Australia-based Ezypay has adopted Mastercard’s tokenization technology to equip businesses with improved payment security and collection processes.

The subscription payments provider has adopted the Mastercard Digital Enablement Service for Merchants (MDES).

This technology replaces a client’s physical card number and expiry date with an encrypted digital token as these details are said to be the most common root cause of payment failures.

Card issuers can automatically update the token for the merchants, if a customer’s card is lost, expired or replaced, thereby increasing the chances of a successful transaction and augmenting payment data security.

Mastercard VP of business development and digital product for Australasia Surin Fernando said: “Organisations previously faced the risks associated with storing personal card details or experienced declined transactions due to expired payment details.

“MDES for Merchants removed these from the equation, allowing retailers to create a seamless checkout experience that leads to more sales, more repeat purchases, and higher customer satisfaction.”

The move is part of Ezypay’s strategy to invest in advanced payment technologies to improve customer experience.

Ezypay partners with businesses across a wide range of sectors including health and fitness, childcare, education, and real estate.

Ezypay CEO James Foster said: “All physical credit and debit cards can expire, be misplaced or stolen.

“By implementing Mastercard’s tokenized payment security technology in Australia, we can reduce the impact that these occurrences have on our business customers and continue to collect their customer payments seamlessly.

“The use of network tokens enables subscription businesses to achieve successful payment collection outcomes more consistently, thereby reducing the need to manually chase up missed payments.”