CA2298030A1 - Security account for bank card use - Google Patents

Abstract

A viable way of preventing fraud or abuse of Bank Cards (Credit and/or Debit) that can be established by creating a Primary Account which is accessed and linked to a User's Bank Card in the customary manner and that normally contains no funds (supposing that overdraft protection is not in effect for this account). In normal use, the Principal Owner of the Primary Bank Card would transfer funds from a Subsidiary Deposit Account (Savings Account) or a Subsidiary Credit Account (Line of Credit, Credit Card Account, etc.) which could be linked to the Primary Account by virtue of their ownership, and also by various stored procedures (software or hardware) which could be effected by their Primary Owner, for the transfer of funds between these accounts, after the introduction of a Second Security Code into the Computer Terminal, Automatic Banking Machine, Telephone, etc., used to aces the bank accounts in the normal manner. Only the Number of the Primary Bank Card is given out by its Principal Owner to be used in Debit or Credit Transactions so as to maintain security in relation to the Subsidiary Deposit Account(s) (Savings Account(s)) or the Subsidiary Credit Account(s) (Line(s) of Credit, Credit Card Account(s), etc.).

Description

DESCRIPTION
1. The main problem presently encountered with the use of Bank Cards (Credit Cards or Debit Cards) is the perceived or real risk or insecurity associated with the use of Credit Cards in making purchases, either in person or online, because of having to give out the Credit Card Number since various forms of fraud have been perpetraded to extract funds from Owner's Accounts. This invention claims to offer a viable method or procedure of reducing or preventing this type of fraud or abuse.

2. The security measures presently used are essentially limited to the Personal Identification Number which the user is required to key in prior to accessing his account at a Computer Terminal, Automatic Banking Machine, or Telephone. But since the information coded on the card can be reproduced along with the card itself, it has been possible to gain access to Card Owner's Accounts without their mnsent. It is also possible for Merchands (or other parties) to gain access to Owner's Accounts in order to obtain subsequent transfers of funds for purchases previously made over the telephone, for example, by simply giving an Account Number given by the Owner of the Account to theMerchand over the telephone.

3. I have discovered that the use of Bank Debit Cards could be a viable way of preventing this type of fraud or abuse if they are linked to an account that contains no funds (supposing that overdraf protection is not in effect for this account). In normal use, the Principal Owner of the Primary Debit Card would transfer funds from a Subsidiary Deposit Account (Savings Account) or a Subsidiary Credit Account (Line of Credit, Credit Card Account, etc.) which could be linked to the Primary Account by virtue of their ownership, and also by various stored procedures (software or hardware) which could be effected by their Primary Owner, for the transfer of funds between these accounts, after the introductDn of a Second Security Code into the Computer Terminal, Automatic Banking Machine, or Telephone.

4. In normal use, the Principal Owner of a Primary Debit Card Account would access a Subsidiary Deposit Account (Savings Account) or Subsidiary Credit Account (Line of Credit, Credit Card Account, etc.) in which funds are available to make a transfer of funds into the Primary Debit Card Account. He would then make the intendeddisbusement or purchase by giving out the Card Number of his Primary Debit Card. The Principal Owner of the Primary Debit Card Account is thus able to limit his liability to the period of time between the time of the transfer and that of the disbursement, and also thethe amount of funds transferred.

5. Stored procedures (of the type normally associated with commercial database products) can be used to automate repetitive disbursements coming from pradesignated Merchands with whom the Principal Owner does business on a recurring basis, and also for the authorization of transactions teat the Principal Owner is planning on. Even though no funds might be present in the Primary Debit Account upon the occurrence of a request for a transfer of funds emanating from a PraApproved Merchand, a Stored Procedures would first verify the presence of the Merchand's identification in the Pre-Approved Merchand table of database, as well as a the probable amount of the transaction, and in the affurnative, a transfer of funds would be directly effected to theMerchand's account, through normal means of transfer used by the bank, from one of the various Subsidiary Accounts having been designated by the Primary Owner to this effect, or, in the case where insufficient funds might be available in the Designated Account, from another of the Subsidiary Accounts where funds might be available, if this possibility is offered to the Primary Owner by the Banking Institution.

6. It should be possible to issue Additionnal Primary Bank Cards, each linked to their own specific Primary Account, which in turn would be linked to the Subsidiary Deposit Accounts) (Savings Account(s)) or Subsidiary Credit Accounts) (Line(s) of Credit, Credit Card Account(s), etc.) of the Principal Owner subject to Stored Procedures (specific to each Additionnal Primary Card) established by the Principal Owner of the Accounts. These additionnal Primary Bank Cards could be used by the wife and children within a family, for example, or by various employees within a company.

7. It should be possible to designate Stored Procedures directed at the authorization of transactions for Classes of Merchands, for example pre-authorized purchases of gazoline for cards issued to company employees.

8. It should be possible to designate Stored Procedures directed at the denial or refusal of transactions for classes of Merchands, for example no allowed transactions in bars or liquor stores for children's cards.

9. It should offer the possiblility of designating Stored Procedures that are triggered by attempts to access the account according to specified rules or conditions established either by the Banking Institution or the Primary Owner of the Account, such as to alert proper Authorities or to obtain the withholding of the card being used.

10. It is presumed that all the Accounts described herein are established within a normal database system such as those currently ot~ered commercially, and that offers the possibility of Stored Procedures and Triggers to be enabled under specified conditions, and that communications are occurring under normal or standard commercially available conditions, such as the telephone or Internet systems, and that a valid distinct primary firewall is most likely in effect between the external network and the computers) supporting the databases) used for the accounting system upon which the Accounts described in this Application are established, along with the links between these accounts as well as the rules to which these links are subjected.

Claims (8)

1. A process for the use of Bank Cards offering a viable way of preventing Bank Card fraud or abuse if these are linked to an account that normally contains no funds (supposing that overdraft protection is not in effect for these accounts). In normal use, the Principal Owner of the Primary Bank Card, which is linked to and permits access to a Primary Account, would transfer funds from a Subsidiary Deposit Account (Savings Account(s)) or a Subsidiary Credit Account(s) (Line(s) of Credit, Credit Card Account(s), etc.) which could be linked to the Primary Account by virtue of their ownership, and also by various stored procedures (software or hardware) which could be effected by their Primary Owner, for the transfer of funds between these accounts, after the introduction of a Second Security Code into the Computer Terminal, Automatic Banking Machine, Telephone, or other means of effecting bank transactions.

2. That in normal use, the Principal Owner of a Primary Bank Card Account would access a Subsidiary Deposit Account (Savings Account) or Subsidiary Credit Amount (Line of Credit, Credit Card Account, etc.) in which funds are available to make a transfer of funds into the Primary Debit Card Account. He would then make the intended disbusement or purchase by giving out the Card Number of his Primary Bank Card. The Principal Owner of the Primary Bank Card Account is thus able to limit his liability to the period of time between the time of the transfer of the funds and that of the disbursement of same funds, and also the the amount of funds transferred.

3. Stored procedures (of the type normally associated with commercial database products) that can be used to automate repetitive disbursements coming from pre-designated Merchands with whom the Principal Owner does business on a recurring basis, and also for the authorization of transactions that the Principal Owner is planning. Even though no funds might be present in the Primary Account upon the occurrence of a request for a transfer of funds emanating from a Pre-Approved Merchand, a Stored Procedures would first verify the presence of the Merchand's identification in the Pre-Approved Merchand table of database, and in the affirmative, a transfer of funds could be directly effected to the Merchand's account, through normal means of transfer used by the bank, from one of the various Subsidiary Accounts having been designated by the Primary Owner to this effect, or, in the case where insufficient funds might be available in the Designated Account, from another of the Subsidiary Accounts where funds might be available, if this possibility is offered to the Primary Owner by the Banking Institution, and if the Primary Owner has previously agreed to this possibility.

4. The possiblility of issuing Additionnal Primary Bank Cards, each linked to their own specific Primary Account, which in turn would be linked to the Subsidiary Deposit Account(s) (Savings Account(s)) or Subsidiary Credit Account(s) (Line(s) of Credit, Credit Card Account(s), etc.) of the Principal Owner and subject to Stored Procedures (specific to each Additionnal Primary Debit Card) established by the Principal Owner of the Accounts. These additionnal Primary Debit Cards could be used by the wife and children within a family, for example, or for various employees within a company.

5. It should offer the possiblility of designating Stored Procedures directed at the authorization of transactions for classes of Merchands, for example pre-authorized purchases of gazoline for cards issued to company employees.

6. It should offer the possiblility of designating Stored Procedures directed at the denial or refusal of transactions for Classes of Merchands, for example no allowed transactions in bars or liquor stores for children's cards.

7. It should offer the possiblility of designating Stored Procedures that are triggered by attempts to access the account according to specified rules or conditions established either by the Banking Institution or the Primary Owner of the Account, such as to alert proper Authorities or to obtain the withholding of the card being used.

8. It is presumed that all the Accounts described herein are established within a normal database system such as those currently offered commercially, and that offers the possibility of Stored Procedures and Triggers to be enabled under specified conditions, and that communications are occurring under normal or standard commercially available conditions, such as the telephone or Internet systems, or Customer Service operations offered by the Banking Institutions, or their Agents, and that a valid primary firewall is most likely in effect between the external network and the computer(s) supporting the database(s) used for the accounting system upon which the Accounts described in this Application are established, along with the links between these accounts as well as the rules to which these links are subjected.