System and methods of validating an authorized user of a payment card and authorization of a payment card transaction

• US 20020035539A1
• Filed: 07/17/2001
• Published: 03/21/2002
• Est. Priority Date: 07/17/2000
• Status: Abandoned Application

• Current Assignee: Oʼconnell, Richard
• Original Assignee: Oʼconnell, Richard
• Inventors: OʼConnell, Richard
• Application Number:
  US09/907,265
• Publication Number:
  US 20020035539A1
• Time in Patent Office: Days
• US Class Current: 705/39
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• CPC Class Codes: G06Q 20/023 the neutral party being a clearing house
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/325 using wireless networks
• CPC Class Codes: G06Q 20/3255 using mobile network messaging services for payment, e.g. SMS
• CPC Class Codes: G06Q 20/326 Payment applications installed on the mobile devices
• CPC Class Codes: G06Q 20/40 Authorisation, e.g. identification of payer or payee, verification of customer or shop credentials; Review and approval of payers, e.g. check credit lines or negative lists
• CPC Class Codes: G06Q 20/4014 Identity check for transactions
• CPC Class Codes: G06Q 20/425 using two different networks, one for transaction and one for security confirmation

Abstract

A system and methods of validating the identity of payment card users and authorizing payment card transactions is provided. The methods of validating the identity of payment card users and authorizing payment card transactions include receiving information from payment card users to identify and validate their status as authorized payment card users. Receiving information from payment card users includes receiving information via mobile telephone, wherein payment card users provide such identifying information as a mobile telephone number, a personal identification number, an account number and or a vocal password by a mobile telephone to validate their status as authorized payment card users. Upon verification of the identifying information and an authorization status of payment card users, payment card transactions are approved. The system comprises a central manager including a database to record and store information identifying a plurality of payment cardholders and authorized payment card users. The central manager is coupled to a Short Message Service module to forward text messages to payment cardholders via mobile telephone, and further coupled to a Voice Recognition module and Interactive Voice Recognition to provide voice communication between the central manager and payment cardholders and payment card users via mobile telephone.

Claims

1. A method for providing security to payment card transactions comprising:

receiving information designating an account of a payment cardholder;

in response to receiving account information, forwarding a request over a communications system to a mobile telephone of the payment cardholder for information identifying one or more authorized users of a payment card;

receiving information identifying one or more payment card users from the mobile telephone of the payment cardholder;

in response to receiving payment card user identifying information, creating a validation record associated with the payment cardholder account and one or more authorized payment card users; and

setting the validation record to authorize payment card transactions with use of a payment card by an authorized payment card user.

2. The method of claim 1, wherein the communications system includes a short messaging service using a short messaging transport protocol for forwarding a request to a mobile telephone of a payment cardholder as a text message.

3. The method of claim 1, wherein receiving information identifying one or more payment card users includes receiving a verbal password associated with one or more authorized payment card users.

4. The method of claim 1, wherein receiving information identifying one or more payment card users includes receiving a verbal password and a personal identification code associated with one or more authorized payment card users.

5. The method of claim 1, wherein receiving information identifying one or more payment card users includes receiving a verbal password, a personal identification code and a mobile telephone number associated with one or more authorized payment card users.

6. The method of claim 1, wherein receiving information designating an account of a payment cardholder includes receiving information from an access device selected from the group consisting of a land-based telephone, a personal computer, a personal digital assistant, an automated teller machine (ATM) and an Internet access device.

7. The method of claim 1, wherein creating a validation record includes recording a verbal password associated with one or more authorized payment card users.

8. The method of claim 7, wherein setting the validation record includes verifying a verbal password provided by a payment card user is similar to a verbal password recorded in the validation record and associated with one or more authorized payment card users.

9. The method of claim 7, wherein creating the validation record further includes creating a validation record in a database.

10. The method of claim 9, wherein the method further comprising providing access by a payment cardholder to the database, receiving information from the payment cardholder, and storing the information in the database.

11. The method of claim 10, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for pre-authorizing one or more payment card transactions of one or more authorized payment card users for a predetermined period of time.

12. The method of claim 10, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for blocking one or more payment card transactions of one or more authorized payment card users for a predetermined period of time.

13. The method of claim 10, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for pre-authorizing one or more payment card transactions of one or more authorized payment card users within a predetermined transaction value limit.

14. The method of claim 10, wherein receiving information from a payment cardholder includes receiving information from a mobile telephone.

16. The method of claim 15, wherein the communications system includes a short messaging service using a short messaging transport protocol for forwarding a request to a mobile telephone of a payment cardholder as a text message.

17. The method of claim 15, wherein receiving information designating an account of a payment card transaction includes receiving information from an access device selected from the group consisting of a land-based telephone, a personal computer, a personal digital assistant, automated teller machine (ATM) and an Internet access device.

18. The method of claim 15, wherein receiving information identifying one or more payment card users includes receiving a verbal password associated with one or more authorized payment card users.

19. The method of claim 15, wherein receiving information identifying one or more payment card users includes receiving a verbal password and a personal identification code associated with one or more authorized payment card users.

20. The method of claim 15, wherein retrieving a validation record includes retrieving a validation record from a database.

21. The method of claim 20, wherein the method further comprising providing access by a payment cardholder to the database, receiving information from the payment cardholder, and storing the information in the database.

22. The method of claim 21, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for pre-authorizing one or more payment card transactions of one or more authorized payment card users for a predetermined period of time.

23. The method of claim 21, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for blocking one or more payment card transactions of one or more authorized payment card users for a predetermined period of time.

24. The method of claim 21, wherein receiving information from a payment cardholder and storing the information in the database includes receiving and storing information in the database for pre-authorizing one or more payment card transactions of one or more authorized payment card users within a predetermined transaction value limit.

25. The method of claim 21, wherein receiving information from a payment cardholder includes receiving information from a mobile telephone.

26. The method of claim 15, wherein completing payment card transactions according to an authorization status of the payment card user includes notifying the payment cardholder of the status of the payment card user.

27. The method of claim 26, wherein notifying the payment cardholder of the status of the payment card user includes forwarding a text message to a mobile telephone of the payment cardholder by a short message service using a short messaging transport protocol.

29. The system of claim 28, wherein the central manager operates as a software module operating on one or more computers.

30. The system of claim 28, wherein the central manager is further coupled to one or more credit authorization systems.

15. A method for authorizing payment card transactions comprising:

receiving information designating an account of a payment card transaction;

in response to receiving account information, forwarding a request over a communications system to a mobile telephone of the payment cardholder for information identifying one or more payment card users;

receiving information identifying one or more payment card users from the mobile telephone of the payment cardholder;

in response to receiving identifying information, retrieving a validation record associated with the cardholder account and one or more authorized payment card users;

determining whether a status of a payment card user is one of authorized and unauthorized by reconciling information received identifying one or more payment card users with the validation record; and

completing the payment card transaction according to an authorization status of the payment card user.

28. A system for providing information to identify and authorize a payment card user in a payment card authorization system comprising:

a central manager including a database to record and store information identifying a plurality of payment cardholders and payment card users of the authorization system;

the central manager coupled to a Short Message Service module to forward text messages to payment cardholders via mobile telephone; and

the central manager further coupled to a Voice Recognition module and an Interactive Voice Recognition module for voice communication between the central manager and payment cardholders and payment card users via mobile telephone.