Mobile Device Based Financial Transaction System

• US 20130339253A1
• Filed: 08/27/2012
• Published: 12/19/2013
• Est. Priority Date: 08/31/2011
• Status: Abandoned Application

• Current Assignee: Dan Moshe Sincai
• Original Assignee: Dan Moshe Sincai
• Inventors: Sincai, Dan Moshe
• Application Number:
  US13/594,914
• Publication Number:
  US 20130339253A1
• Time in Patent Office: Days
• US Class Current: 705/71
• CPC Class Codes: G06Q 20/3227 using secure elements embedded in M-devices
• CPC Class Codes: G06Q 20/3276 using a pictured code, e.g. barcode or QR-code, being read by the M-device

Abstract

A system and method for conducting financial transactions by means of a smartphone is disclosed. A barcode is printed on the invoice, which is scanned by the mobile device screen. The mobile device is used instead of a credit card or cash. Provisions for data security, transaction verification, and communications protocols are disclosed.

Claims

1. a system for conducting a wireless financial transaction comprising:

means for capturing at least one or more identifying feature of an output issued for said transaction;

means for communicating said at least one or more identifying feature of said output;

means for receiving said at least one or more identifying feature of said output;

means for receiving information of said output issued for said transaction;

means for correlating said at least one or more identifying feature with said information of said output;

means for communicating said information of said output and requesting authorization for said output; and

optionally

means for receiving authorization for said output.

2. The system of claim 1, wherein said means for communicating said at least one or more identifying feature is a mobile device.

3. The system of claim 1, wherein said means for capturing said at least one or more identifying feature of said output is optical means.

4. The system of claim 1, wherein said optical means is activated by said mobile device.

5. The system of claim 4, wherein said optical means is a digital camera, said camera is incorporated into said mobile device.

6. The system of claim 1, wherein said means for receiving said at least one or more identifying feature of said output is a server, said server is a remote server from said mobile device.

7. The system of claim 1, wherein said server is incorporated into said mobile device.

8. The system of claim 1, wherein said means for communicating said information of said output and requesting authorization communicates said information and request of authorization to a Point of Sale, said Point of Sale communicates said information and request of authorization to a clearing house.

9. The system of claim 1, wherein said means for communicating said information and requesting authorization of said output communicates said information and request directly to a clearing house.

10. The system of claim 1, wherein said output is in printed-paper or on-screen form.

11. The system of claim 1, wherein said at least one or more identifying feature is one or more of a transaction code, PoS identifier, cashier identifier, list of purchases or total amount to be paid.

12. The system of claim 1, wherein said system further comprising means for validating said means for communicating said at least one or more identifying feature of said output, preferably said means for communicating said identifying feature is a mobile device.

13. The system of claim 1, further comprising means for validating said means for communicating said at least one or more identifying feature of said output.

14. The system of claim 1, further comprising means for registering said means for communicating said at least one or more identifying feature of said output for use, said registering comprising the steps:

requesting a PIN code from a user of said means for communicating said at least one or more identifying feature of said output;

generating a unique per user symmetric key from said PIN and an additional related data on said device for said means for communicating said at least one or more identifying feature of said output;

generation of an asymmetric key pair (private and public) by said means for communicating said at least one or more identifying feature of said output;

encryption of said private key with said symmetric key by said means for communicating said at least one or more identifying feature of said output;

sending said public key by said means for communicating said at least one or more identifying feature of said output to server;

sending a validation code to said means for communicating said at least one or more identifying feature of said output; and

entering said validation code into a mobile application running on said means for communicating said at least one or more identifying feature of said output.

15. The system of claim 14 wherein said public-private keys are used for validation of said means for communicating said at least one or more identifying feature of said output, by signing per session challenge request, where access to said private key secured by said symmetric key.

16. The system of claim 15 wherein said challenge is being changed per request.

17. The system of claim 14 wherein said entering said validation code is by requiring said user of said means for communicating said at least one or more identifying feature of said output to enter said PIN.

18. The system of claim 1 further comprising means for selecting a preferred payment means and supplying payment means details.

19. The system of claim 18 wherein selecting a preferred payment means is performed automatically based on criteria selected from the group consisting of:

charge date;

line of credit;

available promotions;

user-defined hierarchy.

20. The system of claim 18, wherein said payment means are selected from the group consisting of:

credit account;

debit account;

prepaid account;

bank account;

loyalty cards;

coupons.

21. The system of claim 20, further allowing said user to choose between said payment means.

22. The system of claim 1, further wherein said payment means details are not stored on said server, optionally said payment means details are stored on said means for communicating said at least one or more identifying feature of said output.

23. The system of claim 22, wherein payment card information is dispersed, a first proper subset of the information is stored on said means for communicating said at least one or more identifying feature of said output while a second proper subset of the information of the credit card number is stored on the server, where the union of said first set and said second set contains the entirety of said payment card.

24. The system of claim 22, wherein said payment card information, including:

number part, card owner ID, expiration date, and CCV2 are stored in encrypted form using said PIN.

25. The system of claim 20 wherein a subset of information selected from the group consisting of:

selected credit card digits;

card owner;

card expiration date;

CCV2 number are stored on said server, while a non-identical subset of information selected from the same group is stored on said means for communicating said at least one or more identifying feature of said output.

26. The system of claim 1 further implementing advertising wherein advertisers display advertisements to users by means of said means for communicating said at least one or more identifying feature of said output.

27. The system of claim 25 wherein said advertisements include elements selected from the group consisting of:

text, audio, video, interactive items.

28. The system of claim 1, further implementing mapping wherein facilities adapted for use of said system are displayed on a map by means of said means for communicating said at least one or more identifying feature of said output.

29. The system of claim 1, further implementing commercial social networking wherein users may participate in activities selected from the group consisting of:

club sharing;

discount information sharing;

invitation bonuses;

providing feedback;

sending requests.

30. The system of claim 1, further allowing users of said system to invite others to use said system.

31. The system of claim 1, further allowing users of said system to invite others to a member club.

32. The system of claim 1, further allowing said users of said means for communicating said at least one or more identifying feature of said output to share discounts.

33. The system of claim 31, wherein said discounts are targeted by demographic.

34. The system of claim 1, further allowing users of said system to transfer credit, coupons, rechargeable cards, money, discounts and the like amongst themselves.

35. The system of claim 1, further allowing users of said system to make group payments shared between several users of said system.

36. A method for conducting a financial transaction using a mobile device comprising:

capturing at least one or more identifying feature of a output issued for said transaction;

communicating said at least one or more identifying feature of said output;

receiving said at least one or more identifying feature of said output;

receiving information of said output issued for said transaction;

correlating said at least one or more identifying feature with said information of said output;

communicating said information of said output and requesting confirmation for said output; and

optionally

receiving authorization for said output.

37. The method of claim 36, further comprising means for registering said means for communicating said at least one or more identifying feature of said output for use, said registering comprising the steps:

requesting a PIN code from a user of said means for communicating said at least one or more identifying feature of said output;

generating a unique per user symmetric key from said PIN and an additional related data on said device for said means for communicating said at least one or more identifying feature of said output;

generation of an asymmetric key pair (private and public) by said means for communicating said at least one or more identifying feature of said output;

encryption of said private key with said symmetric key by said means for communicating said at least one or more identifying feature of said output;

sending said public key by said means for communicating said at least one or more identifying feature of said output to server.

sending a validation code to said means for communicating said at least one or more identifying feature of said output; and

entering said validation code into a mobile application running on said means for communicating said at least one or more identifying feature of said output.

38. The method of claim 37, wherein said public-private keys are used for validation of said means for communicating said at least one or more identifying feature of said output, by signing per session challenge request, where access to said private key secured by said symmetric key.

39. The method of claim 38, wherein said challenge is being changed per request.

40. The method of claim 36, further comprising authenticating said means for communicating said at least one or more identifying feature of said output comprising the steps:

validating the user and means for communicating said at least one or more identifying feature of said output;

generating a transaction code by a PoS terminal by use of said system server;

printing said transaction code, optionally as a barcode, at a point of sale terminal;

sending said transaction code to said server by way of point of sale or directly to a clearing house;

requesting authorization of said financial transaction from said clearing house; and

returning said authorization to said point of sale by way of said point of sale and server.

41. The method of claim 37, wherein said validation is by requiring said user to enter a PIN code.

42. The method of claim 36, further comprising a step of selecting a preferred payment means and supplying payment means details.

43. The method of claim 42 wherein said step of selecting a preferred payment means is performed automatically based on criteria selected from the group consisting of:

charge date;

line of credit;

available promotions;

user-defined hierarchy.

44. The method of claim 42 wherein said payment means are selected from the group consisting of:

credit account;

debit account;

prepaid account;

bank account;

loyalty cards, coupons and tickets.

45. The method of claim 44, further allowing said user to choose between said payment means.

46. The method of claim 42, further wherein said payment means details are not stored on said server, optionally said payment means details are stored on said means for communicating said at least one or more identifying feature of said output.

47. The method of claim 44, wherein for the case of a credit account, a first proper subset of the digits of the credit card number is stored on means for communicating said at least one or more identifying feature of said output while a second proper subset of the digits of the credit card number is stored on the server, where the union of said first set and said second set contains the entirety of said credit card number.

48. The method of claim 44 wherein said credit card number part, card owner ID, expiration date, and CCV2 are stored in encrypted form using said PIN.

49. The method of claim 42, wherein a subset of information selected from the group consisting of:

selected credit card digits;

card owner;

card expiration date;

CCV2 number are stored on said server, while a non-identical subset of information selected from the same group is stored on said means for communicating said at least one or more identifying feature of said output.

50. The method of claim 36 further implementing advertising wherein advertisers display advertisements to users of said means for communicating said at least one or more identifying feature of said output.

51. The method of claim 49 wherein said advertisements include elements selected from the group consisting of:

text, audio, video, interactive items.

52. The method of claim 36 further implementing mapping wherein facilities adapted for use of said system are displayed on a map by means for communicating said at least one or more identifying feature of said output.

53. The method of claim 36, further implementing commercial social networking wherein users may participate in activities selected from the group consisting of:

club sharing;

discount information sharing;

invitation bonuses;

providing feedback to the vendor;

sending requests.

54. The method of claim 36, further allowing users of said system to invite others to use said system.

55. The method of claim 36 further allowing said users of said mobile devices to share discounts.

56. The method of claim 54, wherein said discounts are targeted by demographic.

57. The method of claim 36, further allowing users of said system to transfer credit, coupons, rechargeable cards, money, discounts and the like amongst themselves.

58. The method of claim 36, further allowing users of said system to make group payments shared between several users of said system or split bills (pay for what you ordered).

59. The method of claim 36, further wherein retailers are able to advertise their products, offer coupons, discounts and services directly to users of the inventive system and issue a digital loyalty card.

60. The method of claim 36, further enabling any its users to enroll to the merchant'"'"'s loyalty club directly from their mobile device without filling any forms.

61. The method of claim 60, further enabling the users to pay any membership fee directly from their mobile devices.

62. The method of claim 36, further wherein a simple interface for any subscribed merchant is provided to manage and add new advertisements to the end user, including sales, coupons, catalogs and the like in all mediums, including:

images, video, and audio.