Network Tokenization

Integrate Network Tokens Into Your Payment Infrastructure

HostedPCI Network Tokenization helps businesses incorporate network-issued payment tokens into supported payment processing workflows.

Network tokens replace original credit card numbers with payment credentials issued through participating card network tokenization services. These tokens can be used for eligible transactions without requiring the original card number to be transmitted through the same authorization flow.

HostedPCI has been certified with JPMorgan Chase Paymentech for network tokenization since 2024, supporting merchants that want to use network-issued payment tokens within compatible processing environments.

Combined with HostedPCI’s independent payment vault and tokenization infrastructure, network tokenization provides another way to protect payment credentials and support secure digital transactions.

What Is Network Tokenization?

Network tokenization replaces a payment card’s Primary Account Number (PAN) with a token issued through a participating card network’s tokenization service.

Unlike payment tokens generated by a merchant’s vault or individual payment gateway, network tokens operate within the card network’s tokenization framework.

Network tokens are associated with defined usage conditions, which may restrict them to a particular merchant, payment channel, or transaction environment.

These controls help protect payment credentials while enabling eligible transactions to be processed using network-issued tokens instead of original card numbers.

How Network Tokenization Works

The exact provisioning and processing sequence depends on the participating network token service and configured integration.

Step 1: Collect Payment Information

A customer submits their payment information through a supported HostedPCI collection method.

HostedPCI securely collects and tokenizes the card information, allowing the merchant to retain a HostedPCI token without storing the original card number within its own applications.

Step 2: Provision a Network Token

Through the supported JPMorgan Chase Paymentech integration, eligible payment credentials are submitted for network token provisioning.

The participating tokenization service evaluates the request and issues a network token when the card and requested use meet its requirements.

The token requestor, provisioning sequence, and token storage arrangements depend on the certified integration configuration.

Step 3: Initiate a Network Token Payment

When the merchant initiates an eligible transaction, the configured payment workflow uses the network-issued token through a compatible processing connection.

Depending on the transaction type, additional authentication information, such as a network token cryptogram, may be required.

Step 4: Process the Transaction

The transaction is submitted according to the participating network’s tokenization and authorization requirements.

The card issuer evaluates the transaction and returns an approval or decline.

Network tokenization can support secure payment processing, but it does not guarantee authorization approval.

HostedPCI Network Tokenization Integration

JPMorgan Chase Paymentech Network Token Support

HostedPCI has been certified with JPMorgan Chase Paymentech for network tokenization since 2024.

This integration allows merchants to use supported network tokenization functionality within compatible JPMorgan Chase Paymentech payment workflows.

Businesses can evaluate network-issued tokens alongside HostedPCI’s existing tokenization and payment processing services.

Supported card networks, token provisioning requirements, transaction types, and associated token data depend on the configured integration.

Network Tokenization and Payment Gateway Compatibility

HostedPCI supports connections to multiple payment gateways, giving businesses flexibility in how they manage payment processing.

Network token compatibility, however, depends on the token requestor, network usage restrictions, and the processing capabilities of each gateway.

Network tokens provisioned through one payment provider should not be assumed to work through another.

Where supported, merchants can evaluate whether an existing network token may be accepted by an additional payment provider.

HostedPCI works with businesses to identify the supported options for their payment environment.

Network Tokenization With HostedPCI Payment Vaulting

HostedPCI provides independent payment tokenization and vaulting, allowing businesses to store cardholder information separately from their payment gateways.

A HostedPCI vault token references card information stored within HostedPCI. A network token is issued through a payment network’s tokenization service and is used for eligible payment transactions.

These technologies serve different purposes.

Businesses can evaluate network tokenization alongside HostedPCI’s independent vault as part of a broader payment credential management strategy.

Key Features and Business Benefits

Reduce Exposure to Original Card Numbers

Network tokens replace original card numbers within supported payment flows, reducing the need to transmit underlying payment credentials during eligible transactions.

Strengthen Payment Security

Network tokens operate under usage controls established by participating payment networks.

These controls can restrict how and where a token is used, helping reduce the usefulness of compromised payment credentials.

Support Payment Authorization Performance

Network tokenization may improve authorization outcomes for certain transactions through network token security and credential management capabilities.

Results depend on the issuer, card network, transaction characteristics, and processing environment. Higher authorization rates are not guaranteed.

Support Stored-Card Transactions

Network tokenization can support eligible card-on-file and recurring payment scenarios.

Availability depends on the certified integration, token usage rules, and the processor’s supported transaction types.

For recurring payments and stored-credential requirements, explore HostedPCI’s Credentials on File solution.

Work Within Existing Payment Infrastructure

HostedPCI helps merchants evaluate network tokenization without replacing their existing payment collection and vaulting infrastructure.

Network token processing is available through compatible integrations, subject to the selected payment provider’s requirements.

Network Tokens vs. Gateway Tokens vs. HostedPCI Tokens

Although all three token types help reduce exposure to original card numbers, they are issued, stored, and used differently.

Network Tokens

Network tokens are issued through participating card network tokenization services.

They are intended for eligible payment transactions and are subject to network-specific security and usage restrictions.

Gateway Tokens

Gateway tokens are generated by individual payment gateways.

They are generally intended for transactions processed through the provider that issued them.

HostedPCI’s Gateway Tokenization service allows businesses to generate tokens through supported payment gateway integrations.

HostedPCI Vault Tokens

HostedPCI tokens reference original cardholder information stored within HostedPCI’s independent payment vault.

These tokens allow merchants to maintain a consistent payment credential reference across compatible HostedPCI integrations without storing original card numbers in their own applications.

Comparison of Payment Token Types

The best approach depends on the merchant’s transaction requirements, payment providers, and broader payment architecture.

Who Can Benefit From Network Tokenization?

JPMorgan Chase Paymentech Merchants

Businesses using JPMorgan Chase Paymentech can evaluate HostedPCI’s certified network tokenization integration for their supported transaction workflows.

E-commerce Businesses

Online retailers can explore network-issued payment tokens as an additional way to protect payment credentials during eligible transactions.

SaaS and Subscription Platforms

Software and subscription businesses can evaluate network tokenization for supported card-on-file and recurring payment workflows.

Use Case: Network Tokenization for a Subscription Business

A subscription-based business processes customer payments through JPMorgan Chase Paymentech and wants to reduce reliance on original card numbers during eligible authorization requests.

The company already uses HostedPCI for secure payment collection and vaulting.

With HostedPCI Network Tokenization:

1. Collect: The customer enters payment details through a supported HostedPCI integration.
2. Tokenize: HostedPCI securely stores the original card information and provides a vault token.
3. Provision: Eligible card information is submitted for network token provisioning through the configured JPMorgan Chase Paymentech integration.
4. Receive: A network token is issued when the credential and intended use meet the applicable requirements.
5. Authorize: An eligible payment is submitted using the supported network token processing workflow and any required token-related information.
6. Complete: The issuer evaluates the authorization and returns its decision.

This allows the business to incorporate network token payments into its existing payment environment without requiring its applications to directly store original card numbers.

This example is illustrative. Recurring payment support, token provisioning, and transaction requirements must be confirmed for the selected integration.

Interested in network tokenization for your business?

Contact HostedPCI to discuss your JPMorgan Chase Paymentech integration and network token requirements.

Network Tokenization FAQs

What is network tokenization?

Network tokenization replaces an original payment card number with a token issued through a participating card network’s tokenization service.

The token can be used for eligible transactions under the applicable security and usage conditions.

How is network tokenization different from gateway tokenization?

Network tokens are issued through payment network tokenization services, while gateway tokens are generated by individual payment gateways.

Network token acceptance depends on the token requestor, usage restrictions, and processing provider. Gateway tokens are generally tied to the issuing gateway.

What is the difference between a network token and a HostedPCI token?

A network token is used for eligible payment authorization within a participating network tokenization framework.

A HostedPCI token is an independent reference to cardholder information stored within HostedPCI’s payment vault.

The two token types serve different purposes.

Does HostedPCI support network tokenization with JPMorgan Chase Paymentech?

Yes. HostedPCI has been certified with JPMorgan Chase Paymentech for network tokenization since 2024.

Supported functionality and current integration requirements depend on the merchant’s processing configuration.

Can network tokens be used across multiple payment gateways?

Potentially, where the token requestor arrangement, network rules, and payment provider capabilities permit it.

A network token provisioned through one provider cannot be assumed to work with another gateway.

For HostedPCI’s JPMorgan Chase Paymentech integration, merchants should confirm the supported processing connections before planning cross-gateway use.

Does network tokenization improve payment authorization rates?

Network tokenization may help improve authorization outcomes for certain transactions.

Actual results depend on the issuer, card network, payment provider, and transaction characteristics. Improved approval rates are not guaranteed.

Can network tokens be used for recurring payments?

Yes, where the network token service and payment processor support the required recurring transaction workflow.

Card network stored-credential requirements, including appropriate customer consent and transaction indicators, still apply.

Do network tokens automatically update when a card expires?

Some network tokenization services support token lifecycle updates when the underlying card expires or is replaced.

Availability and update handling depend on the network token service and integration.

Automatic lifecycle management should not be assumed for every HostedPCI configuration.

What is a network token cryptogram?

A network token cryptogram is a cryptographic value used to help validate certain token-based payment transactions.

The requirement to generate or submit a cryptogram depends on the network token service, transaction type, and processor.

Does network tokenization eliminate PCI DSS requirements?

No. Network tokenization does not automatically eliminate PCI DSS obligations.

Compliance scope depends on the payment data handled and the overall transaction environment.

HostedPCI’s payment collection and vaulting services may help reduce PCI DSS scope when appropriately implemented.

Is HostedPCI a payment gateway or processor?

No. HostedPCI is not a payment gateway or payment processor.

HostedPCI provides secure payment collection, tokenization, vaulting, and payment integration infrastructure.

Merchants maintain their processing relationships with their selected providers.

Add Network Tokenization to Your Payment Infrastructure

HostedPCI supports network tokenization through its certified JPMorgan Chase Paymentech integration, helping businesses incorporate network-issued payment tokens into eligible transaction workflows.

Combined with HostedPCI’s independent payment vaulting infrastructure, network tokenization gives organizations another option for protecting payment credentials and managing supported payment processing requirements.

Contact HostedPCI to discuss your network tokenization requirements.

Explore HostedPCI’s Network Tokenization resources for product and integration information.