Method for obtaining a balance and withdrawing funds from a prepaid access device by law enforcement

• US 8,881,976 B1
• Filed: 02/01/2013
• Issued: 11/11/2014
• Est. Priority Date: 02/13/2012
• Status: Active Grant

• Current Assignee: ERAD Group Incorporated
• Original Assignee: Thomas Williams
• Inventors: Williams, Thomas J
• Primary Examiner(s): Kim, Ahshik
• Application Number:
  US13/757,730
• Time in Patent Office: 648 Days
• Field of Search: 235/379, 235/380, 235/382, 705/35, 705/44
• US Class Current: 235/379
• CPC Class Codes: G06Q 50/26 Government or public services business processes related to the transportation industry G06Q50/40

Abstract

A method is disclosed for use by law enforcement for obtaining a balance and seizing funds from prepaid access devices using existing clearing and settlement networks for open loop branded bank cards and closed loop private label cards. A payment terminal has a scanner for reading indicia from the prepaid access devices. A merchant identity is used for cloaking the identity of law enforcement. A balance inquiry instruction is forwarded to an issuing processor, which polls an issuing financial institution for the balance of the funds available in an associated account. An encumbering instruction is then forwarded to the issuing processor and the issuing financial institution, which includes at least one of a seize instruction and a freeze instruction. A claiming instruction is then forwarded to the issuing financial institution to forward the balance of the funds from the associated account to a law enforcement account.

Claims

1. A method for use by law enforcement for obtaining a balance and seizing funds from a prepaid access device, the method comprising the steps of:

providing machine readable instructions stored in machine readable memory for executing the method in one or more a data processing systems;

entering indicia from the prepaid access device into the one or more data processing systems;

forwarding a balance inquiry instruction to an issuing processor, which then polls an issuing financial institution in regard to the balance of funds available in an associated account corresponding to the prepaid access device;

receiving a value for the balance of funds available in the associated account;

forwarding an encumbering instruction for the value of the balance of funds in the associated account, which includes one of a seize instruction and a freeze instruction, and forwarding the encumbering instruction to the issuing processor and the issuing financial institution; and

forwarding a claiming instruction to the issuing processor and financial institution to forward the value of the balance of funds from the associated account to a law enforcement account.

2. The method according to claim 1, further comprising instructing the issuing processor and financial institution to forward funds transfer information relating to an identity of accounts and account holders of related accounts from which funds are transferred to or received from the associated account.

3. The method according to claim 1, wherein indicia for the prepaid access device is at least in part machine readable from the prepaid access device and is read by one of a payment terminal provided to law enforcement as one of a wired terminal, a wireless terminal, and a virtual terminal.

4. The method according to claim 1, wherein indicia from the prepaid access device is at least in part entered by being manually keyed by law enforcement into a payment terminal provided by one of a wired terminal, a wireless terminal, and a virtual.

5. The method according to claim 1, wherein the prepaid access device is a prepaid access card and the indicia is encoded on a magnetic stripe.

6. The method according to claim 1, further comprising the step of providing a merchant entity identity for use in cloaking the identity of law enforcement with the balance inquiry and encumbering instructions.

7. The method according to claim 6, wherein several transactions are aggregated for forwarding simultaneously in a single bulk transaction for a plurality of the prepaid access devices.

8. A method for use by law enforcement for obtaining a balance and seizing funds from a prepaid access device, the method comprising the steps of:

providing machine readable instructions stored in machine readable memory for executing the method in one or more a data processing systems;

providing a payment terminal having a scanner for reading indicia from the prepaid access device and entering the indicia from the prepaid access device into the one or more data processing systems;

reading the indicia from the prepaid access device with the payment terminal;

providing a merchant entity identity for use in cloaking the identity of law enforcement;

forwarding a balance inquiry instruction to an issuing processor, which then polls an issuing financial institution in regard to the balance of funds available in an associated account corresponding to the prepaid access device, wherein the balance inquiry instruction includes the indicia from the prepaid access device and the merchant entity identity;

receiving a value for the balance of funds available in the associated account;

forwarding an encumbering instruction for the value of the balance of funds in the associated account, which includes one of a seize instruction and a freeze instruction, and forwarding the encumbering instruction to the issuing processor and the issuing financial institution; and

forwarding a claiming instruction for the issuing financial institution to forward the value of the balance of funds from the associated account to a law enforcement account.

9. The method according to claim 8, further comprising instructing the issuing processor and the issuing financial institution to forward funds transfer information relating to an identity of accounts and account holders of related accounts from which funds are transferred to or received from the associated account.

10. The method according to claim 8, wherein indicia for the prepaid access device is at least in part machine readable from the prepaid access device and is read by the payment terminal, and wherein the payment terminal is provided by one of a wireless terminal, a wired terminal, and a virtual terminal.

11. The method according to claim 8, wherein indicia from the prepaid access device is at least in part entered by being manually keyed by law enforcement on the payment terminal.

12. The method according to claim 8, wherein the prepaid access device is a prepaid access card and the indicia is encoded on a magnetic stripe.

13. The method according to claim 8, wherein several transactions are aggregated for forwarding simultaneously in a single bulk transaction for a plurality of the prepaid access devices.

14. A method for use by law enforcement for obtaining a balance and seizing funds from a prepaid access device, the method comprising the steps of:

providing machine readable instructions stored in machine readable memory for executing the method in one or more a data processing systems;

providing one of a payment terminal having a scanner for reading indicia from the prepaid access device and wirelessly entering the indicia from the prepaid access device into the one or more data processing systems;

reading the indicia from the prepaid access device with the payment terminal, and entering the indicia from the prepaid access device into the one or more data processing systems;

providing a merchant entity identity for use in cloaking the identity of law enforcement;

forwarding a balance inquiry instruction to an issuing processor, which then polls an issuing financial institution in regard to the balance of funds available in an associated account corresponding to the prepaid access device, wherein the balance inquiry instruction includes the indicia from the prepaid access device and the merchant entity identity;

receiving a value for the balance of funds available in the associated account;

forwarding an encumbering instruction for the value of the balance of funds in the associated account, which includes one of a seize instruction and a freeze instruction, and forwarding the encumbering instruction to the issuing processor and the issuing financial institution;

forwarding a claiming instruction the issuing processor and the issuing financial institution to forward the value of the balance of funds from the associated account to a law enforcement account; and

wherein the prepaid access device contains encoded device indicia which may be machine read.

15. The method according to claim 14, further comprising instructing the issuing processor and the issuing financial institution to forward funds transfer information relating to an identity of accounts and account holders of related accounts from which funds are transferred to or received from the associated account.

16. The method according to claim 14, wherein indicia from the prepaid access device is at least in part entered into the payment terminal, which is provided by one of a wired terminal, a wireless terminal and a virtual terminal by being manually keyed by law enforcement.

17. The method according to claim 14, wherein the prepaid access device is a prepaid access card and the indicia is encoded on a magnetic stripe.

18. The method according to claim 14, wherein several transactions are aggregated for forwarding simultaneously in a single bulk transaction for a plurality of the prepaid access devices.