Systems and methods for authorizing a transaction card

• US 6,182,894 B1
• Filed: 10/28/1998
• Issued: 02/06/2001
• Est. Priority Date: 10/28/1998
• Status: Expired due to Term

• Current Assignee: Liberty Peak Ventures, LLC (Dominion Harbor Enterprises, LLC)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Jordan, Vickie, Arnold, Lisa, Hackett, Ann
• Primary Examiner(s): LE, THIEN MINH
• Application Number:
  US09/181,734
• Time in Patent Office: 832 Days
• Field of Search: 235/380, 235/375, 235/382, 235/382.5, 235/379, 380/23
• US Class Current: 235/380
• CPC Class Codes: G06Q 20/355 Personalisation of cards for use
• CPC Class Codes: G06Q 20/4018 using the card verification value [CVV] associated with the card
• CPC Class Codes: G06Q 20/4093 Monitoring of device authentication
• CPC Class Codes: G07F 7/122 Online card verification

Abstract

Instead of a PIN which is associated with an account and provides access to an account, a card identification code, which is located on the card but does not provide automatic access to an account, is used to verify that the consumer currently possesses the transaction card at the time of purchase and/or is the true card owner. At the time of card printing, an embossing file of account codes including associated identification codes is created and loaded into the account database. At the time of authorization, the identification code and the account code are entered into a POS device and sent to an authorization system. If the identification codes match, and other authorization parameters are satisfied, the transaction card is authorized.

Claims

1. A system for authorizing commercial transactions comprising:

a transaction card having an n character account code and an n character identification code, wherein said identification code is not an expiration date and wherein said account code and said identification code have a predetermined logical relationship;

an input device for receiving said account code and said identification code; and

,

an authorization computer in communication with said input device, said authorization computer configured to confirm said predetermined relationship between said account code and said identification code.

2. The system of claim 1, wherein said transaction card is at least one of a credit card, debit card, bank card, charge card and smart card.

3. The system of claim 1, where in said identification code is unembossed.

4. The system of claim 1, wherein said account code and said identification code are on the same side of said transaction card.

5. The system of claim 1, wherein said input device is at least one of a keypad, POS terminal, ATM terminal, computer and telephone.

6. The system of claim 1, wherein said identification code is at least one of a three-digit number, four-digit number and five-digit number.

7. The system of claim 1, wherein said account code and said identification code are on the same side of said transaction card and said identification code is an unembossed four-digit number located above said account code.

8. The system of claim 1, wherein said authorization computer is configured to transform said identification code to a second identification code.

9. The system of claim 1, wherein said authorization computer communicates with an account database and said authorization computer is configured to confirm said predetermined relationship between said account code and said identification code by interrogation of said account database.

10. A method for obtaining an authorization for a commercial transaction comprising:

keying an n character account code and an n character identification code into an input device, wherein said identification code is not an expiration date and wherein said account code and said identification code have a predetermined logical relationship;

communicating, from said input device to an authorization computer, said account code and said identification code; and

,

receiving a confirmation from said authorization computer of said predetermined relationship between said account code and said identification code.

11. The method of claim 10, wherein said keying step includes keying said n character account code and said n character identification code into said input device, wherein said input device is at least one of a keypad, POS terminal, ATM terminal, computer and telephone.

12. The method of claim 10, wherein said keying step includes keying said account code and said identification code which are located on a transaction card, further wherein said account code and said identification code are printed on the same side of said transaction card and said identification code is an unembossed four-digit number located above said account code.

13. The method of claim 10, further comprising transforming, via said authorization computer, said identification code to a second identification code.

14. The method of claim 10, further comprising communicating between said authorization computer and an account database and confirming, via said authorization computer, said predetermined relationship between said account code and said identification code by interrogating said account database.

15. A transaction card for authorizing commercial transactions comprising:

an n character account code in a first field;

an n character identification code in a second field, wherein said identification code is not an expiration date;

wherein said account code and said identification code have a predetermined logical relationship;

said transaction card configured to provide, via an input device, said account code and said identification code to an authorization computer, wherein said authorization computer is configured to confirm said predetermined relationship between said account code and said identification code.

16. The system of claim 15, wherein said transaction card is at least one of a credit card, debit card, bank card, charge card and smart card.

17. The system of claim 15, wherein said account code and said identification code are on the same side of said transaction card and said identification code is an unembossed four-digit number located above said account code.

18. At an authority responsible for authorizing a transaction, a computer-implemented method for handling an authorization request, comprising the following steps:

receiving an n character account code and an n character identification code from an input device, wherein said account code and said identification code have a predetermined logical relationship;

confirming said predetermined relationship between said account code and said identification code; and

,

processing the authorization request.