Network Tokens

Powerful payment outcomes from an agnostic provider


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Increase Authorization Rates. Lower Interchange Fees. Improve the Customer Experience.

  • Decrease fraud-related declines and chargebacks by an average of 26%

  • Reduce risk to increase approval rates by an average of 2% and lower interchange rates by 10 basis points 

  • Access card details, such as issuer and card art, without needing to reveal the PAN 

  • Automatically update account details when new card information is issued to seamlessly support recurring transactions

As card-not-present transactions continue to grow in popularity and profitability, fraud has increased alongside it. To combat this rise in credit card theft and fraudulent transactions, certain issuers have begun offering network tokens that reduce risk and enhance the customer experience throughout the payments process.

TokenEx can now provide clients with network tokens for participating card issuers in addition to TokenEx tokens. This requires no extra work on behalf of the client and can deliver significant revenue-impacting benefits in instances where network tokens can be used.

What is network tokenization? 

Network tokenization replaces sensitive cardholder data with a token issued by the card brand. When implemented properly, it reduces risk by removing the need for merchants or third-party providers to expose themselves to the risk of handling raw card details at any point in the payment process. 

How is that different from provider tokenization? 

Similar to standard provider tokenization, network tokenization works by exchanging sensitive cardholder data such as the PAN for a nonsensitive placeholder that offers the same functionality of the original data without the associated risk. 

The primary difference is that the network tokens are issued by the card brands themselves, which means the tokens can be used at each step of the payments process and can be updated with new card details without requiring another token to be created. 

Why do I need both? 

On average, transactions that use a network token in place of a raw PAN result in a more than 2 percent increase in authorization rates.

Although network tokenization can be extremely valuable, it is not supported by all issuers and can only be used with credit card data. When it’s unavailable or you need to tokenize other data sets in addition to cardholder information, you can still meet your data protection needs with more robust provider tokenization from TokenEx. 

Why should I work with TokenEx? Can't I just go straight to the card brands to get network tokens?

Yes, but working directly with a card network requires you to handle raw cardholder data, which increases risk and PCI scope. You also would need to work separately with each of the card brands to receive network tokens for their cardholders. By instead working with a single agnostic provider like TokenEx, you can use our full suite of scope-reducing technologies to prevent raw card data from ever entering your systems. TokenEx can also tokenize PII and other data types in addition to cardholder data.



Network-Tokens A guide to understanding network tokens BLOG
What Is a TRID What is a trid? BLOG
Visa-Interchage-Fees Visa: Lower Interchange Fees for Transactions Leveraging Network Tokens BLOG
Network-Tokens-Product-Page Network Tokens Product Page
Network-Tokens-Demo-Vid Product Demo VIDEO
Network-Tokens-API-Docs-3 Use Network Token Function IN TGAPI API DOCS

How it Works



Data Flow-Network Tokens-Top


  1. Client sends TokenEx a PAN or TokenEx token in a request for a network token.
  2. TokenEx generates the request for a network token and passes it to the card network.
  3. The card network sends the network token request to the card issuer.
  4. The card issuer provisions the network token, which is then returned to the client via TokenEx.



Data Flow-Network Tokens-Auth


  1. Client sends a payment authorization to TokenEx with a TokenEx token or a network token.
  2. TokenEx passes the payment authorization with the network token and cryptogram to the client’s payment gateway.
  3. The payment gateway passes the payment authorization to the payments network.
  4. The issuer approves the payment transaction.

Additional Resources