Mobile Device Gift Card Reader for Contactless Payments
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Solution Overview
Problem
Existing payment systems lack a convenient method for conducting contactless transactions using gift cards on mobile devices, limiting the ability to perform wireless transactions securely and efficiently.
Innovation Solution
A wireless mobile communications apparatus that reads removable cards with encoded account identifiers, allowing users to authorize transactions via a mobile device, which communicates with a Point of Service terminal to confirm and update the remaining balance, enabling secure and convenient contactless payments.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Ease of operation
If gift cards are used as standalone portable consumer payment devices, then portability is improved, but the ability to conduct wireless transactions is limited
Solution Approach 1:
The patent combines the gift card functionality with a mobile computing device by integrating a card reader into the mobile device. The card reader reads the account identifier from the gift card, and the mobile device's wireless communication capabilities enable contactless transactions. This merging allows the gift card system to gain wireless transaction capability while maintaining portability through the mobile device.
Solution Approach 2:
The mobile computing device serves multiple functions: it acts as a card reader to read the gift card account identifier, functions as a wireless communication device for contactless transactions, and provides a display for showing transaction information. This multi-functionality allows a single device to replace multiple separate devices, enabling wireless transactions while maintaining portability.
2Productivity
If contactless transactions are implemented using mobile devices, then transaction speed is improved, but system complexity increases
Solution Approach 1:
The patent introduces a transaction identifier as an intermediary element that simplifies the contactless transaction process. The mobile device generates this identifier based on the account identifier read from the gift card, and transmits it wirelessly to the merchant's terminal. This intermediary mechanism enables fast contactless transactions while managing system complexity by using a standardized identifier format that can be processed efficiently by both the mobile device and the merchant's terminal.
3Reliability
If gift card data is encrypted to prevent counterfeiting, then security is improved, but data readability with standard equipment is reduced
Solution Approach 1:
The patent uses the mobile device's card reader as an intermediary that can read the encrypted gift card data. The card reader is specifically configured to read the account identifier from the gift card, which may be encrypted or stored in a non-standard format. The mobile device then processes this data and generates a transaction identifier for wireless transmission, maintaining security while enabling readability through the specialized reading mechanism.
Data Source
AI summary
A wireless mobile communications apparatus reads removable cards and can communicate an account corresponding to the removable card in order to conduct a wireless transaction with a merchant on the account with the wireless mobile communications apparatus. A total currency amount for the transaction, and remaining balance in the account after the transaction, can be displayed on a display screen of the wireless mobile communications apparatus. The removable card can be a gift card bearing a magnetic strip having an identifier for the account encoded thereto that will be read when inserted into the wireless mobile communications apparatus which can be a cellular telephone or Web enabled portable device. The magnetic strip gift card can be substantially composed of paper so as to be intended for disposable after use.