Cardless payment system

• US 6,227,447 B1
• Filed: 05/10/1999
• Issued: 05/08/2001
• Est. Priority Date: 05/10/1999
• Status: Expired due to Term

• Current Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Original Assignee: First USA Bank N.A. (JP Morgan Chase & Co)
• Inventors: Campisano, Kurt M.
• Primary Examiner(s): Pitts, Harold I.
• Application Number:
  US09/307,597
• Time in Patent Office: 729 Days
• Field of Search: 235/380, 235/382, 235/382.5
• US Class Current: 235/380
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/305 using wired telephone networks
• CPC Class Codes: G06Q 20/385 using an alias or single-use codes

Abstract

A Credit Card holder'"'"'s telephone number is assigned to his or her credit card as an alias. The cardholder is then required to choose a PIN for security purposes. The telephone number is linked to the cardholder'"'"'s credit card number via a database. When the cardmember enters into a transaction with a merchant, the card need not be present. The cardmember simply provides his or her telephone number and then the PIN. This can be done at any point of sale such as a store, catalog telephone order, or over the internet. The telephone number and PIN are entered and authorization is returned from the credit card company.

Claims

1. A method for completing a credit card transaction in which a user is not required to know a credit card number and is not required to have a credit card physically present during the credit card transaction, the method comprising the steps of:

assigning an alias to a pre-existing credit card number, the credit card number also having an associated PIN;

linking the alias with the credit card number and the PIN in a database;

providing a credit card owner with the alias;

receiving the alias and the PIN upon initiation of a transaction without receipt of the credit card number;

retrieving the credit card number from the database based on the alias;

authenticating the transaction by retrieving the PIN in the database and comparing the retrieved PIN with the received PIN; and

performing the transaction if authentication is successful.

2. The method of claim 1, wherein said alias is a telephone number.

3. The method of claim 1, wherein performing the transaction comprises informing a merchant of the authentication and charging the credit card.

4. The method of claim 1, wherein assigning an alias comprises assigning a home telephone number of a card holder.

5. The method of claim 1, wherein the step of receiving the alias comprises receiving the alias through the use of a device connected to the database.

6. The method of claim 1, wherein the step of retrieving the credit card number comprises retrieving the credit card number from a database maintained by the credit card company.

7. The method of claim 1, wherein the step of retrieving the credit card number comprises retrieving the credit card number from a database maintained by the telephone company.

8. The method of claim 1, wherein receiving the alias and PIN comprises receiving the alias and PIN through the use of a key pad.

9. The method of claim 1, wherein receiving the alias and PIN comprises receiving the alias and PIN through the use of a telephone.

10. A method for completing a credit card transaction in which a cardholder is not required to know a credit card number and is not required to have a credit card physically present during the credit card transaction, the method comprising the steps of:

linking an alias, which includes telephone number of the cardholder with a credit card number and a PIN in a database;

initiating a transaction when the cardholder attempts to make a purchase and enters the telephone number;

searching the database for a PIN and a credit card number linked to the telephone number;

prompting the cardholder for entry of a PIN;

authenticating the transaction if the PIN entered by the cardholder matches the PIN found through the database search; and

performing the transaction by charging the credit card number found during the database search if the transaction is authenticated.