Bank Card Verification via Mobile Intermediary
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Solution Overview
Problem
The increasing popularity of banking cards has led to a rise in identity theft and fraud, as traditional verification methods do not effectively prevent unauthorized purchases, resulting in significant financial losses.
Innovation Solution
A method that involves receiving bank card data from a merchant, requesting a security code from a mobile device associated with the authorized user, and authorizing or rejecting the purchase based on the validity of the security code, thereby verifying the identity of the person using the bank card.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If traditional verification methods are used for bank card transactions, then the system is simple and easy to operate, but security against identity theft and fraud is insufficient
Solution Approach 1:
The patent introduces a mobile device as an intermediary between the bank card and the verification system. The mobile device receives verification requests, obtains security codes from the cardholder, and transmits these codes to the verification system. This intermediary approach enhances security by adding an additional verification layer without requiring complex changes to the existing bank card infrastructure or merchant systems.
Solution Approach 2:
The system performs preliminary verification actions by requesting security codes from the mobile device before completing the transaction. The verification system proactively contacts the mobile device associated with the bank card and obtains authorization before finalizing the purchase. This preliminary action prevents fraud by ensuring the cardholder explicitly authorizes each transaction in real-time.
2Reliability
If real-time security verification is implemented, then fraud prevention is improved, but transaction processing time increases
Solution Approach 1:
The verification system implements feedback by continuously monitoring transaction requests and providing real-time verification responses. When a transaction is attempted, the system immediately contacts the mobile device, obtains the security code, and returns the verification result to the merchant system. This feedback mechanism ensures fraud prevention while maintaining efficient processing by avoiding unnecessary delays.
Solution Approach 2:
The system uses periodic verification actions where security codes are requested at specific intervals during the transaction process. Rather than continuous verification, the system obtains security codes at key decision points in the transaction flow, which optimizes the balance between security and processing speed. The verification occurs periodically at critical stages rather than continuously throughout the entire transaction.
3Reliability
If mobile device verification is required, then identity authentication is enhanced, but user convenience is reduced
Solution Approach 1:
The mobile device performs self-service verification by automatically receiving verification requests, obtaining security codes from the cardholder, and transmitting these codes to the verification system without requiring manual intervention from the merchant or cardholder. The system handles the verification process autonomously, which enhances security while maintaining user convenience by eliminating the need for complex manual verification procedures.
Data Source
AI summary
Embodiments of the invention provide a means for verifying that a person using a bank card at a point-of-sale merchant location is in fact a person authorized to use the bank card. In one embodiment of the invention, verification may involve communicating with the mobile device 103 associated with the person authorized to use the bank card. The person authorized to use the bank card may be required to send verification data to the bank card verification system via the mobile device to confirm a purchase. The bank card verification system may not authorize the purchase if the proper verification data is not received from the mobile device. In another embodiment, the bank card verification system may be configured to determine a proximity of the mobile device to the merchant point-of-sale location to verify the purchase.