Smartphone Payment System Using QR Code Scanning for Low-Value Transactions
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Current methods for settling financial transactions, such as cash, cheques, electronic transfers, and electronic wallets, are inconvenient, time-consuming, and lack widespread merchant acceptance, particularly for low-value payments.
Innovation Solution
A smartphone-based method involving scanning QR codes to encode merchant identification and promotion identifiers, transmitting data to an application server to receive promotion vouchers, and facilitating secure user verification and currency transfers through a network interface.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Ease of operation
If electronic wallets are used for low-value payments, then transaction convenience is improved, but merchant acceptance is limited
Solution Approach 1:
The patent implements a universal payment system where a single smartphone application can store and manage multiple types of payment instruments (electronic wallets, promissory notes, vouchers, coupons) and multiple currencies. The system accepts various input formats including QR codes, barcodes, magnetic stripe data, and RFID signals. This multi-functional approach enables both consumers and merchants to use the same platform for diverse payment needs, thereby improving merchant acceptance while maintaining transaction convenience.
2Adaptability or versatility
If multiple credit and debit cards are carried, then payment options are increased, but user convenience deteriorates
Solution Approach 1:
The patent combines multiple payment instruments (credit cards, debit cards, electronic wallets, promissory notes, vouchers, and coupons) into a single smartphone application. The system automatically manages these diverse payment methods, allowing users to select from multiple payment options without physically carrying multiple cards. This consolidation improves user convenience while preserving access to diverse payment options.
Solution Approach 2:
The smartphone application serves as a universal payment platform that can store and process various types of payment instruments and multiple currencies. Users can seamlessly switch between different payment methods within the same application, eliminating the need to carry multiple physical cards while maintaining access to diverse payment options.
3Reliability
If cash is used for transaction settlement, then security is improved, but convenience deteriorates and time is lost
Solution Approach 1:
The patent replaces the mechanical cash handling system with an electronic payment system using smartphones. The system securely transmits payment information through electronic channels (QR codes, barcodes, magnetic stripe, RFID) and processes transactions digitally. This substitution maintains security through encrypted electronic transactions while dramatically improving convenience by eliminating the need for physical cash handling and counting.
Data Source
AI summary
A smartphone (106) with a processor (150) can execute program instructions to cause currency transfers transactions to be made to accounts associated with other smartphones and to interact with an application server (102) or merchant terminal (108). The smartphone can scan a quick response (QR) code and decode the QR code to recover encoded data. The smartphone can use the encoded data, alone or with other data, such as data from a user profile, to obtain promotional vouchers from the merchant server. The smart phone can initiate redemption of the promotional vouchers. The smartphone can display a validation form to prompt capturing images of items an application server can use to validate payment instruments and accounts. The validation form may prompt a user to capture images of a driver's license, a payment instrument, an invoice, or a passport. Smartphone communication with the application server can include device identifier such as MSISDN, IMEI, or IMSI.