Stored-value card value acquisition method and apparatus

• US 6,295,522 B1
• Filed: 07/11/1997
• Issued: 09/25/2001
• Est. Priority Date: 07/11/1997
• Status: Expired due to Term

• Current Assignee: PayPal, Inc. (PayPal Holdings, Inc.), Paypal International Limited (PayPal Holdings, Inc.)
• Original Assignee: Cybercash, Inc. (VeriSign, Inc.)
• Inventors: Boesch, Brian P.
• Primary Examiner(s): Hafiz, Tariq R.
• Assistant Examiner(s): MEINECKE DIAZ, SUSANNA M
• Application Number:
  US08/893,441
• Time in Patent Office: 1,537 Days
• Field of Search: 705/26, 705/41, 705/42, 705/39, 705/43, 705/44, 235/380, 235/379, 902/25, 902/26
• US Class Current: 705/41
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/3437 the counter having non-monetary units, e.g. trips
• CPC Class Codes: G06Q 20/363 with the personal data of a user
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G07F 7/02 by keys or other credit registering devices
• CPC Class Codes: G07F 7/0866 by active credit-cards adapted therefor G07F7/1008 takes precedence

Abstract

A system and method for the use of stored value cards when either a consumer or a merchant does not possess a stored value card. A consumer value acquirer receives funds from the bank account of a given consumer. The consumer value acquirer also has a pool of stored value cards that are not assigned to any specific consumer but which are used on behalf of consumers wishing to purchase goods or services via stored value card transaction. The consumer value acquirer acts as a proxy for the consumer and uses one of the pool of stored value cards on behalf of the consumer in a transaction with a merchant that uses stored value cards. Once funds stored value card funds are transferred to the merchant during a transaction, the consumer account with the consumer value acquirer is debited the amount of the transaction.

Claims

1. A method of making a stored-value card purchase for a consumer when the consumer does not use any stored-value card in the consumer'"'"'s physical possession, the method comprising:

establishing a consumer value acquirer (CVA), remotely from the consumer, for storing consumer account funds;

transferring funds to the CVA;

the CVA holding the funds for the consumer in a consumer account;

establishing a plurality of stored value cards as a CVA card pool in physical possession of the CVA for interacting with one or more merchants which each have physical possession of a stored-value card;

the consumer placing an order through the CVA via a first network link;

the CVA transmitting the consumer order to a merchant via a second network link;

the merchant responding via the second network link to the consumer order by making a request for stored-value card funds of the consumer;

the CVA transferring stored-value card funds via the second network link to the merchant in response to the merchant request for stored-value card funds; and

debiting the consumer account in the amount of funds requested by the merchant.

10. The method of making a stored-value card purchase of claim 1, wherein the transferring funds are transferred from the consumer'"'"'s bank account.

2. A system for facilitating stored-value card purchases by a consumer, when the consumer does not use any stored-value card in the consumer'"'"'s physical possession, the system comprising:

a consumer terminal for transmitting a request from the consumer;

a consumer value acquirer (CVA) processor, physically remote from the consumer terminal, for communicating the request from the consumer to a merchant, the consumer terminal being connected with the CVA processor via a first network link;

the CVA processor having a consumer account database connected to the CVA processor;

a pool of stored value cards physically connected to the CVA processor;

the CVA processor embodying a communications protocol for transferring funds between stored-value cards;

a merchant processor having at least one stored-value card for accepting stored-value cards funds corresponding to orders by the consumer, the merchant processor being connected to the CVA processor via a second network link, the merchant processor sending a request for stored value funds to the CVA processor in response to receipt of the request from the consumer, wherein stored-value card funds corresponding to the request from the consumer are transferred from the pool of stored-value cards connected to the CVA processor to the at least one stored-value card of the merchant processor using the communications protocol for transferring funds between stored-value cards.

3. The system for facilitating stored-value card purchases of claim 2, further comprising a bank connected to the CVA processor via a network, wherein value is transferred from the bank to a consumer account in the consumer account database.

4. A system for facilitating stored-value card purchases by a consumer, the consumer not using any stored-value card in the consumer'"'"'s physical possession, the system comprising:

a consumer terminal for transmitting a request from the consumer;

a consumer value acquirer (CVA) processor, physically remote from the consumer terminal for communicating the request from the consumer to a merchant, the consumer terminal being connected with the CVA processor via a first network link;

the CVA processor having a consumer account database connected to the CVA processor;

a pool of stored value cards physically connected to the CVA processor;

the CVA processor embodying a communications protocol for transferring funds between stored-value cards;

a merchant processor having at least one stored-value card for accepting stored-value cards funds corresponding to orders by the consumer, the merchant processor being connected to the consumer terminal via a second network link, the merchant processor sending a request for stored value funds to the CVA processor through the consumer terminal in response to receipt of the request from the consumer,

wherein stored-value card funds are transferred from the CVA processor to the at least one stored-value card of the merchant processor through the consumer terminal using the communications protocol for transferring funds between stored-value cards.

5. The system for facilitating stored-value card purchases of claim 4, further comprising a bank connected to the CVA processor via a network, wherein value is transferred from the bank to a consumer account in the consumer account database.

6. A system for facilitating stored-value card purchases by a consumer from a merchant, without the consumer using a stored-value card in the consumer'"'"'s physical possession, nor the merchant using a stored-value card in the merchant'"'"'s physical possession, the system comprising:

a consumer terminal for transmitting a request from the consumer;

a consumer value acquirer (CVA) processor, physically remote from the consumer terminal, for communicating the request from the consumer to the merchant, the consumer terminal being connected with the CVA processor via a first network link;

the CVA processor having a consumer account database connected to the CVA processor;

a pool of stored-value cards physically connected to the CVA processor;

the CVA processor embodying a communications protocol for transferring funds between stored-value cards;

a merchant processor for accepting the order by the consumer; and

a merchant value acquirer (MVA) processor for receiving and responding to the request by the consumer, the CVA processor being connected with the MVA processor via a second network link;

wherein the MVA processor is connected with the merchant processor via a third network link, whereby stored-value card funds are transferred from the CVA processor to the MVA processor, using the communications protocol for transferring funds between stored-value cards to transfer funds from a stored-value card in the pool of stored-value cards to a stored-value card connected to the MVA processor, in response to the request by the consumer.

7. The system for facilitating stored-value card purchases of claim 6, further comprising a bank connected to the CVA processor via a network, wherein value is transferred from the bank to a consumer account in the consumer account database.

8. A system for facilitating stored-value card purchases by a consumer from a merchant, without the consumer using a stored-value card in the consumer'"'"'s physical possession, nor the merchant using a stored-value card in the merchant'"'"'s physical possession, the system comprising:

a consumer terminal for transmitting a request from the consumer;

a consumer value acquirer (CVA) processor, physically remote from the consumer terminal, for communicating the request from the consumer to the merchant, the consumer terminal being connected with the CVA processor via a first network link;

the CVA processor having a consumer account database connected to the CVA processor;

a pool of stored-value cards physically connected to the CVA processor;

the CVA processor embodying a communications protocol for transferring funds between stored-value cards;

a merchant processor for accepting the order by the consumer; and

a merchant value acquirer (MVA) processor for receiving and responding to the request by the consumer, the consumer terminal being connected with the merchant processor via a second network link;

wherein the merchant processor is connected with the MVA processor via a third network link, whereby stored-value card funds are transferred from the CVA processor to the MVA processor, using the communications protocol for transferring funds between stored-value cards to transfer funds from a stored-value card in the pool of stored-value cards to a stored-value card connected to the MVA processor, in response to the request by the consumer.

9. The system for facilitating stored-value card purchases of claim 8, further comprising a bank connected to the CVA processor via a network, wherein value is transferred from the bank to a consumer account in the consumer account database.

11. A method of making a stored-value card purchase for a consumer when the consumer does not use any stored-value card in the consumer'"'"'s physical possession, the method comprising:

establishing a consumer value acquirer (CVA), remotely from the consumer, for storing consumer account funds;

transferring funds to the CVA;

the CVA holding the funds for the consumer in a consumer account;

establishing a plurality of stored-value cards as a CVA card pool in physical possession of the CVA for interacting with one or more merchants which each have physical possession of a stored-value card;

the consumer establishing a first network link with the CVA corresponding to an order;

the consumer transmitting the order to a merchant via a second network link;

the merchant responding to the consumer order by making a request for stored-value card funds of the consumer from the CVA via the first and second network links;

the CVA transferring, via the first and second network links, stored-value card funds to the merchant through the consumer in response to the merchant request for stored-value card funds; and

debiting the consumer'"'"'s account in the amount of funds requested by the merchant.

12. The method of making a stored-value card purchase of claim 11, wherein the transferring funds are transferred from the consumer'"'"'s bank account.

13. A method of making a stored-value card purchase for a consumer when the consumer does not use any stored-value card in the consumer'"'"'s physical possession, nor does the merchant use any stored-value card in the merchant'"'"'s physical possession, the method comprising:

establishing a consumer value acquirer (CVA), remotely from the consumer, for storing consumer account funds;

transferring funds to the CVA;

the CVA holding the funds for the consumer in a consumer account;

establishinga plurality of stored value cards as a CVA card pool in physical possession of the CVA for interacting with one or more merchants;

establishing a merchant value acquire (MVA) for storing merchant account funds;

the consumer placing an order through the CVA via a first network link;

the CVA transmitting the order to the MVA via a second network link;

the merchant receiving the order from the MVA via a third network link;

the merchant responding to the order by making a request for stored-value card funds of the consumer from the CVA through the MVA;

the CVA transferring requested stored-value card funds to the MVA, via the second network link, in response to the merchant request for storedvalue card funds; and

debiting the consumer account in the amount of funds requested by the merchant.

14. The method of making a stored-value card purchase of claim 13, wherein the transferring funds are transferred from the consumer'"'"'s bank account.

15. A method of making a stored-value card purchase for a consumer when the consumer does not use any stored-value card in the consumer'"'"'s physical possession, nor does the merchant use any stored-value card in the merchant'"'"'s physical possession, the method comprising:

establishing a consumer value acquirer (CVA), remotely from the consumer, for storing consumer account funds;

transferring funds to the CVA;

the CVA holding the funds for the consumer in a consumer account;

establishing a plurality of stored value cards as a CVA card pool in physical possession of the CVA for interacting with one or more merchants;

establishing a merchant value acquirer (MVA) for storing merchant account funds;

the consumer placing an order to a merchant via a first network link;

the merchant responding to the order by making a request for stored-value card funds of the consumer from the CVA through the consumer;

the CVA transferring requested stored-value card funds to the consumer, via a second network link, in response to the merchant request for stored-value card funds;

the consumer transferring the requested stored-value card funds to the merchant via the first network link;

the merchant transferring the requested stored-value card funds to the MVA via a third network link; and

debiting the consumer account in the amount of funds requested by the merchant.

16. The method of making a stored-value card purchase of claim 15, wherein the transferring funds are transferred from the consumer'"'"'s bank account.