POS and Card Reader Pairing Using Beacon-Guided Transaction Routing

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Solution Overview

Problem

Existing electronic payment systems require direct hardware and software customization of payment initiating devices, leading to high costs, limited flexibility, and inflexible physical layouts, while systems without payment initiating devices suffer from manual data entry errors and increased fraud risk.

Innovation Solution

A communication router facilitates transaction data transfer between a payment initiating device and a payment instrument reading device without direct connection, using a mapping table to route data to the correct device and support various communication protocols, enabling the use of off-the-shelf devices and reducing the need for local software installations.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If direct connection between payment initiating device and payment instrument reading device is used, then control reliability is improved, but device complexity and cost increase

Engineering Contradiction:
Improvecontrol reliabilityVSAvoiddevice complexity
Core Design Contradiction:
ReliabilityVSDevice complexity

Solution Approach 1:

The patent introduces a communication router as an intermediary device that mediates between the payment initiating device and the payment instrument reading device. The router receives transaction data from the payment initiating device, determines the appropriate payment instrument reading device using a mapping table, and forwards the data accordingly. This intermediary approach maintains control reliability while allowing the use of standard COTS devices without direct connections, thereby reducing device complexity and cost.

Inventive Principle:
Principle #24Intermediary (Mediator)

2Adaptability or versatility

If custom software is installed on payment initiating device, then payment processing capability is improved, but ease of manufacture and upgrading deteriorate

Engineering Contradiction:
Improvepayment processing capabilityVSAvoidease of manufacture
Core Design Contradiction:
Adaptability or versatilityVSEase of manufacture

Solution Approach 1:

The patent extracts the payment processing software from the payment initiating device (POS terminal) and places it on the communication router instead. The POS terminal only needs to send transaction data through the router, which then processes the payment using the mapping table to identify the appropriate payment instrument reading device. This extraction allows the POS terminal to remain a standard COTS device that is easy to manufacture and upgrade, while the specialized payment processing capability resides on the router.

Inventive Principle:
Principle #2Taking out (Extraction)

3Measurement precision

If payment instrument reading device is fixed to specific location, then control precision is improved, but adaptability and layout flexibility deteriorate

Engineering Contradiction:
Improvecontrol precisionVSAvoidlayout flexibility
Core Design Contradiction:
Measurement precisionVSAdaptability or versatility

Solution Approach 1:

The patent implements a dynamic mapping table that can be updated to reflect changes in the physical layout of payment instrument reading devices. Instead of hardcoding fixed associations between POS terminals and specific reading devices, the mapping table allows flexible reassignment based on current device locations. This dynamic approach maintains control precision by ensuring transaction data reaches the correct device while allowing layout flexibility when devices are moved or repositioned.

Inventive Principle:
Principle #15Dynamics

Data Source

PatentEP4227877B1Electronic transaction processing systems and methods
Publication Date: 2025.11.26 WORLDPAY LTD
  • EP4227877B1 patent drawingFigure 1
  • EP4227877B1 patent drawingFigure 2
  • EP4227877B1 patent drawingFigure 3a

AI summary

The invention relates generally to the processing of electronic payments that involve a payment instrument. A payment instrument reading device is paired with a payment initiating device to allow transaction information generated by the payment initiating device to be automatically transmitted to its associated payment instrument reading device. This means that rekeying of transaction information is not required. In some embodiments one or more beacons are provided in a premises, to allow the location of a mobile payment initiating device to be determined. This location is used to either direct the payment initiating device to a payment instrument reading device, or vice versa. Transaction data generated by the payment initiating device is automatically transmitted to the payment instrument reading device. A pairing module is also provided, which is configured to pair a payment instrument reading device with a payment initiating device.