System, method and computer program product for authorizing transactions using enhanced authorization data

• US 20070192249A1
• Filed: 12/16/2005
• Published: 08/16/2007
• Est. Priority Date: 02/09/2004
• Status: Abandoned Application

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Marshall, Vernon, Webb, Ian, Gomes, Kristin, Duggal, Chanderpreet, Khor, Chin, Biffle, Janet, Domenica, Danielle, Goulden, Stuart, Mohanty, Sabyasachi
• Application Number:
  US11/303,018
• Publication Number:
  US 20070192249A1
• Time in Patent Office: Days
• US Class Current: 705/44
• CPC Class Codes: G06Q 10/02 Reservations, e.g. for tickets, services or events
• 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 20/40 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 20/4016 involving fraud or risk level assessment in transaction processing
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions

Abstract

The present invention provides systems, methods and computer program products for authorizing transactions based on, at least in part on, enhanced authorization data. In one embodiment, enhanced authorization data is received in a request for authorization to accept a transaction instrument as payment. Examples of enhanced authorization data include an automatic number identification, an information identifier, an email address, a contact telephone number, a ship-to-name, ship-to-address, an Internet Protocol address, and a seller identification. A risk analysis is performed based, at least in part, on the enhanced authorization data to determine the risk of the request being associated with a fraudulent purchase. The risk may be calculated by comparing the enhanced authorization data with information stored about the transaction instrument or with historical transaction information. Furthermore, the velocity of transactions associated with the enhanced authorization data may be measured in calculating the risk.

Claims

1. A method for authorizing a financial transaction, comprising:

receiving, from a device associated with a merchant, a request for authorization to accept a transaction instrument as payment for a purchase, the request including enhanced authorization data;

making an authorization decision for the request based, at least in part, upon the enhanced authorization data; and

sending the authorization decision to the device.

2. The method of claim 1, wherein the enhanced authorization data includes at least one of:

an automatic number identification or an information identifier.

3. The method of claim 1, wherein the enhanced authorization data includes at least one of:

an email address;

a contact telephone number;

a ship-to-name;

a ship-to-address;

an Internet Protocol (IP) address;

or a seller identification.

4. The method of claim 1, wherein the enhanced authorization data includes at least one of:

a passenger name;

a travel date;

a routing description;

an electronic ticket indicator;

an origin city;

a destination city;

a class of service;

a number of passengers;

a reservation code;

or carrier code.

5. The method of claim 1, wherein the making step comprises:

calculating a risk based, at least in part, on the enhanced authorization data; and

comparing the risk with a range of acceptable risks.

6. The method of claim 5, wherein the calculating step comprises:

calculating the risk based, at least in part, on a historical transaction associated with the enhanced authorization data.

7. The method of claim 6, wherein the historical transaction is associated with another transaction instrument.

8. The method of claim 5, wherein the calculating step comprises:

calculating the risk based, at least in part, on the velocity of transactions associated with the enhanced authorization data.

9. The method of claim 5, wherein the calculating step comprises:

calculating the risk based, at least in part, on a comparison between the enhanced authorization data and information stored by a card issuer about a card member associated with the transaction instrument.

10. The method of claim 1, further comprising:

receiving an indication from a card member that the purchase is fraudulent; and

reversing the authorization decision.

11. A system for authorizing a financial transaction comprising:

a processor; and

a memory in communication with the processor, wherein the memory stores a plurality of processing instructions for directing the processor to;

receive, from a device associated with a merchant, a request for authorization to accept a transaction instrument as payment for a purchase, the request including enhanced authorization data;

make an authorization decision for the request based, at least in part, upon the enhanced authorization data; and

send the authorization decision to the device.

12. The system of claim 11, wherein the enhanced authorization data includes at least one of:

an automatic number identification or an information identifier.

13. The system of claim 11, wherein the enhanced authorization data includes at least one of:

an email address;

a contact telephone number;

a ship-to-name;

a ship-to-address;

an Internet Protocol (IP) address;

or a seller identification.

14. The system of claim 11, wherein the enhanced authorization data includes at least one of:

a passenger name;

a travel date;

a routing description;

an electronic ticket indicator;

an origin city;

a destination city;

a class of service;

a number of passengers;

a reservation code;

or carrier code.

15. The system of claim 11, wherein the processing instructions for directing the processor to make an authorization decision include instructions for directing the processor to:

calculate a risk based, at least in part, on the enhanced authorization data; and

compare the risk with a range of acceptable risks.

16. The system of claim 15, wherein the processing instructions for directing the processor to calculate a risk include instructions for directing the processor to:

calculate the risk based, at least in part, on a historical transaction associated with the enhanced authorization data.

17. The system of claim 16, wherein the historical transaction is associated with another transaction instrument.

18. The system of claim 15, wherein the processing instructions for directing the processor to calculate a risk include instructions for directing the processor to:

calculate the risk based, at least in part, on the velocity of transactions associated with the enhanced authorization data.

19. The system of claim 15, wherein the processing instructions for directing the processor to calculate a risk include instructions for directing the processor to:

calculate the risk based, at least in part, on a comparison between the enhanced authorization data and information stored by a card issuer about a card member associated with the transaction instrument.

20. The system of claim 11, wherein the plurality of processing instructions includes instructions for directing the processor to:

receive an indication from a card member that the purchase is fraudulent; and

reverse the authorization decision.

21. A computer program product comprising a computer usable medium having control logic stored therein for causing a computer to associate a reference magnetic signature with a transaction instrument, said control logic comprising:

first computer readable program code means for causing the computer to receive, from a device associated with a merchant, a request for authorization to accept a transaction instrument as payment for a purchase, the request including enhanced authorization data;

second computer readable program code means for causing the computer to make an authorization decision for the request based, at least in part, upon the enhanced authorization data; and

third computer readable program code means for causing the computer to send the authorization decision to the device.

22. The computer program product of claim 21, wherein the enhanced authorization data includes at least one of:

an automatic number identification or an information identifier.

23. The computer program product of claim 21, wherein the enhanced authorization data includes at least one of:

an email address;

a contact telephone number;

a ship-to-name;

a ship-to-address;

an Internet Protocol (EP) address;

or a seller identification.

24. The computer program product of claim 21, wherein the enhanced authorization data includes at least one of:

a passenger name;

a travel date;

a routing description;

an electronic ticket indicator;

an origin city;

a destination city;

a class of service;

a number of passengers;

a reservation code;

or carrier code.

25. The computer program product of claim 21, wherein the second computer readable program code means comprises:

fourth computer readable program code means for causing the computer to calculate a risk based, at least in part, on the enhanced authorization data; and

fifth computer readable program code means for causing the computer to compare the risk with a range of acceptable risks.

26. The computer program product of claim 25, wherein the fourth computer readable program code means comprises:

sixth computer readable program code means for causing the computer to calculate the risk based, at least in part, on a historical transaction associated with the enhanced authorization data.

27. The computer program product of claim 26, wherein the historical transaction is associated with another transaction instrument.

28. The computer program product of claim 25, wherein the fourth computer readable program code means comprises:

sixth computer readable program code means for causing the computer to calculate the risk based, at least in part, on the velocity of transactions associated with the enhanced authorization data.

29. The computer program product of claim 25, wherein the fourth computer readable program code means comprises:

sixth computer readable program code means for causing the computer to calculate the risk based, at least in part, on a comparison between the enhanced authorization data and information stored by a card issuer about a card member associated with the transaction instrument.

30. The system of claim 21, further comprising:

fourth computer readable program code means for causing the computer to receive an indication from a card member that the purchase is fraudulent; and

fifth computer readable program code means for causing the computer to reverse the authorization decision.