Bio-metric smart card, bio-metric smart card reader, and method of use

Abstract

A system for increasing transaction security across existing infrastructure is provided. A user bio-metric sensor device is integrated into a credit or debit card. A display unit provides a key, preferably encrypted, upon successful utilization of the sensor device. Included in the key generation mechanism is an indicator of the transaction number or other sequential count indicative of card use. An authorization service decrypts the key in a manner at least partially dependent upon a second sequential count maintained in sync with the first count to determine whether the use is authorized. In one embodiment, a separate credit card reader may be configured to read conventional credit cards, smart cards, and credit cards incorporating such bio-metric sensor devices.

Description

BACKGROUND OF THE INVENTION 1. Field of the Invention The present invention relates generally to the field of credit card security, and more particularly to a bio-metric smart card, a bio-metric smart card reader and a method of use for the card and reader. 2. Description of the Related Art Recent innovations have brought significant security-related advances to the credit card, debit card, and consumer banking industries. In the 1980s, holographic images were introduced and included on plastic card faces to deter the manufacture of counterfeit cards. More recently, some cards have been adapted to include a photograph of the authorized user, thereby obviating the need for a purchaser to present separate identification and decreasing the likelihood of fraud. Most recently, smart cards, also known as personal data cards or chip cards, which include a memory chip integral with the card, now provide additional security features. Despite these advances, the industry remains burdened...

AI Technical Summary

Problems solved by technology

Despite these advances, the industry remains burdened by a considerable fraud problem.

Credit card theft and fraud accounts for billions of dollars in damages a year in the U.S. alone, with billions more being lost overseas.

Sub-thumbnail sized photos on cards are often too small for careful examination by store clerks, and like holograms, cannot be viewed during online or telephone-based transactions.

And smart cards provide no new security features unless used across a new breed of card-reading infrastructure, which will cost hundreds of millions of dollars to install.

Moreover, like the other new technologies described above, smart cards do not address online and telephonic sales scenarios wherein the merchant lacks the ability to examine the actual card.

Perhaps most importantly, since smart cards are not compatible with the existing card-reading infrastructure they do not address the near term needs of the industry and the massive on-going losses caused by fraudulent use.

In the above-described available transaction process, while recent security advances do provide some crime protection, there is still far more opportunity than desirable for deception and fraud.

Specifically, if the card is lost or stolen the thief or finder of the lost card might use the card for fraudulent purchases.

Also, if a thief finds or steals a receipt or similar record listing the card number and other card information found in field 112, that information might be fraudulently used for online or telephonic transactions.

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