Customer activated multi-value (CAM) card

• US 7,263,507 B1
• Filed: 05/20/2005
• Issued: 08/28/2007
• Est. Priority Date: 11/17/1998
• Status: Expired due to Term

• Current Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Original Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Inventors: Zimmerman, Jennifer, Brake, Francis B. Jr., Schwartz, Deborah
• Primary Examiner(s): NGUYEN, CUONG H
• Application Number:
  US11/134,638
• Time in Patent Office: 830 Days
• Field of Search: 705/14, 705/35, 705 39- 42, 705/38, 705/33, 705/44, 235380-382
• US Class Current: 705/41
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/108 Remote banking, e.g. home banking
• CPC Class Codes: G06Q 20/341 Active cards, i.e. cards including their own processing means, e.g. including an IC or chip
• CPC Class Codes: G06Q 20/342 Cards defining paid or billed services or quantities
• CPC Class Codes: G06Q 20/355 Personalisation of cards for use
• CPC Class Codes: G06Q 20/357 Cards having a plurality of specified features
• CPC Class Codes: G06Q 20/3572 Multiple accounts on card
• CPC Class Codes: G06Q 20/3574 Multiple applications on card
• CPC Class Codes: G06Q 20/363 with the personal data of a user
• 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 20/4037 Remote solvency checks
• CPC Class Codes: G06Q 30/0207 Discounts or incentives, e.g. coupons or rebates
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• 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 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Abstract

The Customer Activated Multi-Value (CAM) card provides a customer with a primary use as a transaction card which can be further activated to have a secondary use as a credit card. The CAM card can be activated as a transaction card or as a transaction card with a credit card feature. Activation of the CAM card as a transaction card allows the customer to purchase goods and services from one specific vendor and to establish a relationship with that vendor for the goods or services rendered (for example, telephone calling card or gasoline product purchasing card) while enjoying reward benefits based on those purchases. Activation of the credit feature of the card allows the customer to interact with any merchant that accepts traditional credit cards such as VISA®, MASTERCARD®, AMERICAN EXPRESS®, or DISCOVER®. The combination of features allows a customer to purchase various goods and services from several different merchants. If the customer chooses to activate the CAM card as both a transaction card and a credit card, the customer is given the benefit of using the card in both manners described above.

Claims

1. A system for rewarding the loyalty of a cardholder on a dual account transaction card having a magnetic stripe for storing information of a credit account and a non-credit stored value account, comprising:

a multi-value card comprising a dual account transaction card for facilitating credit transactions associated with a credit account and further facilitating non-credit transactions associated with a non-credit stored value account,

wherein the multi-value card comprises a dual account financial transaction card having a machine-readable storage that provides data to facilitate the credit transactions and the non-credit stored value transactions, wherein further the machine-readable storage consists of a magnetic stripe;

wherein the dual account multi-value card is configured to be swiped at one or more point of sale devices to initiate both of credit transactions and stored value transactions using the same dual account transaction card, wherein the cardholder can initiate either a purchase transaction using the credit account or a purchase transaction using the stored value account whereby the cardholder selects between the credit account and the stored value account for the purchase transaction;

a computer-implemented loyalty program for calculating a loyalty value based on the credit transactions of the multi-value card, the loyalty value being used to load the non-credit stored value account of the multi-value card; and

one or more activation units configured to activate the credit account and the non-credit stored value account;

wherein the cardholder application for the dual account transaction card is processed as part of an integrated application process whereby the credit card account and the non-credit stored value account are established in response to a single cardholder application and wherein the credit account and the non-credit stored value account are linked through the loyalty program as of the time the dual account transaction card is issued or activated; and

wherein prior to the activation of either the credit account or the non-credit stored value account, the multi-value card contains or is associated with information related to the credit account and the non-credit account.

2. The system of claim 1, wherein the non-credit transactions comprise stored value transactions based on a stored value account that is funded at least in part by rewards generated through usage of credit account.

3. The system of claim 2, further comprising a rebate file produced by a credit card issuing bank, the rebate file containing a rebate based on the credit transactions, the rebate file being used to aid the calculation of the loyalty value.

4. The system of claim 2, further comprising a stored value transaction file produced by a stored value processor, the stored value transaction file being used to aid the calculation of the loyalty value.

5. The system of claim 2, further comprising merchandise sent to the cardholder of the multi-value card based on the loyalty value.

6. The system of claim 1, wherein the magnetic stripe stores at least the account number for each of the credit account and the non-credit account.

7. A method for rewarding a cardholder of a multi-value card comprising a dual account transaction card having a magnetic stripe for storing information of a credit account and a non-credit stored value account, comprising:

offering to the holder of the multi-value dual account transaction card an activation of a credit feature of the multi-value card;

offering to the holder of the multi-value dual account transaction card an activation of a non-credit stored value feature of the multi-value card;

wherein the dual account multi-value card is configured to be swiped at one or more point of sale devices to initiate both of credit transactions and stored value transactions using the same dual account transaction card, wherein the cardholder can initiate either a purchase transaction using the credit account or a purchase transaction using the stored value account whereby the cardholder selects between the credit account and the stored value account for the purchase transaction;

calculating a loyalty value from credit transactions of the multi-value dual account transaction card by retrieving data from the machine-readable storage consisting of a magnetic stripe, wherein the machine-readable storage provides data to facilitate credit transactions using the credit feature and non-credit stored value transactions using the non-credit stored value feature of the dual account transaction card;

calculating the loyalty value from non-credit stored value transactions of the multi-value card; and

loading a non-credit stored value account of the multi-value card by the calculated loyalty value,

wherein prior to the activation of either the credit feature or the non-credit feature, the multi-value card contains or is associated with information related to the credit feature and the non-credit feature; and

wherein a cardholder application for the dual account transaction card is processed as part of an integrated application process whereby the credit card account and the non-credit stored value account are established in response to a single cardholder application and wherein the credit account and the non-credit stored value account are linked through the loyalty program as of the time the dual account transaction card is issued or activated.

8. The method of claim 7, wherein the non-credit transactions comprise stored value transactions based on a stored value account that is funded at least in part by rewards generated through usage of the credit account.

9. The method of claim 8, further comprising forming a first transaction premium file if the credit transactions include a first credit transaction.

10. The method of claim 8, further comprising accruing a rebate amount for each credit transaction.

11. The method of claim 7, wherein the magnetic stripe stores at least the account number for each of the credit feature and the non-credit feature.

12. A computer-readable medium having instructions stored thereon for performing a method for rewarding a cardholder of a multi-value card comprising a dual account transaction card having a magnetic stripe for storing information of a credit account and a non-credit stored value account,

the multi-value dual account transaction card having a machine-readable storage, wherein the machine-readable storage consists of a magnetic stripe, wherein the magnetic stripe comprises data relating to one or more credit accounts and one or more non-credit accounts including at least one stored value account, the instructions executable to perform the operations of:

offering to the holder of the multi-value dual account transaction card an activation of at least one credit account of the multi-value card;

offering to the holder of the multi-value dual account transaction card an activation of the non-credit stored value account of the multi-value card;

calculating a loyalty value from credit transactions of the multi-value card, wherein the multi-value card provides data relating to a credit account or a non-credit account to facilitate a credit transaction or a non-credit transaction;

calculating the loyalty value from non-credit stored value transactions of the multi-value card; and

loading a non-credit stored value account of the multi-value card by the calculated loyalty value; and

wherein prior to the activation of any credit account or any non-credit account, the multi-value card contains or is associated with information related to the credit accounts and the non-credit accounts;

wherein the dual account multi-value card is configured to be swiped at one or more point of sale devices to initiate both of credit transactions and stored value transactions using the same dual account transaction card, wherein the cardholder can initiate either a purchase transaction using the credit account or a purchase transaction using the stored value account whereby the cardholder selects between the credit account and the stored value account for the purchase transaction; and

wherein a cardholder application for the dual account transaction card is processed as part of an integrated application process whereby the credit card account and the non-credit stored value account are established in response to a single cardholder application and wherein the credit account and the non-credit stored value account are linked through the loyalty program as of the time the dual account transaction card is issued or activated.

13. The computer-readable medium of claim 12, wherein the non-credit transactions comprise stored value transactions based on a stored value account that is funded at least in part by rewards generated through usage of the credit account.

14. The computer-readable medium of claim 13, further comprising accruing a rebate amount for each credit transaction.

15. The computer-readable medium of claim 12, wherein the magnetic stripe stores at least the account number for each of the credit accounts and the non-credit accounts.