AUTHORIZATION REFRESH SYSTEM AND METHOD

• US 20090177563A1
• Filed: 01/16/2009
• Published: 07/09/2009
• Est. Priority Date: 12/07/2001
• Status: Abandoned Application

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Nelson, David O., Buehler, Hans D., Lueders, Ryan Edward, Curry, Jeremiah Matt, Bernstein, Kathi L., Clark, William, Smith, Michael S.
• Application Number:
  US12/355,576
• Publication Number:
  US 20090177563A1
• Time in Patent Office: Days
• US Class Current: 705/30
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• 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 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: G06Q 40/12 Accounting

Abstract

Limited use account identifiers or secondary account identifiers are enabled with refresh capability. The refreshable account identifiers are used in financial transactions and, specifically, in transaction situations where multiple and/or duplicate authorization requests occur for the same or related transactions. The limited use account identifiers may be used by intermediaries that coordinate the purchase of an item for a buyer. The intermediary also coordinates with the merchant to verify availability of the item, provides the merchant with the refreshable limited use account identifier and provides the purchaser with a confirmation number.

Claims

1. A method, comprising:

receiving, at a financial account issuer computer, a first authorization request including transaction information identifying a first transaction comprising merchant information, an account identifier corresponding to a financial account, and a transaction amount;

identifying, at said financial account issuer computer, a first pre-authorization record associated with said account identifier;

determining, at said financial account issuer computer, that said transaction amount complies with authorization criteria associated with said first pre-authorization record;

transmitting, at said financial account issuer computer, an authorization message to said merchant;

determining, at said financial account issuer computer, and based upon said first pre-authorization record, that refresh should occur; and

, refreshing said authorization criteria, at said financial account issuer computer, and in response to determining that refresh should occur, wherein refreshing said authorization criteria comprises at least one of;

updating said first pre-authorization record or creating a second pre-authorization record.

2. The method of claim 1, wherein said determining that said transaction amount complies with authorization criteria comprises comparing an original pre-authorization amount to said transaction amount in response to a current date being greater than a last authorized date.

3. The method of claim 2, wherein said determining that said transaction amount complies with authorization criteria comprises comparing an original pre-authorization amount to said transaction amount in response to a current date being greater than a last authorized date, and in response to said current date being less than or equal to a pre-authorization expiration date.

4. The method of claim 2, wherein said authorization criteria comprises said last authorized date and said expiration date, and wherein said current date is determined by at least one of a date associated with a computer or a date associated with said first authorization request.

5. The method of claim 2, further comprising closing said first pre-authorization record in response to creating said second pre-authorization record.

6. The method of claim 2, wherein refreshing said authorization criteria comprises:

determining said current pre-authorization amount as approximately said original pre-authorization amount minus said transaction amount;

determining said last authorization date as at least one of;

a system date associated with a computer or an authorization request date associated with said first authorization request.

7. The method of claim 5, wherein said refreshing said authorization criteria further comprises:

closing said first pre-authorization record;

creating said second pre-authorization record comprising said original pre-authorization amount, said current pre-authorization amount, and said last authorization date.

8. The method of claim 7, wherein said refreshing said authorization criteria further comprises:

updating said first pre-authorization record with said original pre-authorization amount, said current pre-authorization amount, said last authorization date, and a refresh status indicator.

9. The method of claim 1, wherein said determining that said transaction amount complies with authorization criteria comprises comparing a current pre-authorization amount to said transaction amount in response to a current date being greater than a last-authorized date.

10. The method of claim 9, wherein refreshing said authorization criteria comprises:

closing said first pre-authorization record;

determining said current pre-authorization amount as approximately said current pre-authorization amount minus said transaction amount;

determining said last authorization date as at least one of;

a system date associated with a computer or an authorization request date associated with said first authorization request.

creating said second pre-authorization record comprising said original pre-authorization amount, said current pre-authorization amount and said last authorization date.

11. The method of claim 1, wherein said comparing a current pre-authorization amount to said transaction amount comprises increasing said current pre-authorization amount by a variance amount.

12. The method of claim 11, wherein said variance amount is determined by multiplying a variance percentage and said current pre-authorization amount.

13. The method of claim 11, wherein said variance percentage is determined at least partially by at least one of said authorization criteria, said first pre-authorization record, said transaction amount, said financial account issuer, or said financial account.

15. The method of claim 1, wherein said determining, based upon said first pre-authorization record, that refresh is active comprises determining that refresh is active in response to said current date being greater than or equal to an effective date and in response to said current date being less than or equal to a refresh end date.

16. The method of claim 15, wherein said authorization criteria comprises said last authorized date and said expiration date.

17. The method of claim 15, further comprising determining said refresh end date based upon i) a refresh expiration parameter associated with at least one of said financial account and said account identifier and ii) at least one of said effective date or said expiration date.

18. The method of claim 15, further comprising determining a refresh end date based upon said effective date and an expiration date, wherein said authorization criteria comprises said effective date.

19. The method of claim 1, wherein said first pre-authorization record comprises said authorization criteria.

20. The method of claim 1, wherein said pre-authorization record corresponds to a predetermined purchase transaction.

21. The method of claim 1, further comprising determining that said account identifier is a limited use account identifier selected from a set of limited use account numbers associated with said financial account.

22. The method of claim 1, further comprising receiving a first pre-authorization request.

23. The method of claim 22, wherein said first pre-authorization request comprises at least one of said account identifier, a buyer identifier, a client identifier, a merchant identifier, said effective date, said expiration date, a refresh end date, a record status indicator, a product identifier, a maximum authorization, a variance percentage, or a variance indicator.

24. The method of claim 22, further comprising creating said first pre-authorization record based upon said first pre-authorization request.

25. The method of claim 24, further comprising associating said first pre-authorization record with at least one of said financial account or said account identifier.

26. The method of claim 23 further comprising:

selecting a limited use account identifier from a pool of limited use account identifiers associated with a transaction facilitator, wherein said transaction facilitator acts as an intermediary between a buyer and a merchant for a transaction;

associating said pre-authorization record with said limited use account identifier, said pre-authorization record including a use restriction based on said pre-authorization request.

27. The method of claim 26 further comprising associating a first refresh rule with said limited use account identifier to create a limited use refreshable account identifier (RAI).

28. The method of claim 26 further comprising sending said RAI to said transaction facilitator as said account identifier, wherein said transaction facilitator sends said account identifier to said merchant.

29. The method of claim 1, wherein said refreshing said authorization criteria further comprises:

identifying a client associated with said account identifier;

identifying a first rule as at least one of a first partial shipment rule or a first refresh rule associated with said client; and

applying said first rule to said transaction information to determine that said transaction involves a partial shipment.

30. The method of claim 1, further comprising:

receiving a settlement request comprising a settlement amount from a merchant, said settlement record comprising settlement information associated with said first transaction, said settlement information including a settlement amount and said account identifier;

associating said settlement record with a matching pre-authorization record comprising at least one of said first pre-authorization record or said second pre-authorization record; and

,

determining that settlement refresh should occur;

in response to determining that settlement refresh should occur, refreshing said authorization criteria, wherein refreshing said authorization criteria comprises at least one of;

updating said matching pre-authorization record or creating a third pre-authorization record.

14. The method of claim I, wherein said determining, based upon said first pre-authorization record, that refresh is active comprises determining a value of a refresh indicator associated with said first pre-authorization record.

31. A method, comprising:

receiving, at a financial account issuer computer, a settlement request comprising merchant information, an account identifier corresponding to a financial account, and a settlement amount;

identifying, at said financial account issuer computer, a first pre-authorization record associated with said account identifier;

determining, at said financial account issuer computer, and based upon said first pre-authorization record, that a settlement refresh should occur; and

,

in response to determining that settlement refresh should occur, refreshing authorization criteria associated with said first pre-authorization record, wherein said refreshing comprises at least one of;

updating said first pre-authorization record or creating a second pre-authorization record.

32. The method of claim 31, wherein said refreshing authorization criteria comprises:

closing said first pre-authorization record comprising an original pre-authorization amount;

determining said original pre-authorization amount as approximately said original pre-authorization amount minus said settlement amount;

creating a second pre-authorization record comprising said original pre-authorization amount.

33. A method, comprising:

submitting, from an intermediary computer, a pre-authorization request to an account issuer;

receiving, at said intermediary computer, a refreshable account identifier (RAI) from said account issuer wherein said RAI is a limited use account identifier, and wherein said account issuer creates a pre-authorization record associated with said RAI and said pre-authorization request; and

,

communicating said RAI, from said intermediary computer to a merchant, wherein said merchant submits a plurality of authorization requests for payment using said RAI to said account issuer.

34. A method, comprising:

receiving, at a merchant computer, a reservation for an item from a seller acting as an intermediary;

receiving, at said merchant computer, a refreshable account identifier (RAI) from said seller, wherein said RAI is associated with an original pre-authorized amount and a financial account issuer;

submitting, from said merchant computer, an authorization request to a payment processor associated with said financial account issuer associated with said RAI; and

,

receiving, at said merchant computer, a first authorization in response to said first authorization request, wherein said account issuer authorizes said first authorization based upon a current pre-authorized amount associated with said original pre-authorized amount.

35. The method of claim 34, further comprising:

submitting a second authorization request to said payment processor; and

,

receiving a second authorization in response to said second authorization request, wherein said financial account issuer refreshes at least a portion of said current pre-authorized amount in response to said first authorization.

36. A computer-readable medium having stored thereon a plurality of instructions, the plurality of instructions comprising:

instructions to receive, at a financial account issuer computer, a first authorization request, said first authorization request including transaction information identifying a first transaction comprising merchant information, an account identifier corresponding to a financial account, and a transaction amount;

instructions to identify a first pre-authorization record associated with said account identifier;

instructions to determine that said transaction amount complies with authorization criteria associated with said first pre-authorization record;

instructions to transmit an authorization message to said merchant;

instructions to determine, based upon said first pre-authorization record, that refresh should occur; and

,

instructions to refresh said authorization criteria, in response to determining that refresh should occur, wherein refreshing said authorization criteria comprises at least one of;

updating said first pre-authorization record or creating a second pre-authorization record.

37. An apparatus, comprising:

a processor;

a communication device configured to;

receive, at a financial account issuer, a first authorization request comprising transaction information identifying a first transaction comprising merchant information, an account identifier corresponding to a financial account, and a transaction amount; and

,

send an authorization message to a merchant;

a memory in operative communication with said processor, said memory for storing a plurality of processing instructions enabling said processor to;

identify a first pre-authorization record associated with said account identifier;

determine that said transaction amount complies with authorization criteria associated with said first pre-authorization record;

determine, based upon said first pre-authorization record, that refresh should occur; and

,

refresh said authorization criteria, in response to determining that refresh should occur, wherein refreshing said authorization criteria comprises at least one of;

updating said first pre-authorization record or creating a second pre-authorization record.