Electronic balance checking and credit approval system for use in conducting electronic transactions

• US 8,050,991 B2
• Filed: 04/05/2006
• Issued: 11/01/2011
• Est. Priority Date: 04/05/2005
• Status: Active Grant

• Current Assignee: DXStorm.com, Inc.
• Original Assignee: DXStorm.com, Inc.
• Inventors: Popovic, Zoran, Oprea, E. Marcel, Smashnuk, Steven
• Primary Examiner(s): MILEF, ELDA G
• Application Number:
  US11/397,613
• Publication Number:
  US 20060229978A1
• Time in Patent Office: 2,036 Days
• Field of Search: 705/35, 705/44, 705 38- 39
• US Class Current: 705/35
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/40 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 30/00 Commerce
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

An electronic balance checking and credit approval system includes consumer transaction accounts, tokens, input devices, authentication hardware and software code capable of execution by the hardware, and output devices. The consumer transaction account is held in trust on behalf of a consumer by a credit extending company. The token is specific to and held by the consumer, and includes a consumer account identifier that is associated with the consumer transaction account. The input device receives the consumer account identifier concurrent with a consumer-initiated request for account balance information. The authentication hardware and software code verifies the consumer-initiated request and the consumer account identifier and authorizes access to the consumer transaction account. The consumer interface apparatus provides the consumer with a real-time account balance datum that is currently associated with the consumer transaction account. The system also includes a system and method for securely and quickly approving credit card transactions by comparing generated checksums with stored historical transaction results.

Claims

1. A balance checking transaction system for use by a consumer, a transaction processing entity, a vendor, and one or more trust account chartered banks in conducting an electronic transaction over a communication network, said system comprising:

a) a first consumer account held by the transaction processing entity on behalf of the consumer;

b) a consumer specific token, held by the consumer, comprising a token data set that identifies said first consumer account;

c) an input device that receives said token data set from the consumer specific token and transmits said token data set along with an input device datum over the communication network;

d) authentication hardware and software code capable of execution by the hardware, situated substantially remotely of said input device, that receives said token data set over the communication network and verities said token data set and said input device datum against at least one database containing a plurality of archived data sets and input device data, so as to retrieve an account balance datum that is currently associated with said first consumer account, with said authentication hardware and software code thereafter transmitting said account balance datum over the communication network on a substantially instantaneous basis; and

e) an output device, situated substantially locally to said input device, that receives said account balance datum over the communication network and provides said account balance datum to the consumer on said substantially instantaneous basis;

f) a point-of-sale subsystem, operated by the vendor, that electronically interfaces with said authentication hardware and software code over the communication network, so as to enable the electronic transaction to be conducted substantially concurrent with provision of said account balance datum to the consumer as aforesaid;

g) a transaction account held by a first one of the banks on behalf of the transaction processing entity, with said first one of the banks, responsive to a decrement request of the transaction processing entity, transferring an amount of funds from said transaction account to the vendor in respect of the electronic transaction;

h) a checksum database having a plurality of archived checksum values stored therein, with each respective one of said archived checksum values having at least one related archived payment history value that is likewise stored in said checksum database; and

i) a transaction authentication subsystem for electronically generating, and sending to said point-of-sale subsystem, a preliminary approval signal on a substantially instantaneous basis that does not require communication with a credit extending entity at the time of generating said preliminary approval signal when said account checksum value matches a corresponding one of said archived checksum values, provided that its said related archived payment history value complies with one or more predetermined approval criteria;

wherein, when said preliminary approval signal is received by said point-of-sale subsystem, said point-of-sale subsystem provides preliminary approval of the electronic transaction on a substantially instantaneous basis and substantially before receiving a final result signal.

2. A system according to claim 1, wherein said input device enables the consumer to selectively conduct a balance query, such that said output device provides said account balance datum before enabling the electronic transaction to be conducted.

3. A system according to claim 1, wherein said input device enables the consumer to selectively conduct a purchase query, such that the electronic transaction is conducted immediately prior to provision of said account balance datum to the consumer, with said authentication hardware and software code debiting a purchase amount to said first consumer account substantially immediately after the electronic transaction, such that said account balance provided by said output device to the consumer indicates said purchase amount having been debited from said first consumer account.

4. A system according to claim 1, wherein said input device enables the consumer to selectively send a recharge request to the authentication hardware and software code in order to recharge said first consumer account, with said recharge request including a recharge amount which is credited by said authentication hardware and software code to said first consumer account;

and

wherein said system further comprises a second consumer account held by one of said first one of the banks and a second one of the banks on behalf of the consumer, with one of said first one of the banks and said second one of the banks, responsive to an increment request of the transaction processing entity, transferring an amount of funds from said second consumer account to said transaction account in respect of the recharge request.

5. A system according to claim 1, wherein said input device substantially encrypts said token data set along with said input device datum, as an encrypted block which is then transmitted over the communication network;

and

wherein said authentication hardware and software code decrypts said encrypted block into said token data and said input device datum, before verifying said token data set and said input device datum against said at least one database as aforesaid.

6. A system according to claim 1, wherein said input device and said output device are together provided within a single terminal.

7. A system according to claim 6, wherein said terminal is situated substantially adjacent to said point-of-sale subsystem, such as to enable the terminal to receive the token data set from the consumer specific token, held by the consumer, substantially adjacent to the point-of-sale subsystem.

8. A system according to claim 1, wherein said input device and said output device are situated substantially remotely of said point-of-sale subsystem.

9. A system according to claim 1, further comprising a plurality of supplemental input devices and supplemental output devices, with each respective one of said supplemental input devices having a supplemental input device datum, with each said supplemental input device datum being substantially unique to each said respective one of said supplemental input devices, so as to enable said account balance datum to be directed to a corresponding one of said supplemental output devices which is situated substantially locally to said respective one of said supplemental input devices.

10. A system according to claim 1, wherein said output device comprises a display screen that displays said account balance datum within view of the consumer.

11. A system according to claim 1, wherein said consumer specific token is a plastic card including a readable magnetic strip.

12. A system according to claim 1, wherein said consumer specific token generates a radio frequency identification signal.

13. A system according to claim 1, wherein said token data set comprises at least one datum selected from the group consisting of numeric, alphabetic, photographic and pictographic data.

14. A system according to claim 1, wherein said token data set comprises at least one datum selected from the group consisting of personal data specific to the consumer, and data specific to at least one of said first consumer account, said transaction processing entity, said second consumer account, said bank, and said consumer specific token.

15. A system according to claim 14, wherein said personal data specific to the consumer comprises at least one personal datum selected from the group consisting of name data, home address data, birthdate data, and biometric data.

16. A system according to claim 14, wherein said at least one datum is additionally selected from the group consisting of account password data, token expiry date data, and token type data sufficient to identify the general type of said consumer specific token.