Method and apparatus for ordering goods, services and content over an internetwork using a virtual payment account

• US 7,908,226 B2
• Filed: 07/14/2005
• Issued: 03/15/2011
• Est. Priority Date: 06/18/1999
• Status: Expired due to Term

• Current Assignee: Stripe, Inc.
• Original Assignee: eCharge Corporation
• Inventors: Hutchison, Robin B, Llewellyn, Robert J, Viljoen, Andre F, Griffiths, David, Birch, David, Begg, Iain M
• Primary Examiner(s): Fischer, Andrew J.
• Assistant Examiner(s): OBEID, MAMON A
• Application Number:
  US11/183,127
• Publication Number:
  US 20060004659A1
• Time in Patent Office: 2,070 Days
• Field of Search: 235/380, 235/379, 705/64, 705/78, 705/79
• US Class Current: 705/79
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• CPC Class Codes: G06Q 20/027 involving a payment switch or gateway
• CPC Class Codes: G06Q 20/085 involving remote charge determination or related payment systems
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/102 Bill distribution or payments
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/24 Credit schemes, i.e. "pay after"
• CPC Class Codes: G06Q 20/367 involving electronic purses or money safes
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/3676 Balancing accounts
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G06Q 20/3821 Electronic credentials
• CPC Class Codes: G06Q 20/3829 involving key management
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes
• 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 30/00 Commerce
• CPC Class Codes: G06Q 30/04 Billing or invoicing
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]
• CPC Class Codes: G06Q 30/0603 : Catalogue ordering
• CPC Class Codes: G06Q 30/0613 : Third-party assisted
• CPC Class Codes: G06Q 30/0617 : Representative agent
• CPC Class Codes: G06Q 40/03 : Credit; Loans; Processing thereof

Abstract

A virtual payment system for ordering and paying for goods, services and content over an internetwork is disclosed. The virtual payment system comprises a commerce gateway component (52) and a credit processing server component (53). The virtual payment system is a secure, closed system comprising registered sellers and buyers. A buyer becomes a registered participant by applying for a virtual payment account. Likewise, a seller becomes registered by applying for a seller account. A buyer can instantly open an account on-line. That is, the credit processing component (53) immediately evaluates the buyer'"'"'s virtual payment card application and assigns a credit limit to the account. Once an account is established, a digital certificate is stored on the registered participant'"'"'s computer. The buyer can then order a product, i.e., goods, services or content from a seller and charge it to the virtual payment account. When the product is shipped, the seller notifies the commerce gateway component (52), which in turn notifies the credit processing server that applies the charges to the buyer'"'"'s virtual payment account. The buyer can settle the charges using a prepaid account, a credit account, or by using reward points earned through use of the virtual payment card. A buyer may create sub-accounts.

Claims

1. A system for purchasing a product, comprising:

(a) a buyer computer for purchasing products from seller computers using a virtual payment account maintained by a commerce gateway, a product purchase being initiated by the buyer computer sending an inquiry to a seller computer to purchase the product from the seller computer using the virtual payment account;

(b) a seller computer for receiving requests from buyer computers, to purchase products from the seller computer using virtual payment accounts maintained by a commerce gateway; and

(c) a commerce gateway for maintaining virtual payment accounts, interfacing with credit processing servers, and authorizing and settling product purchases using said virtual payment accounts, wherein;

(i) said seller computer is programmed, in response to said seller computer receiving a purchase inquiry from said buyer computer to purchase a product using the virtual payment account, to return a purchase offer to said buyer computer;

(ii) said buyer computer is programmed, in response to receiving a purchase offer returned by said seller computer, to;

(1) establish a secure connection to said commerce gateway;

(2) determine if the buyer computer has an installed digital certificate that identifies a virtual payment account; and

(3) if the buyer computer has an installed digital certificate that identifies a virtual payment account, send an authentication container to the commerce gateway that includes information about the virtual payment account obtained from the installed digital certificate;

(iii) said commerce gateway is programmed, in response to receiving the authentication container from said buyer computer, to determine whether said buyer computer is associated with a virtual payment account and return the result of said determination to said buyer computer;

(iv) said seller computer is programmed, in response to said seller computer receiving a confirmation purchase from said buyer computer that includes information regarding said virtual payment account associated with said buyer computer, to request purchase authorization from said commerce gateway; and

(v) said seller computer is programmed, in response to said seller computer receiving purchase authorization from said commerce gateway, to provide said product to a buyer associated with said buyer computer and request payment from said commerce gateway.

2. The system of claim 1, wherein said commerce gateway is also programmed to:

transmit an account identification container to said buyer computer in response to determining that said buyer computer is both associated with a virtual payment account and that said virtual payment account is valid.

3. The system of claim 2, wherein said commerce gateway is also programmed, in response to said commerce gateway receiving the payment authorization request from said seller computer, to:

determine whether said virtual payment account may be charged for said cost of said product; and

in response to determining that said virtual payment account may be charged for said cost of said product, transmit a valid transaction authorization to said seller computer.

4. The system of claim 1, wherein said commerce gateway is also programmed, in response to said commerce gateway receiving an authorization request from said seller computer, to:

determine whether said virtual payment account may be charged for said cost of said product; and

in response to determining that said virtual payment account may be charged for said cost of said product, transmit a valid transaction authorization to said seller computer.

5. The system of claim 1, wherein, if the result returned to said buyer computer by said commerce gateway shows that said buyer is associated with a virtual payment account, said buyer computer is programmed to:

obtain purchase confirmation; and

send said purchase confirmation to said seller computer.

6. The system of claim 1, wherein said commerce gateway is also programmed, in response to said commerce gateway receiving the payment authorization request from said seller computer, to:

determine whether said virtual payment account may be charged for said cost of said product; and

in response to determining that said virtual payment account may be charged for said cost of said product, transmit a valid transaction authorization to said seller computer.

7. A system for purchasing a product, comprising:

(a) a buyer computer for purchasing products from seller computers using a virtual payment account maintained by a commerce gateway, a product purchase being initiated by the buyer computer sending an inquiry to a seller computer to purchase a product from the seller computer using the virtual payment account;

(b) a seller computer for receiving requests from buyer computers to purchase products from the seller computer using virtual payment accounts maintained by a commerce gateway; and

(c) a commerce gateway for maintaining virtual payment accounts, interfacing with credit processing servers, and authorizing and settling product purchases using said virtual payment accounts, wherein;

(i) said seller computer is programmed, in response to said seller computer receiving a purchase inquiry from said buyer computer, to return a purchase offer to said buyer computer;

(ii) said buyer computer is programmed, in response to said seller computer returning a purchase offer to said buyer computer, to determine if a digital certificate associated with a virtual payment account is available to the buyer computer;

(iii) said buyer computer is programmed, if a digital certificate associated with a virtual payment account is available to the buyer computer, to send a request to said commerce gateway, the request including information regarding the virtual payment account;

(iv) said commerce gateway is programmed, in response to receiving the request from said buyer computer, to determine whether said buyer computer is associated with a virtual payment account and return the result of said determination to said buyer computer;

(v) said seller computer is programmed, in response to said seller computer receiving a confirmation purchase from said buyer computer that includes information regarding said virtual payment account associated with said buyer computer, to request a purchase authorization from said commerce gateway; and

(vi) said seller computer is programmed, in response to said seller computer receiving purchase authorization from said commerce gateway, to provide said product to a buyer associated with said buyer computer and request payment from said commerce gateway.

8. The system of claim 7, wherein said commerce gateway is also programmed, in response to said commerce gateway receiving the payment authorization request from said seller computer, to:

determine whether said virtual payment account may be charged for said cost of said product; and

in response to determining that said virtual payment account may be charged for said cost of said product, transmit a valid transaction authorization to said seller computer.

9. The system of claim 7, wherein the digital certificate is stored in a secure token.