Systems and method for secure wireless payment transactions

• US 7,657,489 B2
• Filed: 01/18/2007
• Issued: 02/02/2010
• Est. Priority Date: 01/18/2006
• Status: Expired

• Current Assignee: Mocapay, LLC
• Original Assignee: Mocapay, Inc. (Moca Financial, Inc.)
• Inventors: Stambaugh, Rod
• Primary Examiner(s): Elisca, Pierre E
• Application Number:
  US11/624,620
• Publication Number:
  US 20070175978A1
• Time in Patent Office: 1,111 Days
• Field of Search: 705/72, 705/67, 705/64, 705/30
• US Class Current: 705/72
• CPC Class Codes: G06Q 20/32 using wireless devices
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• 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 40/12 Accounting

Abstract

When purchasing an item or service, a user enters a PIN enter their mobile communication device and send the PIN, e.g., via text message to a payment authority. The payment authority authenticates the user using at least the PIN and the mobile communication device identifier associated with the user'"'"'s mobile communication device. If the user is authenticated, then the payment authority will send a transaction code back to the user, which will be displayed on the user'"'"'s mobile communication device. The user can then provide the transaction code to the merchant. The merchant can enter the transaction code into the Merchant'"'"'s point of sale system and complete the transaction.

Claims

1. A secure wireless payment transaction system, comprising:

at least one processor; and

a memory connected with the at least one processor, the memory containing a plurality of program instructions that cause the at least one processor to;

receive a Personal identification Number (PIN) in a message that is sent from a mobile communication device;

receive a mobile communication device identifier identifying the mobile communication device with the message;

authenticate a transaction based on the PIN and the mobile communication device identifier;

generate a transaction code if the transaction is authenticated;

return the transaction code to the mobile communication device;

receive a transaction amount, a merchant identifier, and the transaction code from a merchant'"'"'s Point of Sale (POS) system;

approve the transaction based on the merchant identifier, the transaction amount, and recognition of the transaction code, wherein, in causing the at least one processor to approve the transaction, the plurality of program instructions cause the at least one processor to determine whether a user account associated with the transaction contains sufficient funds to cover the transaction amount; and

transmit an approval code to the POS system when the transaction is approved.

2. The secure wireless payment transaction system of claim 1, wherein the mobile communication device identifier is a Mobile Identification Number (MIN) associated with the mobile communication device.

3. The secure wireless payment transaction system of claim 1, wherein the transaction code is a 4 digit code.

4. The secure wireless payment transaction system of claim 1, wherein the transaction code is a 8 digit code.

5. The secure wireless payment transaction system of claim 1, wherein the transaction code includes blanks that are to be filled in using digits known to a user and to the secure wireless payment transaction system.

6. The secure wireless payment transaction system of claim 1, wherein the length of the transaction code is variable.

7. The secure wireless payment transaction system of claim 1, wherein the plurality of program instructions cause the at least one processor to relay the message from a message authority to a payment authority.

8. The secure wireless payment transaction system of claim 7, wherein the message authority provides a digital certificate to the payment authority, and wherein the payment authority uses the digital certificate to authenticate the transaction.

9. The secure wireless payment transaction system of claim 7, wherein the payment authority uses a network identifier associated with the message authority to authenticate the transaction.

10. The secure wireless payment transaction system of claim 1, wherein the plurality of program instructions cause the at least one processor to store the approval code, merchant ID, and transaction amount and to generate settlement instructions for the transaction.

11. The secure wireless payment transaction system of claim 10, wherein the plurality of program instructions cause the at least one processor to execute the settlement instructions.

12. The secure wireless payment transaction system of claim 1, wherein the message is a text message.

13. The secure wireless payment transaction system of claim 1, wherein the message is a Short Message Service (SMS) message.

14. The secure wireless payment transaction system of claim 13, wherein the SMS message is sent to the secure wireless payment transaction system via a short code.

15. The secure wireless payment transaction system of claim 1, wherein the plurality of program instructions cause the at least one processor to return a real time account balance with the transaction code.

16. The secure wireless payment transaction system of claim 1, wherein the transaction code remains valid for a predetermined period of time, after which the transaction code is no longer valid.

17. A method for secure wireless transaction, comprising:

receiving a Personal identification Number (PIN) in a message that is sent from a mobile communication device;

receiving a mobile communication device identifier identifying the mobile communication device with the message;

authenticating a transaction based on the PIN and the mobile communication device identifier;

generating a transaction code if the transaction is authenticated; and

returning the transaction code to the mobile communication device;

receiving a transaction amount, a merchant identifier, and the transaction code from a merchant'"'"'s Point of Sale (POS) system;

approving the transaction based on the merchant identifier, the transaction amount, and recognition of the transaction code, the approving including determining whether a user account associated with the transaction contains sufficient funds to cover the transaction amount; and

transmitting an approval code to the POS system when the transaction is approved.

18. The method of claim 17, wherein receiving a mobile communication device identifier comprises receiving a Mobile Identification Number (MIN) associated with the mobile communication device.

19. The method of claim 17, wherein generating a transaction code comprises generating a 4 digit code.

20. The method of claim 17, wherein generating a transaction code comprises generating a 8 digit code.

21. The method of claim 17, wherein generating a transaction code comprises generating a transaction code that includes blanks that are to be filled in using digits known to a user and to a secure wireless payment transaction system.

22. The method of claim 17, wherein the length of the transaction code is variable.

23. The method of claim 17, further comprising receiving a digital certificate, and wherein authenticating the transaction further comprises authenticating the transaction based on the digital certificate.

24. The method of claim 17, wherein the transaction is authenticated using a network identifier associated with a message authority that relays the message.

25. The method of claim 17, further comprising storing the approval code, merchant ID, and transaction amount and generating settlement instructions for the transaction.

26. The method of claim 25, further comprising executing the settlement instructions.

27. The method of claim 17, further comprising returning a real time account balance with the transaction code.

28. The method of claim 17, wherein the transaction code remains valid for a predetermined period of time, after which the transaction code is no longer valid.