PIN-SECURED DYNAMIC MAGNETIC STRIPE PAYMENT CARD

• US 20070241183A1
• Filed: 02/17/2007
• Published: 10/18/2007
• Est. Priority Date: 04/14/2006
• Status: Abandoned Application

• Current Assignee: Fitbit, Inc. (Alphabet Inc.)
• Original Assignee: Fitbit, Inc. (Alphabet Inc.)
• Inventors: Brown, Kerry D., Chatelain, Daniel
• Application Number:
  US11/676,285
• Publication Number:
  US 20070241183A1
• Time in Patent Office: Days
• US Class Current: 235/380
• CPC Class Codes: G06K 19/06187 with magnetically detectable marking
• CPC Class Codes: G06K 19/06196 Constructional details
• CPC Class Codes: G06K 19/07 with integrated circuit chips
• CPC Class Codes: G06K 19/0723 the record carrier comprising an arrangement for non-contact communication, e.g. wireless communication circuits on transponder cards, non-contact smart cards or RFIDs
• CPC Class Codes: G06K 19/12 the marking being sensed by magnetic means
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• 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 20/343 Cards including a counter
• CPC Class Codes: G06Q 20/354 Card activation or deactivation
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes
• CPC Class Codes: G06Q 20/4016 involving fraud or risk level assessment in transaction processing
• CPC Class Codes: G06Q 20/403 Solvency checks
• CPC Class Codes: G07F 7/082 Features insuring the integrity of the data on or in the card
• CPC Class Codes: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system
• CPC Class Codes: G07F 7/1016 Devices or methods for securing the PIN and other transaction-data, e.g. by encryption arrangements for secret communication, see H04L9/00

Abstract

A payment card comprises an internal dynamic PIN code generator and a user display for card-not-present transactions. Card-present transactions with merchant card readers are enabled by a dynamic magnetic array internally associated with the card'"'"'s magnetic stripe. The user display and a timer are triggered by the user or automatically when the user needs to see the PIN code and/or begin a new transaction. A new PIN code is provided for each new transaction according to a cryptographic process, but the timer limits how soon a next new PIN code can be generated and displayed.

Claims

1. A payment card for securing financial transactions, comprising:

a card with a dynamic magnetic stripe to encode some part of a personal account number (PAN) and to enable financial transactions with a merchant;

a variable one-time-use personal identification number (PIN) code disposed electronically in the payment card and providing for a crypto-encoded sequence of values that can be verified in real time as being generated by a particular card;

a visual user display on the card for periodically presenting said PIN code for observation;

a trigger for starting an electronic generation of a new next variable PIN code according to a cryptographic process, and for causing said PIN code to be visually presented on the user display for a limited time; and

a timer for providing a limit on the frequency at which a new next variable PIN code can be generated or viewed;

wherein, a payment infrastructure connected through said merchant is enabled to make financial-transaction authorizations based at least on the validity of said PIN code according to said cryptographic process.

2. The payment card of claim 1, further comprising:

a static PIN code printed on the back of the card.

3. The payment card of claim 1, further comprising:

a convolution processor included in the card for converting said new next variable PIN code into a convoluted value for display that then requires a user to apply a mental process to unwind the displayed PIN code back into a true PIN code.

4. The payment card of claim 1, further comprising:

a display for presenting a plurality of PIN values of different sizes, wherein a use of a specific PIN value signals the card type.

5. The payment card of claim 1, further comprising:

a device for responding to a PIN code challenge issued by a POS terminal.

6. The payment card of claim 1, further comprising:

a Cryptographic seed value and Crypto-algorithm disposed in the card, and that are duplicated in a PIN verification process in said financial transaction infrastructure.

7. The payment card of claim 1, further comprising:

a table of cryptographic values associated during their personalization with said PIN code on particular payment cards.

8. The payment card of claim 1, further comprising:

a device for sensing a financial transaction being commenced with the payment card.

9. A business model for securing payment card financial transactions, comprising:

associating a number of one-time-use personal identification number (PIN) codes with a particular payment card and user;

assigning a personal account number (PAN), wherein are included fields for a system number, a bank/product number, a user account number, and a check digit;

encoding a magnetic stripe on said payment card with said PAN for periodic reading by a magnetic card reader during a card-present financial transaction with a merchant;

storing a table of cryptographically generated PIN code values associated on each user'"'"'s payment card during personalization;

sensing a financial transaction being commenced with the payment card;

separating a current financial transaction from a next, new financial transaction with a timer disposed in the payment card, and triggered by a user input;

presenting a current variable PIN code on the user display only during a current financial transaction;

presenting a new, next variable PIN code on the user display only during a next, new financial transaction;

imposing a limit on how frequently a new, next variable PIN code can be electronically generated and presented on the user display; and

challenging and authorizing each financial transaction if a PIN code response includes a correct value.

10. A secure financial transaction network for payment cards, comprising:

a PIN code associated with a particular payment card and user;

a visual display on said payment card for reading said PIN code during a financial transaction;

a table of cryptographic values that was associated with said PIN code on each user'"'"'s payment card during personalization;

a detector for sensing a next financial transaction being commenced with said payment card;

a sequencer for selecting a cryptographic value from said table of cryptographic values for inclusion as said user account number with said PIN code when a next financial transaction is sensed;

a guard for not repeating the use of any cryptographic value from said table of cryptographic values in another financial transaction after being used once; and

a network for authorizing by said issuing bank said next financial transaction only if said PIN code corresponds to an expected value.

11. A payment card for securing financial transactions, comprising:

a card with a dynamic magnetic stripe to encode some part of a personal account number (PAN) and to enable financial transactions with a merchant;

a variable one-time-use personal identification number (PIN) code disposed electronically in the payment card and providing for a crypto-encoded sequence of values that can be verified in real time as being generated by a particular card;

a visual user display on the card for periodically presenting said PIN code for observation;

a trigger for starting an electronic generation of a new next variable PIN code according to a cryptographic process, and for causing said PIN code to be visually presented on the user display for a limited time; and

a timer for providing a limit on the frequency at which a new next variable PIN code can be generated or viewed;

a device included in the card for triggering a terminal to display an item that will prompt a user to enter a particular corresponding PIN code known to said user;

wherein, a payment or authentication infrastructure connected through said terminal is enabled to make financial-transaction or authentication authorizations based at least on the validity of said PIN code according to said cryptographic process.