Interchange Computer Authentication Protocol for Secure Financial Transactions
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
The financial transaction card industry faces challenges with fraudulent activities, particularly in online transactions, and the manual entry of information by cardholders is time-consuming and prone to errors, necessitating a more automated and secure process for exchanging transaction data between computer devices.
Innovation Solution
A system and method that utilize protocol extensions to facilitate financial transactions by prompting cardholders to enter and verify access credentials, select transaction cards, and transmit relevant data between computer devices, enhancing security and reducing manual input through the use of an interchange computer and database associated with an interchange network.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If manual entry of transaction information is required, then cardholder authentication can be verified, but the transaction process becomes time-consuming and error-prone
Solution Approach 1:
The system performs preliminary actions by pre-encrypting cardholder information and pre-establishing communication protocols between devices. The interchange computer system prepares authentication templates and encryption keys in advance, so that during the actual transaction, only verification is needed rather than manual entry and processing from scratch.
2Reliability
If standardized protocols are used for secure communication, then fraudulent activity is reduced, but the transaction process becomes more complex
Solution Approach 1:
The patent introduces an interchange computer system as an intermediary between the merchant system and the cardholder's device. This intermediary manages the complex standardized protocols (such as 3-D Secure protocols) centrally, so that while security is enhanced through protocol compliance, individual devices don't need to independently handle the full complexity of secure communication protocols.
3Reliability
If cardholder information is manually provided, then authentication credentials can be verified, but typographical errors and inaccuracies occur
Solution Approach 1:
The system enables self-service by allowing the cardholder device to automatically provide encrypted authentication information without manual typing. The cardholder's device self-generates and transmits the authentication data through the interchange computer system, eliminating human error in data entry while maintaining verification security.
Data Source
AI summary
A system and computer-based method for performing a financial transaction using an interchange computer coupled to a database, the interchange computer and database associated with an interchange network, the transaction initiated by a cardholder with a merchant. The method includes receiving, at the interchange computer, a payer authentication request message from the merchant, the payer authentication request message associated with the cardholder and including data representing at least one of transaction card brands supported for payment, a response time limit, and item purchase information. The cardholder is prompted to enter access credential information. The entered access credential information is verified at the interchange computer. The cardholder is prompted to select a transaction card from one or more transaction cards associated with the cardholder. A payer authentication response message including transaction card data associated with the selected transaction card is transmitted from the interchange computer to the merchant.