A network token is a replacement for a card number issued by the card network itself, such as Visa through the Visa Token Service or Mastercard through MDES. The merchant stores and charges the token instead of the card number.
How network tokens differ from processor tokens
A processor token is created by your payment processor and only works with that processor. A network token is created by the card network, so it is recognised across the payments chain and is tied to the merchant rather than to one processor.
Why merchants use network tokens
- They survive card reissues. When a bank replaces an expired or lost card, the network updates the token, so stored-card payments keep working.
- They carry a cryptogram. Each payment includes a one-time cryptogram, which gives issuers more confidence in the transaction.
- They reduce exposure. A token is useless outside the merchant it was issued for, which limits the damage if stored data leaks.
These properties make network tokens especially useful for subscriptions and saved-card checkouts, where expired cards are a common cause of failed payments.
Orchestrapay stores network tokens alongside cards in the vault, and pairs them with the card account updater to recover renewals.