System, program product and methods for retail activation and reload associated with partial authorization transactions

• US 8,403,211 B2
• Filed: 09/04/2009
• Issued: 03/26/2013
• Est. Priority Date: 09/04/2008
• Status: Active Grant

• Current Assignee: Pathward National Association
• Original Assignee: MetaBank (Meta Financial Group Incorporated)
• Inventors: Brooks, Jason, Wells, Mike
• Primary Examiner(s): Lee, Michael G
• Assistant Examiner(s): GUDORF, LAURA A
• Application Number:
  US12/554,432
• Publication Number:
  US 20100051691A1
• Time in Patent Office: 1,299 Days
• Field of Search: 235/375, 235/380, 235/487, 235/492, 705/35, 705/41
• US Class Current: 235/380
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• 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 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G07F 7/0813 Specific details related to card security
• CPC Class Codes: G07F 7/082 Features insuring the integrity of the data on or in the card
• CPC Class Codes: G07F 7/086 by passive credit-cards adapted therefor, e.g. constructive particularities to avoid counterfeiting, e.g. by inclusion of a physical or chemical security-layer for security documents G07D7/00; for the reading of record-carriers in general G06K7/00; for the design of coded credit-cards G06K19/10

Abstract

Systems, program product, apparatus and method for transmitting and processing the sale of a transaction card product over an existing payment network using partial authorization messaging, are provided. An example of such a system can include a merchant POS apparatus equipped to support partial authorization messaging, a transaction card issuer server in communication therewith, and a transaction card product. The transaction card product can include a conventional transaction card securely wrapped within a tamper evident container that can carry its own magnetic strip. The container magnetic strip can store an assigned unique card identifier linked to, but different from, the card identifier normally associated with the card. The container card identifier stored in the container magnetic strip is compatible with the merchant POS card reader and is usable to activate the card without the merchant or consumer having access to the card, the card identifier, or the card magnetic strip.

Claims

1. An apparatus to facilitate retail activation and processing the sale of a transaction card utilizing partial-authorization messaging, the apparatus comprising:

a transaction card including a magnetic strip storing a first unique transaction card identifier associated with a unique transaction card transaction account, the first unique transaction card identifier comprising a transaction Primary Account Number (“

PAN”

) including a transaction Bank Identification Number (“

BIN”

) and a first number; and

a retail container containing the transaction card and including a product identification indicator and an account activation indicator including indicia of an assigned second unique transaction card identifier different from that of the first transaction card identifier, the assigned second unique transaction card identifier comprising an activation PAN including an activation BIN and a second number, the assigned second unique transaction card identifier being associated with one or more of the following;

the first unique transaction card identifier and the unique transaction card transaction account, to provide for identification thereof, the activation BIN being different from the transaction BIN and the activation PAN being different from the transaction PAN.

2. An apparatus as defined in claim 1, wherein the second unique transaction card identifier is linked to the first unique transaction card identifier.

3. An apparatus as defined in claim 1,

wherein the retail container is a tamper evident retail container;

wherein the transaction card is securely contained within the tamper evident retail container; and

wherein the account activation indicator is positioned to allow a remotely positioned financial institution, through a merchant point-of-sale (“

POS”

) and a payment network, to identify the transaction card when the transaction card is securely contained within the container.

4. An apparatus as defined in claim 1, wherein the second unique transaction card identifier is associated with the unique transaction card transaction account.

5. An apparatus as defined in claim 4,

wherein the transaction card is securely contained within the retail container;

and

wherein the account activation indicator is positioned to allow a remotely located financial institution, through a merchant point-of-sale (“

POS”

) and a payment network, to identify the transaction card when the transaction card is securely contained within the container.

6. An apparatus as defined in claim 1, wherein at least one of the activation BIN or the activation PAN is dedicated for use in activating the transaction card, and wherein the first number is the same number as the second number.

7. An apparatus as defined in claim 1,

wherein the retail container includes an external surface;

wherein the magnetic strip storing first unique transaction card identifier is a first magnetic strip positioned on an external surface of the transaction card; and

wherein the account activation indicator comprises a second magnetic strip positioned on a portion of the external surface of the retail container, the second magnetic strip storing the second unique transaction card identifier.

8. An apparatus as defined in claim 7,

wherein the second magnetic strip is positioned on a first portion of the external surface of the retail container;

wherein the product identification indicator comprises a universal product code (“

UPC”

) positioned on a second portion of the external surface of the retail container; and

wherein the first portion of the external surface of the retail container is sized to interface with a POS magnetic strip card reader slot of a point-of-sale (“

POS”

) magnetic strip card reader of a merchant POS apparatus positioned at a merchant POS site to thereby allow swiping the account activation indicator magnetic strip through the POS magnetic strip card reader slot.

9. An apparatus as defined in claim 1, wherein the retail container is configured to mask the account activation indicator and to visually indicate partial or complete removal of, or physical access to, the transaction card.

10. A system for activating and processing the sale of a serialized transaction card product over an existing open payment network utilizing partial-authorization messaging, the system comprising:

a financial institution computer defining a financial institution server positioned at a financial institution site and positioned remote from and in communication with a merchant point-of-sale (“

POS”

) apparatus over an existing open payment network to process partial-authorization messaging and to activate transaction cards, the financial institution server having memory associated therewith; and

transaction card account activation and processing computer program product stored in the memory of the financial institution server to manage transaction card activation and payment processing, the transaction card account activation and processing computer program product comprising a set of instructions that, when executed by the financial institution server, cause the server to perform the operations of;

receiving a first payment message comprising transaction card account activation request data from the merchant point-of-sale apparatus through the existing open payment network responsive to a user interfacing a transaction card product account activation indicator with the merchant point-of-sale apparatus, the account activation indicator being positioned on a portion of an external surface of a retail container of the transaction card product securely containing a transaction card carrying a first storage medium containing indicia of a first unique transaction card identifier comprising a transaction Primary Account Number (“

PAN”

) including a transaction Bank Identification Number (“

BIN”

), the first unique transaction card identifier being associated with a unique transaction card transaction account, the account activation indicator comprising a second storage medium containing indicia of a second unique transaction card identifier comprising an activation PAN including an activation BIN, the second unique transaction card identifier being associated with the first unique transaction card identifier and characterized by one or more of the following;

the activation BIN is different from the transaction BIN and the activation PAN is different from the transaction PAN, the activation request data including at least a portion of the second unique transaction card identifier and a flag indicating a capability of the merchant POS apparatus to support partial-authorization messaging;

sending activation approval data to the merchant POS apparatus through the payment network responsive to receiving at least portions of the activation request data, the activation approval data including data indicating a partial authorization approval balance of zero dollars for the transaction card transaction account;

receiving a second payment message comprising transaction card product purchase acknowledgment data from the merchant POS apparatus through the payment network, the purchase acknowledgment data comprising a purchase acknowledgment indicating that one or more of the following;

the merchant POS apparatus and a merchant associated therewith, received sufficient monetary funds from a purchasing customer to purchase the transaction card product; and

completing activation of the transaction card responsive to receiving at least portions of the purchasing knowledge data.

11. A system as defined in claim 10,

wherein the account activation indicator comprises a magnetic strip;

wherein the merchant POS apparatus includes a POS magnetic strip card reader slot adapted to read magnetic card strips;

wherein the user interfacing the account activation indicator with the merchant POS apparatus includes either the purchasing customer or the merchant swiping the account activation indicator magnetic strip through the POS magnetic strip card reader slot; and

wherein the monetary funds have a predetermined value sufficient to fund the transaction card transaction account associated with the transaction card.

12. A system as defined in claim 10, wherein the operation of completing activation of the transaction card comprises the operations of:

transferring monetary funds into the transaction card transaction account associated with the transaction card; and

retiring the second unique transaction card identifier or PAN associated with the transaction card.

13. A system as defined in claim 10, wherein the activation BIN is a non-financial BIN.

14. A system as defined in claim 10, wherein the activation BIN is a financial BIN dedicated to use for activating the transaction card.

15. A system as defined in claim 10, wherein at least portions of the first unique transaction card identifier and at least portions of the second unique transaction card identifier are associated with the transaction card transaction account so that the financial institution server can identify the associated transaction card transaction account responsive to receiving an indication of at least portions of either the first transaction card identifier or the second transaction card identifier.

16. A system as defined in claim 10,

wherein the first storage medium comprises a first magnetic strip storing the first unique transaction card identifier associated with the unique transaction card transaction account;

wherein the retail container securely containing the transaction card includes a product identification indicator positioned on a first portion of the external surface of the retail container;

wherein the portion of the external surface of the retail container carrying the account activation indicator is a second portion of the external surface of the retail container;

wherein the second storage medium comprises a second magnetic strip storing the second unique transaction card identifier;

wherein the second unique transaction card identifier is sufficiently different from the first transaction card identifier so that a prospective thief having knowledge of the second unique transaction card identifier would not readily have knowledge of the first transaction card identifier or the associated unique transaction card transaction account;

wherein the second unique transaction card identifier is associated with the first transaction card identifier so that the financial institution server can activate the unique transaction card transaction account responsive to receiving an indication of at least portions of the second unique transaction card identifier without having first received the first unique transaction card identifier; and

wherein the operation of completing activation of the transaction card is performed without having first received the first unique transaction card identifier.

17. Non-transitory computer readable medium having one or more computer programs stored therein operable to manage transaction card activation and payment processing, the one or more computer programs comprising a set of instructions that, when executed by a computer configured to access and execute the set of instructions, cause the computer to perform the operations of:

receiving a first payment message comprising transaction card account activation request data from a merchant point-of-sale apparatus through an existing payment network responsive to a user interfacing a transaction card product account activation indicator with the merchant point-of-sale apparatus, the account activation indicator being carried on a retail packaging container of a transaction card product securely containing a transaction card having a first storage device storage device storing a first unique transaction card identifier comprising a transaction Primary Account Number “

PAN”

including a transaction Bank Identification Number (“

BIN”

), the first unique transaction card identifier being associated with a transaction card transaction account, the account activation indicator comprising a second storage medium storing an assigned second unique transaction card identifier comprising an activation PAN including an activation BIN, the second unique transaction card identifier characterized by at least one of the following;

the activation BIN is different from the transaction BIN or the activation PAN is different from the transaction PAN, and being different from, but linked to, the first unique transaction card identifier, the activation request data including at least a portion of the second unique transaction card identifier and a flag indicating a capability of the merchant POS apparatus to support partial-authorization messaging;

sending activation approval data to the merchant POS apparatus through the payment network responsive to receiving at least portions of the activation request data, the activation approval data including data indicating a partial authorization approval balance of zero dollars for the transaction card transaction account;

receiving a second payment message comprising transaction card product purchase acknowledgment data from the merchant POS apparatus through the payment network, the purchase acknowledgment data comprising a purchase acknowledgment that one or more of the following;

the merchant POS apparatus and a merchant associated therewith, received sufficient monetary funds from a purchasing customer to purchase the transaction card product; and

completing activation of the transaction card responsive to receiving at least portions of the purchase acknowledgment data.

18. Non-transitory computer readable medium as defined in claim 17,

wherein the account activation indicator comprises a magnetic strip;

wherein the merchant POS apparatus includes a POS magnetic strip card reader slot adapted to read magnetic card strips;

wherein the user interfacing the account activation indicator with the merchant POS apparatus includes either the purchasing customer or the merchant swiping the account activation indicator magnetic strip through the POS magnetic strip card reader slot; and

wherein the monetary funds have a predetermined value sufficient to fund the transaction card transaction account associated with the transaction card.

19. Non-transitory computer readable medium as defined in claim 17, wherein the operation of completing activation of the transaction card comprises the operations of:

transferring monetary funds into the transaction card transaction account associated with the transaction card; and

retiring the second unique transaction card identifier or activation PAN associated with the transaction card.

20. Non-transitory computer readable medium as defined in claim 19, wherein the operations further comprise:

initiating settlement of financial funds directly between an issuing bank of a transaction card issuer and a merchant bank associated with the merchant to acquire at least a portion of the monetary funds from the merchant to fund the transaction card transaction account.

21. Non-transitory computer readable medium as defined in claim 17,

wherein the first unique transaction card identifier comprises a first unique number and a first common BIN defining a transaction BIN;

and

wherein the operations further comprise;

generating the second unique transaction card identifier by associating the unique number with a second common BIN defining an activation BIN to form the second unique transaction card identifier.