System, and method for prepaid anonymous and pseudonymous credit card type transactions

• US 20020046341A1
• Filed: 02/27/2001
• Published: 04/18/2002
• Est. Priority Date: 02/28/2000
• Status: Abandoned Application

• Current Assignee: SparkCharge, Inc.
• Original Assignee: SparkCharge, Inc.
• Inventors: Bamford, Drew, Kazaks, Alex, Prosise, Chris, Garretson, Sterling
• Application Number:
  US09/794,688
• Publication Number:
  US 20020046341A1
• Time in Patent Office: Days
• US Class Current: 713/182
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/24 Credit schemes, i.e. "pay after"
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes

Abstract

Method and system for issuing and using anonymous and pseudonymous prepaid payment cards through the existing credit card and debit card infrastructure.

Claims

1. A method of activating an anonymous or pseudonymous prepaid payment card comprising the steps of:

a) transmitting card purchase information to an associated card servicer'"'"'s server, said card servicer'"'"'s server determining the validity of the card and, if valid, the activity of the account associated to the card, and recording the seller, time of decline, date of decline, and account number;

b) activating by entering card identifying indicia and personal data chosen from the group consisting of alias data, anonymous data, pseudonymous data, or actual data;

whereby the user can make purchases without exposing personal information.

2. The method of claim 1 wherein the servicer'"'"'s server determines the validity of the card.

3. The method of claim 1 wherein the servicer'"'"'s server determines the activity of the account associated to the card by a zero balance.

4. The method of claim 1 comprising activating the account associated to the card at the sponsor'"'"'s web site.

5. The method of claim 1 wherein the purchaser enters anonymous or pseudonymous data and where the method further comprises creating a fraud detection rule compliant pseudonymous identity for the anonymous or pseudonymous payment card comprising the steps of:

a) associating street numbers to a set of index numbers, generating a random number, and matching the random number to a street number index number to recover a street number;

b) associating street names to a set of index numbers, generating a random number, and matching the random number to a street name index number to recover a street name;

c) associating city/state/ZIP code sets to a set of index numbers, generating a random number, and matching the random number to a city/state/ZIP code index number to recover a street number;

d) combining the recovered street number, street, and city/state/ZIP code set to generate a pseudonymous or anonymous cardholder address.

6. The method of claim 1 wherein the “

inactive”

indicia is chosen from the group consisting of a zero balance and a sponsor assigned code.

7. A system for processing anonymous or pseudonymous prepaid payment cards, said system comprising a sponsor server controlled and configured to communicate with:

a) a card issuer'"'"'s server for receiving card purchase information including a card BIN, verifying validity of the card, declining an initial transaction because of zero balance, and recording the seller, time of decline, date of decline, and account number; and

b) the sponsor server being controlled and configured for a user to complete activation at the issuer'"'"'s web site by the steps of

i) entering card identifying indicia; and

ii) entering personal or alias data; and

iii) the sponsor server controlled and configured to thereafter transmit an initial balance to the issuing bank, and associate a name or alias to the card.

8. The system of claim 7 wherein the sponsor server comprises one or more of:

a) an authentication executable for logging users into the server;

b) a registration executable for registering users and user aliases;

c) an account maintenance executable for processing account charge information and account balance information to and from a database server;

d) an online transaction processing server to authenticate user access, collect registration data, and manage account information; and

e) a database server.

9. The system of claim 8 wherein the executables are chosen from the group consisting of classes and object oriented programming fragments.

10. A method of creating a fraud detection rule compliant pseudonymous identity for an anonymous or pseudonymous payment card comprising the steps of:

a) associating street numbers to a set of index numbers, generating a random number, and matching the random number to a street number index number to recover a street number;

b) associating street names numbers to a first set of index numbers, generating a first random number, and matching the random number to a street name index number to recover a street name;

c) associating city/state/ZIP code sets to a second set of index numbers, generating a second random number, and matching the random number to a city/state/ZIP code index number to recover a street number;

d) associating telephone numbers to a third set of index numbers, generating a third random number, and matching the random number to a telephone number; and

e) combining the recovered telephone number, street number, street, and city/state/ZIP set to generate a pseudonymous or anonymous card holder address and telephone number.

11. A method of creating a pseudonymous identity for a holder of a prepaid payment card associated with an entity, comprising the steps of:

a) concatenating a first alphanumeric associated with the entity with a second alphanumeric associated with a user; and

b) recording an address and telephone and telephone number associated with the user or the entity.

12. The method of claim 11 wherein the alphanumeric associated with the user is a sub-entity associated alphanumeric.

13. The method of claim 11 wherein the alphanumeric associated with the user is an employee associated alphanumeric.

14. The method of claim 11 wherein the step of concatenating a first alphanumeric associated with the entity with a second alphanumeric associated with a user further includes concatenating an alphanumeric associated with the sequence of the card assigned.

16. The method of claim 15 wherein the identity of the account holder is chosen from the group consisting of a real, an anonymous, and a pseudonymous identity.

17. The method of claim 12 wherein establishing access authorization for payments into the prepaid payment card account comprises assigning a user id and a personal identification number.

18. The method of claim 14 wherein the user ID is a BIN within a set of BINs supported by a sponsor of the prepaid payment card.

19. The method of claim 14 wherein the user ID is selected by the owner of the prepaid payment card.

20. The method of claim 12 wherein a solicitor solicits payments to the prepaid payment card and the solicitation contains a hypertext link authorization payment access.

21. The method of claim 12 wherein a prepaid payment card account owner selects his or her own account, and transfers money from his or her other prepaid payment cards into the selected account.

15. A method of aggregating funds into a prepaid payment card account comprising:

a) identifying a prepaid payment card account to receive the aggregated funds;

b) establishing an identity for an account holder of the identified prepaid payment card account;

c) establishing access authorization for payments into the prepaid payment card account; and

d) receiving payments into the prepaid payment card account.

22. A system for aggregation of funds into a prepaid payment account comprising a data server enters and recovers account data, an application server receives user input and output, and a database management system stores account data, wherein said system is controlled and configured to receive payments, match payment transfer information to existing accounts, and credit payment to the identified account.

23. The system of claim 22 further including a web server for receiving payments over the web.

24. The system of claim 22 wherein the system further includes a computer telephony integration facility.

26. The method of claim 25 comprising sending the promotional advertising by e-mail.

27. The method of claim 25 comprising sending the promotional advertising as an advertising banner or icon on the sponsor'"'"'s web page.

29. The method of claim 28 wherein the payment card is a prepaid payment card.

30. The method of claim 28 comprising dynamically starting and stopping merchant participation in the campaign.

31. The method of claim 28 comprising collectively aggregating all assigned values to an account.

32. The method of claim 28 comprising individually storing assigned values identified to an individual merchant.

25. A method of targeting advertising to owners of prepaid payment cards comprising querying a servicing bank'"'"'s database for accounts having available credit, associating the accounts having available credit to account owners, ranking the accounts by at least one of amount of available credit, buying history, and expressed interests, and sending promotional advertising to account owners based upon available credit.

28. A method of rewarding users of payment cards participating in multiple promotional activities comprising searching a database associated to the payment cards and containing purchase history data, assigning a value to qualifying purchases at participating merchants, where there may be more then one participating merchant, and applying the assigned value to an account associated with the payment card.

33. A system for rewarding users of payment cards participating in multiple promotional activities the system comprising an application server for managing account data and promotional data, a database server for managing account data, and one or more databases for storing account and promotional data, said one or more databases having data entries associated to a payment card, including individual merchant transactions, dates of the individual merchant transactions, and amounts of the individual merchant transactions, said system controlled and configured to search the database associated to the payment cards and containing purchase history data, assign values to qualifying purchases at one or more participating merchants, and apply the assigned value to an account associated with the payment card.

34. The system of claim 33 wherein the system is configured to controlled to collectively aggregate in a database all assigned values to an account.

35. The system of claim 33 wherein the system is configured and controlled to individually store in a database assigned values identified to an individual merchant.

37. The method of claim 36 wherein the source account is associated to a payment card.

38. The method of claim 37 wherein the payment card is a prepaid payment card.

39. The method of claim 36 wherein the message fragment is a hypertext link.

40. The method of claim 39 wherein the payee links to the hypertext link and receives payment or payment instructions.

41. The method of claim 36 wherein the message fragment is an encrypted association to the source account and the amount to be paid.

36. A method of electronic person-to-person electronic payment comprising the steps of:

a) a payer electronically identifies a payee, and a source account of the funds to a payment card sponsor;

b) a sponsor sending a message fragment associated to the source account and identifying the payer, the payee, and the amount to be paid; and

c) a payee using the message fragment to request payment from the payment card sponsor.

42. A system for person to person payment comprising a web server, an application server, and a database, said system configured and controlled to

a) receive at the web server an electronic request for payment to a payee, from a source account of the funds associated to the payer;

b) send a message fragment from the application server through the web server identifying the source account, the payer, the payee, and the amount to be paid;

c) receive a response at the application server to the message fragment from the payee; and

d) issue payment to the payee.