System for authorizing credit use

• US 7,885,890 B2
• Filed: 01/17/2007
• Issued: 02/08/2011
• Est. Priority Date: 01/17/2006
• Status: Active Grant

• Current Assignee: HSBC Finance Corporation (HSBC Holdings plc)
• Original Assignee: HSBC Finance Corporation (HSBC Holdings plc)
• Inventors: Haertel, Scott
• Primary Examiner(s): Abdi; Kambiz
• Assistant Examiner(s): Ziegle; Stephanie
• Application Number:
  US11/624,044
• Publication Number:
  US 20070164102A1
• Time in Patent Office: 1,483 Days
• Field of Search: 705/35, 705 38- 45, 235/380
• US Class Current: 705/38
• 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 20/40 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 20/403 Solvency checks
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

A credit approval and authorization system includes a credit request device, such as a terminal, located in a sales location, such as a store. The credit request device is operable to receive customer-related information, including a credit request, and to communicate the customer-related information to a credit analysis module. If the credit request is approved by the credit analysis module, the credit analysis module generates a conditional offer and the credit request device directs the customer to a point of sale system, such as a cash register, within the sales location, for manual verification of the customer'"'"'s identity by an employee of the merchant. If the conditional offer is accepted and the identity of the customer is verified at the point of sale system, an activation module operates to establish a credit account. The system also includes an authorization module operable to determine whether to authorize use of the credit account to make a purchase.

Claims

1. A system for approving a credit request and authorizing a purchase request, the system comprising:

a credit request device operable to receive customer-related information from a customer, the credit request device located at a first location, and the customer-related information including a credit request;

a point of sale system operable to receive customer identification information and to process the purchase request, the point of sale system located at a second location;

a credit analysis module operable to analyze the customer-related information to determine whether the credit request should be approved, and to generate a conditional offer of credit upon approval of the credit request;

a first communication path between the credit request device and the credit analysis module for communication of the customer-related information and the conditional offer of credit;

an activation module in communication with the credit analysis module for receipt of information relating to the conditional offer of credit, the activation module operable to establish a credit account in response to confirmation that the customer has accepted the conditional offer of credit, the credit account including a line of credit;

an authorization module operable to authorize or disallow use of the line of credit for the purchase request; and

a second communication path isolated from the first communication path and affording communication between the point of sale system and the activation module, and between the point of sale system and the authorization module,

wherein in response to receiving the conditional offer of credit from the credit analysis module, the credit request device directs the customer to the point of sale system for initiation of the purchase request and merchant verification of an identity of the customer, wherein the point of sale system obtains the customer identification information when the customer initiates the purchase request, and sends the customer identification information to the activation module via the second communication path, thereby indicating to the activation module that the customer has accepted the conditional offer of credit, and wherein upon receipt of the customer identification information and while the customer is at the point of sale system, the activation module establishes the credit account including the line of credit and the authorization module authorizes or disallows the requested purchase.

2. The system of claim 1, wherein the credit request device includes an output device, and wherein the conditional offer is communicated to the customer by way of the output device.

3. The system of claim 1, wherein the credit analysis module communicates at least some of the customer-related information to the activation module, and wherein the activation module compares the customer identification information received via the second communication path to the at least some of the customer-related information received from the credit analysis module.

4. The system of claim 1, wherein the second communication path includes a communication network having a first data flow channel, a second data flow channel, and a third data flow channel, wherein the first data flow channel communicates the conditional offer between the point of sale system and the credit analysis module, wherein the second data flow channel communicates the customer identification information between the point of sale system and the activation module, and wherein the third data flow channel communicates information relating to the line of credit and the purchase between the point of sale system and the authorization module.

5. The system of claim 1, wherein the credit analysis module communicates conditions for acceptance of the conditional offer to the activation module, and wherein the activation module communicates a credit limit to the authorization module.

6. The system of claim 1, wherein the first and second locations are located within a merchant store, and wherein the credit request device is a terminal located within the merchant store, and the point of sale system is a cash register located within the merchant store.

7. The system of claim 1, wherein if the credit request is denied by the credit analysis module, the credit request device directs the customer to a service area located at a third location.

12. The system of claim 1, wherein the first communication path provides communication between the credit request device and the credit analysis module via a dedicated line or network.

14. The system of claim 5, wherein after the point of sale system sends the customer identification information to the activation module via the second communication path to indicate that the customer has accepted the conditional offer, the activation module creates an account number and communicates the account number and the credit limit to the authorization module.

8. A system for approving the use of credit for a purchase, the system comprising:

a credit request device, the credit request device including an input device for receiving customer-related information including a credit request from a customer, the credit request device also including an output device for communicating information to the customer, the credit request device located at a first location;

a credit analysis module operable to receive and analyze the customer-related information to determine whether the credit request should be approved, and to generate a conditional offer of credit upon approval of the credit request;

a first communication path providing communication between the credit request device and the credit analysis module, the first communication path carrying the customer-related information from the credit request device to the credit analysis module, and carrying the conditional offer of credit from the credit analysis module to the credit request device;

a point of sale unit operable to receive a purchase request and customer identification information associated with the purchase request, the point of sale unit located at a second location;

an activation module operable to establish a credit account for the customer, the credit account including a line of credit, the activation module in communication with the credit analysis module;

an authorization module operable to authorize or disallow use of the line of credit for the purchase request; and

a second communication path isolated from the first communication path and providing communication between the point of sale unit and the activation module and between the point of sale unit and the authorization module,

wherein in response to receiving the conditional offer and before the credit account is established, the credit request device by way of the output device directs the customer to the point of sale unit for initiation of the purchase request, including manual verification of an identity of the customer by the merchant and inputting of the customer identification information into the point of sale unit,

wherein the activation module receives at least some of the customer-related information from the credit analysis module, receives at least some of the customer identification information via the second communication path, compares the at least some of the customer-related information to the at least some of the customer identification information and, upon finding a match, establishes the credit account including the line of credit for the customer, and, while the customer is at the point of sale unit, the authorization module authorizes or disallows the purchase request.

9. The system of claim 8, wherein if the credit analysis module requires additional information to determine whether the credit request should be approved, the credit analysis module communicates a request for additional information to the credit request device, and the credit request device by way of the output device communicates the request for additional information to the customer.

10. The system of claim 8, wherein if the credit analysis module is unable to approve the credit request, the credit analysis module communicates the inability to approve the credit request to the credit request device, and wherein the credit request device by way of the output device provides instructions directing the customer to a customer service area located at a third location.

11. The system of claim 8, wherein the credit request device is a terminal and the input device includes at least one of a touch screen monitor and a magnetic card reader.

13. The system of claim 8, wherein the first communication path provides communication between the credit request device and the credit analysis module via a dedicated line or network.

15. The system of claim 8, wherein when the activation module establishes the credit account, the activation module creates an account number for the credit account.