System and method for activating telephone-based payment instrument

• US 7,922,077 B2
• Filed: 01/12/2009
• Issued: 04/12/2011
• Est. Priority Date: 05/10/2006
• Status: Active Grant

• Current Assignee: First Data Corporation (Fiserv Incorporated)
• Original Assignee: First Data Corporation (Fiserv Incorporated)
• Inventors: Dewan, Sunil, Oswald, Daniel J., Humphrey, Wendy
• Primary Examiner(s): ST CYR, DANIEL
• Application Number:
  US12/352,517
• Publication Number:
  US 20090181644A1
• Time in Patent Office: 820 Days
• Field of Search: 235/379, 235/380, 235/451, 235/375, 235/382, 235/383, 705/35, 705/44, 705/76, 455/558, 455/406, 902/4, 902/5
• US Class Current: 235/379
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/1085 involving automatic teller machines [ATMs]
• CPC Class Codes: G06Q 20/305 using wired telephone networks
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/3226 Use of secure elements separate from M-devices
• CPC Class Codes: G06Q 20/3278 RFID or NFC payments by means of 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 20/353 Payments by cards read by M-devices
• CPC Class Codes: G06Q 20/4014 Identity check for transactions
• CPC Class Codes: G07F 19/00 Complete banking systems; Coded card-freed arrangements adapted for dispensing or receiving monies or the like and posting such transactions to existing accounts, e.g. automatic teller machines data processing equipment for bank accounting G06Q40/02
• CPC Class Codes: G07F 19/20 Automatic teller machines [ATMs]
• CPC Class Codes: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Abstract

A payment instrument in the form of a cell phone is loaded with account information and activated as a payment instrument by reading account information from a nearby RFID device, and entering a user PIN or password. In one embodiment, the account information is read from an RFID tag provided to the user, and the password is entered on the phone keypad. In a second embodiment, the account information is read from an RFID device at an ATM or kiosk after the user inserts a card into a card reader at the ATM or kiosk and enters the password at the ATM or kiosk keypad.

Claims

1. A method for activating a payment instrument in the form of a mobile device, wherein during activation an account identifier is loaded into the mobile device, and wherein the mobile device employs telecommunications signaling and has a payment instrument module that employs wireless signaling separate from the telecommunications signaling for storing the account identifier and for transmitting the account identifier when conducting a transaction, the method comprising:

associating a personal identifier with the account identifier and providing that personal identifier to a user prior to activation of the payment instrument;

placing the mobile device in proximity to, and without physical contact with, an external wireless device that is external to the mobile device, the external wireless device for transmitting wireless signaling representing the account identifier;

wirelessly transmitting the account identifier from the external wireless device to the payment instrument module, without the mobile device and external wireless device being in physical contact;

requesting a personal identifier be provided by the user; and

enabling the payment instrument to use the transmitted account identifier if the requested personal identifier provided by the user matches the personal identifier associated with the account identifier.

2. The method of claim 1, wherein the personal identifier is requested from the user prior to transmitting the account identifier from the external wireless device.

3. The method of claim 1, wherein the personal identifier is requested from the user after transmitting the account identifier from the external wireless device.

4. The method of claim 1, wherein the payment instrument module and the external wireless device each include an RFID device.

5. The method of claim 4, wherein the RFID device in the payment instrument module and in the external wireless device employs near field communications (NFC).

6. The method of claim 1, wherein the mobile device is a wireless telephone.

7. The method of claim 6, wherein the external wireless device is a passive RFID tag.

8. The method of claim 7, wherein the RFID tag is provided to the user prior to activation.

9. The method of claim 8, wherein the RFID tag is mailed to the user.

10. The method of claim 9, wherein the telephone includes a keypad, and where in the user initiates the activation by using a key on the keypad.

11. The method of claim 10, wherein the personal identifier associated with the account identifier is a personal identification number (PIN) provided to the user separately from the RFID tag.

12. The method of claim 11, wherein the PIN associated with the account identifier is mailed to the user separately from the RFID tag.

13. The method of claim 11, wherein the PIN associated with the account identifier is provided to the user with instructions for activating the payment instrument, wherein the consumer in accordance with such instructions places the wireless device in close proximity to the RFID tag, and wherein the user receives further instructions on the display of the telephone, including an instruction to enter the PIN at the keyboard.

22. The method of claim 1, wherein the account identifier includes data identifying either the user or an account of the user.

14. A method for activating a payment instrument in the form of a mobile device, wherein during activation an account identifier is loaded into the mobile device, and wherein the mobile device employs telecommunications signaling and has a payment instrument module that employs wireless signaling separate from the telecommunications signaling for storing the account identifier and for transmitting the account identifier when conducting a transaction, the method comprising:

associating a personal identifier with the account identifier and providing that personal identifier to a user prior to activation of the payment instrument;

placing the mobile device in proximity to an external wireless device that is at a publicly accessible terminal and is external to the mobile device, and wherein the external wireless device is for transmitting wireless signaling representing the account identifier;

wirelessly transmitting the account identifier from the external wireless device to the payment instrument module, without physical contact between the external wireless device and the mobile device;

requesting a personal identifier be provided by the user; and

enabling the payment instrument to use the transmitted account identifier if the requested personal identifier provided by the user matches the personal identifier associated with the account identifier.

15. The method of claim 14, wherein the external wireless device is an active or hybrid RFID device.

16. The method of claim 15, wherein the terminal is a self-service terminal.

17. The method of claim 16, wherein the self-service terminal is an ATM.

18. The method of claim 17, wherein the user receives a card for use in activating the payment instrument, the card including the account identifier.

19. The method of claim 18, wherein the account identifier is stored on a magnetic stripe on the card.

20. The method of claim 19, wherein the card is inserted into a card reader at the ATM in order to initiate the activation of the payment instrument.

21. The method of claim 20, wherein the requested PIN is provided by the user at a keyboard at the ATM.

23. A system for activating an payment instrument in the form of an RFID enabled telephone, wherein during activation an account identifier is loaded into the telephone, the activated telephone including an RFID device for storing and transmitting the account identifier when conducting a transaction, the system including:

a PIN associated with the account identifier;

an external RFID device located at a self-service terminal for wirelessly transmitting the account identifier from the self-service terminal to the telephone, without physical contact and engagement between the external RFID device and the telephone; and

a programmed processor for instructing a user to enter a PIN at a keypad associated with either the external device or the telephone, and activating the payment instrument if the PIN entered at the keypad matches the PIN associated with the account identifier.

24. The system of claim 23, wherein the external RFID device is an active or hybrid RFID device at the self-service terminal, wherein the self-service terminal includes a display and a keypad, and wherein the programmed processor instructs the user at the display to enter a PIN on the keypad of the self-service terminal.

25. The system of claim 23, wherein the self-service terminal is an ATM.

26. The system of claim 25, wherein the user is provided a card having the account identifier stored thereon, and wherein the user provides the card to a card reader at the ATM in order to initiate the activation of the payment instrument.