Method and apparatus for processing credit card transactions

• US 8,706,632 B2
• Filed: 06/01/2010
• Issued: 04/22/2014
• Est. Priority Date: 03/21/1997
• Status: Expired due to Fees

• Current Assignee: PayPal, Inc. (PayPal Holdings, Inc.)
• Original Assignee: Inventor Holdings LLC (Walker Innovation Inc. (f/k/a Patent Properties, Inc.))
• Inventors: Mik, Magdalena, Tulley, Stephen C., Tedesco, Daniel E., Van Luchene, Andrew S., Walker, Jay S.
• Primary Examiner(s): Kazimi, Hani M
• Assistant Examiner(s): Graham, Clement B
• Application Number:
  US12/791,567
• Publication Number:
  US 20100241502A1
• Time in Patent Office: 1,421 Days
• Field of Search: 705/39, 705/40
• US Class Current: 705/44
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 20/387 Payment using discounts or coupons relating to marketing G06Q30/02
• 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 30/0215 Including financial accounts
• CPC Class Codes: G06Q 30/0217 involving input on products or services in exchange for incentives or rewards
• CPC Class Codes: G06Q 30/0222 During e-commerce, i.e. online transactions
• CPC Class Codes: G06Q 30/0224 based on user history
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G07G 1/0036 Checkout procedures

Abstract

Systems and methods are disclosed whereby credit and debit card transactions are processed at a merchant point-of-sale terminal in a manner that provides customers the opportunity to receive one or more charge enhancement offers which are presented to the customer on a record of charge.

Claims

1. An apparatus for providing an offer during a transaction between a merchant and a customer, comprising:

a processor, and

a storage device in communication with the processor, the storage device storing instructions that when executed by the processor direct the processor that is configured to perform;

receiving a request for authorization of a purchase amount, the purchase amount to be paid from a financial account of the customer;

determining an offer based on the received request;

transmitting an authorization of the purchase amount;

transmitting the offer for output to the customer on a record of charge wherein the record of charge includes a first signature line associated with and for indicating acceptance of the purchase amount only and a second signature line associated with and for indicating acceptance of the offer output on the record of charge;

receiving an acceptance of the offer by the customer; and

providing a benefit to the customer after receiving the acceptance, in which the offer defines an obligation for the customer to fulfill in exchange for the benefit.

2. The apparatus of claim 1, the storage device storing instructions that when executed by, the processor direct the processor further to perform:

determining that the customer has signed the second signature line of the record.

3. The apparatus of claim 1, in which the offer is a cross-subsidy offer and in which the benefit comprises a discount toward the purchase amount.

4. The apparatus of claim 1, in which the offer is selected from the group consisting of:

a supplemental product offer for the obligation of an additional payment in addition to the purchase amount to be provided by the customer in exchanged for a supplemental product, and

a cross-subsidy offer for providing a discount toward the purchase amount in exchange for the obligation of the customer accepting an offer of a third party other than the customer and the merchant.

5. The apparatus of claim 1, in which receiving the request comprises receiving the request by a central controller.

6. The apparatus of claim 1, in which receiving the acceptance comprises receiving the acceptance by a central controller.

7. The apparatus of claim 1, the storage device storing instructions that when executed by the processor direct the processor further to perform:

adjusting an available credit limit of the financial account based on the indicated acceptance of the offer.

8. The apparatus of claim 1, in which adjusting comprises:

providing a discount on the purchase amount.

9. The apparatus of claim 1, wherein adjusting comprises:

providing a reward of alternate currency after the acceptance.

10. The apparatus of claim 1, wherein transmitting the authorization comprises:

determining whether the financial account is in good standing; and

transmitting the authorization for the transaction if the financial account is in good standing.

11. The apparatus of claim 10, wherein determining whether the account is in good standing comprises:

determining whether an available balance of the financial account is at least zero.

12. The apparatus of claim 10, wherein determining whether the account is in good standing comprises:

determining whether an available balance of the financial account is at least zero after acceptance of the offer by the customer.

13. The apparatus of claim 1, wherein transmitting the offer further comprises:

determining whether the financial account is in good standing; and

transmitting the offer for output to the customer on a record of charge if the financial account is in good standing.

14. The apparatus of claim 13, wherein determining whether the account is in good standing comprises:

determining whether an available balance of the financial account is at least zero.

15. The apparatus of claim 13, wherein the step of determining whether the account is in good standing comprises:

determining whether an available balance of the financial account is at least zero after acceptance of the offer by the customer.

16. The apparatus of claim 1, wherein the offer is determined based on a product identifier of a product purchased during the transaction.

17. The apparatus of claim 1, wherein the offer is determined based on a merchant identifier.

18. The apparatus of claim 1, wherein the offer is determined based on the purchase amount.

19. The apparatus of claim 1, wherein the offer comprises a requirement that the customer use a service for a predetermined time.