Increase authorization rates and reduce your costs with VGS Network Tokens

A network token is a set of secure, randomized code that acts as a substitute for a credit card's primary account number (PAN). Network tokens enable merchants to securely process payments without storing sensitive card details, thereby significantly reducing the risk of fraud and data breaches while enhancing security. These tokens are issued and managed by the major card networks themselves, such as Visa, Mastercard, American Express, and Discover.

PCI tokens are generated by a token service provider, like VGS, and used internally for storage and processing. Network tokens, on the other hand, are provisioned by the card networks themselves and can be used globally across merchants, acquirers, and issuers for transactions.

Yes, VGS is the only non-PSP, neutral data vault that has direct, certified integrations with Visa, Mastercard, American Express, and Discover.

Most payment service providers (PSPs) or "vault" services are only connected to one or two networks directly, or they force you to use their own proprietary tokens. With VGS, we can request and manage Network Tokens across the entire major card landscape on your behalf, without ever tying you to a specific processor.

VGS provides direct connections to all four major card network tokenization services, delivering the lowest possible latency and the highest throughput (token creations per second). This direct integration ensures faster token provisioning, more reliable performance, and efficient scaling across networks.

By contrast, many other providers rely on third-party aggregators to access these services. This introduces multiple intermediary “hops” to the networks, which can increase latency, limit throughput, and create gaps in performance, cost efficiency, and overall reliability.

Benefits include:

Minimize Latency: VGS is architected as a high-performance proxy. Faster API response times lead to lower cart abandonment rates.

Higher Authorization Rates: Transactions using network tokens see an average +2-3% lift in approvals because issuers (banks) trust them more.

Real-time Lifecycle Management: If a customer's physical card expires or is replaced, the network token automatically updates. You never have to ask customers for new information, drastically reducing "involuntary churn" in subscriptions.

Portability: Unlike tokens issued by a gateway, VGS network tokens can be sent to any downstream partner in your stack.

PCI Scope: By using VGS to handle connectivity to all four networks, you remove your entire infrastructure from PCI scope.

If you use a specific payment processor's tokenization service, those tokens usually only work with that processor. If you want to switch or add a second processor to get better rates, your data is "locked" into the first one's ecosystem.

The VGS Difference: Because we are a neutral third party, the tokens we generate are portable. You can route a transaction to any processor or gateway using the same VGS-held data, giving you the leverage to negotiate better fees or switch providers instantly.

Network tokens improve payment security by reducing reliance on raw card data. They are automatically updated when a card is reissued or replaced, lowering declines due to expired or replaced cards.

Yes, because network tokens are not actual card numbers, they reduce PCI DSS scope. However, merchants must still maintain proper controls depending on their environment.

Yes. When a consumer's card is replaced (e.g., due to expiration, loss, or theft), the network updates the associated network token. This ensures continuity of recurring billing or subscription payments.

Network tokens can be used for most card-not-present transactions, such as e-commerce, subscriptions, and mobile wallets. However, acceptance may vary by issuer, acquirer, or region.

Yes. Some card networks incentivize the use of network tokens by offering reduced interchange fees or lower costs related to fraud. Additionally, fewer declined transactions mean less revenue loss.

A token service provider (TSP) is a secure technology company responsible for generating, issuing, and managing payment tokens. These tokens are unique digital identifiers that replace sensitive cardholder data, such as the Primary Account Number (PAN), during transactions.

Yes, VGS is one of the only PSP-agnostic token service providers. This independence allows merchants or enterprises to tokenize payment card data and manage tokens without being locked into a specific payment processing partner.