Method and system for conducting transactions using a payment card with two technologies

• US 20050121512A1
• Filed: 01/06/2005
• Published: 06/09/2005
• Est. Priority Date: 12/06/2001
• Status: Active Grant

• Current Assignee: John Wankmueller
• Original Assignee: John Wankmueller
• Inventors: Wankmueller, John
• Granted Patent: US 7,287,695 B2
• Time in Patent Office: Days
• US Class Current: 235/380
• CPC Class Codes: G06K 19/10 at least one kind of marking being used for authentication, e.g. of credit or identity cards verification of coded identity or credit cards in mechanisms actuated by them G07F7/12
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 20/327 Short range or proximity payments by means of M-devices
• CPC Class Codes: G06Q 20/341 Active cards, i.e. cards including their own processing means, e.g. including an IC or chip
• CPC Class Codes: G06Q 20/357 Cards having a plurality of specified features
• CPC Class Codes: G06Q 20/3674 involving authentication
• 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: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Abstract

A system for conducting financial transactions is provided wherein payment cards have stored account information including a first portion readable by a first machine-readable technology and a second portion readable by a second different machine-readable technology. Terminals employing both of said first and second technologies are used to capture said card account information for conducting each such transaction.

Claims

1. A system for conducting financial transactions comprising:

payment cards having stored account information including a first portion readable by a first machine-readable technology and a second portion readable by a second different machine-readable technology; and

terminals employing both of said first and second technologies to capture said portions of said card account information for conducting each such transaction.

2. The system of claim 1, wherein said first and second machine-readable technologies are either bar-code technology, radio-frequency (RF) technology, magnetic stripe technology, optical character recognition (OCR) technology, audio-tone technology or infra-red technology.

3. The system of claim 2, wherein said first machine-readable technology is bar-code technology and said second different machine-readable technology is radio-frequency (RF) technology.

4. The system of claim 3, wherein said stored account information includes a payment account number and an expiration date, and wherein said first portion is said payment account number and said second portion is said expiration date.

5. The system of claim 3, wherein said stored account information includes a payment account number, and wherein said first portion includes one or more digits of the payment account number and said second portion includes one or more different digits of said payment account number.

6. The system of claim 5, wherein said first portion includes at least digits of the payment account number representing a bank identification number.

7. The system of claim 3, wherein said stored account information includes a payment account number, an expiration date, a service code and discretionary data.

8. The system of claim 7, wherein said information is processed over a payment network.

9. The system of claim 1, wherein at least one of said terminals is equipped with both an optical bar code reader and an RF receiver for receiving respectively said first and second portions of stored account information from said card.

10. The system of claim 9, wherein said terminal combines said received information for processing over a payment network.

12. The method of claim 11, wherein said first and second machine-readable technologies are either bar-code technology, radio-frequency (RF) technology, magnetic stripe technology, optical character recognition (OCR) technology, audio-tone technology or infra-red technology.

13. The method of claim 12, wherein said first machine-readable technology is bar-code technology and said second different machine-readable technology is radio-frequency (RF) technology.

14. The method of claim 13, wherein said stored account information includes a payment account number and an expiration date, and wherein said first portion is said payment account number and said second portion is said expiration date.

15. The method of claim 13, wherein said stored account information includes a payment account number, and wherein said first portion includes one or more digits of the payment account number and said second portion includes one or more different digits of said payment account number.

16. The method of claim 15, wherein said first portion includes at least digits of the payment account number representing a bank identification number.

17. The method of claim 13, wherein said stored account information includes a payment account number, an expiration date, a service code and discretionary data.

18. The method of claim 17, wherein said information is processed over a payment network.

11. A method for conducting a financial transaction over a communications network comprising a payment card, a terminal, and a payment network including a transaction authorization issuer, comprising:

storing on said card account information having a first portion readable by a first machine-readable technology and a second portion readable by a second different machine-readable technology; and

employing both of said first and second technologies to capture said card account information for conducting said financial transaction.

19. The method of claim 11, wherein said terminal is equipped with both an optical bar code reader and an RF receiver for receiving respectively said first and second portions of stored account information from said card.

20. The method of claim 19, wherein said terminal combines said received information for processing over a payment network.

21. The method of claim 11, wherein said card includes a chip, and said method further comprises:

securely storing on said chip a unique per-card cryptographic key; and

supporting on said chip a cryptographic algorithm for calculating an authentication code using at least said key, said code to be used for verification by said transaction authorization issuer.

22. The method of claim 21, wherein said stored account information includes a payment account number, an expiration date, a service code, and said chip maintains a transaction counter, and receives a terminal challenge number from the terminal, and

wherein said code is calculated using at least portions of said key, said account number, said expiration date, said service code, a value associated with said counter, and said challenge number.

23. The method of claim 22, wherein said stored account information includes Track 2 data comprising said expiration date, said service code, and discretionary data, and wherein said chip is an RF chip which stores said Track 2 data.

24. The method of claim 23, further comprising:

reformatting the discretionary data of said Track 2 data with said authentication code, said transaction counter, and said terminal challenge number; and

making said reformatted data available for reading by said terminal.

25. A system for conducting financial transactions comprising:

payment cards having stored account information including a first portion readable by a first machine-readable technology and a second portion readable by a second different machine-readable technology; and

terminals employing both of said first and second technologies to capture said portions of said card account information for conducting each such transaction.

26. The system of claim 25, wherein said first and second machine-readable technologies are either bar-code technology, radio-frequency (RF) technology, magnetic stripe technology, optical character recognition (OCR) technology, audio-tone technology or infra-red technology.

27. The system of claim 26, wherein said first machine-readable technology is bar-code technology and said second different machine-readable technology is radio-frequency (RF) technology.

28. The system of claim 27, wherein said stored account information includes a payment account number and an expiration date, and wherein said first portion is said payment account number and said second portion is said expiration date.

29. The system of claim 27, wherein said stored account information includes a payment account number, and wherein said first portion includes one or more digits of the payment account number and said second portion includes one or more different digits of said payment account number.

30. The system of claim 29, wherein said first portion includes at least digits of the payment account number representing a bank identification number.

31. The system of claim 27, wherein said stored account information includes a payment account number, an expiration date, a service code and discretionary data.

32. The system of claim 31, wherein said information is processed over a payment network.

33. The system of claim 25, wherein at least one of said terminals is equipped with both an optical bar code reader and an RF receiver for receiving respectively said first and second portions of stored account information from said card.

34. The system of claim 33, wherein said terminal combines said received information for processing over a payment network.

35. A method for conducting a financial transaction over a communications network comprising a payment card, a terminal, and a payment network including a transaction authorization issuer, comprising:

storing on said card account information having a first portion readable by a first machine-readable technology and a second portion readable by a second different machine-readable technology; and

employing both of said first and second technologies to capture said card account information for conducting said financial transaction.

36. The method of claim 35, wherein said first and second machine- readable technologies are either bar-code technology, radio-frequency (RF) technology, magnetic stripe technology, optical character recognition (OCR) technology, audio-tone technology or infra-red technology.

37. The method of claim 36, wherein said first machine-readable technology is bar-code technology and said second different machine-readable technology is radio-frequency (RF) technology.

38. The method of claim 37, wherein said stored account information includes a payment account number and an expiration date, and wherein said first portion is said payment account number and said second portion is said expiration date.

39. The method of claim 37, wherein said stored account information includes a payment account number, and wherein said first portion includes one or more digits of the payment account number and said second portion includes one or more different digits of said payment account number.

40. The method of claim 39, wherein said first portion includes at least digits of the payment account number representing a bank identification number.

41. The method of claim 37, wherein said stored account information includes a payment account number, an expiration date, a service code and discretionary data.

42. The method of claim 41, wherein said information is processed over a payment network.

43. The method of claim 35, wherein said terminal is equipped with both an optical bar code reader and an RF receiver for receiving respectively said first and second portions of stored account information from said card.

44. The method of claim 43, wherein said terminal combines said received information for processing over a payment network.

45. The method of claim 35, wherein said card includes a chip, and said method further comprises:

securely storing on said chip a unique per-card cryptographic key; and

supporting on said chip a cryptographic algorithm for calculating an authentication code using at least said key, said code to be used for verification by said transaction authorization issuer.