Pre-paid card system and method

• US 5,577,109 A
• Filed: 03/20/1995
• Issued: 11/19/1996
• Est. Priority Date: 06/06/1994
• Status: Expired due to Term

• Current Assignee: TGIP Incorporated
• Original Assignee: Call Processing Incorporated (Euronet Worldwide Incorporated)
• Inventors: Beshear, Brady S., Stimson, Charles J.
• Primary Examiner(s): Chin, Wellington
• Assistant Examiner(s): LOOMIS, PAUL A
• Application Number:
  US08/407,094
• Time in Patent Office: 610 Days
• Field of Search: 379/91, 379/92, 379/112, 379/114, 379/115, 379/121, 379/130, 379/131, 379/144, 235/380, 235/381, 340/825.34, 340/825.35
• US Class Current: 379/114.2
• CPC Class Codes: G06Q 20/06 Private payment circuits, e.g. involving electronic currency used among participants of a common payment scheme
• CPC Class Codes: G06Q 20/28 Pre-payment schemes, e.g. "pay before"
• CPC Class Codes: G06Q 20/342 Cards defining paid or billed services or quantities
• CPC Class Codes: G06Q 20/3433 the counter having monetary units
• CPC Class Codes: G07F 7/02 by keys or other credit registering devices
• CPC Class Codes: G07F 7/025 by means, e.g. cards, providing billing information at the time of purchase, e.g. identification of seller or purchaser, quantity of goods delivered or to be delivered
• CPC Class Codes: G07F 7/08 by coded identity card or credit card or other personal identification means without personal verification means G07F7/02
• CPC Class Codes: G07F 7/12 Card verification
• CPC Class Codes: G07F 7/122 Online card verification
• CPC Class Codes: H04M 17/00 Prepayment of wireline communication systems, wireless communication systems or telephone systems using a coded card to authorise calls from a telephone set H04M1/675
• CPC Class Codes: H04M 17/20 with provision for recharging the prepaid account or card, or for credit establishment
• CPC Class Codes: H04M 2215/0192 Sponsored, subsidised calls via advertising, e.g. calling cards with ads or connecting to special ads, free calling time by purchasing goods

Abstract

A pre-paid card system enables customers to make purchases using an authorized card. The system includes four main functional components: a plurality of cards, a host computer, a plurality of on-site activation terminals and a main processor. Each of the cards having a security number associated therewith. The card is typically formed of cardboard, paper or plastic and may include the security number in cleartext under a suitable blackout. The main management and processing of the system is effected by the host computer. The host includes a database for storing security numbers associated with authorized cards. The data terminals are remote from the host computer and connectible thereto for transmitting data between the terminals and the host computer. The processor is controlled by the host computer for enabling customer purchases using the authorized cards.

Claims

1. A pre-paid card system to enable users to obtain goods or services using cards having pre-authorized, purchasing limit amounts comprising:

a plurality of cards, each of said cards having a security number associated therewith;

a host computer including at least one input port and a database for storing security numbers;

at least one data terminal located at a predetermined location remote from the host computer and connectable to the input port for associating, at the host computer, a purchasing limit amount with a security number of a pre-authorized card using data transmitted between the data terminal and the host computer during one or more charging transactions, the means for associating of the data terminal including;

means for entering a the security number;

means, operative during any initial transaction and any recharge transaction, for entering any monetary amount representing the purchasing limit amount;

means for connecting to the host computer to transfer the security number and the purchasing limit amount;

means responsive to the transfer for receiving a verification message from the host computer authorizing receipt of the monetary amount to thereby associate at the host computer the purchasing limit amount to the security number, wherein the card does not store the purchasing limit amount;

wherein the database includes a record for each card security number having a purchasing limit amount associated therewith, the record including a balance; and

a main processor running on the host computer and responsive to entry of the security number for authorizing a user to purchase goods or services valued up to the purchasing limit amount using the card, the main processor using the balance in the record associated with the security number for monitoring purchase amounts and terminating the user'"'"'s authorization to purchase goods or service when the balance is exhausted.

2. The pre-paid card system as described in claim 1 wherein the for entering a security number comprises a cardreader.

3. The pre-paid card system as described in claim 1 wherein the means for entering monetary amounts comprises a keypad.

4. The pre-paid card system as described in claim 1 wherein the means for connecting to the host computer comprises a modem.

5. The pre-paid card system as described in claim 1 wherein the means for receiving comprises a display.

6. A pre-paid card system to enable customers to purchase pre-paid cards at retail establishments and to use such pre-paid cards to obtain goods or services, comprising:

a plurality of cards, each of said cards having a security number associated therewith that must be entered to obtain goods and services using the prepaid card;

a host computer including at least one input port and a database for storing security numbers;

a plurality of data terminals located at the retail establishments remote from the host computer and each connectable to the input port for associating, at the host computer, a purchasing limit amount with a security number of a pre-paid card using data transmitted between the data terminal and the host computer during one or more charging transactions, the means for associating of each data terminal including;

means for reading a calling card to determine the security number;

means, operative during any initial transaction and any recharge transaction, for entering a monetary amount corresponding to the purchasing limit amount;

means for transferring to the host computer the security number corresponding to the purchasing limit amount and the purchasing limit amount; and

means responsive to the transfer for receiving a verification message from the host computer authorizing receipt by the retail establishment of the monetary amount to thereby associate at the host computer the call authorization amount with the security number, wherein the prepaid card does not store the purchasing limit amount;

wherein the database includes a record for each prepaid card security number, the record including the initial authorization amount and any recharge authorization amount, a balance, and data terminal identification codes identifying the data terminals of the plurality of data terminals at which the initial and any recharge authorization amounts are issued; and

a main processor running on the host computer and responsive to entry of the security number for authorizing a user to purchase goods or services up to the selectively determined purchasing limit using the authorized card, the main processor using the balance in the record associated with the security number for monitoring total amount of purchases and disallowing purchases when the balance is exhausted.

7. A method to enable customers to purchase calling cards at predetermined locations and to use such calling cards to access a telephone network having at least one telephone, each of said calling cards having a security number associated therewith that must be entered at a telephone to obtain access to the telephone network, comprising the steps of:

in response to one or more predetermined requests, transferring information from a data terminal to a remote host computer having a database, the information including data identifying a calling card to be activated or recharged;

associating, at the host computer, an amount of call authorization to a security number of the calling card using the information transferred;

transmitting a verification message from the host computer to the data terminal;

maintaining in the database a record for each calling card security number having a call authorization amount associated therewith, the record including a balance; and

using the balance in the record associated with the security number for monitoring call progress; and

terminating access to the telephone network when the balance is exhausted.

8. A method to enable customers to purchase and use cards to access a network having at least one access device, each of said cards having a security number associated therewith that must be entered at an access device to obtain access to the network, comprising the steps of:

in response to one or more requests, transferring information from a communications device to a remote host computer having a database, the information including data identifying a card to be activated or recharged;

associating, at the host computer, an amount of access authorization to a security number of the card using the information transferred;

transmitting a verification message from the host computer to the communications device;

maintaining in the database a record for each card security number having an access authorization amount associated therewith, the record including a balance; and

using the balance in the record associated with the security number for monitoring usage of the network from the access device; and

terminating access to the network when the balance is exhausted.

9. A method, using one or more remote communications devices connectable to a host computer having a database, to enable customers to acquire credit to be used to purchase good or services, comprising the steps of:

in response to one or more requests, transferring information from a communications device to the host computer, the information including data identifying a card to be activated or recharged, the card having an identifying number;

associating, at the host computer, an amount of purchase authorization to the identifying number of the card using the information transferred from the communications device;

maintaining in the database a record for each card identifying number having an purchase authorization amount associated therewith, the record including a credit balance; and

adjusting the credit balance in the record associated with the identifying number as goods or services are purchased.

10. A method, using one or more remote communications devices connectable to a host computer having a database, to enable customers to acquire call authorization credit, comprising the steps of:

in response to one or more requests, transferring information from a communications device to the host computer, the information including data identifying a card to be activated or recharged, the card having an identifying number;

associating, at the host computer, an amount of call authorization to the identifying number of the card using the information transferred from the communications device;

maintaining in the database a record for each card identifying number having a call authorization amount associated therewith, the record including a call authorization balance; and

adjusting the call authorization balance in the record associated with the identifying number as the card is used to obtain network access.