WO2004107285A1 - Systeme et procede de transmission de portail sms pour carte de credit - Google Patents

Systeme et procede de transmission de portail sms pour carte de credit Download PDF

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Publication number
WO2004107285A1
WO2004107285A1 PCT/US2003/014685 US0314685W WO2004107285A1 WO 2004107285 A1 WO2004107285 A1 WO 2004107285A1 US 0314685 W US0314685 W US 0314685W WO 2004107285 A1 WO2004107285 A1 WO 2004107285A1
Authority
WO
WIPO (PCT)
Prior art keywords
merchant
point
pos terminal
authentication gateway
sale
Prior art date
Legal status (The legal status is an assumption and is not a legal conclusion. Google has not performed a legal analysis and makes no representation as to the accuracy of the status listed.)
Ceased
Application number
PCT/US2003/014685
Other languages
English (en)
Inventor
Ivan Pereira Silva
Alaro Pereira De Moraes Filho
Current Assignee (The listed assignees may be inaccurate. Google has not performed a legal analysis and makes no representation or warranty as to the accuracy of the list.)
BRIZA TECHNOLOGIES Inc
Original Assignee
BRIZA TECHNOLOGIES Inc
Priority date (The priority date is an assumption and is not a legal conclusion. Google has not performed a legal analysis and makes no representation as to the accuracy of the date listed.)
Filing date
Publication date
Application filed by BRIZA TECHNOLOGIES Inc filed Critical BRIZA TECHNOLOGIES Inc
Priority to MXPA05012304A priority Critical patent/MXPA05012304A/es
Priority to BRPI0318304-1A priority patent/BR0318304A/pt
Priority to AU2003304167A priority patent/AU2003304167A1/en
Priority to CA002525666A priority patent/CA2525666A1/fr
Priority to EP03817098A priority patent/EP1627364A1/fr
Priority to PCT/US2003/014685 priority patent/WO2004107285A1/fr
Publication of WO2004107285A1 publication Critical patent/WO2004107285A1/fr
Anticipated expiration legal-status Critical
Ceased legal-status Critical Current

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Classifications

    • G—PHYSICS
    • G06—COMPUTING OR CALCULATING; COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q20/00—Payment architectures, schemes or protocols
    • G06Q20/08—Payment architectures
    • G06Q20/20—Point-of-sale [POS] network systems
    • G—PHYSICS
    • G06—COMPUTING OR CALCULATING; COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q20/00—Payment architectures, schemes or protocols
    • G06Q20/04—Payment circuits
    • G—PHYSICS
    • G06—COMPUTING OR CALCULATING; COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q20/00—Payment architectures, schemes or protocols
    • G06Q20/30—Payment architectures, schemes or protocols characterised by the use of specific devices or networks
    • G06Q20/34—Payment architectures, schemes or protocols characterised by the use of specific devices or networks using cards, e.g. integrated circuit [IC] cards or magnetic cards
    • G06Q20/341—Active cards, i.e. cards including their own processing means, e.g. including an IC or chip
    • G—PHYSICS
    • G06—COMPUTING OR CALCULATING; COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q20/00—Payment architectures, schemes or protocols
    • G06Q20/38—Payment protocols; Details thereof
    • G06Q20/40—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
    • G06Q20/403—Solvency checks
    • G06Q20/4037—Remote solvency checks
    • G—PHYSICS
    • G07—CHECKING-DEVICES
    • G07F—COIN-FREED OR LIKE APPARATUS
    • G07F7/00—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus
    • G07F7/08—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus by coded identity card or credit card or other personal identification means
    • G—PHYSICS
    • G07—CHECKING-DEVICES
    • G07F—COIN-FREED OR LIKE APPARATUS
    • G07F7/00—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus
    • G07F7/08—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus by coded identity card or credit card or other personal identification means
    • G07F7/0873—Details of the card reader
    • G07F7/088—Details of the card reader the card reader being part of the point of sale [POS] terminal or electronic cash register [ECR] itself
    • G07F7/0886—Details of the card reader the card reader being part of the point of sale [POS] terminal or electronic cash register [ECR] itself the card reader being portable for interacting with a POS or ECR in realizing a payment transaction
    • G—PHYSICS
    • G07—CHECKING-DEVICES
    • G07F—COIN-FREED OR LIKE APPARATUS
    • G07F7/00—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus
    • G07F7/08—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus by coded identity card or credit card or other personal identification means
    • G07F7/10—Mechanisms actuated by objects other than coins to free or to actuate vending, hiring, coin or paper currency dispensing or refunding apparatus by coded identity card or credit card or other personal identification means together with a coded signal, e.g. in the form of personal identification information, like personal identification number [PIN] or biometric data
    • G07F7/1008—Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Definitions

  • the present invention relates to credit card transactions. More particularly, the invention relates to a system and method for providing a secure point-of-sale payment system that is highly mobile.
  • GSM 03.4 Global System for Mobile Communications Cellular Standard
  • ETSI European Telephone Standards Institute
  • IS-41 Interim Standard 41
  • EIA Electronics Industry Association
  • TIA Telecommunication Industry Association
  • CTIA Cellular Telecommunications Industry Association
  • TCAP Transaction Capability Application Part
  • GSM Global System for Mobile communications
  • IS-41 IS-41
  • IS-54 IS-54
  • These cellular standards generally define the transfer of user specified "short" text messages between wireless terminals (cellular telephones) equipped for this purpose.
  • the Short Messaging service can typically be used for such applications as exchanging "short" text messages between terminal equipment.
  • a "short" text message interchange between a mobile terminal and a typical cell transmitter/receiver is conducted on a signaling channel, over the air interface, as specified, for example, by GSM, IS-41 , IS-54 and other standards.
  • These signaling related messages are specified to be transmitted on a frequency band generally separate from the band used for voice transmission. Therefore, signaling related messages typically do not occupy the same frequencies allocated for voice transmission, unless additional message carrying capacity is required.
  • the transaction capability of signaling messages allows messages of about 140 characters to be exchanged between wireless terminals. Generally, at low to moderate traffic levels, the 140 character messages can be sent without using the
  • SMS Short Message Service Center
  • the signaling messages are generally exchanged via a SMSC and a (cellular) mobile terminal automatically upon occurrence of a specific event, such as the presence or entry of a cellular terminal within a cell. This exchange is completed without establishing a full time, two way interconnection,
  • SMS Short Messages
  • the CCITT (ITU), GSM, IS 41 , IS 54 and other specifications descriptive of a typical SMSC define generally only the methods and procedures 0 required by the telephone network to transfer a Short Message (SM) between terminals and do not discuss any functions beyond those required for telephone operation.
  • SM Short Message
  • a cellular mobile telecommunication switching system is discussed in U.S. Pat. No. 5,396,543.
  • a use of Short Messages has been described in general in U.S. Pat. No. 5,351 ,235.
  • An adapter for use with Short Messages is described in
  • Mobile solutions have not been cost effective since they involve spectrum utilization, which can be very costly. Additionally, present mobile solutions depend on the deployment of a wireless network for operations, adding further cost to the mobile solution.
  • one aspect of the invention relates to a point-of- sale payment system, which includes a point-of-sale (POS) terminal, a wireless
  • a second aspect of the invention relates to an apparatus for facilitating a point of sale (POS) payment transaction, which includes a storage device, a processor connected to the storage device, and a program for controlling the processor, said program stored on the storage device, wherein the processor is operative with the program to receive a remote payment request from a merchant,
  • POS point of sale
  • said processor identifies the merchant, creates instructions for facilitating the payment request and transmits the instructions to a web page for performing the payment request.
  • a third aspect of the invention relates to a method for using a computer to facilitate a point-of-sale payment between a buyer and a merchant, including the
  • a fourth aspect of the invention relates to a point-of-sale payment method, which includes the steps of communicating financial information from a point-of-sale (POS) terminal to an authentication gateway, wherein the communications are secure and conducted through a wireless network, constructing instructions for an e- commerce gateway to perform an electronic fund transfer, wherein the instructions are constructed by the authentication gateway, and transmitting the instructions to the e-commerce gateway, wherein the e-commerce gateway executes the instructions and reports a result to the authentication gateway, and the authentication gateway reports the result to the POS terminal.
  • POS point-of-sale
  • FIG. 1 is a simplified block diagram of a point-of-sale system in accordance with an embodiment of the present invention.
  • Fig. 2 is a block diagram of a point-of-sale terminal in accordance with an embodiment of the present invention.
  • Fig. 3 is a block diagram of an authentication gateway in accordance with an embodiment of the present invention.
  • Fig. 4 is a simplified block diagram illustrating the elements of a merchant database in accordance with an embodiment of the present invention.
  • Fig. 5 is a flowchart detailing a credit card transaction in accordance with an embodiment of the present invention.
  • Fig. 6 is a simplified block diagram of a point-of-sale system in accordance with another embodiment of the present invention.
  • Fig. 7 is a simplified block diagram illustrating the elements of a merchant database in accordance with another embodiment of the present invention.
  • Fig. 8 is a flowchart detailing a credit card transaction in accordance with another embodiment of the present invention.
  • Fig. 9A is a flowchart detailing the operation of an authentication gateway in accordance with an embodiment of the present invention.
  • Fig. 9B is a continuation of the flow chart of Fig. 9A in accordance with an embodiment of the present invention.
  • Fig. 9C is a continuation of the flow chart of Fig. 9A in accordance with another embodiment of the present invention.
  • POS point-of-sale
  • a point-of-sale (POS) payment system 10 in accordance with an embodiment of the present invention is illustrated.
  • the embodiment illustrated in Fig. 1 relates to POS payment transactions wherein the merchant deals with goods that are located at the sale site and/or at a remote location.
  • a kiosk for a cellular phone vendor may have numerous phones displayed iO at the kiosk.
  • the cellular phone vendor may have numerous models which are not located at the kiosk but may be selected from a catalog and shipped to the buyer.
  • a customer browsing through the available items at the kiosk may select an item on display, or he may select an item listed in a catalog which may or may not be located at the kiosk. Regardless of the location of the item, the merchant
  • the POS payment system 10 allows a merchant to accept payment via electronic transactions, e.g., a credit card 12, without incurring substantial up-front costs that are associated with implementing such systems. Moreover, the POS payment system 10 facilitates electronic transactions in remote locations.
  • the POS payment system 10 allows a merchant to accept payment via electronic transactions, e.g., a credit card 12, without incurring substantial up-front costs that are associated with implementing such systems. Moreover, the POS payment system 10 facilitates electronic transactions in remote locations.
  • 5 payment system 10 accomplishes these features by utilizing a POS terminal 14 to access existing wireless networks 16 and the Internet 17 to communicate to an authentication gateway 18, which coordinates the transaction, as will be described in more detail below.
  • Such readers include, for example, electronic readers and bar code readers.
  • a transaction amount is entered into the POS terminal 14 through a user interface, such as a keypad, for example.
  • the POS terminal 14 accesses the wireless network 16, e.g., an
  • the POS terminal 14 accesses the internet 17 by using the wireless network 16 to connect to a network gateway (not shown), which is coupled to a wired network, e.g., the internet 17.
  • SMS Short Message Service
  • SMS is provided by a Short Message Service Center (SMSC), which is associated with the wireless network 16. SMS messages have a pre-determined size, e.g., 140 bytes, although processes exist that allow messages greater than the maximum size to be sent over
  • An SMS communications system can be thought of as a client-server type of system where a client device makes a request, and upon reception, a server device acknowledges whether or not the request was received in tact.
  • the acknowledgments represent a success report if the request was successfully received or an error report if the request was not
  • the SMSC when a mobile device sends a message to an SMSC, the SMSC returns a report to the mobile device to either confirm receipt of the message or to notify of error in the delivery of the message. If the message is received successfully, the SMSC stores and forwards the message to an entity capable of receiving SMS messages. This forwarded message contains the address of the originating entity. In a similar fashion, when the SMSC delivers a message to a mobile device, the mobile device returns a report to the SMSC to either confirm receipt of the message or to notify of error in the delivery of the message.
  • the initial communications between the POS terminal 14 and the authentication gateway 18 sets up a secure link between the POS terminal 14 and the authentication gateway 18.
  • the POS terminal 14 proceeds to transmit the order information, including the financial information, to the authentication gateway 18.
  • the authentication gateway 18 receives the information, processes the information, and, through the Internet 17, submits instructions to the e-commerce gateway 20.
  • the e-commerce gateway 20 executes the instructions and directs the credit card company to transfer funds from the credit card company's account 22 to the merchant's bank account 24.
  • the e-commerce gateway 20 places an order for the item purchased in the merchants order entry system (not shown).
  • the merchant may have an order management system that tracks the merchant's inventory. By automatically entering order information into the order management system, the merchant quickly and accurately can retrieve inventory information.
  • the order management system also may track order shipments, customer information, customer preferences, etc.
  • an email message detailing the result of the transaction is sent from the e-commerce gateway 20 to the authentication gateway 18, which forwards the message to the POS terminal 14.
  • the authentication gateway 18 transmits the message to the POS terminal 14 using the narrow band channel, and implements SMS, for example.
  • the POS terminal displays the result and, if the transaction was successful, prints a receipt. If the transaction was not successful, a message is displayed on the POS terminal 14 and/or the message is printed.
  • the components of the POS payment system 10 utilize existing networks and/or gateways. More specifically, the POS payment system 10 utilizes existing digital cellular networks, Internet connectivity, and e-commerce gateways in conjunction with the POS terminal 14 and the authentication gateway 18 to provide a simple and cost-effective means of providing a POS payment system.
  • the Internet 17 is well known by those having ordinary skill in the art and will not be discussed in detail herein. Briefly, the Internet is a global collection of networks connecting and sharing information through a common set of protocols. It allows computers attached to networks to communicate effectively regardless of make, architecture, operating system or location.
  • An e-commerce gateway 20 includes the infrastructure for facilitating commercial activity conducted over networks linking electronic devices
  • E-commerce itself is well known by those skilled in the art. Currently, e-commerce is conducted over the Internet using personal computers connected through an Internet service provider to the Internet, where a wide variety of different commerce opportunities are made available. Using suitable browser software, the user communicates with an e-commerce server or host computer via a 0 web page to obtain information about products and services or to engage in a commercial transaction.
  • the web page includes tools for purchasing goods and services online, such as a shopping cart, which allows a customer to pick the items he wishes to purchase, and an electronic payment means to facilitate remote payment of purchased goods and services.
  • a shopping cart is a piece of software that acts as an online store's catalog and ordering process.
  • a shopping cart is the interface between a company's web site and its deeper infrastructure, allowing customers to select merchandise; review what they have selected; make necessary modifications or additions; and purchase the merchandise.
  • EFT electronic fund transfer
  • the payment means such as a credit card or bank debit card
  • PIN Personal Identification Number
  • Data is encrypted to provide a secure link and to prevent unauthorized use of the
  • EFTs are a convenient and secure method for remote payment of goods and services.
  • the infrastructure for implementing EFTs is available and in wide use.
  • an e-commerce gateway 20 is defined to include the above described infrastructure for conducting commercial activity over networks
  • the e-commerce gateway 20 includes a merchant web page, wherein online commercial transactions may be executed.
  • the POS terminal 14 includes a CPU 50 and RAM 52, which are used to execute
  • a user interface 56 provides visual information to a user, e.g., a liquid crystal display (LCD), as well as a means to enter information into the POS terminal 14, e.g., a keypad.
  • the POS terminal 14 also includes a card interface 58 for reading credit card information into the system.
  • the card interface 58 may be a magnetic reader, a bar code reader, a chip card reader (e.g., for reading a smart card), or any other means used for reading information from a card.
  • a printer 60 provides hard copies, such as receipts, to the customer and merchant upon completion of the transaction. In one embodiment, the printer is a thermal printer.
  • a communications interface 62 supplies a link between the POS terminal 14 and the wireless network 16.
  • Examples of a communication interface include an infrared interface, an IEEE 802.11 interface, a Bluetooth interface, and a serial link via a cable.
  • the communication interface 62 may be a cell phone, e.g., a cellular transmitter and receiver, built into the POS terminal 14.
  • the POS terminal 14 also includes a hardware key 64, which has an electronic serial number for identification purposes.
  • the POS terminal 14 is battery-powered via an onboard battery. In another embodiment, the POS terminal 14 is powered externally.
  • the authentication gateway 18 includes a CPU 80 and RAM 82 for executing code stored in ROM 84. Furthermore, code executed by the CPU 80 also may be stored on a storage medium 86, such as a hard drive, for example. In addition to storing code for execution by the CPU 80, the storage medium 86 also contains a merchant database 88. The merchant database 88 provides merchant specific information relating to order processing and billing. The CPU 80 accesses the merchant database 88 and retrieves information relating to the specific merchant. The merchant database 88 will be discussed in more detail below.
  • a network interface card (NIC) 90 provides an interface to the Internet 17, which in turn provides a link to the wireless network 16 and to the e-commerce gateway 20. In one embodiment, the NIC 90 implements a TCP/IP protocol.
  • a user interface 92 such as a keyboard and/or display, provides access to the authentication gateway 18 for setup and maintenance purposes.
  • the merchant database 88 includes entries relating to the identity of the merchant requesting the credit card transaction, and entries relating to order entry and payment to the merchant, e.g., a code format for the shopping cart checkout procedure within the merchant's web page (discussed below).
  • the POS terminal 14 has a hardware key 64 that includes an electronic serial number 100.
  • the electronic serial number 100 is part of the message that is transmitted from the POS terminal 14 to the authentication gateway 18.
  • the electronic serial number 100 is associated with various merchant specific entries. These entries include, for example, the merchant's name 102, the merchant's PIN 104, the merchant's web address 106, and the Hyper Text Markup Language (HTML) code format 108 for constructing HTML code for the shopping cart checkout procedure within the merchant's web page.
  • HTML Hyper Text Markup Language
  • SMS short message service
  • Short message service is well known by those having ordinary skill in the art and will not be discussed in detail herein. Briefly, short message service enables a user to send messages to, and receive messages from, other users of a communications network. The SMS attempts to deliver a message to a mobile terminal whenever the terminal is registered to the network, even when the terminal is engaged in a voice or data call. The terminal also may roam throughout the network and still be capable of sending and receiving messages.
  • a terminal configured for SMS provides methods for the user to receive, read, write/edit, clear, send, and save messages.
  • the service makes use of a short message service center (SMSC), which acts as a store and forward system for short messages.
  • SMS operates in the narrow band range, e.g., 64 kHz and below.
  • An advantage of using SMS is that mobility is independent of spectrum utilization, thus making SMS cost effective.
  • use of existing cellular infrastructure eliminates the need for deployment of a wireless network.
  • the point-of-sale terminal 14 operates as if it were a public a virtual computer terminal programmed to access an online web page. Moreover, the point-of-sale terminal 14 also operates like a regular mobile phone and its electronic serial number is used to identify its user at the authentication gateway 18.
  • the authentication gateway 18, basically is a computer with a software database that is capable of identifying the originator of the SMS message. In particular, the authentication gateway 18 identifies the merchant, accesses the merchant's web page, creates code to automatically fill out a payment form on the web page for a specific item or service offered for sale by the merchant, and sends the information to the web page for payment processing as if the end-user were paying for the product or service via the Internet.
  • a flow chart 200 is illustrated detailing the operation of the POS payment system 10.
  • the merchant swipes the card through the card reader in the POS terminal 14 and enters the transaction amount using the keypad of the user interface 56, as shown in step 202.
  • the credit card information may be manually typed into the POS terminal 14 using the keypad of the user interface 56, for example.
  • Visual information relating to the status of the transaction is displayed on the LCD of the user interface 56.
  • the POS terminal 14 originates an SMS transaction with the authentication gateway 18, and sends the POS terminal
  • the authentication gateway 18 scans the received message and extracts the POS terminal phone number and the transaction number. Using the transaction number, the authentication gateway 18 accesses the merchant database 88 and extracts a PIN corresponding to the transaction number, as shown at step 206.
  • the authentication gateway 18 generates a random encoding number and, using the POS terminal phone number, originates an SMS message back to the POS terminal 14.
  • the SMS message from the authentication gateway 18 includes the PIN associated with the original transaction number, the transaction number, and the random encoding number.
  • a new random encoding number is generated for each new transaction between the POS terminal 14 and the authentication gateway 18.
  • a proprietary random encoding number system generates a unique number each time a credit card transaction is requested by the POS terminal 14.
  • An algorithm known only by the POS terminal 14 and the authentication gateway 18 uses the random
  • the POS terminal 14 receives the message from the authentication gateway 18 and scans for the PIN, transaction number, and the random encoding number.
  • the PIN is verified by comparing the received PIN to a PIN that was stored in the POS terminal 14 during its initial configuration setup.
  • the POS terminal 14 Upon verification the POS terminal 14 temporarily stores the random encoding number associated with the transaction number sent from the authentication gateway 18. The POS terminal 14 then originates a final encoded SMS message using the random encoding number and proceeds to send the message to the authentication gateway 18, as shown in step 212. This final SMS encoded message
  • 0 contains the necessary information for credit card payment, e.g., type of credit card, name on card, credit card number, expiration date, etc.
  • step 214 the authentication gateway 18 terminates the encoded SMS message, decodes the message using the encryption code generated during the initial communications, e.g., the random encoding number, and extracts the POS
  • the authentication gateway 18 validates the decoded information to ensure the required content has been received. Furthermore, the authentication gateway 18 accesses the merchant database 88 to locate the merchant web page address 106, as indicated in step 216. Next at step 218, the authentication gateway 18 generates the equivalent HTML code for the merchant's web site check out procedure. The code is constructed based on the
  • HTML code format 108 retrieved from the merchant database 88.
  • Embedded within the HTML code is the relevant credit card information, e.g., type of credit card, name on card, credit card number, expiration date, etc. and the relevant purchase information, e.g., time, date, product or service, value, etc.
  • the authentication gateway 18 sends the code to the merchant's web page using, for
  • the HTML code contains all the necessary information to complete the checkout procedure and appears to the merchant's web page as if the merchant's customer were sending the information from a personal computer connected to the Internet at the time the transaction was completed.
  • the merchant web page upon receiving the HTML code, proceeds to execute the code.
  • the process from this point forward follows a standard Internet credit card transaction, which is well known by those having ordinary skill in the art. Briefly, the payment information is sent via a secure link to the credit card provider for authorization. Once authorized, funds are transferred into the merchant's bank
  • an e-mail notification is sent from the e-commerce gateway 20 to the authentication gateway 18, which forwards the e-mail to the POS terminal 14. If the payment was accepted, the POS terminal 14 prints a receipt and the
  • the POS terminal 14 displays a message on the LCD and/or prints a message indicating that the payment was denied.
  • POS point-of-sale
  • Fig. 6 0 embodiment illustrated in Fig. 6 relates to POS payment transactions wherein the merchant deals with goods that are located at the sale site. Examples of such transactions include a hot dog vendor doing business in a baseball stadium and a fruit vendor doing business in an open market.
  • the POS payment system 10' allows a merchant to accept payment via
  • the POS payment system 10' utilizes the POS terminal 14, wireless network 16 and Internet 17 to communicate the authentication gateway 18 in the same manner described in the embodiment of Fig. 1.
  • the POS payment system 10' facilitates electronic transactions in remote locations without interfacing to an e-commerce gateway. Instead, the POS system 10' directly links to a credit card company's server 26.
  • the initial operation of the POS payment system 10' is similar to the
  • FIG. 1 A credit card is read by the POS terminal 14 and a transaction amount is entered into the POS terminal 14 through the user interface 56.
  • a secure link is established between the POS terminal 14 and the authentication gateway 18 via the wireless network 16 and the Internet 17.
  • the POS terminal 14 transmits financial and order information to the authentication
  • I0 gateway 18 which in turn validates the information to ensure proper form and content, and proceeds to process the information.
  • the POS payment system 10' takes a different course from the embodiment of Fig.1.
  • the authentication gateway 18 directly connects to a credit card company server 26 via
  • a request is made by the authentication gateway 18 to the credit card company server 26 to transfer funds from the credit card company's account 22 to the merchant's account 24.
  • the credit card company server 26 processes the request and either authorizes the request and performs the transfer or denies the request.
  • an email Upon completion of the transaction (authorized or denied) an email
  • !0 message detailing the result of the transaction is sent from the credit card company server 26 to the authentication gateway 18, and the authentication gateway 18 forwards the message to the POS terminal 14. If the payment was accepted, the POS terminal 14 prints a receipt and the transaction is complete. If the payment was denied, the POS terminal 14 displays a message on the LCD and/or prints a
  • the POS payment system 10' also includes a merchant database.
  • the merchant database utilized in the POS payment system 10' differs slightly from the database used in the embodiment of Fig. 1. Referring to Fig. 7, a merchant database 88' utilized in the present embodiment is illustrated.
  • 0 database 88' includes entries relating to the identity of the merchant requesting the credit card transaction.
  • the electronic serial number 100 is associated with various merchant specific entries. These entries include, for example, the merchant's name 102 and the merchant's PIN 104.
  • the merchant's name 102 is used for identification purposes and the merchant's PIN 104 is used by the POS
  • a flow chart 200' is illustrated detailing the operation of the POS payment system 10'.
  • the merchant or the customer swipes the card through the card reader in the POS terminal 14 and enters the transaction amount using the keypad of the user interface 56, as shown in step 202.
  • the credit card information may be manually typed into the POS terminal 14 using the keypad of the user interface 56.
  • Visual information relating to the status of the transaction is displayed on the LCD of the user interface 56.
  • the POS terminal 14 originates an SMS transaction with the authentication gateway 18 and sends the POS terminal phone number and a transaction number, e.g., the electronic serial number.
  • the authentication gateway 18 scans the received message and extracts the POS terminal phone number and the transaction number. Using the transaction number, the authentication gateway 18 accesses the merchant database 88' and extracts a PIN corresponding to the transaction number, as shown at step 206. At step 208, the authentication gateway 18 generates a random encoding number and, using the POS terminal phone number, originates an SMS message back to the POS terminal 14.
  • the SMS message from the authentication gateway 18 includes the PIN associated with the original transaction number, a transaction number, and the random encoding number.
  • the POS terminal 14 receives the message from the authentication gateway 18, scans for the PIN, transaction number, and the random encoding number. Upon verifying that the PIN is correct, the POS terminal 14 temporarily stores the random encoding number associated with the transaction number sent from the authentication gateway 18. The POS terminal 14 then originates a final encoded SMS message using the random encoding number and proceeds to send the message to the authentication gateway 18, as shown in step 212.
  • This final SMS encoded message contains the necessary information for credit card payment, e.g., type of credit card, name on card, credit card number, expiration date, etc.
  • the authentication gateway 18 terminates the encoded SMS message, decodes the message using the encryption code generated during the initial communications, e.g., the random encoding number, and extracts the POS terminal phone number, the transaction number, and the credit card payment information.
  • the encryption code generated during the initial communications e.g., the random encoding number
  • the authentication gateway 18 validates the decoded information to ensure the proper form and content has been received, as indicated in step 216'.
  • the authentication gateway 18 organizes the financial information from the message and assembles a message containing the financial information for transmission to the credit card company server 26.
  • the authentication gateway 18 sends the financial information via a secure link to the credit card company server 26 for authorization of payment.
  • the credit card server 26 processes the request and makes a determination of whether to authorize or deny the request. If authorized by the server 26, funds are transferred into the merchant's bank account 24.
  • an e-mail notification is sent back to the authentication gateway 18, which forwards the e-mail to the POS terminal 14. If the payment was accepted, the POS terminal 14 prints a receipt and the transaction is complete. If the payment was denied, the POS terminal 14 displays a message on the LCD and/or prints a 0 message indicating that the payment was denied.
  • a flow chart 300 further detailing the operation of the authentication gateway 18 is illustrated. Beginning at step 302, the authentication gateway determines whether the POS terminal 14 has initiated communications with the authentication gateway 18. If communications have not
  • the authentication gateway 18 continues checking for communications as shown at step 302. If communications have been initiated by the POS terminal 14, then the authentication gateway 18 receives the message from the POS terminal at step 304, and determines whether the message is encoded, as indicated at step 306. If the message is not encoded, then at step
  • the authentication gateway 18 extracts the POS terminal's phone number and transaction number from the message.
  • the authentication gateway accesses the merchant database 88 and searches for a transaction number 100 that matches the transaction number extracted from the message at step 308. If a match is not found, then the authentication gateway 18 sends a message to the
  • step 312 and step 314 the authentication gateway 18 returns to step 302 to monitor communications from the POS terminal. If a match is found, then the authentication gateway 18 retrieves the merchant's PIN from the merchant database and generates a random encoding number, as indicated in step 312, step 316 and
  • the authentication gateway 18 transmits a message, which includes the encoding number, PIN and transaction number, to the POS terminal 14. Upon completing transmission, the authentication gateway 18 returns to the beginning of the flowchart at step 302 and monitors for communications initiated by POS terminal 14.
  • the authentication gateway determines that the message is encoded, then the authentication gateway decodes the message using the random encoding number generated previously and extracts the information from the message, and shown at step 330.
  • the authentication gateway 18 determines if the message is in the proper form and has the proper content. If the information is not in the proper form and/or does not have the proper content, then the authentication gateway 18 sends a message to the POS terminal 14 indicating a validation error has been
  • step 334 the authentication gateway 18 retrieves the merchant's web page address 106 and HTML code format 108, as shown at step 336. Using the HTML code format 108 for the merchant's web page, the
  • authentication gateway 18 generates code for the automatic order entry and checkout procedure for the merchant's web page, as indicated in step 338. For example, a built in algorithm combines information from relating to the product information, price, customer information (e.g., billing information) and merchant information (including the merchant's web page order form) and creates a small
  • the package of code is in a form understood by the merchant's web page.
  • the authentication gateway 18 transmits the package of code over a secure connection to the merchant's web page.
  • the authentication gateway 18 checks for a status message from the e-commerce
  • gateway 20 If a message is received from the e-commerce gateway 20, then the authentication gateway 18 forwards the message to the POS terminal 14 as shown at step 344, and the authentication gateway 18 returns to step 302 and monitors for communications initiated by the POS terminal 14. If a message is not received, then the authentication gateway 18 continues to monitor for a message at step 342.
  • FIG. 9C details the operation of the authentication gateway 18 within POS payment system 10'. Entry into Fig. 9C occurs at step 306 of Fig. 1 , which references connector "A". Fig 8C is shown using connector A' to distinguish it from connector A of Fig. 9B. With regards to the POS payment system 10", however, connector A' may be deemed equivalent to connector
  • the authentication gateway 18 decodes the message from the POS terminal 14 using the random encoding number, extracts the information, and verifies that the information is in the proper form and has the proper content. If the information is not in the proper form and/or does not have the proper content, then the authentication gateway 18 sends a message to the POS terminal 14 indicating a validation error has been detected, as shown in step 334, and returns to step 302 to monitor for communications initiated by the POS terminal 14. If the information is in the proper form and has the proper content, then at step 338' the authentication gateway 18 organizes the pertinent financial data related to the credit card transaction and connects to the credit card company's server 26.
  • the authentication gateway 18 transmits the financial data over a secure connection to the credit card company's server 26.
  • the authentication gateway 18 checks for a status message from the server 26. If a message is received from the server 26, then the authentication gateway 18 forwards the message to the POS terminal 14 as shown at step 344. If a message is not received, then the authentication gateway 18 continues to monitor for the message at step 342.
  • a person who has ordinary skill in the art of computer programming using the flow charts provided in the drawings, may write code that a computer can execute to carry out the method for a POS payment system. For example, using the flow charts, code can be written that resides on the storage medium 86 and is executed by the CPU 80 of the authentication gateway 18 to automatically perform the steps described above.

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  • Business, Economics & Management (AREA)
  • Physics & Mathematics (AREA)
  • Engineering & Computer Science (AREA)
  • General Physics & Mathematics (AREA)
  • Accounting & Taxation (AREA)
  • Strategic Management (AREA)
  • General Business, Economics & Management (AREA)
  • Theoretical Computer Science (AREA)
  • Finance (AREA)
  • Computer Networks & Wireless Communication (AREA)
  • Microelectronics & Electronic Packaging (AREA)
  • Computer Security & Cryptography (AREA)
  • Cash Registers Or Receiving Machines (AREA)
  • Financial Or Insurance-Related Operations Such As Payment And Settlement (AREA)

Abstract

L'invention concerne un terminal de point de vente (PV) facilitant la transaction d'une paiement (PV). Le terminal (14) comporte un dispositif de mémorisation (54), un processeur (50) connecté au dispositif de mémorisation et un programme de commande de processeur, ledit programme étant mémorisé sur le dispositif de mémorisation. Le processeur est opérationnel avec le programme et peut recevoir une demande de paiement à distance provenant d'un commerçant. Le processeur identifie le commerçant, crée des instructions facilitant la demande de paiement et transmet les instructions à une page Web de manière à permettre la demande de paiement.
PCT/US2003/014685 2002-10-28 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit Ceased WO2004107285A1 (fr)

Priority Applications (6)

Application Number Priority Date Filing Date Title
MXPA05012304A MXPA05012304A (es) 2003-05-12 2003-05-12 Sistema y proceso de transmision por portal sms con tarjeta de credito.
BRPI0318304-1A BR0318304A (pt) 2002-10-28 2003-05-12 portal para transmitir operação de cartão de crédito via sms
AU2003304167A AU2003304167A1 (en) 2003-05-12 2003-05-12 Credit card sms portal transmission system and process
CA002525666A CA2525666A1 (fr) 2003-05-12 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit
EP03817098A EP1627364A1 (fr) 2003-05-12 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit
PCT/US2003/014685 WO2004107285A1 (fr) 2003-05-12 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit

Applications Claiming Priority (1)

Application Number Priority Date Filing Date Title
PCT/US2003/014685 WO2004107285A1 (fr) 2003-05-12 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit

Publications (1)

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WO2004107285A1 true WO2004107285A1 (fr) 2004-12-09

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PCT/US2003/014685 Ceased WO2004107285A1 (fr) 2002-10-28 2003-05-12 Systeme et procede de transmission de portail sms pour carte de credit

Country Status (6)

Country Link
EP (1) EP1627364A1 (fr)
AU (1) AU2003304167A1 (fr)
BR (1) BR0318304A (fr)
CA (1) CA2525666A1 (fr)
MX (1) MXPA05012304A (fr)
WO (1) WO2004107285A1 (fr)

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WO2007055474A1 (fr) 2005-11-14 2007-05-18 Sk Telecom Co., Ltd. Authentification pour serveur de services dans l'internet sans fil et reglement au moyen de ce serveur
WO2011135412A1 (fr) * 2010-01-13 2011-11-03 Hendrik Geert Pieter Van Arkel Circuit de crédit commercial
US9785920B2 (en) 2012-01-18 2017-10-10 Square, Inc. Acquisition of card information to enhance user experience
US9824504B2 (en) * 2012-01-18 2017-11-21 Square, Inc. Mobile card processing using multiple wireless devices

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EP0940783A2 (fr) * 1998-03-05 1999-09-08 Keycorp Limited Terminal mobile pour paiement électronique
FR2780800A1 (fr) * 1998-07-03 2000-01-07 Sagem Procede de paiement electronique
EP1014317A1 (fr) * 1998-12-14 2000-06-28 Sagem Sa Procédé de paiement sécurisé
WO2000067448A1 (fr) * 1999-04-29 2000-11-09 Telefonaktiebolaget Lm Ericsson (Publ) Transactions wap securisees utilisant une authentification vocale
US20020046185A1 (en) * 2000-08-30 2002-04-18 Jean-Marc Villart System and method conducting POS transactions
WO2002033669A1 (fr) * 2000-10-18 2002-04-25 Ultra Proizvodnja Elektronskih Naprav D.O.O. Systeme d'echange de donnes de paiement et terminal de paiement utilise
US20020107791A1 (en) * 2000-10-06 2002-08-08 Nobrega Ryan J. Method and apparatus for performing a credit based transaction between a user of a wireless communications device and a provider of a product or service
US20020130176A1 (en) * 2001-03-14 2002-09-19 Hitachi, Ltd. Method and system to prevent fraudulent payment in credit/debit card transactions, and terminals therefor
US20020143634A1 (en) * 2001-03-30 2002-10-03 Kumar K. Anand Wireless payment system

Patent Citations (9)

* Cited by examiner, † Cited by third party
Publication number Priority date Publication date Assignee Title
EP0940783A2 (fr) * 1998-03-05 1999-09-08 Keycorp Limited Terminal mobile pour paiement électronique
FR2780800A1 (fr) * 1998-07-03 2000-01-07 Sagem Procede de paiement electronique
EP1014317A1 (fr) * 1998-12-14 2000-06-28 Sagem Sa Procédé de paiement sécurisé
WO2000067448A1 (fr) * 1999-04-29 2000-11-09 Telefonaktiebolaget Lm Ericsson (Publ) Transactions wap securisees utilisant une authentification vocale
US20020046185A1 (en) * 2000-08-30 2002-04-18 Jean-Marc Villart System and method conducting POS transactions
US20020107791A1 (en) * 2000-10-06 2002-08-08 Nobrega Ryan J. Method and apparatus for performing a credit based transaction between a user of a wireless communications device and a provider of a product or service
WO2002033669A1 (fr) * 2000-10-18 2002-04-25 Ultra Proizvodnja Elektronskih Naprav D.O.O. Systeme d'echange de donnes de paiement et terminal de paiement utilise
US20020130176A1 (en) * 2001-03-14 2002-09-19 Hitachi, Ltd. Method and system to prevent fraudulent payment in credit/debit card transactions, and terminals therefor
US20020143634A1 (en) * 2001-03-30 2002-10-03 Kumar K. Anand Wireless payment system

Cited By (8)

* Cited by examiner, † Cited by third party
Publication number Priority date Publication date Assignee Title
WO2007055474A1 (fr) 2005-11-14 2007-05-18 Sk Telecom Co., Ltd. Authentification pour serveur de services dans l'internet sans fil et reglement au moyen de ce serveur
EP1949717A4 (fr) * 2005-11-14 2012-02-29 Sk Telecom Co Ltd Authentification pour serveur de services dans l'internet sans fil et reglement au moyen de ce serveur
US8811945B2 (en) 2005-11-14 2014-08-19 Sk Telecom Co. Ltd. Authentication for service server in wireless Internet and settlement using the same
US9037514B2 (en) 2005-11-14 2015-05-19 Sk Planet Co., Ltd. Authentication for service server in wireless internet and settlement using the same
WO2011135412A1 (fr) * 2010-01-13 2011-11-03 Hendrik Geert Pieter Van Arkel Circuit de crédit commercial
US9785920B2 (en) 2012-01-18 2017-10-10 Square, Inc. Acquisition of card information to enhance user experience
US9824504B2 (en) * 2012-01-18 2017-11-21 Square, Inc. Mobile card processing using multiple wireless devices
US11257048B2 (en) 2012-01-18 2022-02-22 Square, Inc. Securing transactions between mobile computing devices

Also Published As

Publication number Publication date
CA2525666A1 (fr) 2004-12-09
EP1627364A1 (fr) 2006-02-22
BR0318304A (pt) 2006-07-11
MXPA05012304A (es) 2006-07-03
AU2003304167A1 (en) 2005-01-21

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