Systems and methods for mitigating identity theft associated with use of credit and debit cards

• US 20050154671A1
• Filed: 01/08/2004
• Published: 07/14/2005
• Est. Priority Date: 01/08/2004
• Status: Abandoned Application

• Current Assignee: International Business Machines Corporation
• Original Assignee: International Business Machines Corporation
• Inventors: Orozco, Liliana, Doan, Christopher
• Application Number:
  US10/753,854
• Publication Number:
  US 20050154671A1
• Time in Patent Office: Days
• US Class Current: 705/39
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/3558 Preliminary personalisation for transfer to user
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G07F 7/08 by coded identity card or credit card or other personal identification means without personal verification means G07F7/02
• CPC Class Codes: G07F 7/0833 Card having specific functional components
• CPC Class Codes: G07F 7/10 together with a coded signal , e.g. in the form of personal identification information, like personal identification number [PIN] or biometric data
• CPC Class Codes: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Abstract

The methods and systems of the present invention addresses the problem of identity theft associated with the use of a credit/debit card. A security code having a predetermined expiration, or equivalently lifetime, is generated. The cardholder is informed that his/her current security code is ready for downloading by sending a “security code ready” message to the cardholder. On receiving a transaction from the cardholder with an included a second security code, the security code is verified against the current, that is, the presently unexpired, security code.

Claims

1. A method for mitigating identity theft comprising:

generating a first security code, said first security code having a predetermined expiration time;

transmitting said first security code to a cardholder;

receiving a card transaction from said cardholder, said transaction including a second security code; and

verifying said second security code is equal to said first security code.

2. The method of claim 1 further comprising receiving a request to download said first security code.

3. The method of claim 2 further comprising verifying a first password included in said request against a second password registered for said cardholder.

4. The method of claim 1 further comprising sending a message to a cardholder indicating said first security code is ready for downloading by said cardholder.

5. The method of claim 1 further comprising if said verifying step fails, denying said transaction.

6. The method of claim 1 further comprising:

registering a password in a cardholder account registry for downloading said first security code in response to said message to said cardholder indicating said first security code is ready, and

registering cardholder contact information in said cardholder account registry, said contact information for sending said message to said cardholder.

7. The method of claim 6 wherein said contact information include a cell telephone number for said cardholder.

8. A computer program product embodied in a computer readable medium, the program product including programming instructions for performing the operations of:

generating a first security code, said first security code having a predetermined expiration time;

transmitting said first security code to a cardholder;

receiving a card transaction from said cardholder, said transaction including a second security code; and

verifying said second security code is equal to said first security code.

9. The computer program product of claim 8 further comprising programming instructions for performing the operations of receiving a request to download said first security code.

10. The computer program product of claim 9 further comprising programming instructions for performing the operations of verifying a first password included in said request against a second password registered for said cardholder.

11. The computer program product of claim 8 further comprising programming instructions for performing the operations of sending a message to a cardholder indicating said first security code is ready for downloading by said cardholder.

12. The computer program product of claim 8 further comprising programming instructions for performing the operations of, if said verifying step fails, denying said transaction.

13. The computer program product of claim 8 further comprising programming instructions for performing the operations of:

registering a password in a cardholder account registry for downloading said first security code in response to said message to said cardholder indicating said first security code is ready; and

registering cardholder contact information in said cardholder account registry, said contact information for sending said message to said cardholder.

14. The computer program product of claim 13 wherein said contact information include a cell telephone number for said cardholder.

15. A data processing system for mitigating identity theft comprising:

circuitry operable for generating a first security code, said first security code having a predetermined expiration time;

circuitry operable for transmitting said first security code to a cardholder;

circuitry operable for receiving a card transaction from said cardholder, said transaction including a second security code; and

circuitry operable for verifying said second security code is equal to said first security code.

16. The data processing system of claim 15 further comprising circuitry operable for receiving a request to download said first security code.

17. The data processing system of claim 16 further comprising circuitry operable for verifying a first password included in said request against a second password registered for said cardholder.

18. The data processing system of claim 17 further comprising circuitry operable for, sending a message to a cardholder indicating said first security code is ready for downloading by said cardholder.

19. The data processing system of claim 15 further comprising circuitry operable for, if said verifying step fails, denying said transaction.

20. The data processing system of claim 15 further comprising:

circuitry operable for registering a password in a cardholder account registry for downloading said first security code in response to said message to said cardholder indicating said first security code is ready; and

circuitry operable for registering cardholder contact information in said cardholder account registry, said contact information for sending said message to said cardholder.