Identity Verification via Money-Transfer System Criteria
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Current methods for verifying identities in financial transactions, especially in online and money-transfer systems, are vulnerable to identity theft and forgery due to reliance on counterfeit identification devices and lack of real-time verification processes.
Innovation Solution
A system and method for verifying identities using a money-transfer system with a host computer, network, and multiple transaction locations, where identification devices are received, processed, and verified against predefined criteria, with the option for in-person verification and storage of verification results for future use.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If identification devices are verified through physical presentation and comparison with physical traits, then identity verification reliability is improved, but the system complexity and operational difficulty increase due to requirements for trained personnel and specialized tools
Solution Approach 1:
The patent introduces an intermediary verification system that mediates between the identification device and the verifying party. This system includes verification criteria stored in a database and automated comparison mechanisms that objectively determine ID validity without requiring human judgment or specialized training, thus resolving the contradiction between reliability and complexity
Solution Approach 2:
The patent replaces the mechanical/manual verification process with an automated electronic system. Instead of physical comparison of identification features, the system uses electronic databases, automated recognition algorithms, and digital verification criteria to assess ID authenticity, eliminating the need for trained personnel and reducing operational complexity while maintaining high reliability
2Measurement precision
If identification devices are verified through physical comparison in person, then verification accuracy is improved, but the time required for verification increases
Solution Approach 1:
The patent applies preliminary action by pre-storing verification criteria and reference data in databases before actual verification occurs. The system pre-processes and organizes identification features, comparison standards, and validation rules so that when verification is needed, the system can quickly retrieve and apply the appropriate criteria without time-consuming on-site analysis, thus reducing verification time while maintaining accuracy
Solution Approach 2:
The patent uses copying by creating digital replicas and electronic representations of identification features that can be rapidly compared without physical handling. The system creates copies of identification data in a database, allowing multiple rapid comparisons simultaneously, which reduces verification time while maintaining the accuracy of physical comparison methods
3Ease of operation
If identification verification is performed manually by comparing physical traits, then the ease of operation is improved, but the vulnerability to fraud and counterfeiting increases
Solution Approach 1:
The patent implements feedback mechanisms where the verification system continuously compares identification features against stored criteria and provides immediate feedback on validity. The system automatically detects inconsistencies, flags potential fraud, and can reject suspicious identifications, thereby reducing vulnerability to counterfeiting while maintaining ease of operation through automated decision-making
Solution Approach 2:
The patent applies parameter changes by transforming the verification process from manual physical comparison to automated electronic parameter analysis. The system changes the verification parameters to include digital data validation, pattern recognition, and automated consistency checks, which makes the system more resistant to fraud while keeping the user interface simple and easy to operate
4Reliability
If multiple identification verification methods are implemented, then the reliability of identity verification is improved, but the device complexity and cost increase
Solution Approach 1:
The patent applies universality by designing a multi-functional verification system that can handle multiple types of identification devices and verification scenarios through a single integrated platform. The system uses universal databases, standardized verification criteria, and flexible algorithms that can adapt to different ID types (driver's licenses, passports, etc.), thereby improving reliability across multiple verification methods without proportionally increasing complexity
Data Source
AI summary
A method for verifying the identity of one party on behalf of another party is provided. The method includes providing a money-transfer system and a communication system that communicates with the money-transfer system; receiving at the money-transfer system from the first party certain verification criteria for confirming the identity of a second party; and storing the verification criteria in the host computer system of the money-transfer system. When an ID is received from the second party at a money-transfer location; the verification criteria is retrieved from the host computer system; and the acceptability of the ID is determined in accordance with the verification criteria. If the identification device is acceptable, identification information is obtained from the identification device; and the identification information is processed to verify the identity of the second party. In other embodiments, a method for pre-verifying the identity of a party and a system for performing the method of the invention are provided.