Transaction approval system

• US 4,943,707 A
• Filed: 01/10/1989
• Issued: 07/24/1990
• Est. Priority Date: 01/06/1987
• Status: Expired due to Term

• Current Assignee: Visa International Service Association (Visa, Inc.)
• Original Assignee: Visa International Service Association (Visa, Inc.)
• Inventors: Boggan, Elvis W.
• Primary Examiner(s): Envall, Jr., Roy N.
• Application Number:
  US07/295,548
• Time in Patent Office: 560 Days
• Field of Search: 235/380, 235/382, 235/382.5, 235/379, 380/24
• US Class Current: 235/380
• CPC Class Codes: G06Q 20/403 Solvency checks
• CPC Class Codes: G07F 7/08 by coded identity card or credit card or other personal identification means without personal verification means G07F7/02

Abstract

An improved system is disclosed for detecting invalid transaction cards at remote transaction terminals. The system includes providing each terminal with a master table having data corresponding to invalid cards. The data in the master table is less than the actual account numbers of the invalid cards. By using a compressed version of the data, the file can be shortened to facilitate storage and transmission. The compressed data file is arranged such that when an invalid card is presented, it will be identified and routed on for further processing. In the preferred embodiment, the probability that a valid card will be identified as potentially invalid is on the order of one to three percent. During each transaction, the master table is supplemented with information about the account number of the transaction card presented for the purchase. In this manner, any subsequent use of the card will be routed for additional processing. A scheme for compensating for data transmission errors is used to reduce the possibility that information about invalid cards is not lost when the master file is distributed.

Claims

1. An apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number, comprising:

data entry means receiving data representative of the account number of a transaction card;

storage means storing information relating to account numbers of transaction cards; and

processor means comparing the account number of the card presented for the transaction with the information stored in the storage means and generating an output signal based on the comparison, said processor means further functioning to store information relating to the account number of the card presented for the pending transaction in said storage means if such information had not previously existed such that a subsequent use of the card will be detected during the comparison performed by the processor means.

2. An apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number comprising:

data entry means receiving data representative of the account number of a transaction card;

storage means storing a master table which includes data derived from a list of transaction cards, said data being less than the entire account number of each card and wherein each listed card is represented by at least one indicator; and

processor means comparing the account number of the card presented for the transaction with the data stored in the master table and generating an output signal based on the comparison, said processor means further functioning to store data relating to the account number of the card presented for a pending transaction in said master table if such data had not previously existed such that a subsequent use of the card will be detected during the comparison performed by the processor means.

3. An apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number comprising:

data entry means receiving data representative of the account number of a transaction card;

storage means storing a master table which includes data derived from a list of transaction cards, said master table being defined by a plurality of bit maps and wherein each listed card is represented by one indicator in each bit map, each said indicator corresponding to an index value which is an algorithmic function of a set of digits in the account number of the transaction card; and

processor means comparing the account number of the card presented for the transaction with the data stored in the master table and generating an output signal based on the comparison, said processor means further functioning to store data relating to the account number of the card presented for a pending transaction in said master table if such data had not previously existed such that a subsequent use of the card will be detected during the comparison performed by the processor means.

4. A method of operating an apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number, said apparatus having a means for storing information relating to account numbers of said cards, comprising the steps of:

comparing the account number of the card presented for a transaction with the stored information about account numbers;

generating an output signal based upon the outcome of the comparison; and

storing information about the account number of the card presented for the transaction if such information had not previously existed such that a subsequent use of the card will be detected during said comparison step.

5. A method of operating an apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number, comprising the steps of:

storing a master table which includes data derived from a list of transaction cards, said data being less than the entire account number of each card and wherein each listed card is represented by at least one indicator;

comparing the account number of the card presented for the transaction with the data stored in the master table;

generating an output signal based upon the outcome of the comparison; and

storing data about the account number of the card presented for the transaction in the master table if such data had not previously existed such that a subsequent use of the card will be detected during said comparison step.

6. A method of operating an apparatus for facilitating the off line approval of transactions based upon the use of transaction cards each having an account number, comprising the steps of:

storing a master table which includes data derived from a list of transaction cards, said master table being defined by a plurality of bit maps and wherein each listed card is represented by one indicator in each bit map, each said indicator corresponding to an index value which is an algorithmic function of a set of digits in the account number of the transaction card;

comparing the account number of the card presented for the transaction with the data stored in the master table;

generating an output signal based upon the outcome of the comparison; and

storing data about the account number of the card presented for the transaction in the master table if such data had not previously existed such that a subsequent use of the card will be detected during said comparison step.

7. In a transaction network including a central processor, a plurality of remote transaction terminals and a plurality of transaction cards, each card having an account number associated therewith, a method for identifying certain cards in an off-line manner comprising the steps of:

(a) generating information about certain cards from a list maintained at the central processor;

(b) distributing said information about the listed cards in a manner to be locally accessed by the remote transaction terminals;

(c) comparing the account number of the card presented for the transaction with the distributed information about listed cards;

(d) generating a signal based on the outcome of the comparison; and

(e) storing information about the account number of the card presented for the transaction if such information had not previously existed such that a subsequent use of the card will be detected during said comparison step.

8. In a transaction network including a central processor, a plurality of remote transaction terminals and a plurality of transaction cards, each card having an account number associated therewith, a method for identifying certain cards in an off-line manner comprising the steps of:

(a) generating a master table at said central processor, said table including data derived from a list of transaction cards, said data being less than the entire account number of each card and wherein each listed card is represented by at least one indicator;

(b) distributing the master table in a manner to be locally accessed by the transaction terminals;

(c) comparing the account number of the card presented for the transaction with the data in the distributed master table;

(d) generating a signal based on the outcome of the comparison; and

(e) storing data about the account number of the card presented for the transaction in the master table if such information had not previously existed such that a subsequent use of the card will be detected during said comparison step.

9. In a transaction network including a central processor, a plurality of remote transaction terminals and a plurality of transaction cards, each card having an account number associated therewith, a method for identifying certain cards in an off-line manner comprising the steps of:

(a) generating a master table at said central processor, said table including data derived from a list of transaction cards, said master table being defined by a plurality of bit maps and wherein each listed card is represented by one indicator in each bit map, each said indicator corresponding to an index value which is an algorithmic function of a set of digits in the account number of the transaction card;

(b) distributing the master table in a manner to be locally accessed by the transaction terminals;

(c) comparing the account number of the card presented for the transaction with the data in the distributed master table;

(d) generating a signal based on the outcome of the comparison; and

(e) storing data about the account number of the card presented for the transaction in the master table if such information had not previously existed such that a subsequent use of the card will be detected during said comparison step.