Online card present transaction

• US 20020133467A1
• Filed: 08/30/2001
• Published: 09/19/2002
• Est. Priority Date: 03/15/2001
• Status: Active Grant

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Hussain, Sohail M., Hobson, Carol Lee
• Granted Patent: US 7,292,999 B2
• Time in Patent Office: Days
• US Class Current: 705/64
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/0855 involving a third party
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• 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 20/38215 Use of certificates or encrypted proofs of transaction rights
• CPC Class Codes: G06Q 20/3825 Use of electronic signatures
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes
• 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 20/4012 Verifying personal identification numbers [PIN]
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]

Abstract

An online card-present transaction system facilitates card-present type transactions with a merchant over a public network. A host system is configured to accept authentication data from a user via an authentication device. The host system, after authenticating a user is configured to retrieve the user'"'"'s account information from a user database system and translate a user account number into a temporary transaction number. The temporary transaction number is then transmitted directly from the host system to the merchant, thereby eliminating the need for the user to send to the merchant over the internet, the user'"'"'s transaction account number.

Claims

1. An online card-present transaction method comprising the steps of:

accessing, within a host system, account information associated with an authenticated user; and

communicating said account information over an authenticated communication channel from said host system to a merchant to facilitate a transaction between said merchant and said authenticated user.

2. The method of claim 1, said account information comprising said user'"'"'s transaction account number.

3. The method of claim 2, said account information further comprising said user'"'"'s name, address, transaction account expiration date, and delivery information.

4. The method of claim 1, wherein said communicating step occurs over the internet.

5. The method of claim 4, comprising the following steps for authenticating said user:

receiving a user'"'"'s browser that has been redirected from a merchant website to said host system website;

issuing a challenge string to said user;

prompting user to insert a smart card into a smart card reader and a enter personal identification number; and

receiving a signed challenge string and valid digital certificate from said user.

6. The method of claim 5, further comprising the step of comparing said signed challenge string with said digital certificate to authenticate said user.

7. The method of claim 5, further comprising the step of comparing said signed challenge string and said digital certificate to information in a user database to authenticate said user.

8. The method of claim 1, further comprising the steps of:

generating a secondary transaction number; and

associating said secondary transaction number with said user'"'"'s transaction account number, wherein said account information comprises said secondary transaction number in place of said transaction account number.

9. The method of claim 1, the step of communicating said account information over an authenticated communication channel further comprising the steps of:

generating an encrypted host system signature;

embedding said signature in a browsing window;

directing said browsing window to said merchant, and

causing said merchant to authenticate the identity of said host system by decrypting said signature.

10. The method of claim 8, further comprising the step of causing said merchant to validate account information communicated from said host system to said merchant.

11. The method of claim 1, the step of communicating said account information over an authenticated communication channel further comprising the steps of:

communicating a host system token to said merchant over a first communication channel;

retrieving from said merchant, over a second communication channel, a request to verify that said host system issued said token; and

confirming to said merchant that said host system issued said token.

12. The method of claim 10, further comprising the steps of:

retrieving from said merchant, over a second communication channel, a request to verify that said host system issued said account information; and

confirming to said merchant that said host system issued said account information.

13. The method of claim 1, comprising the additional steps of:

obtaining merchant transaction field information necessary to facilitate transactions between said merchant and its customers;

storing said field information in a merchant database;

retrieving said field information from said merchant database to determine the type of said account information needed to complete transaction between said merchant and said user; and

retrieving account information from a user database corresponding to said field information.

15. The method of claim 14, further comprising the step of causing said merchant to validate account information communicated from said host system to said merchant.

17. The method of claim 16, further comprising the steps of:

retrieving from said merchant, over a second communication channel, a request to verify that said host system issued said account information; and

confirming to said merchant that said host system issued said account information.

19. The method of claim 18, the step for establishing an authenticated communication channel comprising the following steps:

embedding an encrypted host system signature in said user'"'"'s browser; and

redirecting said user'"'"'s browser to said merchant, causing said merchant to authenticate said host system by decrypting said host system signature.

20. The method of claim 18, the step for establishing an authenticated communication channel comprising the following steps:

communicating a token to said merchant over a first communication channel;

receiving a communication from said merchant over a second communication channel requesting said host system to confirm the issuance of said token; and

confirming to said merchant that said host system issued said token.

21. The method of claim 18, further comprising the steps of prompting said user to insert a smart card into a smart card reader and to enter a personal identification number.

22. The method of claim 18, wherein said authentication information comprises a signed challenge string and a digital certificate.

24. The method of claim 23, said establishing an authenticated communication channel step further comprising the steps of:

receiving an encrypted host system signature; and

decrypting said encrypted host system signature to determine that said account information originated with said host system.

25. The method of claim 23, said establishing an authenticated communication channel step further comprising the steps of:

receiving a host system token over a first communication channel, wherein said token identifies said host system; and

communicating to said host system over a second communication channel to confirm that said token was issued by said host system.

29. The method of claim 28, wherein said authentication process comprises the further step of causing said user to insert a smart card into a smart card reader and input a personal identification number.

30. The method of claim 28, wherein the account information is a transaction account number.

31. The method of claim 28, comprising the further steps of:

generating a secondary transaction number;

associating said secondary transaction number with said transaction account number; and

providing said merchant said secondary transaction account number in place of said transaction account number.

14. A merchant interface method, comprising the steps of:

generating an encrypted host system signature;

embedding said signature in a browsing window;

directing said browsing window to said merchant, and

causing said merchant to authenticate the identity of said host system by decrypting said signature.

16. A merchant interface method, comprising the steps of:

communicating a host system token to a merchant over a first communication channel;

retrieving from said merchant, over a second communication channel, a request to verify that a host system issued said token; and

confirming to said merchant that said host system issued said token.

18. An online card present transaction method comprising the steps of:

receiving a users browser that has been redirected from a merchant'"'"'s website to a host system website;

sending said user a challenge string;

authenticating said user by receiving authentication information from said user, wherein said authentication information corresponds to a user'"'"'s transaction account;

generating a secondary transaction number;

associating said secondary transaction number with said user'"'"'s transaction account;

establishing an authenticated communication channel between said host system and said merchant; and

communicating said secondary transaction number over said authenticated communication channel to facilitate a transaction between said merchant and said user.

23. An online-card-present transaction method comprising the steps of:

communicating with a user over a distributed network;

recognizing the presence of an authentication device on a user'"'"'s computer system;

redirecting user to a host system website, causing said host system to authenticate said user;

establishing an authenticated communication channel with said host system; and

receiving account information from said host system over said authenticated communication channel, wherein said account information facilitates completion of a transaction between said user and said merchant.

26. A computerized merchant interface system comprising:

a means for communicating with a user and a merchant over a distributed network to facilitate an online transaction between said user and said merchant;

a means for prompting said user to provide authenticating information;

a means for receiving said authenticating information from said user;

a means for accessing user account information associated with said user;

a means for establishing an authenticated communication channel between said host system and said merchant; and

a means for providing said account information to said merchant over said authenticated communication channel.

27. A computerized merchant interface method comprising the steps of:

shopping at an online merchant'"'"'s website over a distributed network using a user'"'"'s web browser;

selecting items to add to a virtual shopping cart;

selecting a smart card payment method;

causing said smart cart to communicate with a smart card reader; and

entering a personal identification number, causing a host system to authenticate said user and to provide said merchant with account information to complete transaction with said merchant.

28. An online card-present transaction method, comprising the steps of:

receiving from a merchant over an authenticated communication channel, a user request to facilitate a transaction with said merchant;

communicating to a merchant a challenge string to facilitate a user authentication process;

retrieving from said merchant a signed challenge string and a digital certificate originating from said user, wherein said user is authenticated by comparing said signed challenge string and said digital certificate;

retrieving account information associated with said digital certificate; and

providing said account information to said merchant to facilitate said transaction.

32. An online card-present system, comprising:

a user interface system configured to communicate with a user system to facilitate a transaction between said user and a merchant;

an authentication system electrically coupled to said web server system for accepting authenticating information from said user and invoking a user database to determine if said user is an authorized user; and

a smart card payment system electronically coupled to said web server for retrieving user account information and interfacing with said web server to provide said account information to said merchant to facilitate said transaction.

33. The system of claim 32, wherein said authenticating information comprises a signed challenge string and a digital certificate generated by communication between a smart card and a smart card reader.

34. The system of claim 32, further comprising a secondary transaction system configured to generate a secondary transaction number and associate said transaction number to said account information, wherein said secondary transaction number is provided to said merchant through said web server system.