Mobile system and method for exchanging point value

• US 10,176,489 B2
• Filed: 08/21/2014
• Issued: 01/08/2019
• Est. Priority Date: 08/14/2007
• Status: Active Grant

• Current Assignee: First Data Corporation (Fiserv Incorporated)
• Original Assignee: First Data Corporation (Fiserv Incorporated)
• Inventors: Nuzum, Todd, Friedman, Brian, Sayor, Virginia G.
• Primary Examiner(s): Akintola, Olabode
• Application Number:
  US14/465,626
• Publication Number:
  US 20150046245A1
• Time in Patent Office: 1,601 Days
• Field of Search: None
• CPC Class Codes: G06Q 20/06 Private payment circuits, e.g. involving electronic currency used among participants of a common payment scheme
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 20/202 Interconnection or interaction of plural electronic cash registers [ECR] or to host computer, e.g. network details, transfer of information from host to ECR or from ECR to ECR
• CPC Class Codes: G06Q 20/3278 RFID or NFC payments by means of M-devices
• CPC Class Codes: G06Q 30/0212 Chance discounts or incentives
• CPC Class Codes: G06Q 30/0233 Method of redeeming a frequent usage reward
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions

Abstract

A transaction is conducted at a merchant location using redeemed loyalty points maintained in a loyalty point account for a customer. The transactions are conducted using a mobile device at a POS terminal. In response to receiving a customer ID from the mobile device, a loyalty server provides the monetary value of loyalty points. The customer may use the mobile device to redeem those points and have the value transferred into a financial account. A payment processing system connected to the POS terminal completes the transaction using the financial account.

Claims

1. A system for redeeming the value of points that are issued by one of multiple loyalty programs, wherein the points for each loyalty program are held in a point account maintained on behalf of a customer, and wherein the redeemed value of points in the point account may be transferred into a transaction account for conducting a purchase transaction with a third party, the system comprising:

a single terminal providing a location for both (1) redeeming the value of points held by a first mobile customer and (2) conducting a transaction with a third party at the location by a second mobile customer that is a companion of the first mobile customer, the terminal including at least one reader for receiving a first mobile customer ID transmitted by a first mobile device for identifying the first mobile device and a second mobile customer ID transmitted by a second mobile device for identifying the second mobile device, the first mobile customer ID associated with the point account, the second mobile customer ID associated with the transaction account for conducting the transaction with the third party, the terminal using the transaction account to conduct the transaction with the third party at the terminal, the reader using signaling for the terminal to determine, from the receipt of the first mobile customer ID and a second mobile customer ID at about the same time, that the first mobile device and the second mobile device are positioned at or near the reader simultaneously and that the first mobile customer and the second mobile customer are companions, with the terminal communicating with both the first mobile device and the second mobile device to verify the identity of both the first mobile customer and the second mobile customer and confirm that both the first mobile customer and the second mobile customer approve of transferring the redeemed value of points from the point account into the transaction account;

a point database for storing point account data, including data associated with the number of points in the point account and associated with a value of the points; and

a server accessing the point database in response to the first mobile customer ID received from the first mobile device at the terminal for determining the value of points held in the point account, in order to transfer value associated with points in the point account into the transaction account, whereby the second mobile customer conducts the transaction with the third party using the transferred value of points held on behalf of the first customer in the point account.

2. The system of claim 1, wherein the transaction account is a stored value account maintained on behalf of the second customer.

3. The system of claim 2, wherein the stored value account is an account maintained by a financial institution maintained on behalf of the second customer, and wherein the value associated with points that is transferred into the stored value account is a monetary amount.

4. The system of claim 3, wherein the stored value account is a debit card account.

5. The system of claim 1, wherein the third party is a merchant.

6. The system of claim 1, wherein the signaling used by the reader is short range signaling.

7. The system of claim 6, wherein the first and second mobile devices are each a wireless telephone having an RFID tag for transmitting a mobile customer ID, and the terminal includes an RFID reader for receiving the first and second mobile customer IDs.

8. The system of claim 1, wherein the points are loyalty reward points, and wherein the point account is a loyalty point account that stores a record of accumulated loyalty points.

9. The system of claim 1, wherein the points are electronic retailer coupons accumulated by the first customer and each having a redeemable value, and wherein the point account stores a record of the coupons accumulated by the first customer.

10. The system of claim 1, wherein both the point account and the transaction account are both loyalty reward point accounts.

11. The system of claim 1, wherein the terminal is a POS terminal where transactions may be conducted, and wherein the value transferred into the transaction account is used for payments made for those transactions.

12. The system of claim 1, further comprising:

a payment processing server connected for receiving the first and second mobile customer IDs from the terminal; and

a payment processing database storing in relation to the first mobile customer ID, a point account ID, and in relation to the second mobile customer ID, a transaction account ID;

wherein the payment processing server accesses the payment processing database using the first mobile customer ID to retrieve a point account ID, and provides the retrieved point account ID to the value server.

13. The system of claim 12, wherein the payment processing server is part of an acquirer system operated by a credit card processing entity.

14. The system of claim 1, further comprising:

a processing system that periodically accesses each loyalty program in order to receive the current balance of points issued by that loyalty program for the first mobile customer, and that provides the current balance of points to the point database in order to update the stored number of points held for the first mobile customer.

15. The system of claim 1, wherein the terminal communicates with at least one of the first and second mobile devices to display an ID associated with the other of the first and second mobile devices, in order for the user at the one of the first and second mobile devices to select the user of the other of the first and second mobile devices as a companion.

16. A method for redeeming the value of points that are issued by one of multiple loyalty programs, wherein the points for each loyalty program are held in a point account maintained on behalf of a customer, and wherein the redeemed value of points in the point account may be transferred into a transaction account for conducting a purchase transaction with a third party, the system comprising:

providing, at a single terminal, a location for both (1) redeeming the value of points held by a first mobile customer and (2) conducting a transaction with a third party at the location by a second mobile customer that is a companion of the first mobile customer, the terminal including at least one reader for receiving a first mobile customer ID transmitted by a first mobile device for identifying the first mobile device and a second mobile customer ID transmitted by a second mobile device for identifying the second mobile device, the first mobile customer ID associated with the point account, the second mobile customer ID associated with the transaction account for conducting the transaction with the third party, the terminal using the transaction account to conduct the transaction with the third party at the terminal, the reader using signaling for the terminal to determine, from the receipt of the first mobile customer ID and a second mobile customer ID at about the same time, that the first mobile device and the second mobile device are positioned at or near the reader simultaneously and that the first mobile customer and the second mobile customer are companions, with the terminal communicating with both the first mobile device and the second mobile device to verify the identity of both the first mobile customer and the second mobile customer and confirm that both the first mobile customer and the second mobile customer approve of transferring the redeemed value of points from the point account into the transaction account;

storing, at a point database, point account data, including data associated with the number of points in the point account and associated with a value of the points; and

accessing the point database in response to the first mobile customer ID received from the first mobile device at the terminal for determining the value of points held in the point account, in order to transfer value associated with points in the point account into the transaction account, whereby the second mobile customer conducts the transaction with the third party using the transferred value of points held on behalf of the first customer in the point account.

17. The method of claim 16, wherein the third party is a merchant.

18. The method of claim 17, wherein the signaling used by the reader is short range signaling.

19. The method of claim 18, wherein the first and second mobile devices are each a wireless telephone having an RFID tag for transmitting a mobile customer ID, and the terminal includes an RFID reader for receiving the first and second mobile customer IDs.