MasterPass Boosts Online and App Security - Card Issuers News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Card Issuers » MasterPass Boosts Online and App Security

MasterPass Boosts Online and App Security

MasterPass Boosts Online and App Security
The content is accurate at the time of publication and is subject to change.

With data and cyber security on people’s minds more than ever, MasterCard has announced that Masterpass, its digital wallet, will be outfitted with MasterCard Digital Enablement Service (MDES) in order to make it totally tokenized – in essence making online and app purchases more secure. A fully tokenized MasterPass is slated to be launched in the U.S. in 2016.

MasterPass makes for an easier checkout at the register, since it stores their credit and debit card information, along with their shipping information in their smartphone, mobile device or computer, letting them check out with a click or two. Now that they are integrating MDES into the MasterPass system, and using tokens to transmit financial data at the register, whether online, via an app or in real time, people will get the same kind of security they do with other tokenized payment systems, like Apple Pay, Android Pay and Samsung Pay.

MasterCard sees fully tokenizing MasterPass as a way to increase connectivity and safety for consumers and issuers. “MasterPass enables consumers to pay for the things they want with the security they demand, online or in-app, using any device. In tokenizing MasterPass, we’re creating for consumers a secure ‘digital stream’ directly from their bank which can be connected through the online and mobile banking tools they already know. Together with our banks, we are creating the easiest and most secure way to pay today,” said Ed McLaughlin, Chief Emerging Payments Officer at MasterCard.

How does it work?

Once issues request that their cards be tokenized, MasterCard will swap out their customers account numbers for tokens. What does this mean? Rather than transmitting the user’s credit card information to the register or online terminal when checking out, MasterPass will create a token that is transmitted to the terminal instead.

The token holds a one-time code that lets the payment go through, but does not actually transmit the user’s card number or other financial information. Tokens are unique so no two will be alike. It also comes along with EMV-based security. The fact that no actual financial information is shared with the register increases security.

The MasterCard Digital Enablement Service (MDES) was launched in 2013, and has been used to tokenize credit, debit, co-brand, prepaid cards for popular digital wallets, ranging from Apple Pay to Samsung Pay.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

MasterCard is Going Biometric with Corporate Cards
MasterCard is Going Biometric with Corporate Cards

Posted: April 12, 2016

Back to the future is here or at least it is when it comes to corporate credit cards, with MasterCard teaming up with BMO Financial Group to roll out the first biometric corporate credit card program. Continue reading

Mastercard and Global Cyber Alliance Team Up to Boost Cybersecurity for Small Businesses
Mastercard and Global Cyber Alliance Team Up to Boost Cybersecurity for Small Businesses

Posted: February 25, 2019

Fraud is an issue for everyone these days including small and medium-sized businesses, and with this, in mind, Mastercard has partnered with Global Cyber Alliance (GCA) to provide businesses with a new Cybersecurity Toolkit. This new… Continue reading

MasterCard Acquires a New Security Company
MasterCard Acquires a New Security Company

Posted: April 07, 2017

MasterCard has inked a deal to acquire NuData Security, a global technology company. NuData specializes in assisting companies and business with fighting both online and mobile fraud by using biometric and session-based technology. Continue reading

Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
The Citi Rewards+℠ Card - the only credit card that automatically rounds up to the nearest 10 points on every purchase - with no cap.
For Excellent, Good Credit
Earn unlimited 1.5% cash rewards on all purchases.
For Good, Excellent Credit
See Rates & Fees
Perfect credit not required for approval; we may approve you when others won’t
For Fair/Bad Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!