FINANCIAL TRANSACTION SYSTEM HAVING LOCATION BASED FRAUD PROTECTION

• US 20100138345A1
• Filed: 07/11/2008
• Published: 06/03/2010
• Est. Priority Date: 07/13/2007
• Status: Abandoned Application

• Current Assignee: Leon Lekhtman, Robert J. Graham
• Original Assignee: Leon Lekhtman, Robert J. Graham
• Inventors: Graham, Robert J., Lekhtman, Leon
• Application Number:
  US12/452,656
• Publication Number:
  US 20100138345A1
• Time in Patent Office: Days
• US Class Current: 705/44
• CPC Class Codes: G06Q 20/223 based on the use of peer-to-peer networks
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/3224 Transactions dependent on location of M-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 20/425 using two different networks, one for transaction and one for security confirmation

Abstract

A financial transaction authorization server comprises a database of records of fixed-location transaction participants, and transaction authorization means in communication with the database of records. Each record of the database of records is associated with a respective one of the fixed-location transaction participants and identifies a physical location of the associated fixed-location transaction participant. The transaction authorization means is configured to (i) receive a request from one of the fixed-location transaction participants for completion of a financial transaction; (ii) receive current location information of a mobile-location transaction participant associated with the financial transaction; and (iii) authorize the transaction in accordance with a correlation between the received current location information and physical location of the fixed-location transaction participant.

Claims

1. A method of limiting the likelihood of a fraudulent financial transaction, comprising the steps of:

receiving a request from a first transaction participant for completion of a financial transaction, the financial transaction involving the first transaction participant and a second transaction participant;

receiving current location information of the second transaction participant; and

authorizing the transaction in accordance with a correlation between the current location information and location information of the first transaction participant.

2. The method according to claim 1, wherein the second transaction participant is provided with a wireless authorization device, and the current location receiving step comprises receiving the current location information from the wireless authorization device.

3. The method according to claim 2, wherein the wireless authorization device comprises a Global Positioning System (GPS) receiver, and a wireless transmitter coupled to the GPS receiver, and the current location receiving step comprises receiving GPS co-ordinate information from the wireless transmitter.

4. The method according to claim 3, wherein the current location receiving step comprises the steps of transmitting a notification of the financial transaction to the wireless authorization device, and receiving an authorization signal from the wireless authorization device together with the GPS co-ordinate information, and the transaction authorization step comprises authorizing the transaction in accordance with the received authorization signal and the received GPS co-ordinate information.

5. The method according to claim 4, wherein the financial transaction comprises one of a debit card and a credit card transaction, and the financial transaction notification comprises a monetary amount of the transaction.

6. A financial transaction authorization server, comprising:

a database of records of fixed-location transaction participants, each said record being associated with a respective one of the fixed-location transaction participants and identifying a physical location of the associated fixed-location transaction participant; and

transaction authorization means in communication with the database of records, the transaction authorization means being configured to;

receive a request from one of the fixed-location transaction participants for completion of a financial transaction;

receive current location information of a mobile-location transaction participant associated with the financial transaction; and

authorize the transaction in accordance with a correlation between the received current location information and physical location of the fixed-location transaction participant.

7. The financial transaction authorization server according to claim 6, wherein the mobile-location transaction participant is provided with a wireless authorization device, and the transaction authorization means is configured to receive the current location information from the wireless authorization device.

8. The financial transaction authorization server according to claim 7, wherein the wireless authorization device comprises a Global Positioning System (GPS) receiver, and a wireless transmitter coupled to the GPS receiver, and the transaction authorization means is configured to receive GPS co-ordinate information from the wireless transmitter.

9. The financial transaction authorization server according to claim 8, wherein the transaction authorization means is configured to transmit a notification of the financial transaction to the wireless authorization device, to receive an authorization signal from the wireless authorization device together with the GPS co-ordinate information, and to authorize the transaction in accordance with the received authorization signal and the received GPS co-ordinate information.

10. The financial transaction authorization server according to claim 9, wherein the financial transaction comprises one of a debit card and a credit card transaction, and the financial transaction notification comprises a monetary amount of the transaction.