Visa mandate for card tokenization

What are the Visa network token rules?

Visa charges an incremental 0.05% on the value of every approved online transaction with an open card (PAN). The goal is to increase adoption of the network token and improve the security of online transactions.

This charge has been applied by Visa since February 2024.

Below, we explain the options Cielo offers so merchants can comply with the rule.

Option 1: transparent tokenization

Transparent tokenization is for Visa credit card transactions from merchants that do not use tokenization and storage in the Cielo vault.

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Eligible products: API E-commerce Cielo, API 1.5 (legacy), Payment Link, and Cielo Checkout.

How does it work?

When an online transaction with an open Visa credit card (PAN) is received by our API, Cielo automatically creates a Visa network token for that card*. This way, the transaction is received by Visa already with the token, avoiding the 0.05% fee.

*The network token will be created if the card is eligible.

Is the network token stored in Cielo systems?

Yes, the network token is stored in the Cielo system and used in subsequent transactions for the same card and merchant.

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Cielo will not return the network token (DPAN and cryptogram) to the merchant.

Which transactions are eligible?

According to the network, approximately 90% of Visa BINs (the first six digits of the card) are eligible for tokenization.

Is there an additional cost?

At this time, Cielo does not charge for the solution, to provide the tokenization experience for our clients and mitigate the 0.05% transaction fee. This may be re-evaluated in the future.

Do I need to make any changes to the integration or request the feature from Cielo?

No, this is transparent tokenization and no additional integration is required. The solution is enabled for all our clients.

What is the impact for merchants already using network tokenization?

If the merchant is already using network tokenization, Cielo will identify that the transaction has already been tokenized with Visa and will proceed to authorization with the data already provided.

What happens if the token is unavailable?

In case of timeout or unavailability of the network or issuer that prevents provisioning of the token/cryptogram for the card, Cielo will send the transaction for authorization with the card number (PAN) to avoid losing the sale.

If the merchant chooses to manage the network token on their own, it is possible to create transactions in the API E-commerce Cielo using the external tokenization model.

Option 2: facilitated tokenization

Facilitated tokenization is for Visa credit card transactions from merchants that already store the Cielo CardToken.

In this option, the merchant integrates with tokenization and storage in the Cielo vault, which creates a CardToken to be stored by the merchant. In parallel, Cielo creates and stores a Visa network token. This way, merchants always have a single token for that card (CardToken), but Cielo has the Visa network tokens and cryptograms stored securely with a single, simplified integration.

Do I need to make any changes to the integration or request the feature from Cielo?

No, if the merchant is already integrated with Cielo tokenization and storing the CardToken, no additional integration is required.

Is the token stored in Cielo systems?

Yes, the network token is stored in the Cielo system and used in subsequent transactions for the same card and merchant.

Which transactions are eligible?

According to the network, approximately 90% of Visa BINs (the first six digits of the card) are eligible for tokenization.

Is there an additional cost?

The solution has no additional cost for API E-commerce Cielo clients.

How do I get this feature?

You must request activation from E-commerce Support by emailing [email protected].