Electronic transaction verification system with biometric authentication

• US 8,485,442 B2
• Filed: 07/02/2009
• Issued: 07/16/2013
• Est. Priority Date: 07/02/2009
• Status: Active Grant

• Current Assignee: Biometric Payment Solutions LLP
• Original Assignee: Biometric Payment Solutions
• Inventors: McNeal, Joan Tibor
• Primary Examiner(s): TRAIL, ALLYSON NEEL
• Application Number:
  US12/497,512
• Publication Number:
  US 20110000961A1
• Time in Patent Office: 1,475 Days
• Field of Search: 235/382, 235/379, 235/375, 382/115
• US Class Current: 235/382
• CPC Class Codes: G06Q 20/042 characterized in that the payment protocol involves at least one cheque
• CPC Class Codes: G06Q 20/206 comprising security or operator identification provisions, e.g. password entry
• CPC Class Codes: G06Q 20/34 using cards, e.g. integrated circuit [IC] cards or magnetic cards
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G06Q 20/401 Transaction verification
• CPC Class Codes: G06Q 20/40145 Biometric identity checks

Abstract

An electronic transaction verification system for use with transaction tokens such as checks, credit cards, debit cards, and smart cards that gathers and transmits information about the transaction token and biometric data. The system preferably has the ability to read or scan transaction and account information printed or encoded on the transaction token, digitally encode biometric data, scan drivers'"'"' licenses or other identification cards, and take a signature of a customer, all at a transaction location for purposes of account verification. The electronic transaction verification system preferably digitizes various indicia of the token, such as the magnetic ink (MICR) line on a presented check or the magnetic strip on a credit card or debit card, and transmits the transaction information data to a central processing system, at which the central processing system compares the inputted data with an existing database of information to determine if the customer at the point of the transaction is in fact authorized to use the account, and if the account is in satisfactory condition for approval of the transaction. The electronic verification system includes a biometric data device for recording and/or transmitting biometric data taken at the transaction location. The electronic transaction verification system can be used in conjunction with a transaction processing system to determine if the transaction instrument presented for payment is associated with an account established for an authorized user.

Claims

1. A negotiable instrument system for use at a location where a negotiable instrument is presented by a receiving entity, the system comprising:

a negotiable instrument reader configured to read encoded negotiable instrument information from a negotiable instrument issued by an issuing entity;

a biometric data reader configured to generate biometric data from an individual representing the receiving entity; and

an electronic communication system configured to transmit at least the negotiable instrument information and the biometric data to a central processing system and receive information from the central processing system;

wherein the central processing system is configured to access one or more information stores, said one or more information stores including information associated with a plurality of negotiable instruments issued by the issuing entity, said information provided periodically by the issuing entity prior to the presentation of the negotiable instrument by the receiving entity,

said one or more information stores further including biometric information associated with a plurality of individuals, each of said plurality of individuals associated with the receiving entity,

wherein the central processing system is configured to;

(i) compare the biometric data from the individual with the biometric information stored in one or more information stores;

(ii) compare the negotiable instrument information with the information associated with a plurality of negotiable instrument issued by the issuing entity; and

(iii) transmit a decision to accept the negotiable instrument if;

the biometric data from the individual matches with a biometric information stored in one or more information stores, and

the negotiable instrument information matches an item of the information associated with a plurality of negotiable instrument issued by the issuing entity.

2. The system of claim 1, wherein the negotiable instrument is a check.

3. The system of claim 1, wherein the negotiable instrument is a cashier'"'"'s check, a money order, a traveler'"'"'s check or a food stamp.

4. The system of claim 1, wherein the negotiable instrument information comprises at least one of:

a check number, an account number, an ABA number, name of the individual, date of a check and amount of a check.

5. The system of claim 1, wherein the biometric data reader is a fingerprint scanner, a retinal scanner, an iris scanner or a face scanner.

6. The system of claim 1, wherein the negotiable instrument reader and the biometric data reader are located remotely from the central processing system.

7. The system of claim 1, wherein the negotiable instrument reader and the biometric data reader are local with the central processing system.

8. The system of claim 1, wherein the information associated with the plurality of negotiable instruments is provided by the issuing entity every week, every two weeks or every month.

9. A method of processing a negotiable instrument issued by an issuing entity and tendered by a receiving entity, the method comprising:

receiving encoded negotiable instrument information associated with the negotiable instrument tendered by a receiving entity, said encoded information obtained by a negotiable instrument reader;

receiving biometric information related to an individual associated with the receiving entity tendering the negotiable instrument, said biometric information obtained by a biometric information reader;

accessing information from one or more information stores, said one or more information stores accessible via a central processing system, wherein said one or more information stores include information associated with a plurality of negotiable instruments, said information provided periodically by an issuing entity prior to the tendering of the negotiable instrument by the receiving entity;

accessing biometric information associated with a plurality of individuals from the one or more information stores; and

accepting the negotiable instrument if;

the information obtained from the negotiable instrument matches an item of the accessed information that is associated with a plurality of negotiable instruments, and

the biometric information matches with an item of the accessed biometric information.

10. The method of claim 9, wherein the negotiable instrument is a check.

11. The method of claim 10, wherein the negotiable instrument information is the check number on the check.

12. The method of claim 9, wherein the individual is the payee on the negotiable instrument.

13. The method of claim 9, wherein obtaining biometric information comprises obtaining at least one fingerprint, a retinal scan, an iris scan or a face scan.

14. The method of claim 9, wherein the encoded negotiable instrument information is received in substantially real time.

15. The method of claim 9, wherein the biometric information is received in substantially real time.

16. The method of claim 9, wherein the individual is the receiving entity.

17. The method of claim 9, wherein the information associated with the plurality of negotiable instruments is provided by the issuing entity every week, every two weeks or every month.

18. A method of verifying a transaction with biometric authentications, the method comprising:

enrolling one or more users in a verification system, the enrolling process comprising;

receiving user information related to the one or more users, the user information including at least a biometric datum;

receiving transaction token information related to one or more transaction tokens issued to the one or more users by an issuing entity, the transaction token information being provided by the issuing entity periodically, and

storing said user information and transaction token information in one or more data stores accessible by a central processing system; and

processing a transaction token by;

receiving, encoded information related to the transaction token, the transaction token tendered by a user, said encoded information obtained by a transaction token reading device;

receiving, biometric data associated with the user tendering the transaction token, said biometric data obtained by a biometric reading device;

accessing said one or more data stores;

accepting the transaction token if;

the encoded information matches with an item of the stored transaction token information and

the biometric data matches with an item of the stored user information.

19. The method of claim 18, wherein the information related to a transaction token tendered by the user is received in substantially real time.

20. The method of claim 18, wherein the biometric data associated with the user tendering the transaction token is received in substantially real time.

21. The method of claim 18, wherein enrolling said one or more users is performed prior to processing the transaction token.

22. The method of claim 18, wherein the transaction token information is provided by the issuing entity every week.

23. The method of claim 18, wherein the transaction token information is provided by the issuing entity every two weeks.

24. The method of claim 18, wherein the transaction token information is provided by the issuing entity every month.

25. The method of claim 18, wherein the biometric data comprises a finger print, a retinal scan or a face scan.

26. The method of claim 18, wherein the transaction token comprises a physical object that includes information representative of the user'"'"'s account information.

27. The method of Claim 26, wherein the transaction token comprises at least one of:

a negotiable instrument, a credit card, a debit card, a loyalty card, a decoupled debit card, a device enabled with radio frequency identification, a smart card, a flash drive, a usb thumb drive, a usb pen drive, a usb pin drive and food stamp.

28. The method of Claim 18, wherein the transaction token comprises a physical object that includes information representative of the issuing entity'"'"'s account information.

29. The method of claim 28, wherein the transaction token comprises at least one of:

a negotiable instrument, a credit card, a debit card, a loyalty card, a decoupled debit card, a device enabled with radio frequency identification, a smart card, a flash drive, a usb thumb drive, a usb pen drive, a usb pin drive and food stamp.