Decoding systems with a decoding engine running on a mobile device and coupled to a payment system that includes identifying information of second parties qualified to conduct business with the payment system

• US 9,495,677 B2
• Filed: 09/09/2013
• Issued: 11/15/2016
• Est. Priority Date: 06/10/2009
• Status: Active Grant

• Current Assignee: Block, Inc. (f/k/a Square, Inc.)
• Original Assignee: Square Inc (Block, Inc. (f/k/a Square, Inc.))
• Inventors: Dorsey, Jack, Henderson, William, Grassadonia, Brian, McKelvey, James M., Wen, Xuancong
• Primary Examiner(s): Rankins, William
• Application Number:
  US14/021,246
• Publication Number:
  US 20140001257A1
• Time in Patent Office: 1,163 Days
• US Class Current: 1/1
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/322 Aspects of commerce using mobile devices [M-devices]
• CPC Class Codes: G06Q 20/3224 Transactions dependent on location of M-devices
• CPC Class Codes: G06Q 20/3226 Use of secure elements separate from M-devices
• CPC Class Codes: G06Q 20/347 Passive cards
• CPC Class Codes: G06Q 20/3567 Software being in the reader
• 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: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G07F 7/0886 the card reader being portable for interacting with a POS or ECR in realizing a payment transaction

Abstract

A decoding system with a decoding engine running on a mobile device. The decoding engine decodes signals produced from a read of a buyer'"'"'s financial transaction card, accepts and initializes incoming signals from a read of a buyer'"'"'s financial transaction card until the signals reach a steady state, detects the read of the buyer'"'"'s financial transaction card once the incoming signals are in a steady state, identifies peaks in the incoming signals and digitizes the identified peaks in the incoming signals into bits. A transaction engine runs on the mobile device and is coupled to the decoding engine. A payment system is in communication with the transaction engine.

Claims

1. A decoding system, comprising:

a decoding engine running on a mobile device, the decoding engine in operation;

decoding incoming signals produced by a card reader from a read of a buyer'"'"'s financial transaction card,

initializing incoming signals produced by the card reader from the read of the buyer'"'"'s financial transaction card until the incoming signals reach a steady state,

detecting the read of the buyer'"'"'s financial transaction card once the incoming signals produced by the card reader are in the steady state, and

identifying peaks in the incoming signals and digitizing the identified peaks in the incoming signals into bits representing information on the decoded buyer'"'"'s financial transaction card; and

a transaction engine running on the mobile device and coupled to the decoding engine, the transaction engine in operation;

receiving as input the decoded buyer'"'"'s financial transaction card information from the decoding engine,

serving as an intermediary between the buyer and a merchant so that the buyer does not have to share the information from the decoded buyer'"'"'s financial transaction card with the merchant, and

communicating with a payment system.

2. The system of claim 1, wherein the payment system includes at least one of a user database, a product database, and a transaction database.

3. The system of claim 1, wherein the payment system stores information about the buyer.

4. The system of claim 1, wherein the payment system stores information about products and services provided by a merchant to a buyer.

5. The system of claim 1, wherein the payment system stores information relative to transactions between a buyer and a merchant.

6. The system of claim 1, wherein the mobile device is a merchant'"'"'s mobile device.

7. The system of claim 1, wherein the mobile device determines that there is a fraudulent use of the mobile device.

8. The system of claim 1, wherein the payment system determines that there is a fraudulent use of the mobile device.

9. The system of claim 1, wherein the payment system is in communication with a payment gateway.

10. The system of claim 9, wherein track data from the buyer'"'"'s financial transaction card is securely transmitted from the payment system to the payment gateway.

11. The system of claim 1, wherein the payment system includes a processing backend.

12. The system of claim 11, wherein the processing backend verifies signed data received from the payment system.

13. A method for receiving payment for a financial transaction, comprising:

running a decoding engine on a mobile device;

decoding signals by the decoding engine produced by a card reader from a read of a buyer'"'"'s financial transaction card relative to a transaction between a buyer and a merchant;

detecting, by the decoding engine, the read of the buyer'"'"'s financial transaction card once the signals are in a steady state;

identifying peaks in the signals and digitizing the identified peaks in the signals into bits representing information on the buyer'"'"'s financial transaction card;

receiving at a transaction engine from the decoding engine information on the buyer'"'"'s financial transaction card; and

communicating the information on the buyer'"'"'s financial transaction card from the transaction engine to a payment system.

14. The method of claim 13, further comprising:

storing at the payment system, information about the buyer.

15. The method of claim 13, further comprising:

storing at the payment system, information about products and services provided by the merchant.

16. The method of claim 13, further comprising:

storing at the payment system, information relative to transactions between a buyer and a merchant.

17. The method of claim 13, wherein the mobile device is a merchant'"'"'s mobile device.

18. A decoding device, comprising:

a non-transitory device readable medium, the non-transitory device readable medium storing a first set of device readable instructions that when executed cause the decoding device to;

decode incoming signals produced by a card reader from a read of a buyer'"'"'s financial transaction card,

accept and initialize incoming signals from the read of the buyer'"'"'s financial transaction card until the signals reach a steady state,

detect the read of the buyer'"'"'s financial transaction card once the incoming signals are in the steady state, and

identify peaks in the incoming signals and digitize the identified peaks in the incoming signals into bits representing information on the decoded buyer'"'"'s financial transaction card;

the non-transitory device readable medium storing a second set of device readable instructions that when executed cause the device to;

receive as input the decoded buyer'"'"'s financial transaction card information, and

serve as an intermediary between the buyer and a merchant so that the buyer does not have to share the information from the decoded buyer'"'"'s financial transaction card with the merchant; and

communicate the buyer'"'"'s financial transaction card information to a payment system.