System and method for token based mobile payment

• US 10,706,414 B1
• Filed: 05/06/2016
• Issued: 07/07/2020
• Est. Priority Date: 05/06/2016
• Status: Active Grant

• Current Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Original Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Inventors: Lieberman, Alex, Lore, Nicholas M.
• Primary Examiner(s): Nigh, James D
• Application Number:
  US15/148,509
• Time in Patent Office: 1,523 Days
• Field of Search: 705 66
• 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 20/3672 initialising or reloading thereof
• CPC Class Codes: G06Q 20/3674 involving authentication
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes
• CPC Class Codes: G06Q 20/40145 Biometric identity checks
• CPC Class Codes: G06Q 20/4016 involving fraud or risk level assessment in transaction processing
• CPC Class Codes: G06Q 20/405 Establishing or using transaction specific rules
• CPC Class Codes: G06Q 20/42 Confirmation, e.g. check or permission by the legal debtor of payment
• CPC Class Codes: G06Q 30/0226 Incentive systems for frequent usage, e.g. frequent flyer miles programs or point systems

Abstract

The invention relates to a token-based mobile payment device comprising: a memory component that stores tokens and corresponding token use data; an interactive display that receives user input and in response to the user input, displays output data; a processor, coupled to the memory component and the interactive display, configured to perform the steps of: request a token to be transmitted to one or more recipients; identify an amount for the token and one or more restrictions on use of the token; communicating, via a wireless communication network, the token to the one or more recipients; and tracking the token and providing active token use data, via the interactive display.

Claims

1. A token-based mobile payment device comprising:

a memory component that stores tokens and corresponding token use data;

an interactive display that receives user input and in response to the user input, displays output data;

a processor, coupled to the memory component and the interactive display, configured to perform the steps of;

requesting an indirect sharing of money in the form of a token to be transmitted to one or more non-merchant recipients for use with a merchant to purchase goods or services;

identifying an amount for the token and a plurality of restrictions on use of the token, the restrictions comprising a time until token expiration and at least one of a limitation on how and where the token may be used;

providing, via a wireless communication network, the token to the one or more non-merchant recipients for use by the non-merchant recipient consistent with the one or more restrictions;

tracking the token and providing active token use data, via the interactive display;

providing, via the interactive display, a request for a modification to the token;

receiving, via the interactive display, an approval of the request for a modification to the token; and

wherein the processor executes a machine learning algorithm that automatically modifies the token based on historical data associated with the one or more recipients and token use history.

2. The token-based mobile payment device of claim 1, wherein the plurality of restrictions on use of the token comprise a geographic boundary.

3. The token-based mobile payment device of claim 1, wherein the plurality of restrictions on use of the token comprise a specific category of use, selected by an issuer of the token.

4. The token-based mobile payment device of claim 1, wherein the plurality of restrictions comprise any transactions are limited to in-person transactions.

5. The token-based mobile payment device of claim 1, wherein the processor receives a request to modify the amount of the token.

6. The token-based mobile payment device of claim 1, wherein the token is a temporary token.

7. The token-based mobile payment device of claim 1, wherein loyalty points earned by the token are credited to an issuer of the token.

8. The token-based mobile payment device of claim 1, wherein the token is modified automatically based on a detected fraud condition.

9. The token-based mobile payment device of claim 1, wherein the token is associated with an additional authentication feature that requires a biometric input from the one or more recipients.

10. A computer implemented method for implementing a token-based mobile payment device comprising the steps of:

storing, via memory component, tokens and corresponding token use data;

receiving, via an interactive display, user input and in response to the user input, the interactive display provides output data;

requesting, via a processor, an indirect sharing of money in the form of a token to be transmitted to one or more non-merchant recipients for use with a merchant to purchase goods or services;

identifying, via the processor, an amount for the token and a plurality of restrictions on use of the token, the restrictions comprising a time until token expiration and at least one of a limitation on how and where the token may be used;

providing, via a wireless communication network, the token to the one or more non-merchant recipients for use by the non-merchant recipient consistent with the one or more restrictions; and

tracking, via the processor, the token and providing active token use data, via the interactive display;

providing, via the interactive display, a request for a modification to the token;

receiving, via the interactive display, an approval of the request for a modification to the token; and

executing, via the processor, a machine learning algorithm that automatically modifies the token based on historical data associated with the one or more recipients and token use history.

11. The method of claim 10, wherein the plurality of restrictions on use of the token comprise a geographic boundary.

12. The method of claim 10, wherein the plurality of restrictions on use of the token comprise a specific category of use, selected by an issuer of the token.

13. The method of claim 10, wherein the plurality of restrictions comprise any transactions are limited to in-person transactions.

14. The method of claim 10, wherein the processor receives a request to modify the amount of the token.

15. The method of claim 10, wherein the token is a temporary token.

16. The method of claim 10, wherein loyalty points earned by the token are credited to an issuer of the token.

17. The method of claim 10, wherein the token is modified automatically based on a detected fraud condition.

18. The method of claim 10, wherein the token is associated with an additional authentication feature that requires a biometric input from the one or more recipients.