Methods and apparatus for conducting electronic transactions

• US 8,489,513 B2
• Filed: 04/13/2011
• Issued: 07/16/2013
• Est. Priority Date: 08/31/1999
• Status: Expired due to Fees

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Saunders, Peter D., Bishop, Fred A.
• Primary Examiner(s): Huang, Tsan-Yu J
• Application Number:
  US13/086,197
• Publication Number:
  US 20110191250A1
• Time in Patent Office: 825 Days
• Field of Search: 705/67, 726 1- 36
• US Class Current: 705/67
• CPC Class Codes: G06Q 20/027 involving a payment switch or gateway
• CPC Class Codes: G06Q 20/0855 involving a third party
• 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 20/363 with the personal data of a user
• CPC Class Codes: G06Q 20/367 involving electronic purses or money safes
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• CPC Class Codes: G06Q 20/3821 Electronic credentials
• CPC Class Codes: G06Q 20/4097 using mutual authentication between devices and transaction partners
• CPC Class Codes: G07F 7/0866 by active credit-cards adapted therefor G07F7/1008 takes precedence
• 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 system and method for facilitating electronic transactions using an intelligent instrument is disclosed. An authorization server enables users to obtain authorization credentials through the use of the intelligent instrument by issuing a challenge to an intelligent token of the intelligent instrument. The intelligent token generates a challenge response and transmits the challenge response to the authorization server, which assembles credentials including a key for the electronic transaction upon validating the response. The authorization server sends the assembled credentials to the intelligent instrument and the intelligent instrument transmits the assembled credentials to the authorization server during a subsequent transaction. The authorization server validates the assembled credentials and provides authorization for the transaction in response to the validating the assembled credentials.

Claims

1. A method comprising:

transmitting, by a computer-based system for conducting a transaction, a challenge to a client device having an intelligent token, wherein said intelligent token generates a challenge response that is digitally signed and encrypted with a public key that is based on biometric data representing a biometric sample;

receiving, by said computer-based system, said challenge response;

verifying, by said computer-based system, said digital signature associated with said challenge response;

decrypting, by said computer-based system, said challenge response with a private key that is based on said biometric sample;

verifying, by said computer-based system, said biometric data;

assembling, by said computer-based system and based on features of said biometric data, credentials in response to verifying said challenge response, wherein said assembling includes encrypting said credentials;

storing, by said computer-based system, said assembled credentials;

transmitting, by said computer-based system, said assembled credentials to said client device;

receiving, by said computer-based system, a request from said client device that includes at least a portion of said assembled credentials;

validating, by said computer-based system, said assembled credentials by matching received values of said assembled credentials to stored values of said assembled credentials; and

providing, by said computer-based system, access to a transaction service in response to said validating.

2. The method of claim 1, wherein said biometric sample comprises an image of a facial feature of an individual.

3. The method of claim 1, wherein said biometric sample is acquired by said client device.

4. The method of claim 1, wherein said client device comprises a mobile communication device equipped with a digital camera.

5. The method of claim 1, wherein said computer-based system is a trusted third-party server.

6. The method of claim 1, wherein said assembled credentials comprise a security token with which said client device may access said transaction service regardless of responding to said challenge.

7. The method of claim 1, wherein said providing access to said transaction service is further in response to a limited use Personal Identification Number (PIN).

8. The method of claim 7 further comprising:

identifying, by said computer-based system, a primary account having an associated account number;

receiving, by said computer-based system and from said intelligent token, a request for said limited use PIN;

associating, by said computer-based system, said limited use PIN with said primary account;

issuing, by said computer-based system, said limited use PIN to said intelligent token to facilitate said access to said transaction service;

receiving, by said computer-based system, transaction information for authorization, wherein the transaction information includes said limited use PIN;

processing, by said computer-based system, said transaction information to determine whether said transaction information includes said limited use PIN and interfacing with a limited use PIN system to determine whether authorization is appropriate, wherein authorization determination includes;

receiving, by said computer-based system, account information associated with said account number;

determining, by said computer-based system, whether conditions-of-use parameters associated with said limited use PIN are satisfied, the conditions-of-use parameters defining at least a predetermined restriction on use of the limited use PIN;

issuing, by said computer-based system, an appropriate approval code, in response to conditions of use parameters associated with the limited use PIN and the primary account being satisfied; and

declining, by said computer-based system, the authorization request in response to the conditions associated with the primary account and the limited use PIN not being satisfied.

9. The method of claim 1, further comprising:

establishing, by said computer-based system, a master account for said client device;

assigning, by said computer-based system, a pool of limited use account identifiers that correspond to said master account prior to a purchase by said client device, said pool of limited use account identifiers including a plurality of limited use account identifiers each identifying a separate financial account at an issuer, each formatted for processing by payment card networks, and each issued without an associated with an intelligent device, each of said pool of limited use account identifiers being different from said master account identifier;

receiving, by said computer-based system and from said client device, a request for a purchase of an item from a merchant;

identifying, by said computer-based system, said pool of limited use account identifiers associated with said client device; and

assigning, by said computer-based system, one of said plurality of limited use account identifiers from said pool for use by said client device to access said transaction service.

10. The method of claim 1, further comprising:

receiving, by said computer-based system, an initial authorization request, said initial authorization request including transaction information identifying a transaction including merchant information, an account identifier corresponding to a financial account, and a transaction amount;

identifying, by said computer-based system, a pre-authorization record associated with said account identifier;

determining, by said computer-based system, that said transaction amount complies with authorization criteria including a pre-authorized amount in said pre-authorization record, wherein said pre-authorization record corresponds to a predetermined purchase transaction;

transmitting, by said computer-based system, an authorization message to said merchant;

determining, by said computer-based system and based on said transaction information, that said transaction involves a partial shipment; and

,

at least one of;

updating, by said computer-based system, said pre-authorization record or creating, by said computer-based system, a new pre-authorization record in response to said transaction involving said partial shipment.

11. The method of claim 1, wherein said verifying said challenge response comprises processing said response to verify said intelligent token.

12. The method of claim 1, further comprising receiving, by said computer-based system, a registration of a biometric sample, wherein said registration comprises a proffered biometric sample.

13. The method of claim 12, wherein said receiving said registration further comprises processing database information contained in at least one of:

said intelligent token, an intelligent token reader, a biometric sensor, a remote server, or a merchant server.

14. The method of claim 13, wherein said comparing further comprises comparing said proffered biometric sample to said stored biometric sample by using at least one of a third-party security vendor device or a local CPU.

15. The method of claim 1, wherein said biometric sample comprises at least a portion of one of:

voiceprint, fingerprint, facial features, ear features, sound signature, handwriting signature, vascular patterns, DNA, hand geometry, smell, keystroke/typing features, iris, retina, and brainwaves.

16. The method of claim 1, wherein said biometric sample is primarily associated with first user information, wherein said first user information comprises personal information, charge card information, debit card information, savings account information, membership information, PayPal account information, Western Union Account information, electronic bill payment information, automatic bill payment information and loyalty point information, and wherein said biometric sample is secondarily associated with at least one of second user information, wherein said second information comprises personal information, credit card information, debit card information, savings account information, membership information, PayPal account information, Western Union Account information, electronic bill payment information, automatic bill payment information and loyalty point information, and wherein said second user information is different than said first user information.

17. The method of claim 1, further comprising issuing, by said computer-based system, a secure token to said client device based on said validating, wherein said secure token at least one of:

enables said transaction in accordance with rules associated with said secure token or enables authorization of said transaction independent of a transaction account issuer.

18. The method of claim 1, wherein said transaction service includes at least one of:

access to view electronic file, access to download an electronic file, or a purchase authorization.

19. An article of manufacture including a non-transitory, tangible computer readable medium having instructions stored thereon that, in response to execution by a computer-based system for conducting a transaction, cause the computer-based system to perform operations comprising:

transmitting, by said computer-based system, a challenge to a client device having an intelligent token, wherein said intelligent token generates a challenge response that is digitally signed and encrypted with a public key that is based on biometric data representing a biometric sample;

receiving, by said computer-based system, said challenge response;

verifying, by said computer-based system, said digital signature associated with said challenge response;

decrypting, by said computer-based system, said challenge response;

verifying, by said computer-based system, said biometric data;

assembling, by said computer-based system and based on features of said biometric data, credentials in response to verifying said challenge response, wherein said assembling includes encrypting said credentials;

storing, by said computer-based system, said assembled credentials;

transmitting, by said computer-based system, said assembled credentials to said client device;

receiving, by said computer-based system, a request from said client device that includes at least a portion of said assembled credentials;

validating, by said computer-based system, said assembled credentials by matching received values of said assembled credentials to stored values of said assembled credentials; and

providing, by said computer-based system, access to a transaction service in response to said validating.

20. A system comprising:

a processor for conducting a transaction,

a tangible, non-transitory memory configured to communicate with said processor,

said tangible, non-transitory memory having instructions stored thereon that, in response to execution by said processor, cause said processor to perform operations comprising;

transmitting, by said processor, a challenge to a client device having an intelligent token, wherein said intelligent token generates a challenge response that is digitally signed and encrypted with a public key that is based on biometric data representing a biometric sample;

receiving, by said processor, said challenge response;

verifying, by said processor, said digital signature associated with said challenge response;

decrypting, by said processor, said challenge response;

verifying, by said processor, said biometric data;

assembling, by said processor and based on features of said biometric data, credentials in response to verifying said challenge response, wherein said assembling includes encrypting said credentials;

storing, by said processor, said assembled credentials;

transmitting, by said processor, said assembled credentials to said client device;

receiving, by said processor, a request from said client device that includes at least a portion of said assembled credentials;

validating, by said processor, said assembled credentials by matching received values of said assembled credentials to stored values of said assembled credentials; and

providing, by said processor, access to a transaction service in response to said validating.