Payment authorization method and apparatus
First Claim
1. A method of authorising purchases on-line, comprising the steps of;
- on receipt by a merchant of an on-line order from a customer, the order including payment details to pay for the order from an on account, requesting authorisation for the order from a third party honouring the payment;
on receipt by the third party of the authorisation request, sending an electronic communication by the third party to the account holder requesting verification of the transaction;
on receipt by the account holder of the verification request, replying to the third party indicating whether or not the transaction is accepted;
on receipt by the third party of the reply from the account holder, responding to the authorisation request from the merchant, the response being at least partially based on the response from the account holder; and
on receipt of the response to the authorisation request from the third party, fulfilling or declining the order depending upon whether the transaction is authorised.
1 Assignment
0 Petitions
Accused Products
Abstract
When a customer (112) sends an order including credit or debit card payment details, from their Internet browser to a merchant (110) web site, the merchant seeks authorisation from the credit or debit card issuer (114). The credit card issuer sends an e-mail to the holder of the credit or debit card account holder requesting verification of the order. The account holder can accept or reject the order or, if the order has not been placed by them, indicate that it is fraudulent. Unless the credit card issuer receives acceptance of the order from the account holder, it will not authorise the transaction. If the order is accepted by the account holder, it will authorise the transaction subject to its normal authorisation checks. The e-mails sent between the account holder and card issuer contain a unique transaction reference unknown to the merchant. An intermediate dispatch house may handle e-mail communication with account holders and communicate with the card issuer.
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Citations
40 Claims
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1. A method of authorising purchases on-line, comprising the steps of;
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on receipt by a merchant of an on-line order from a customer, the order including payment details to pay for the order from an on account, requesting authorisation for the order from a third party honouring the payment; on receipt by the third party of the authorisation request, sending an electronic communication by the third party to the account holder requesting verification of the transaction; on receipt by the account holder of the verification request, replying to the third party indicating whether or not the transaction is accepted; on receipt by the third party of the reply from the account holder, responding to the authorisation request from the merchant, the response being at least partially based on the response from the account holder; and on receipt of the response to the authorisation request from the third party, fulfilling or declining the order depending upon whether the transaction is authorised. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12)
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13. A method of authenticating credit or debit transactions made on-line, wherein goods or services are ordered from a customer browser and the order sent with credit or debit payment instructions for payment from an account to a merchant web site, the method comprising the party honouring the credit or debit payment performing the steps of:
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receiving an authorisation request from the merchant to authorise the transaction between the customer and the merchant; seeking verification from the account holder of the transaction request; and refusing authorisation of the transaction if the transaction is not verified by the account holder.
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14. A method of authorising payment for goods or services ordered on-line from a merchant by a customer in which the merchant seeks authorisation for a credit or debit card payment from the card issuer;
- the method comprising the card issuer requesting verification of the order from the credit or debit card account holder prior to authorisation of the transaction.
- View Dependent Claims (15, 16, 17, 18, 19)
- 20. A system for authorising payment for goods or services ordered on-line from a merchant by a customer, having means for the merchant to seek authorisation for a credit or debit payment from the third party honouring the debit or credit, the system comprising means at the third party for requesting verification from the holder of the credit or debit account of an order for which authorisation has been sought prior to determining authorisation of the transaction.
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26. Apparatus for authentication of credit or debit transactions made on-line, wherein goods or services are ordered from a customer browser and the order sent with details of payment from a credit or debit account to a merchant web site comprising, at the site of the party honouring the credit or debit payment:
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means for authorising a transaction between customer and merchant notified by the merchant; and means for seeking from the account holder, prior to determining authorisation, verification of the transaction request. - View Dependent Claims (27, 28, 29)
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30. An on-line system for purchase of goods or services by a customer from a merchant comprising:
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at the merchant; means for receiving an order from a customer including payment details from a debit or credit account; means for requesting authorisation to fulfil the order from a third party honouring the debit or credit payment; at the third party; means for sending an electronic communication to the account holder on receipt on an authorisation request from the merchant, the electronic communication requesting verification of the debit or credit transaction; means for receiving a reply to the electronic communication from the account holder; means for refusing authorisation of the transaction if the reply received from the account holder does not accept the transaction; and at the account holder; means for receiving the electronic communication from the third party; and means for sending an electronic response to the communication to the third party. - View Dependent Claims (31, 32, 33, 34, 35)
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36. A method of authenticating transactions made on-line in which a pre-registered party, has credit with an on-line merchant and goods or services are ordered from a customer browser and the order sent on-line to the merchant, and wherein the cost of the order is to be debited from the pre-registered party'"'"'s credit with the merchant, the method comprising the steps of:
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the merchant sending an electronic verification request to a pre-registered electronic communication address for the pre-registered party; and the merchant refusing to complete the transaction if the transaction is not verified by the pre-registered party.
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37. A system for authenticating payments made on-line by a customer to a merchant, the system comprising, at the merchant:
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a store of pre-registered electronic communication addresses for pre-registered parties; a store of credit held with the merchant by the pre-registered parties; means for receiving from a customer browser an order for goods or services to be paid for by drawing down the credit of a pre-registered party, the order including an identification of the pre-registered party; means for sending to the pre-registered party an electronic communication seeking verification of the transaction requested; and at the pre-registered party; means for receiving the verification request from the merchant and for indicating to the merchant whether or not the proposed transaction is accepted.
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38. A system for authorising payment for goods or services ordered by a customer from a merchant in which the customer intends to pay for the goods or services by a credit or debit payment, the method comprising the steps of:
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sending an electronic verification request to the party to whom the means of credit or debit payment is registered, the verification request requesting verification of the payment from the pre-registered owner of the payment means; and refusing the transaction unless the pre-registered owner of the payment means accepts the transaction. - View Dependent Claims (39, 40)
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Specification