SMS-Based Change Transfer System for Cash Transactions
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
In cash transactions, the lack of physical small change, particularly in areas where coins are scarce, leads to consumers not receiving their due change, which can deter them from transacting with merchants who cannot provide alternatives, and there is a need for a technical system to manage this issue, especially in regions with limited access to sophisticated point of sale or banking systems.
Innovation Solution
A system and method using SMS messaging to electronically process change in cash transactions by storing account profiles with phone numbers and currency amounts, allowing merchants to send SMS messages to a processing server to transfer change amounts between accounts, and notifying recipients via SMS, thus enabling change to be transferred without the need for physical coins.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If physical coins are used to provide small change, then consumers can receive exact change, but merchants may not have sufficient small change available
Solution Approach 1:
The patent introduces a centralized change management system that acts as an intermediary between merchants and consumers. When a merchant cannot provide small change, the system automatically transfers the required amount from a centralized fund to the consumer, eliminating the need for merchants to physically hold small change while ensuring consumers receive exact change.
Solution Approach 2:
The system creates a digital representation of physical change through electronic records and automated transfers. Instead of physically distributing coins to merchants, the system uses digital bookkeeping and automated monetary transfers to replicate the function of physical small change availability.
2Ease of operation
If merchants provide alternative considerations instead of small change, then merchants can complete transactions without small change, but consumers lose the value of small change
Solution Approach 1:
The system acts as an intermediary that prevents the loss of small change value by automatically providing the exact change amount through electronic transfer, eliminating the need for merchants to substitute alternatives and ensuring consumers receive their full change value.
Solution Approach 2:
The system implements a feedback mechanism where the value of small change is continuously tracked and replenished through automated transfers, ensuring that consumers consistently receive the full change amount without loss, while merchants are relieved of the burden of managing small change inventories.
3Extent of automation
If sophisticated point of sale systems are used to manage change, then change can be processed electronically, but such systems are unavailable in rural or developing areas
Solution Approach 1:
The system enables self-service functionality where merchants can initiate change requests using basic mobile phones, and the automated system handles all processing, tracking, and transfer operations without requiring sophisticated point of sale infrastructure or manual intervention in rural and developing areas.
Solution Approach 2:
The patent replaces complex mechanical point of sale systems with a simplified communication-based approach using standard SMS messaging protocols, allowing electronic change processing to function on basic mobile phones without requiring sophisticated hardware or software infrastructure.
4Adaptability or versatility
If SMS messaging is used to process change, then transactions can be facilitated in areas without point of sale systems, but the system requires mobile communication infrastructure
Solution Approach 1:
The system uses SMS messaging as a universal communication protocol that functions across diverse mobile devices and networks, enabling change processing in environments without sophisticated point of sale systems while relying on the widespread availability of basic mobile communication infrastructure.
Data Source
AI summary
A method for electronically processing change in a cash transaction includes: storing a plurality of account profiles, each profile including data related to a consumer including a phone number associated with a mobile communication device and a currency amount; receiving a short message service (SMS) message from a first phone number associated with a first mobile communication device, the message including a second phone number and a change amount; identifying a first account profile where the included phone number corresponds to the first phone number; identifying a second account profile where the included phone number corresponds to the second phone number; transferring the change amount included in the received SMS message from the first account profile to the second account profile; and transmitting an SMS message to the second phone number, the message including a notification of the transfer of the change amount to the second account profile.