METHODS FOR RISK MANAGEMENT IN PAYMENT-ENABLED MOBILE DEVICE

• US 20140209672A1
• Filed: 03/27/2014
• Published: 07/31/2014
• Est. Priority Date: 11/06/2009
• Status: Active Grant

• Current Assignee: Mastercard International Incorporated (MasterCard Incorporated)
• Original Assignee: Mastercard International Incorporated (MasterCard Incorporated)
• Inventors: Mestr, Patrick, Radu, Cristian, Smets, Patrik, Phillips, Simon, Carter, Ronald D.
• Granted Patent: US 9,947,006 B2
• Time in Patent Office: Days
• US Class Current: 235/380
• CPC Class Codes: G06Q 20/16 Payments settled via telecommunication systems
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 20/204 comprising interface for record bearing medium or carrier for electronic funds transfer or payment credit
• CPC Class Codes: G06Q 20/28 Pre-payment schemes, e.g. "pay before"
• CPC Class Codes: G06Q 20/3278 RFID or NFC payments by means of M-devices
• CPC Class Codes: G06Q 20/3433 the counter having monetary units
• CPC Class Codes: G06Q 20/349 Rechargeable cards
• CPC Class Codes: G06Q 20/381 Currency conversion
• 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 20/4012 Verifying personal identification numbers [PIN]
• CPC Class Codes: G06Q 20/4016 involving fraud or risk level assessment in transaction processing
• CPC Class Codes: G06Q 20/409 Device specific authentication in transaction processing
• CPC Class Codes: G07F 7/1025 Identification of user by a PIN code

Abstract

A payment-enabled mobile device receives, during a first tap of the mobile device on a proximity reader component of a point of sale (POS) terminal, first transaction context data for a current transaction, and receives during a second tap of the mobile device on the proximity reader component, second transaction context data for the current transaction. When the mobile device determines that the second tap is for the same transaction as the first tap, and that one of a customer verification method (CVM) status or a user acknowledgment status flag has been set, then it transmits a payment card account number to the POS terminal to consummate the transaction.

Claims

1. A method comprising:

receiving, by a payment-enabled mobile device during a first tap of the mobile device on a proximity reader component of a point of sale (POS) terminal, first transaction context data for a current transaction from the proximity reader component;

receiving by the mobile device for the current transaction during a second tap of the mobile device on the proximity reader component, second transaction context data for the current transaction from the proximity reader component;

determining, by the mobile device, that the second tap is for the same transaction as the first tap;

determining, by the mobile device, that one of a customer verification method (CVM) status or a user acknowledgment status flag has been set; and

transmitting, by the mobile device to the POS terminal, a payment card account number to consummate the transaction.

2. The method of claim 1, further comprising, subsequent to receiving the second transaction data:

determining, by the mobile device, that the second transaction context data does not match the first transaction context data; and

transmitting, by the mobile device to the POS terminal, a message declining the current transaction.

3. The method of claim 1, wherein the transaction context data includes transaction amount data and a currency indicator.

4. A payment-enabled mobile device, comprising:

a processor;

a memory operably connected to the processor, the memory storing a payment application program;

an antenna operably connected to the processor;

a transceiver operably connected to the antenna and configured to exchange wireless signals with a proximity reader component of a point of sale (POS) terminal, wherein the transceiver operates under control of the processor and the payment application program; and

a nonvolatile memory operably connected to the processor and implementing a first accumulator and a different second accumulator, wherein the nonvolatile memory also implements a first counter associated with the first accumulator and a second counter associated with the second accumulator;

and wherein the processor is controlled by the payment application program to;

detect a tap on a proximity reader component;

refer to a count tracked by the first counter regarding payment usage aspects and stored in the first accumulator to determine whether to decline a current transaction; and

refer to a count tracked by the second counter regarding risk management aspects and stored in the second accumulator to determine whether to require a user of the mobile device to perform at least one cardholder verification method (CVM) as a condition of consummating the current transaction.

5. The payment-enabled mobile device of claim 4 wherein:

the first and second accumulators are configurable between a temporary accumulation mode and a permanent accumulation mode;

and wherein in the temporary accumulation mode, a transaction amount for a current transaction is registered into the first and second accumulators before considering a value of the first and second accumulators with respect to the current transaction; and

in the permanent accumulation mode, the transaction amount for the current transaction is registered into the first and second accumulators only in response to consummation of the current transaction.

6. A method comprising:

receiving, by a payment-enabled mobile device having a display component for displaying information, user input comprising performance of a cardholder verification method (CVM);

verifying, by the payment-enabled mobile device, the user input;

setting a CVM-verified status;

initiating, by the payment-enabled mobile device, a count-down function for indicating a future point in time at which the CVM-verified status will expire; and

providing a visual count-down display to the user via the display component, the visual count-down display sequentially updated by the payment-enabled mobile device to present current values of the count-down function.

7. The method of claim 6, further comprising:

displaying a button indication on the display device, the button indication for allowing the user to extend the future point in time at which the CVM-verified status will expire.

8. The method of claim 7, further comprising:

detecting, by the payment-enabled mobile device, actuation of the button indication by the user;

extending the future point in time at which the CVM-verified status will expire; and

restarting, by the payment-enabled mobile device, the visual count-down display to reflect the extension of the future point in time.

9. A method comprising:

receiving, by a payment-enabled mobile device from a user, pre-transaction user input;

storing, in the payment-enabled mobile device, an indication of the pre-transaction user input;

detecting, by the payment-enabled mobile device, that it is tapped on a proximity reader component in connection with a purchase transaction;

reading the indication; and

consummating, by the payment-enabled mobile device, the purchase transaction without requiring the device to be tapped a second time on the proximity reader component, wherein the indication comprises at least one of (a) a transaction acknowledgment signal and (b) performance of a cardholder verification method (CVM).

10. The method of claim 9, wherein the indication remains valid for a pre-determined number of additional transactions.

11. The method of claim 9, wherein the indication remains valid for additional transactions during a predetermined period of time.

12. A method, comprising:

receiving, by a payment enabled mobile device, selection by a user of a pre-entry function;

prompting, by the payment enabled mobile device, the user to perform a cardholder verification method (CVM);

receiving user input associated with the CVM;

verifying, by the payment enabled mobile device, the CVM;

setting, by the payment enabled mobile device, a CVM-verified status;

receiving, by the payment enabled mobile device when tapped on a proximity reader component of a point of sale (POS) terminal, transaction information associated with a purchase transaction;

determining, by the payment enabled mobile device based on the transaction information, that the purchase transaction is a qualified transaction and that the CVM-verified status is set; and

transmitting, by the payment enabled mobile device to the POS terminal, a payment card account number to consummate the purchase transaction.

13. The method of claim 12, further comprising, after receiving the transaction information:

determining, by the payment enabled mobile device, that the purchase transaction is a qualified transaction and that the CVM-verified status is not set;

prompting, by the payment enabled mobile device, the user to perform CVM;

receiving user input associated with the CVM;

verifying, by the payment enabled mobile device, the CVM and setting the CVM-verified status;

receiving, by the payment enabled mobile device when tapped again on the proximity reader component, second transaction information associated with the purchase transaction;

determining, by the payment enabled mobile device, that the second transaction information matches the transaction information; and

transmitting, by the payment enabled mobile device to the POS terminal, a payment card account number to consummate the purchase transaction.

14. The method of claim 13, wherein the payment-enabled mobile device is programmed to decline the purchase transaction when the second transaction information does not match the transaction information.

15. The method of claim 12, further comprising, after receiving the transaction information:

determining, by the payment enabled mobile device, that the CVM-verified status is not set; and

declining, by the payment enabled mobile device, the purchase transaction.

16. The method of claim 12, further comprising, after receiving the transaction information:

determining, by the payment enabled mobile device based on the transaction information, that the purchase transaction is not a qualified transaction;

clearing, by the payment enabled mobile device, the CVM-verified status;

prompting, by the payment enabled mobile device, the user to perform a CVM;

receiving user input associated with the CVM;

verifying, by the payment enabled mobile device, the CVM and setting the CVM-verified status;

receiving, by the payment enabled mobile device when tapped again on the proximity reader component, second transaction information associated with the purchase transaction;

determining, by the payment enabled mobile device, that the second transaction information matches the transaction information; and

transmitting, by the payment enabled mobile device to the POS terminal, a payment card account number to consummate the purchase transaction.

17. The method of claim 16, wherein the payment-enabled mobile device is programmed to decline the purchase transaction when the second transaction information does not match the transaction information.

18. The method of claim 12, wherein the transaction information comprises transaction amount data and a currency indicator.

19. The method of claim 18, further comprising, prior to determining that the purchase transaction is a qualified transaction:

determining, by the payment enabled mobile device based on the currency indicator, that the purchase transaction is not in the user'"'"'s home currency;

clearing the CVM-verified status;

prompting, by the payment enabled mobile device, the user to perform a CVM;

verifying, by the payment enabled mobile device, that the CVM is valid and setting the CVM-verified status; and

transmitting, by the payment enabled mobile device to the POS terminal, a payment card account number to consummate the purchase transaction.

20. The method of claim 18, further comprising, prior to determining that the purchase transaction is a qualified transaction:

determining, by the payment enabled mobile device based on the currency indicator, that the purchase transaction is not in the user'"'"'s home currency;

clearing the CVM-verified status;

prompting, by the payment enabled mobile device, the user to perform a CVM;

determining, by the payment enabled mobile device, one of that user performance of the CVM is invalid or that the CVM was not performed within a predetermined period of time; and

declining, by the payment enabled mobile device, the purchase transaction.

21. A payment-enabled mobile device, comprising:

a processor;

an antenna operably connected to the processor;

a transceiver coupled to the antenna and operably connected to the processor and operable to exchange wireless signals via the antenna with a proximity reader component of a point of sale (POS) terminal; and

a memory operably connected to the processor, the memory storing a payment application program operable to cause the processor to;

receive selection by a user of a pre-entry function;

prompt the user to perform a cardholder verification method (CVM);

receive user input associated with the CVM;

verify the CVM;

set a CVM-verified status;

receive, when the transceiver is tapped on the proximity reader component of the POS terminal, transaction information associated with a purchase transaction;

determine, based on the transaction information, that the purchase transaction is a qualified transaction and that the CVM-verified status is set; and

transmit a payment card account number to the reader component of the POS terminal to consummate the purchase transaction.

22. The payment-enabled mobile device of claim 21, wherein the payment application program stored in the memory is further operable, after receiving the transaction information, to cause the processor to:

determine that the purchase transaction is a qualified transaction and that the CVM-verified status is not set;

prompt the user to perform a CVM;

verify the received CVM and set the CVM-verified status;

receive, when the transceiver is tapped again on the proximity reader component, second transaction information associated with the purchase transaction;

determine that the second transaction information matches the transaction information; and

transmit a payment card account number to the POS terminal to consummate the purchase transaction.

23. The payment-enabled mobile device of claim 22, wherein the payment application program stored in the memory is further operable, after receiving the transaction information, to cause the processor to decline the purchase transaction when the second transaction information does not match the transaction information.

24. The payment-enabled mobile device of claim 21, wherein the payment application program stored in the memory is further operable, after receiving the transaction information, to cause the processor to:

determine that the CVM-verified status is not set; and

decline the purchase transaction.

25. The payment-enabled mobile device of claim 21, wherein the payment application program stored in the memory is further operable, after receiving the transaction information, to cause the processor to:

determine, based on the transaction information, that the purchase transaction is not a qualified transaction;

clear the CVM verified status;

prompt the user perform a CVM;

verify the received CVM and set the CVM-verified status;

receive, when tapped again on the proximity reader component, second transaction information associated with the purchase transaction;

determine that the second transaction information matches the transaction information; and

transmit a payment card account number to the POS terminal to consummate the purchase transaction.

26. The payment-enabled mobile device of claim 25, wherein the payment application program stored in the memory is further operable to cause the processor to decline the purchase transaction when the second transaction information does not match the transaction information.

27. The payment-enabled mobile device of claim 21, wherein the payment application program stored in the memory is further operable, prior to determining that the purchase transaction is a qualified transaction, to cause the processor to:

determine that the purchase transaction is not in the user'"'"'s home currency;

clear the CVM-verified status;

prompt the user perform a CVM;

verify the received CVM;

set the CVM-verified status; and

transmit a payment card account number to the POS terminal to consummate the purchase transaction.

28. The payment-enabled mobile device of claim 21, wherein the payment application program stored in the memory is further operable, after receiving the transaction information, to cause the processor to:

determine that the purchase transaction is not in the user'"'"'s home currency;

clear the CVM-verified status;

prompt the user perform a CVM;

determine one of that user performance of the CVM is invalid or that the CVM was not performed within a predetermined period of time; and

decline the purchase transaction.