Transaction Server Authorization Analysis for Immediate Posting

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Solution Overview

Problem

Card switching networks operating in dual-message topology face delays in transaction processing due to the separation of authorisation and clearing phases, which prevents immediate posting of final transactions on the cardholder's account, as the card issuer cannot determine the final transaction amount or if the clearing presentment will occur.

Innovation Solution

A computer-implemented method and transaction server that analyze the authorisation request response message for an approval indicator and transaction indicator, enabling the generation and submission of a clearing request message to facilitate the clearing phase without waiting for a separate clearing request from the second entity, allowing for immediate posting of transactions.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If the card issuer waits for the finalisation of the clearing process before posting the transaction on the cardholder's account, then the clearing process can be completed accurately, but the transaction processing time is delayed by one or more days

Engineering Contradiction:

Improveclearing process accuracyVSAvoidtransaction processing time

Core Design Contradiction:

ReliabilityVSLoss of time

Solution Approach 1:

The system performs preliminary analysis of the authorisation request response message to identify transactions with approval indicators and transaction indicators before the clearing process completes. This allows the card issuer to prepare for immediate posting of final transactions while the clearing process continues in the background, eliminating the waiting period without compromising clearing accuracy.

Inventive Principle:

Principle #10Preliminary action

Solution Approach 2:

The system introduces an intermediary mechanism that analyzes the authorisation request response message to determine whether a transaction is a final transaction. This intermediary analysis enables the card issuer to distinguish between transactions that can be posted immediately and those requiring clearing finalisation, thus resolving the time-delay conflict.

Inventive Principle:

Principle #24Intermediary (Mediator)

2Productivity

If the card issuer immediately posts transactions after authorisation, then transaction processing efficiency is improved, but the accuracy of clearing cannot be ensured

Engineering Contradiction:

Improvetransaction processing efficiencyVSAvoidclearing accuracy

Core Design Contradiction:

ProductivityVSReliability

Solution Approach 1:

The system implements a feedback mechanism by analyzing the authorisation request response message for specific indicators that confirm the transaction is final and the clearing amount is known. This feedback allows the card issuer to confidently post transactions immediately without compromising clearing accuracy, as the indicators serve as verification that clearing has been completed or is not required.

Inventive Principle:

Principle #23Feedback

Solution Approach 2:

The system replaces the traditional mechanical waiting process with an automated analysis mechanism that examines the authorisation request response message for approval and transaction indicators. This substitution enables immediate posting decisions based on message content analysis rather than time-based waiting, thereby improving efficiency while maintaining reliability.

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

3Adaptability or versatility

If the dual-message topology separates authorisation and clearing phases, then both final and pre-authorised transactions can be supported, but the card issuer cannot determine the final transaction amount at the time of authorisation

Engineering Contradiction:

Improvetransaction type supportVSAvoidfinal transaction amount certainty

Core Design Contradiction:

Adaptability or versatilityVSLoss of information

Solution Approach 1:

The system introduces an intermediary analysis step that examines the authorisation request response message for a transaction indicator. This indicator serves as a mediator that conveys information about whether the transaction is final and whether the clearing amount is known, thereby resolving the information uncertainty while maintaining the flexible dual-message topology that supports both final and pre-authorised transactions.

Inventive Principle:

Principle #24Intermediary (Mediator)

Solution Approach 2:

The system extracts the transaction indicator information from the authorisation request response message to identify final transactions where the clearing amount is known. By taking out this specific information element, the system can determine final transaction amounts at the time of authorisation for eligible transactions while maintaining support for pre-authorised transactions where the amount is not yet determined.

Inventive Principle:

Principle #2Taking out (Extraction)

Data Source

PatentUS20220318801A1Transaction system management

Publication Date: 2022.10.06 MASTERCARD INT INC

AI summary

A computer-implemented method for management of a transaction within a network, the network comprising a first entity, a transaction server and a second entity, wherein the transaction is taking place at the first entity and the management of the transaction comprises an authorization phase in which the second entity determines if the transaction is to be approved, and a clearing phase in which, if the transaction has been approved, transaction data is exchanged between the first entity and the second entity. The method is implemented at the transaction server. A computer program product includes instructions which, when the program is executed by a computer, causes the computer to carry out the above method. A computer-readable storage medium includes instructions which, when executed by a computer, causes the computer to carry out the above method.