Method for Generating Customer Secure Card Numbers

• US 20070215688A1
• Filed: 03/09/2007
• Published: 09/20/2007
• Est. Priority Date: 09/21/2001
• Status: Active Grant

• Current Assignee: Privasys Incorporated
• Original Assignee: Privasys Incorporated
• Inventors: Routhenstein, Larry
• Granted Patent: US 7,874,480 B2
• Time in Patent Office: Days
• US Class Current: 235/379
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G06Q 20/3821 Electronic credentials
• CPC Class Codes: G06Q 20/3823 combining multiple encryption tools for a transaction
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes
• 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 7/10 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 7/12 Card verification

Abstract

A method for providing secure transactions generates a Secure Card Number (“SCN”) for a first entity that is transferred with a first entity identifier to a second entity and then to a money source that verifies that the transaction is valid by use of the first entity identifier and the SCN. The SCN includes a Transaction Information Block (“TIB”), a Counter Block, and an encrypted Personal Identification Number (“PIN”) Block. The SCN is transferred to the money source in an account number or a non-account data field. The money source can use the TIB to determine whether the SCN should be used once or multiple times or to identify one of several physical devices, all of which are issued to the first entity, used to generate the SCN. The money source validates the SCN by duplicating the encryption process used to create an encrypted PIN Block and comparing the result to the encrypted PIN Block received with the transaction. A Triple Data Encryption Standard algorithm encrypts a PIN Block generated from a PIN, a Sequence Insertion Number (“SIN”) and a known starting value. The SIN can be a combination of three seed values and a random value generated by a Pseudo Random Number Generator (“PRNG”) initialized with the seed values. A Counter value is associated with the Counter Block and the seed values.

Claims

1. A method for providing one or more secure transactions between a first entity and at least one additional entity, comprising the steps of:

(a) generating an encrypted transaction validation code which positively identifies a transaction for a first entity, the first entity having a first entity identifier;

(b) transferring the validation code and the first entity identifier to a second entity in a first transaction;

(c) transferring the validation code and the first entity identifier from the second entity to a money source; and

(d) verifying that the first transaction is valid with the money source by use of the first entity identifier and the validation code.

2. A method as recited in claim 1, wherein the validation code is transferred to the money source in an account number and the first entity identifier is transferred to the money source in a non-account data field.

3. A method as recited in claim 1, wherein the first entity identifier is transferred to the money source as an account number and the validation code is transferred to the money source in a non-account data field.

4. A method as recited in claim 1, wherein the validation code is used by the money source to identify a physical device used to generate the validation code.

5. A method as recited in claim 1, wherein the validation code is formed by using a Triple Data Encryption Standard algorithm (“

TDES”

).

6. A method as recited in claim 1, wherein the money source validates the validation code by duplicating the encryption process used to create the validation code and by then comparing the result to the validation code received with the first transaction.

7. A method as recited in claim 1 wherein the validation code and first entity identifier are transferred to the second entity in a form.

8. A method as recited in claim 1 wherein the validation code is transmitted through an Address Verification System Billing Address.

9. A method as recited in claim 1 wherein a unique validation code is assigned to each first entity which is valid only for at least one of mail order, telephone order, and Internet transactions, and which is used for multiple transactions with multiple merchants.

10. A method as recited in claim 1 wherein the second entity uses the validation code to authenticate the first entity.

11. A method as recited in claim 1 wherein the validation code is readable from either a Track 1 or a Track 2 of an electronic device.

12. A method as recited in claim 11 wherein the electronic device is an electronic card.

13. A method as recited in claim 1 wherein the validation code is, at least in part, encrypted, and wherein the money source validates the validation code by duplicating a validation code encryption process and by then comparing the result to the validation code received with the first transaction.

14. A method as recited in claim 1 wherein an electronic device generates the validation code.

15. A method as recited in claim 14 wherein the electronic device is an electronic card.

16. A method as recited in claim 14 wherein the electronic device is a telephone.

17. A method as recited in claim 16 wherein the telephone is capable of mobile commerce.

18. A method as recited in claim 17 wherein the electronic device includes a software program used in a network application.

19. A method as recited in claim 18 wherein the network includes the Internet.

20. A system for providing secure transactions comprising:

an electronic device associated with a first entity and having a first entity identifier, the electronic device being operative to generate an encrypted transaction validation code which positively identifies a transaction for the first entity;

a second entity apparatus operative to receive the validation code and the first entity identifier for a transaction;

a money source apparatus operative to receive the validation code and the first entity identifier from the second entity system and to verify that the transaction is valid by use of the first entity identifier and the validation code.

21. A system for providing secure transactions as recited in claim 20 wherein the validation code is transferred to the money source in an account number and the first entity identifier is transferred to the money source in a non-account data field.

22. A system for providing secure transactions as recited in claim 20 wherein the first entity identifier is transferred to the money source as an account number and the validation code is transferred to the money source in a non-account data field.

23. A system for providing secure transactions as recited in claim 20 wherein the validation code is used by the money source to identify a physical device used to generate the validation code.

24. A system for providing secure transactions as recited in claim 20 wherein the validation code is formed by using a Triple Data Encryption Standard algorithm (“

TDES”

).

25. A system for providing secure transactions as recited in claim 20 wherein the money source validates the validation code by duplicating the encryption process used to create the validation code and by then comparing the result to the validation code received with the first transaction.

26. A system for providing secure transactions as recited in claim 20 wherein the second entity apparatus uses the validation code to authenticate the first entity.

27. A system for providing secure transactions as recited in claim 20 wherein the electronic device is an electronic card.

28. A system for providing secure transactions as recited in claim 20 wherein the electronic device is a telephone.

29. A system for providing secure transactions as recited in claim 28 wherein the telephone is capable of mobile commerce.

30. A system for providing secure transactions as recited in claim 20 wherein the electronic device includes a software program used in a network application.

31. A system for providing secure transactions as recited in claim 30 wherein the network includes the Internet.

32. A system for providing one or more secure transactions between a first entity and at least one additional entity comprising:

(a) means for generating an encrypted transaction validation code which positively identifies a transaction for a first entity, the first entity having a first entity identifier;

(b) means for transferring the validation code and the first entity identifier to a second entity in a first transaction;

(c) means for transferring the validation code and the first entity identifier from the second entity to a money source; and

(d) means for verifying that the first transaction is valid with the money source by use of the first entity identifier and the validation code.