One97 Communications has announced that its subsidiary Paytm Payment Gateway has launched a new ID-based Guest Checkout solution designed to eliminate data breaches on e-commerce sites.
The Alternate ID (ALT ID) based solution, which has been introduced in collaboration with both Mastercard and Visa, means customers can checkout as a guest without having to save sensitive card details on a merchant website for a transaction
It also removes the need to first sign up for an account on the merchant website, something which can be time consuming and involves sharing additional information.
Through the feature, an Alternate ID is created for customers, wherein they enter their complete card details to process a transaction instead of account details and password for an occasional purchase.
It also meets guidelines from the Reserve Bank of India (RBI) that say entities involved in card transaction processing cannot save sensitive card credentials for guest checkout transactions. According to the guidelines, the card number has to be replaced by an Alternate ID associated with card information, by October 31, 2023.
Paytm Payments Services Limited said: “As the first to go live with Alternate ID solution, we continue to innovate and bring merchants the best of payment solutions. With this, we are empowering cardholders’ security and allowing fast guest checkout for customers, making transactions more efficient. This eliminates core risks like misuse of sensitive card information and aligns with RBI’s guidelines to provide a secure transacting experience to our users. We continue to focus on compliance and safe payments for all.”
