Title of Invention

CREDIT/ DEBIT/ ATM/ SMART CARD ALERT SYSTEM AND THE METHOD THEREOF

Abstract N/A
Full Text FORM 2
THE PATENT ACT 1970 (39 of 1970)
&
The Patents Rules, 2003 COMPLETE SPECIFICATION
(See Section 10, and rule 13)
1. TITLE OF INVENTION
CREDIT/DEBIT/ATM/SMART CARD ALERT SYSTEM AND THE METHOD THEREOF

2. APPLICANT(S)
a) Name :
b) Nationality:
c) Address :

SURESH BABUBHAI KAPADIA INDIAN National
MERCHANT CHAMBERS,
TILAK PATH,
NASIK - 422 002 MAHARASHTRA

3. PREAMBLE TO THE DESCRIPTION
The following specification particularly describes the invention and the manner in which it is to be performed : -


A System and Method for Preventing Misuse of Stolen, Lost, Duplicated, Forged and Counterfeited Credit Card/Debit Card
Field Of Invention:
The present invention is related to a system and method for reducing or eliminating the unauthorized use of credit or debit cards. More particularly it relates to a system and method for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit/ATM card.
Prior Art:
Financial-services cards, such as credit cards, debit cards, check cashing cards, ATM withdrawal cards, smart cards, and the like, are an important part of a convenience-driven consumer economy. Fraud, however, continues to be a significant drawback to using such cards.
For example, someone who makes a purchase at a point of sale terminal such as a grocery store cash register may swipe a magnetic-stripe or chip based credit card through a card reader provided at the cash register and sign the resulting sales slip, without ever showing the credit card itself to a cashier. In such circumstances, the cashier has no way of verifying the card user's identity by comparing a signature on the back of the card with the signature written on the sales slip. This provides an easy opportunity for the fraudulent use of lost or stolen credit cards, debit cards, and the like.
To overcome menace of counterfeiting of cards banks have been resorting to OVD security features like kine gram, holograms, digital pictures, micro perf etc.
However counterfeiters are managing to duplicate most of the features to the extent of impersonation by changing the picture and or signatures.
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The biggest threat today is very easy way of duplicating the data of a card into other magnetic strip/chip with help of Digital device in split seconds.
It is paractically impossible to verify authenticity of varieties of cards at a till of a supermarket, departmental stores etc, particularly during rush hours, crooks are well aware of the above limitations, hence they are robbing of money with help of duplicating card just by presenting the same at a sale point. Where generally it is assumed that authentication received through E-pose machine online with card issuing company means the card and the card holder are authentic hence there is no suspicion & the duplicator walks out with the shopping freely to the next store for still bigger purchases & keeps on using the same till the limit of the card has been exhausted.
If the card is a duplicate of unlimited credit the crook keeps on using the same till such time the issuing company or original holder of the card realizes the theft & takes steps to stop use of the card.
One way to diminish this risk is to require the card user to enter a personal identification number (PIN) into a keypad provided alongside the card reader. Unfortunately, introducing this extra step slows the transaction, and inconveniences rightful cardholders. Also, many people simply write their PIN on the financial services card for a fraudulent user to plainly see, thereby defeating the purpose of the PIN.
A fast growing method of committing credit card fraud utilizes the duplication of the magnetic strip information of credit cards by a commercially available device referred to as a "duplicator". A duplicator is capable of reading all of the credit card details from the magnetic strip on the back or front of a credit card, then programming these details onto a blank card. Such improper duplication can sometimes be performed by an unscrupulous retailer who, in the process of performing an apparent sales transaction, receives a credit card from a customer,
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swipes the credit card into the appropriate card reader for authorization purposes, then inappropriately swipes the card into a duplicator, outside of the view of the card holder. The duplicator can be hidden behind a store counter or teller's desk. After the card holder leaves the premises, it is possible for a blank card to be duplicated, and improperly and illegally used until such time as the credit card information is deactivated by the credit card company. Typically, card holders are not aware of this type of duplication and credit card fraud until a monthly statement is received with unauthorized charges thereupon. This can be as much as one month or even longer after the theft or duplication of the card occurs.
Currently, the only way to prevent the duplication of credit cards or unauthorized charges is careful observance by the card holder of the handling of their card by retailers, and careful monitoring of their accounts by either the careful examination of written statements and/or electronic monitoring via internet access. However, since there is a significant amount of delay in the posting of credit card charges, this is not a reliable way to prevent fraud by duplication in this method. Additionally, in the event of loss or theft of cards, the unavoidable time lag before reporting and cancellation/deactivation provides a significant window of unauthorized use. Such unauthorized or fraudulent use creates a significant expense for credit card holders, as well as credit card companies.
Thus, there is a need for a way of verifying the legitimacy of the user of a financial services card, without introducing an element of delay or inconvenience, and without opening the possibility of the card user perfunctorily defeating the verification method.
Objects of the Invention:
The Object of the present invention is to overcome the drawbacks of the prior art system.
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Another object of the present invention is to provide a system and method for reducing or eliminating the unauthorized use of credit or debit cards.
Yet another object of the invention is to provide a system and method for preventing misuse of stolen, lost duplicated, forged and counterfeited credit card/debit card. Accordingly there is provided a system for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit card, said system comprises:
credit/ debit card containing the information relating to a card holder account;
processing unit or server at the merchant's side, said processing unit or server receives the information relating to a card holder account and send it to authorization server;
authorization server to receive the information relating to a card holder account from said processing unit or server at the merchant's side, said authorization server consists of data storing means for storing the information relating to credit/debit card holder account, mobile phone numbers or pager numbers provided by card holder and email addresses given by card holder;
wherein when the financial transaction is requested, said authorization server in response to the receipt of the information relating to card holder account from said processing unit or server at the merchant's side send a message immediately to at least one of a mobile phone number or pager number or an email address provided by card holder.

According to one embodiment of the invention in the system of present invention authorization server is made available and maintained by the credit/debit card
issuer.
According to another embodiment of the invention mobile numbers, pager numbers or email addresses are encoded on credit card. It may possible that mobile numbers,
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pager numbers or email addresses are provided by card holder at the time of applying for a card and said numbers or addresses are stored in the authorization server by the credit/ debit card issuer at the time of
issuing said card. The message to be sent on mobile phone is short service message or MMS or voice mail
According to another embodiment of the invention there is provided a method for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/ debit card, said method comprises steps of:
reading the information related to credit/debit card holder account by card reader when card is swiped; communicating said information to the processor unit or server at the merchant's side;
communicating said information from merchant's processor unit or server to the authorization server;
sending by the authorization server the message of financial transaction to at least one mobile phone numbers, pager numbers or email addresses provided by card holder; and
checking of said message by card holder and accordingly reply to authorization server in respect of the financial transaction requested whether to proceed or stop the transaction.
The method further comprising step of making available and maintaining of authorization server by credit/ debit card issuer.
With this invention of intimating legal card holders pre determined cell phone number or numbers through SMS, MMS, voice mail, email or by any type of signal on his or her mobile phone the probability of misuse of the card certainly is
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restricted or minimized to not more than one misuse of the theft transaction. This will guard entire worlds honest populations hard earned money from modern age's thieves, so also shall guard banks and credit card companies, insurance companies interest and shall help law enforcing agencies in apprehending the culprits or wrong doers quickly. Brief Description of the Drawings:
Figure 1 : Shows the block diagram of a system in accordance with the present
invention.
Figure 2 : Shows the flow chart of a method in accordance with the present
invention.
Figure 3 Shows the further embodiment of the invention.
Detail description of the invention:
The present invention is described below with reference to flowchart illustrations and block diagrams of method and system according to embodiments of the invention.
Figure 1 shows block diagram of a system for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit card in accordance with the present invention. Firstly the information related to credit/debit card holder account is read by card reader. In a preferred embodiment of the invention, the card reader is a magnetic stripe reader suitable for reading the magnetic stripe that conventionally appears on the back of a credit card, debit card, ATM card, check-cashing card, and the like. The invention is not so limited, however, and the card reader may be any reader suitable for reading information from a financial services card, such as a reader that receives wireless RF transmissions from a smart card, an optical reader such as a bar-code, OCR, or infrared reader, an inductive or capacitive reader, and so forth. This information is input to the processor unit or server at the merchant's side. Then this information is sending to credit/debit card authorization server. All these information is sending through communication media. The communication media
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may be any conventional telecommunication media. The authorization center is provided and maintained by the credit card issuing company. The authorization server consists of storage means to store the input information related to card holder account. It also includes the information of mobile numbers, pager numbers and email addresses provided by the card holder. These mobile numbers, pager numbers or email addresses are encoded on credit/ debit card. It may possible that mobile numbers, pager numbers or email addresses are provided by card holder at the time of applying for a card and said numbers or addresses are stored in the authorization server by the credit/debit card issuer at the time of issuing said card.
When the financial transaction is requested authorization server sends the message to at least one mobile phone number or pager number provided by the credit card holder through the telecommunication network server. The message given on mobile phone may be SMS, voice mail or MMS. Instead of mobile phone or pager messaging, authorization server may send the email on the email address provided by the card holder through internet network server. After getting the message in any form card holder get the opportunity to decide whether to approve or disapprove the financial transaction requested by responding the corresponding received message immediately. In this way the system of the present invention prevents misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit card.
Figure 2 shows the flow chart of a method in accordance with the present invention. As shown in figure when financial transaction is requested, firstly the information related to card holder account is read by the card reader. Then it is communicated to merchant's processor unit or server. After that this information is sent to authorization server through communication media. Authorization server then processed the input information related to card holder account and accordingly authorization server send the message on mobile phone numbers or pager numbers provided by the card holder. The message given on mobile phone may be SMS or MMS or voice mail. Message can be delivered by means of email also.
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Figure 3 shows further embodiment of the invention. As shown in figure 3 after reading the message on mobile phone or pager or through email, card holder gets the opportunity to decide whether to approve or disapprove the financial transaction. Card holder can check through the message that whether the transaction requested is valid or not. If it is not valid then card holder can disapprove the transaction and can avoid the misuse of the card.
Although the foregoing has described system and method for verifying a financial services card transaction, the description of the invention is illustrative rather than limiting; the invention is limited only by the claims that follow.
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I Claim:
1. A system for preventing misuse of stolen, lost, duplicated, forged and
counterfeited credit card/ debit card, said system comprises:
credit/debit card containing the information relating to a card holder account;
processing unit or server at the merchant's side, said processing unit or server receives the information relating to a card holder account and send it to authorization server;
authorization server to receive the information relating to a card holder account from said processing unit or server at the merchant's side, said authorization server consists of data storing means for storing the information relating to credit/debit card holder account, mobile phone numbers or pager numbers provided by card holder and email addresses given by card holder;
wherein when the financial transaction is requested, said authorization server in response to the receipt of the information relating to card holder account from said processing unit or server at the merchant's side send a message immediately to at least one of a mobile phone number or pager number or an email address provided by card holder.
2. A system as claimed in claim 1wherein authorization server is made available and maintained by the credit/debit ATM or any type of Smart card issuer.
3. A system as claimed in claim 1wherein mobile numbers, pager numbers or email addresses are encoded on credit/debit card.
4. A system as claimed in claim 1wherein mobile numbers, pager numbers or email addresses are provided by card holder at the time of applying for a card
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or subsequently and said numbers or addresses are stored in the authorization server by the credit/ debit card issuer at the time of issuing said card; or at later stage on receipt of the information
5. A system as claimed in claim 1 wherein message to be sent on mobile phone is short service message or MMS or voice mail/ Email.
6. A method for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit card using a system as claimed in claims 1 to 5, said method comprises steps of:
reading the information related to credit/debit card holder account by card reader when card is swiped;
communicating said information to the processor unit or server at the merchant's side;
communicating said information from merchant's processor unit or server to the authorization server;
sending by the authorization server the message of financial transaction to at least one mobile phone numbers, pager numbers or email addresses provided by card holder; simultaneously and or checking of said message by card holder and accordingly reply to authorization server in respect of the financial transaction requested whether to proceed or stop the transaction.
7. A method as claimed in claim 6 further comprising step of making available
and maintaining of authorization server by credit/ debit card issuer.
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8. A system for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit card as hereinbefore described and illustrated with reference to accompanying drawings.
9. A method for preventing misuse of stolen, lost, duplicated, forged and counterfeited credit card/debit/ATM card as hereinbefore described and illustrated with reference to accompanying drawings.
Dated this 8th day of January, 2007.

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Documents:

41-MUM-2007-ABSTRACT(5-5-2009).pdf

41-mum-2007-abstract(complete)-(8-1-2007).pdf

41-mum-2007-abstract(granted)-(23-9-2009).pdf

41-mum-2007-cancelled pages(18-6-2009).pdf

41-MUM-2007-CLAIMS(5-5-2009).pdf

41-mum-2007-claims(amended)-(18-6-2009).pdf

41-mum-2007-claims(complete)-(8-1-2007).pdf

41-mum-2007-claims(granted)-(23-9-2009).pdf

41-mum-2007-claims.doc

41-mum-2007-claims.pdf

41-MUM-2007-CORRESPONDENCE 25-6-2008.pdf

41-mum-2007-correspondence(18-6-2009).pdf

41-MUM-2007-CORRESPONDENCE(5-5-2009).pdf

41-mum-2007-correspondence(ipo)-(23-9-2009).pdf

41-mum-2007-correspondence-received.pdf

41-mum-2007-description (complete).pdf

41-MUM-2007-DESCRIPTION(COMPLETE)-(5-5-2009).pdf

41-mum-2007-description(complete)-(8-1-2007).pdf

41-mum-2007-description(granted)-(23-9-2009).pdf

41-MUM-2007-DRAWING(5-5-2009).pdf

41-mum-2007-drawing(complete)-(8-1-2007).pdf

41-mum-2007-drawing(granted)-(23-9-2009).pdf

41-mum-2007-drawings.pdf

41-MUM-2007-FORM 1(8-1-2007).pdf

41-mum-2007-form 2(5-5-2009).pdf

41-mum-2007-form 2(complete)-(8-1-2007).pdf

41-mum-2007-form 2(granted)-(23-9-2009).pdf

41-MUM-2007-FORM 2(TITLE PAGE)-(5-5-2009).pdf

41-mum-2007-form 2(title page)-(complete)-(8-1-2007).pdf

41-mum-2007-form 2(title page)-(granted)-(23-9-2009).pdf

41-mum-2007-form 26(4-5-2009).pdf

41-MUM-2007-FORM 3(5-5-2009).pdf

41-mum-2007-form-1.pdf

41-mum-2007-form-18.pdf

41-mum-2007-form-2.pdf

41-mum-2007-form-26.pdf

41-mum-2007-form-3.pdf

41-mum-2007-form-9.pdf

abstract1.jpg


Patent Number 236099
Indian Patent Application Number 41/MUM/2007
PG Journal Number 40/2009
Publication Date 02-Oct-2009
Grant Date 23-Sep-2009
Date of Filing 08-Jan-2007
Name of Patentee SURESH BABUBHAI KAPADIA
Applicant Address MERCHANT CHAMBERS, TILAK PATH, NASIK.
Inventors:
# Inventor's Name Inventor's Address
1 SURESH BABUBHAI KAPADIA MERCHANT CHAMBERS, TILAK PATH, NASIK - 422 002.
PCT International Classification Number G07F19/00F, G07F7/10
PCT International Application Number N/A
PCT International Filing date
PCT Conventions:
# PCT Application Number Date of Convention Priority Country
1 NA