp;tokenization checks all the mandates of refined digital transactions. Sara is now happy with her brand-new sports shoes while securing her data in the vault. Getting the data from the vault is not an easy piece of cake. It requires multiple authentication levels, service charges, etc., to verify if a trusted party raised it.<h2 class="heading-node" id="4357" style="text-align: justify">Then it also brings forth the question is Tokenization and Encryption one and the same?</h2>The answer is definitely no.The tokenized data cannot be reversed to reveal the original card number. In contrast, encryption takes a card number, transforms it into ciphertext by running it through an algorithm. To unlock the ciphertext, it has to be decrypted using an encryption key.On the other hand, tokenization uses no algorithm or requires a key to unlock the original data.<h2 class="heading-node" id="b70f" style="text-align: justify">Does Credit Card Tokenization impact a change in the payment process?</h2>No.The end-user will not find any difference in their transactions even after the implementation of tokenization. The entire process happens at the backend without intervening in the user experience. Tokens are generated online and eliminate the need to wait.<h2 class="heading-node" id="744e" style="text-align: justify">Why is Payment Tokenization a ‘Fintech Asset’?</h2>The boom of technology in the Financial services domain has been rapid in the past decade. Card-less transactions, <a class="link" href="https://m2pfintech.com/blog/remittance-with-upi-a-giant-leap-for-cross-border-payments/">UPI payments</a>, <a class="link" href="https://m2pfintech.com/blog/what-is-a-payment-gateway-and-payment-switch-understanding-the-basics-of-payments-architecture/">Payment Gateways</a>, etc., increases online consumers each day. As we enjoy the perks of digital banking with one-click transactions, we cannot deny the fact that our data is vulnerable to “Social Engineering.”Social Engineering is everywhere. We may fall into the trap of hackers and leave a lot of confidential information during digital transactions. There are multiple intrusion points for the hackers to lure in when the transactions float over the network and wipe away our savings.Given this scenario, tokenization is indeed an asset to Fintech. Because even if a hacker tries to sneak into the network, all he can find is randomized alphanumeric and characters with no relation to the original data (PAN number, credit card number, etc.)It is expensive for merchants to become <a class="link" href="https://m2pfintech.com/blog/pci-dss-a-quick-guide-to-its-levels/">PCI DSS</a> compliant and qualify themselves as a trustworthy eCommerce merchant for the consumers. They have to undergo a lengthy auditing process, and it is an ongoing process. With the help of&nbsp;‘Tokenization,’&nbsp;merchants can save a hefty amount of money as the scope of <a class="link" href="https://m2pfintech.com/blog/pci-dss-the-payments-armour/">PCI DSS</a> compliance is reduced in storing the user’s confidential information.Apart from banking,&nbsp;‘credit card tokenization’&nbsp;builds confidence among the investors as it secures the money with ease. We could see the boom of Blockchain technology-based fintech solutions gaining momentum across the nations.&nbsp;“Tokenization”&nbsp;is also seen as the key to drive blockchain implementation in the future by accompanying cryptocurrency transactions.Finally, it also offers substantial benefits to all stakeholders involved in the transaction:<ul class="list-node" id="nexhxh9e5"><li>Issuers witness a notable decrease in payment fraud in both channels of online and mobile transactions.</li><li>Acquirers, merchants, and processors experience a lower risk of accessible, sensitive cardholder data if compromised by cyber attacks.</li><li>Merchants will wield a powerful mechanism that lets them innovate better retail experiences minus the responsibility of storing and handling sensitive data.</li><li>Customers need not enter their details every time they make an online purchase from smartphones, tablets, or PCs.</li></ul>Payments tokenization makes all the parties — consumers; merchants; payment gateway providers, banking institutions, regulatory bodies feel safe, secure, and happy with their buying and selling processes.Tokenizing confidential data makes way for turbulence-free secure digital transactions!<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

How Does Payment Tokenization Work?

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/banner-1.webp" alt="M2P Fintech" title="" width="100%" height="529">On April 7, the Reserve Bank of India made several key announcements concerning <a class="link" href="https://m2pfintech.com/blog/disruptive-business-enablers-prepaid-payment-instruments-ppis/">Prepaid Payment Instruments (PPIs)</a> at the Monetary Policy Committee (MPC) meeting. These measures could potentially impact the banking/FinTech sector and bring about changes in Digitalization and <a class="link" href="https://m2pfintech.com/blog/fintech-a-catalyst-for-financial-inclusion/">Financial Inclusion.</a><h2 class="heading-node" id="04b0" style="text-align: justify">Interoperability of digital wallets is now mandatory</h2>All full-KYC PPIs and Payment Acceptance Infrastructure must be compulsorily interoperable.<a class="link" href="https://m2pfintech.com/blog/why-payments-interoperability-is-a-must-for-todays-generation/"> Interoperability</a> through <a class="link" href="https://m2pfintech.com/blog/upi-the-driver-of-economic-growth-and-inclusion/">UPI</a> among digital wallets was already achieved by RBI back in 2018, but it wasn’t a very widely used method for payment transfer. Now to extend the reach of digital rails, interoperability through UPI or otherwise, has been made a mandatory feature.<h2 class="heading-node" id="b0ff" style="text-align: justify">Increase in permitted outstanding balance</h2>A payments bank can now raise the limit of the end-of-day balance to INR 2 lakhs (previously INR 1 lakh). This move is to incentivize PPIs to move to a <a class="link" href="https://m2pfintech.com/blog/know-your-customer-kyc-the-need-for-authentication/">full-KYC</a> structure and interoperability. The new move is expected to encourage financial inclusion of a wider customer base.<h2 class="heading-node" id="eda2" style="text-align: justify">Cash withdrawal from digital wallets</h2>Digital wallet holders can withdraw cash from their prepaid wallets at ATMs and/or swipe to pay at retail establishments. Previously, cash withdrawal was allowed only for full KYC PPIs issued by banks. The recent move brings uniformity among PPI players and bolsters the banking infrastructure, particularly in underserved areas. Bringing wallets at par with Bank Accounts in terms of service offering.<h2 class="heading-node" id="d9bb" style="text-align: justify">RTGS and NEFT enablement</h2>It is proposed that PPI issuers, card networks, White Label ATM operators, and Trade Receivables Discounting System (TReDS) can now take membership in CPS (Centralized Payment Systems) and access Real-time gross settlement (RTGS) and National Electronic Funds Transfer (NEFT). It was previously restricted to banks. This move is expected to improve the services of PPI issuers to their customers and minimize settlement risk.<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/06/image.webp" alt="M2P Fintech" title="" id="tbptd8z27" width="100%" height="529"><h2 class="heading-node" id="3a06" style="text-align: justify">What does it mean for the Banking sector and FinTech?</h2>Through these recent announcements, the RBI has opened up the extent of Banking services, to larger FinTech players. It is expected that this move will help relieve stress on traditional banks that cater to a wide base with limited legacy technology.FinTech players can take over the load, offer banking services (except credit offering) on par with traditional banks, and penetrate underserved areas of India. It will further increase the penetration of digital payments in the country especially the Tier-3 to Tier-6 centers. According to RBI, these new guidelines will promote the optimal utilization of Payment Instruments like wallets, cards, etc. as infrastructures such as PoS devices, ATMs, QR Codes and Bill-payment touchpoints are still scarce.Though banks will continue to handle the crucial aspect of lending, it will be interesting to see how PPIs, wallets, and other payment systems will now compete in the banking ecosystem. It will be an evolving process for Fintech companies who are partnering with the PPI license holders to issue co-branded prepaid cards for providing loans to their customers. The array of services that these FinTech’s offers will diversify and they will be able to ensure user satisfaction by providing <a class="link" href="https://m2pfintech.com/blog/neo-banking-101-all-you-need-to-know/">Neo-banking</a>-like facilities.These announcements acknowledge the capabilities of FinTech players and the gaps in the system that they can effectively fill. This is also an endorsement of the enormous potential of the industry. It remains to be seen how payment companies ride this wave, innovate, and offer end-customers seamless payment experiences.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

RBI’s new guidelines for PPIs. How will it impact the FinTech industry?

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/06/Artboard-1-2.webp" alt="M2P Fintech" title="" id="jc4mjh9mq" width="100%" height="479">Henry, an accountant, always takes the train on his way to the office. That particular day, he missed his usual cut-off time of leaving home and had to rush to the train station. He was terribly late for work and didn’t have a minute to swipe the card or scan the code to pay for his ticket. Then, Henry reaches the terminal and just places his index finger to purchase the ticket and proceeds to catch the train.<blockquote class="block-node" id="8ek6i7u3q">Sounds like a scene of a sci-fi movie, right? What if I tell you this is happening right now?</blockquote>Well, that is biometric authentication, where an individual’s unique physical traits are captured and stored by electronic devices. The captured information will be used to authenticate the individual’s identity when making a purchase.It is no secret that we often struggle to remember our passwords or PIN numbers. So, we resort to having our birthdays or our name as our password or PIN. Ironically, this also means we leave our sensitive data out in the open.With the global adaptation of <a class="link" href="https://m2pfintech.com/blog/the-rise-of-digital-payments/" target="">mobile payments</a>, the pressing need for a more secure system, as opposed to the existing authentication systems, is on the rise. Fingerprint scanning, iris recognition, and facial recognition are some of the biometric systems now in place.It does come with a slew of advantages like higher security, improved customer experience, and customer retention. But, on the flip side, the concern of personal information, especially one’s unique traits being out in the open, is a problem. Also, installing biometric systems requires a considerable investment that often retailers shy away from.<h2 class="heading-node" id="5a9a" style="text-align: justify">What does the future hold?</h2>Biometric adoption will be the future of the payment industry. And it is an innovation-driven by institutions and individuals wanting an upgrade from password/PIN input. Right from wearables to injectable chips, the idea of biometric authentication seems to have taken root.The world of payments keeps evolving with many futuristic trends in payment processing every day. <a class="link" href="https://m2pfintech.com/blog/future-of-payments-processing-matched-with-industry-needs/">Explore more.&nbsp;</a>It looks as if the future is just a step away………. Or rather a scan away.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox.Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

Explore the future of payment authentication — Biometric

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/06/Artboard-1-copy-7-11.webp" alt="M2P Fintech" title="" id="avpoofk1v" width="100%" height="661">Today’s consumers use mobile apps and ecommerce sites for their shopping needs. Right from festive shopping to weekly grocery needs, online is the place to go.In fact, the first online marketplace evolved in the 1990s to buy and sell used goods. And now it has become a necessity, given the current situation. Nevertheless, it paves the way for online fraud as well.Given the right code, anyone can hack and gain access to your card information and relieve you of your funds. So, the question remains: How to make online transactions&nbsp;much safer?Well, fret not! We have got you covered through Virtual Cards.What is a Virtual Card?Virtual cards are <a class="link" href="https://m2pfintech.com/blog/payment-cards-design-made-simple-heres-what-you-need-to-know/">payment cards</a> available only in the digital format. The 16-digit electronic cards come with a custom spending limit and can be instantly issued. They are usually valid for a short period.<blockquote class="block-node" id="qoe6auwbb">The specialty of virtual cards is that your debit or <a class="link" href="https://m2pfintech.com/blog/credit-card-processing-a-definitive-guide/">credit card</a> number or primary account information is not shared with the merchant, thereby shielding you further.</blockquote>In India, virtual cards are limited to eCommerce transactions and can be used only once. However, globally, they are used for online and offline transactions and are available as single-use or multi-use cards.<img src="https://miro.medium.com/max/1400/1*oMH4iJh7mu7R7FfW25U1nw.png" alt="M2P Fintech" title="" width="100%" height="317">Available as a one-time use or as a recurring card<h2 class="heading-node" id="73a2" style="text-align: justify">How do virtual cards work?</h2>In addition to physical cards, banks also issue virtual cards, usually when the customer requests them.A customer who holds a primary account with a bank can apply for any number of virtual cards.To create a virtual card, you need to provide your name, existing debit or credit card number, and card limit. Upon successful OTP verification, you would be shown the cardholder name, virtual card number, expiry date, CVV, and card limit.When you purchase online using the virtual card, PIN and password are sent to your registered email or mobile number. The card will expire as soon as you complete the transaction, and the unused amount will be transferred back to your account.Suppose you haven’t purchased anything within the valid date, the entire amount will be refunded to your account.An extra layer of security and privacy<blockquote class="block-node" id="d0brlx9pn">For every online transaction, a new virtual card number is generated and provided to merchants.</blockquote><img src="https://miro.medium.com/max/1400/1*Kyo4Ll49opChIvJtk7eMRQ.png" alt="M2P Fintech" title="" width="100%" height="317">Even when the fraudsters access the temporary virtual card info, the primary card or the underlying account is not exposed.So, you need not worry about unauthorized charges or a hacker gaining access to your account. Moreover, you can freeze or cancel the virtual card and get your money back.How corporates achieve smarter ops with virtual cards?Melon is a consumer product company that sells trek cycles for adventurers. Meera heads the marketing team, and Krish leads the sales team. It’s no surprise that both the teams use a ton of SaaS subscriptions.It was month-end, and Meera was busy analyzing the marketing budget spends. She suddenly got a call from Rintu, reminding her to reimburse the travel expenses during their H.Q. visit.Another colleague pinged her to pay off the subscription fees. As Meera was quite busy, she shared her card info to them for reimbursement and renewal payment.<img src="https://miro.medium.com/max/1400/1*TeLOCkiZATW4mgqeS6Bq_g.jpeg" alt="M2P Fintech" title="" width="100%" height="317">Offer dynamic spend control and expense categorizationMeanwhile, she noticed that Krish’s teammates were paying their expenses using individual cards. She later learned from Krish that his team has partnered with its bank and a Fintech firm and initiated a virtual card program.<blockquote class="block-node" id="ol4xf6yj5">All team members had their own Digi cards, and Krish controlled the card’s spending limits. From trips to subscriptions, they had cards for each category.</blockquote>Meera thought virtual card as an excellent solution since it gave a 360° understanding of expenses. She discussed it with her team and implemented a new program.What makes virtual cards preferable?These programmable virtual cards offer intact visibility on spending, authorize transactions in real-time, and comes with increased security.Powered by <a class="link" href="https://m2pfintech.com/blog/the-world-of-apis-how-they-power-fintech/">open APIs</a> platforms, they have many defining features that give them an edge over traditional cards.<img src="https://miro.medium.com/max/1400/1*PslqLLEkZHT4K6liBJZo9A.png" alt="M2P Fintech" title="" width="100%" height="317">Virtual card featuresWhat does the future of virtual cards hold?In India, several banks have already collaborated with many fintech partners and have launched many invaluable programs. Globally, virtual cards have also experienced tremendous growth in the past five years and will continue to boom.P.S. For those keen on how virtual cards began, here’s a fun fact —&nbsp;The travel industry was the first to pick up this splendid product. It needed a safe international fund transfer and excellent expense management solution back then.To know more about virtual cards, write to us at business@m2pfintech.com.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox. Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.

All You Need to Know About Virtual Cards

<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/05/Artboard-1-copy-8-16.webp" alt="M2P Fintech" title="" width="100%" height="383"><blockquote class="block-node" id="taxe2h50t">UPI transactions clock 1.61 billion transactions worth Rs 2.98 trillion in AugustDigital payments up by 23% with transactions valuing at a record high of $113.4 Trillion</blockquote>Source- Business Standard<blockquote class="block-node" id="osu78ucl8">India will provide approx. 2.2% of the world’s digital payment by 2023 — Pwc &amp; PCI</blockquote>Amazing right! In the race between digital payments vs. cash, the former is definitely taking the lead. Right from a cash-dependent economy to cashless transactions, we slowly see the shift. This trend is now fueled by the pandemic, COVID-19. Starting right from cards to UPI, digital payments have taken over in both online and offline methods. Nevertheless, UPI payments are setting up a record high as 1.61 billion transactions.But this is not the first time that digital payments have seen a spike in our country. The history-defining move of Demonetization brought digital payments to the fore. Many opened bank accounts or started using their bank accounts for depositing their cash reserves. Incidentally, it also prompted many to dust their debit cards.Soon, several incentives and schemes were introduced to encourage this transition. Also, the year 2016 saw a significant milestone with the introduction of UPI in August. Coupled with the availability of the internet, digital payments had the right boost. Starting from grocery stores to street vendors, UPI, and other modes of digital payments had taken root.<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/06/Artboard-1-copy-10.webp" alt="M2P Fintech" title="" id="ah9a6k969" width="100%" height="383">It was a great learning curve, with many technology players coming to the forefront. Innovating payments and user experience became a priority. But after a while, the spike plummeted as currency notes and coins rose in circulation.Now, the onset of the pandemic and nation-wide lockdown has made people embrace digital payments. The pandemic has also brought forth a two-pronged result where businesses are going digital, and some are losing their footing. But, the retail section seems to have stayed afloat by going digital. So, what took four years to adopt is now the norm within months of lockdown. With new customers on the rise, merchants are currently searching for tailored and localized payment solutions.COVID has pushed people to adopt online shopping where digital payments rule and cash on delivery is frowned upon. Even those who are tactile by nature are now supporters of online shopping. Online grocery shopping is now on an all-time high with e-commerce spearheading the cause.<img src="https://m2p-website-file.s3.ap-south-1.amazonaws.com/m2p-website-file/marketing-cms/m2p-blog/2022/06/Artboard-1-copy-9.webp" alt="M2P Fintech" title="" id="s6b81zced" width="100%" height="383">So, it puts forth the question of how digital payments got back their spotlight?COVID has made people wary of physical contact, so digital payments were the only solution. Also, here are a few more points that answer the above question:<ol class="list-node" id="erdc35dw2"><li>It requires minimal or zero contact. Minimal contact if it is cards and zero contact if paying through UPI or mobile wallets.</li><li>You don’t need to carry a loaded wallet as right from cab drivers to popular stores, digital payments are available.</li><li>Forget rummaging around for change; your card or wallet will let you pay the exact amount.</li><li>It is there 24/7, and you don’t need to spend long hours outside the ATM standing in those social distancing circles patiently waiting for your turn.</li></ol>Recently, a study conducted by The Red Seer Consulting deduced that India’s digital payment will reach Rs.7,092 trillion by 2025. And that is not all; Digital payments are now the favored choice of the millennials. They have gone through a shift of reluctant usage to a must-have tool for every day.To know more digital payments write to us at <a class="link au mg" href="mailto:business@m2pfintech.com" target="_blank" rel="noopener ugc nofollow">business@m2pfintech.com</a>.<a class="link" href="https://m2pfintech.com/newsletter/">Subscribe</a>&nbsp;to our newsletter and get the latest fintech news, views, and insights, directly to your inbox.Follow us on&nbsp;<a class="link" href="https://www.linkedin.com/company/m2pfintech/mycompany/">LinkedIn</a>&nbsp;and&nbsp;<a class="link" href="https://twitter.com/m2pfintech">Twitter</a>&nbsp;for insightful fintech tales curated for curious minds like you.