Wireless transaction medium having combined magnetic stripe and radio frequency communications

• US 7,909,247 B2
• Filed: 04/23/2007
• Issued: 03/22/2011
• Est. Priority Date: 10/27/2006
• Status: Active Grant

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Thomas, Tracey, Senghore, Medina, Paylor, Scott, Jackson, Sherrie, Donovan, Michael, Bonalle, David S.
• Primary Examiner(s): Lee, Michael G
• Assistant Examiner(s): Mikels, Matthew
• Application Number:
  US11/738,823
• Publication Number:
  US 20080110977A1
• Time in Patent Office: 1,429 Days
• Field of Search: 235/380, 235/493, 235/375, 705/5
• US Class Current: 235/380
• CPC Class Codes: G06F 17/00 Digital computing or data processing equipment or methods, specially adapted for specific functions information retrieval, database structures or file system structures therefor G06F16/00
• CPC Class Codes: G06K 19/00 Record carriers for use with machines and with at least a part designed to carry digital markings
• CPC Class Codes: G06K 19/06187 with magnetically detectable marking
• CPC Class Codes: G06K 19/0719 at least one of the integrated circuit chips comprising an arrangement for application selection, e.g. an acceleration sensor or a set of radio buttons application selection on smart cards using pure software control, see G07F7/10
• CPC Class Codes: G06K 19/0723 the record carrier comprising an arrangement for non-contact communication, e.g. wireless communication circuits on transponder cards, non-contact smart cards or RFIDs
• CPC Class Codes: G06K 19/07703 the interface being visual
• CPC Class Codes: G06K 19/10 at least one kind of marking being used for authentication, e.g. of credit or identity cards verification of coded identity or credit cards in mechanisms actuated by them G07F7/12
• CPC Class Codes: G06K 19/12 the marking being sensed by magnetic means
• CPC Class Codes: G06K 19/145 at least one of the further markings being adapted for galvanic or wireless sensing, e.g. an RFID tag with both a wireless and an optical interface or memory, or a contact type smart card with ISO 7816 contacts and an optical interface or memory
• CPC Class Codes: G06Q 10/02 Reservations, e.g. for tickets, services or events
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/341 Active cards, i.e. cards including their own processing means, e.g. including an IC or chip
• CPC Class Codes: G06Q 20/3415 Cards acting autonomously as pay-media
• CPC Class Codes: G06Q 20/352 Contactless payments by cards
• 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 20/409 Device specific authentication in transaction processing
• CPC Class Codes: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system
• CPC Class Codes: H04L 9/3006 underlying computational problems or public-key parameters

Abstract

A wireless financial transaction instrument, such as a card, has a magnetic stripe, a display, and an on-board power supply, such as a battery, and is usable with a dual capture point of sale terminal. Information is received by such a terminal from the card wirelessly, and also from the magnetic stripe, and the data received contactlessly is preferably used to verify that read from the stripe. The display can display the account number on command, or to display a current balance, or amount of credit remaining, or any combination of these items of information.

Claims

1. A contactless transaction device comprising:

a radio frequency (RF) communication system operable to communicate account data compatible with Track 1/Track 2 format, the account data comprising a previous account number generated, at least partially, by the contactless transaction device, and to receive an authentication signal from a reader;

a magnetic stripe configured to store the account data in magnetic stripe Track 1/Track 2 format;

a processor configured to;

generate a set of data based at least in part on a portion of the previous account number, and

replace only a portion of the previous account number with the set of data thereby generating a new account number, with a portion of the new account number remaining the same as the previous account number.

2. The transaction device according to claim 1, further comprising an on-board power source.

3. The transaction device according to claim 1, further comprising means for rewriting at least a portion of the account data stored in the magnetic stripe.

4. The transaction device according to claim 3, wherein the account data stored in the magnetic stripe comprises an account number having plural digits, and wherein the means for rewriting is arranged for rewriting at least four predetermined ones of the digits of the account number.

5. The transaction device according to claim 1, wherein the magnetic stripe Track 1/Track 2 format complies with ISO/IEC 7813.

6. The transaction device according to claim 1, wherein the processor is configured to produce a new account number each time a response signal is sent in response to a signal received by the transaction device from the reader.

7. The transaction device according to claim 1, further comprising a display configured to display the account number, prior to production of the new account number, and to display the new account number, once the new account number has been produced.

8. The transaction device according to claim 7, wherein the display becomes active to display the new account number only in response to actuation of a switch.

9. A transaction system, comprising:

a contactless transaction device comprising a radio frequency (RF) communication system operable to communicate account data compatible with Track 1/Track 2 format, the account data comprising a previous account number dynamically generated, at least partially, by the contactless transaction device, and to receive an authentication signal from a reader;

a magnetic stripe configured to store the account data in magnetic stripe Track 1/Track 2 format;

a processor configured to;

generate a set of data based at least in part on a portion of the previous account number, and

replace only a portion of the previous account number with the set of data thereby generating a new account number, with a portion of the new account number remaining the same as the previous account number;

wherein the reader is operable to provide an interrogation signal to the transaction device, and to receive the Track 1/Track 2 compatible account data via RF communication from the transaction device, the reader comprising a magnetic stripe reader for reading the magnetic stripe of the contactless transaction device.

10. The transaction system according to claim 9, further comprising a transaction completion system operable to receive the account data from the reader in the magnetic stripe Track 1/Track 2 format.

11. The transaction system according to claim 9, wherein the contactless transaction device further comprises means for rewriting at least a portion of the account data stored in the magnetic stripe.

12. The transaction system according to claim 11,

wherein the reader is operable to compare the account data received via RF communication from the transaction device with the account data read from the magnetic stripe of the contactless transaction device, and

wherein the reader is constructed to compare the account data received via RF communication from the transaction device with the account data read from the magnetic stripe of the contactless transaction device only after the new account number has been stored in the transaction device memory and the means for rewriting has rewritten the at least a portion of the account data stored in the magnetic stripe, and wherein the reader uses the result of comparing to verify that the account data received by RF communication and the account data read from the magnetic stripe are valid.

13. The transaction system according to claim 11, wherein the previous account number has plural digits, and wherein the means for rewriting is arranged for rewriting at least four predetermined ones of the digits of the previous account number.

14. A method for reading and using data from a device, the method comprising:

receiving contactless account data from the device, via radio frequency (RF) communication, the contactless account data being compatible with Track 1/Track 2 format, wherein the contactless account data includes a new account number generated based on a portion of a previous account number which was generated, at least partially, by the device, with a portion of the new account number remaining the same as the previous account number;

reading magnetic-stripe account data from a magnetic stripe in the device, the magnetic-stripe account data being compatible with magnetic-stripe Track 1/Track 2 format and at least a portion of the magnetic-stripe account data having been dynamically changed prior to the reading step; and

comparing and verifying the contactless account data with the magnetic-stripe account data.

15. A method for performing a transaction, the method comprising:

generating, by a transaction device, a new account number based on a portion of a previous account number generated at least partially by the transaction device, with a portion of the new account number remaining the same as the previous account number; and

outputting from the transaction device, via radio frequency (RF) communication, in response to an interrogation signal, account data compatible with Track 1/Track 2 format, the account data including the new account number,

wherein the transaction device comprises a radio frequency (RF) communication system, and is operable to provide, via that RF communication system, account data compatible with Track 1/Track 2 format.

16. The method according to claim 15, wherein the magnetic stripe Track 1/Track 2 format complies with ISO/IEC 7813.

17. The method according to claim 15, further comprising an on-board power source.

18. The method according to claim 15, further comprising the step of a transaction completion system receiving the account data in the magnetic stripe Track 1/Track 2 format.

19. The method according to claim 15, further comprising the step of determining from the account data from the magnetic stripe of the contactless transaction device whether the transaction device comprises account data to be received via RF communication.

20. The method according to claim 15, further comprising the step of causing the previous account number to be replaced with the new account number after producing the new account number.

21. The method according to claim 20, further comprising the step of rewriting at least a portion of the account data stored in the magnetic stripe.

22. The method according to claim 20, further comprising the steps of comparing the account data received via RF communication from the transaction device with the account data read from the magnetic stripe of the contactless transaction device using the result of the comparing step to verify that the account data received by RF communication and the account data read from the magnetic stripe are valid.

23. The method according to claim 21, wherein the previous account number has plural digits, and wherein the rewriting step includes rewriting at least four predetermined ones of the digits of the previous account number.

24. A contactless transaction device comprising:

radio frequency (RF) communication system, and operable to store first data and to communicate that first data via that RF communication system;

a magnetic stripe configured to store second data;

a processor configured to generate a new account number from the first data and the second data, wherein the new account number is based on a portion of a previous account number, with a portion of the new account number remaining the same as the previous account number;

the RF communication system being constructed to respond to an interrogation signal from outside the device by communicating at least a portion of the first data, and to receive an authentication signal from a reader;

the magnetic stripe being constructed to permit reading of the second data therefrom by means of a magnetic-strip reader; and

wherein the second data read from the magnetic stripe is validated by means of comparison with the first data communicated via the RF communication system, and

wherein the second data indicates that the transaction device includes the first data.

25. The transaction device according to claim 24, further comprising an on-board power source that includes a battery.

26. The transaction device according to claim 24, further comprising means for rewriting at least a portion of the data stored in the magnetic stripe.