Method of and system for effecting anonymous credit card purchases over the internet

• US 7,376,629 B1
• Filed: 04/03/2001
• Issued: 05/20/2008
• Est. Priority Date: 04/03/2000
• Status: Expired due to Term

• Current Assignee: Advanced Transactions, LLC (IP Investments Group LLC)
• Original Assignee: Incogno Corporation
• Inventors: Zand, Mark, Jellison, David W., Braginsky, Leonid, McIsaac, Joseph E.
• Primary Examiner(s): ELISCA, PIERRE E
• Application Number:
  US09/826,052
• Time in Patent Office: 2,604 Days
• Field of Search: 705/78, 705/79, 705/50, 705/51, 705/64, 705/67
• US Class Current: 705/78
• CPC Class Codes: G06Q 20/027 involving a payment switch or gateway
• CPC Class Codes: G06Q 20/0855 involving a third party
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G06Q 20/3823 combining multiple encryption tools for a transaction
• CPC Class Codes: G06Q 20/3829 involving key management
• 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 20/401 Transaction verification
• CPC Class Codes: G07F 7/1016 Devices or methods for securing the PIN and other transaction-data, e.g. by encryption arrangements for secret communication, see H04L9/00

Abstract

A transaction system for performing secure transactions over a communication network includes (i) a merchant server system including a computer processor and associated memory, the merchant server system offering items for sale; (ii) a buyer system including a computer processor and associated memory, the buyer system being selectively couplable to the merchant server system over the communication network to initiate a transaction, wherein, during the transaction, the buyer system selects one or more of the items for purchase; (iii) a security server system including a computer processor and associated memory and an encryption device, the security server system receiving buyer information from the buyer system, encrypting the buyer information in an encryption key that prevents the merchant server system from decrypting the buyer information, and transferring the encrypted buyer information to the merchant server system; and (iv) a third server system including a computer processor and associated memory, the third server system being selectively couplable to the merchant server system, wherein the merchant server system transmits at least a portion of the encrypted buyer information to the third server system for processing during the transaction.

Claims

1. A transaction system for performing secure transactions over a communication network comprising:

a merchant server system including a computer processor and associated memory, said merchant server system offering items for sale;

a buyer system including a computer processor and associated memory, said buyer system being selectively coupled to said merchant server system over said communication network to initiate a transaction, wherein, during said transaction, said buyer system selects one or more of said items for purchase;

a security server system distinct from said merchant server system and including a computer processor and associated memory and an encryption device, said security server system receiving buyer information from said buyer system, encrypting said buyer information in an encryption key that prevents said merchant server system from decrypting said buyer information, and transferring said encrypted buyer information to said merchant server system; and

a payment processor server system distinct form the security server system and including a computer processor and associated memory, said payment processor server system being selectively coupled to said merchant server system, wherein said merchant server system transmits at least a payment portion of said encrypted buyer information to said payment processor server system for processing during said transaction

wherein said merchant server system cannot decrypt said encrypted payment information and said payment processor server system can decrypt said encrypted payment information; and

wherein said payment processor server decrypts said encrypted payment information and using said decrypted payment information, determines if said transaction is authorized or not, and communicates said determination to said merchant server system.

2. The transaction system of claim 1 further comprising a delivery server system including a computer processor and associated memory said delivery server system being selectively coupled to one of said merchant server system and said payment processor server system, wherein said one of said merchant server system and said payment processor server system transmits at least a delivery information portion of said encrypted buyer information to said delivery server system for processing during said transaction

wherein said delivery server system decrypts said encrypted delivery information to determine a delivery address for delivery of said one or more selected items.

3. The transaction system of claim 2 wherein said encrypted buyer information received by said delivery server system is delivery address information of said buyer.

4. The transaction system of claim 2 wherein said security server system encrypts said buyer information into a first document and a second document, wherein said first document is transmitted to said payment processor server system by said merchant server system and said second document is transmitted to said delivery server system by said merchant server system.

5. The transaction system of claim 4 wherein said first document contains one of the buyer system'"'"'s delivery address information and the buyer system'"'"'s payment information and the second document contains the other of said buyer system'"'"'s delivery address information and said buyer system'"'"'s payment information.

6. The transaction system of claim 5 wherein said security server system encrypts said first document using a first encryption key and said second document using a second encryption key, wherein said one of said payment processor server system and said delivery server system that receives said first document can decrypt said first document but not said second document and wherein said other one of said payment processor server system and said delivery server system that receives said second document can decrypt said second document but not said first document.

7. The transaction system of claim 2 wherein said security server system encrypts said buyer information into a first document and a second document, wherein said first and second documents are transmitted to said payment processor server system by said merchant server system and said second document is transmitted to said delivery server system by said payment processor server system.

8. The transaction system of claim 7 wherein said first document contains one of the buyer system'"'"'s delivery address information and the buyer system'"'"'s payment information and the second document contains the other of said buyer system'"'"'s delivery address information and said buyer system'"'"'s payment information.

9. The transaction system of claim 8 wherein said security server system encrypts said first document using a first encryption key and said second document using a second encryption key, wherein said one of said payment processor server system and said delivery server system that receives said first document and second documents from said merchant server system can decrypt said first document but not said second document and wherein said other one of said payment processor server system and said delivery server system that receives said second document can decrypt said second document but not said first document.

10. A system for performing secure transactions over a communication network comprising:

a merchant server system including a computer processor and associated memory, said merchant server system offering items for sale;

a buyer system including a computer processor and associated memory, said buyer system being selectively coupled to said merchant server system over said communication network to initiate a transaction, wherein, during said transaction, said buyer system selects one or more of said items for purchase;

a security server system distinct from said merchant server system and including a computer processor and associated memory, said security server system being selectively coupled to said buyer system to receive buyer information from said buyer system in the course of said transaction, said buyer information including delivery address information and payment information;

a delivery server system including a computer processor and associated memory; and

a payment processor server system distinct form the security server system and including a computer processor and associated memory;

wherein said security server encrypts and transmits said delivery address information to said delivery server system and said payment information to said payment processor server system by way of said merchant server system, said delivery address information and said payment information of said buyer information being not otherwise provided to said merchant server system;

wherein said delivery server system decrypts said encrypted delivery address information to determine a delivery address for delivery of said one or more selected items.

11. The transaction system of claim 10 wherein said security server system encrypts said delivery address information into a first document and encrypts said payment information into a second document.

12. The transaction system of claim 11 wherein said security server system transmits said first and second documents to said merchant server system, which transmits said first document to said delivery server system and said second document to said payment processor server system;

and

wherein said merchant server system cannot decrypt said first and second documents.

13. A system for performing secure transactions over a communication network comprising:

a merchant server system including a computer processor and associated memory, said merchant server system offering items for sale;

a buyer system including a computer processor and associated memory, said buyer system being selectively couplable to said merchant server system over said communication network to initiate a transaction, wherein, during said transaction, said buyer system selects one or more of said items for purchase;

a delivery server system including a computer processor and associated memory;

a payment processor server system including a computer processor and associated memory; and

a security server system distinct from said merchant server system and said payment processor server system and including a computer processor and associated memory and an encryption device, said security server system receiving buyer information from said buyer system and forming a merchant document associated with said merchant server system and including information regarding the item being purchased, encrypting said buyer information into a payment document associated with said payment server system and including the buyer'"'"'s payment information and encrypting said buyer information into an address document associated with said delivery server system and including the buyer'"'"'s shipping address;

said security server system transferring said buyer information to a first one of said merchant server system said payment server system and said delivery server system, wherein said first system removes the document associated with the first system and transmits the remaining documents to a second one of said merchant server system, said payment server system and said delivery server system, wherein said second system removes the document associated with the second system and transmits the remaining document to a third one of said merchant server system, said payment server system and said delivery server system;

wherein said security server system encrypts said buyer information using an encryption key in which only said payment server system can decrypt said payment document and only said delivery server system can decrypt said address document; and

wherein said payment server system decrypts said encrypted payment information and using said decrypted payment information, to determine if said transaction is authorized or not, and communicates said determination to said merchant server system

wherein said delivery server system decrypts said encrypted delivery information to determine a delivery address for delivery of said one or more selected items.

14. A method for performing secure transactions over a communication network comprising:

A. establishing a connection between a buyer system and a merchant server system over said communications network to initiate a purchase transaction;

B. said buyer system selecting an item offered for sale by said merchant server system;

C. said buyer system transmitting buyer information to a security server system distinct from said buyer system;

D. said security server system encrypting said buyer information using an encryption key that prevents said merchant server system from decrypting said encrypted buyer information;

E. said security server system transmitting said encrypted buyer information to said merchant server system;

F. said merchant server system transmitting at least a payment information portion of said encrypted buyer information to a payment processor server system for processing during said purchase transaction, said payment processor system being distinct from said security server system; and

G. said payment processor server system decrypting said at least a portion of said encrypted buyer information before processing said information and then using said decrypted payment information determines if said transaction is authorized or not, and communicates said determination to said merchant server system.