US20050170814A1

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Publication number: US20050170814A1
Application number: US11/091,200
Authority: US
Inventors: Raymond Joao; Robert Bock
Original assignee: Individual
Current assignee: JOAO BOCK TRANSACTION SYSTEMS LLC
Priority date: 1996-08-08
Filing date: 2005-03-28
Publication date: 2005-08-04
Also published as: US7096003B2; US20080120190A1; US20020025797A1

Abstract

A transaction security apparatus and method, including a receiver which receives a limitation or restriction on an account usage, wherein the limitation or restriction on an account usage is received in real-time from a communication device associated with an individual account holder, a memory device for storing the limitation or restriction on an account usage, and a processing device for processing a transaction on an account or an authorization request in conjunction with the limitation or restriction on an account usage. The processing device generates a signal, wherein the signal contains information for authorizing or disallowing the transaction.

Description

FIELD OF THE INVENTION

The present invention pertains to a financial transaction and/or wireless communication device authorization, notification and/or security apparatus and method, and, in particular to a financial transaction and/or wireless communication device authorization, notification and/or security apparatus and method for use in providing authorization, notification and/or security in conjunction with credit card, charge card and/or debit card use, savings and/or checking account activity and/or cellular telephone use.

BACKGROUND OF THE PRESENT INVENTION

Millions of individuals enjoy the convenience of utilizing credit cards, charge cards, debit cards, and/or currency or “smart” cards as a convenient way in which to purchase goods and/or services. By utilizing credit cards, charge cards, debit cards, and/or currency or “smart” cards, an individual may enter into a transaction without having to have cash or currency in hand or otherwise. In the case of credit cards, charge cards and debit cards, the individual, in effect obtains an instant loan of the funds needed to make a purchase and/or enter into a transaction. In the case of currency or “smart” cards, the individual may “store” an amount of money on the card(s) and, thereafter, utilize the card(s), instead of cash or currency, in order to make purchases and/or enter into transactions.

Millions of individuals also enjoy the benefits of having savings accounts, checking accounts and/or automated teller machine accounts which allow then to enjoy the security of saving their money in accounts which are usually insured and which allow them to, in some instances, earn interest on their money. In the case of checking accounts, individuals enjoy the convenience of writing checks and/or other transaction instruments which allow them to draw against their money without having to undergo the inconvenience of going to the bank or financial institution to withdraw their money, in currency form, and traveling to, in some cases, a distant location to either make a purchase, payment and/or to otherwise settle an account. In this regard, the ability to write checks, drafts and/or other instruments against an account is a very convenient manner in which to conduct transactions of any kind.

In the case of automated teller machines, individuals may conveniently withdraw and/or deposit money into a bank of other financial account.

Many individuals also enjoy the convenience of owning and/or using wireless, mobile or cellular telephones or devices as a means by which to make telephone calls when a conventional line or permanent telephone is not within reach and/or when the individual is “on the go”, such as in an automobile, on foot, and/or in any other type of environment, such as away from home, when a conventional line or permanently fixed telephone is not available.

Unfortunately, with the convenience of each of the above credit cards, charge cards, debit cards, and/or currency or “smart” cards, savings accounts, checking accounts, automated teller machine accounts, and cellular telephones or cellular communications devices, comes many disadvantages and the opportunity for theft and/or fraud. In the case of credit cards, charge cards and/or debit cards, hundreds of millions, if not billions, of dollars a year are lost as a result of the theft of, and/or the fraudulent use of, credit cards, charge cards and/or debit cards, or the account numbers which correspond thereto.

A lost or stolen card may be utilized by an unauthorized individual to spend upwards of thousands of dollars before the unauthorized use is detected and/or before the cardholder can ascertain, and/or be notified, either by the card issuer or servicing institution or when the cardholder detects the unauthorized transaction on his or her monthly account statement, that the card is lost or stolen. Similarly, even in the absence of the physical card, an unauthorized individual may utilize the account number which corresponds to the card in order to make certain transactions.

While card holders are usually protected by various coverages which shield them from the liabilities associated with the fraudulent use of a card or the corresponding account number, the card issuers, credit, charge and/or debit card issuing companies and/or institutions, and/or their insurance companies, end up paying for the above described thefts and/or fraudulent and/or unauthorized uses. Ultimately, the consumer also shoulders the burden of the costs associated with these thefts and/or fraudulent and/or unauthorized uses in the form of increased prices.

While authorization terminals and/or devices are utilized at a point-of-sale and/or at the vendor's, the seller's, or the service provider's, location, these authorization terminals and/or devices typically are utilized to obtain an authorization from the card issuer or account servicing institution which, usually entails a screening of whether the card has been lost, stolen, cancelled, de-activated and/or whether the cardholder has exceeded and/or will exceed his or her credit limit. This current authorization practice fails to prevent the use of a lost or stolen card, or the unauthorized use of either the card or the account number corresponding thereof, if the card has not been reported, and/or discovered, to be lost, stolen or used without authorization and/or if the account credit limit has not yet been reached.

Current practices do not entail and/or do not include the provision for obtaining an authorization, and/or for providing notice to the cardholder before, during and/or shortly after a transaction, which cardholder authorization and/or notification procedure would be helpful and prove to be essential in preventing the fraudulent use and/or unauthorized use of a card and/or the account number corresponding thereto in a unauthorized transaction and/or shortly thereafter an unauthorized transaction has occurred, thereby minimizing the fraudulent and/or unauthorized use of the card and/or the account number corresponding thereto.

In the case of currency or “smart” cards, which typically may serve as bearer instruments, the monetary credit on these cards may be completely depleted before the card owner even discovers same to be lost or stolen.

In the case of savings accounts, checking accounts, and/or automated teller machine accounts, these accounts may be accessed, and funds be withdrawn, without the account owner's notification and/or knowledge. In the case of savings accounts and checking accounts, these accounts may be accessed, and/or funds may be withdrawn therefrom, when checks drawn on insufficient funds are returned, and/or when the account number is inadvertently and/or fraudulently utilized in an endorsement, or otherwise, by an individual attempting to cash or perform a transaction with a fraudulent instrument, a forged instrument and/or an otherwise “bad” check. In these instances, the accounts and/or funds involved are usually accessed, invaded, and/or withdrawn from the account involved without the account owner being notified and/or having a say in the matter.

The account owner is typically notified of the above-described activity involving his or her account days later when he or she either receives a mailed notice and/or when they receive and review their monthly or periodic statement, which notice may be received at a time when it may be too late for the account owner to stop or reverse the transaction and/or, in the case of a check or draft returned for insufficient funds, at a time which is too late for the account owner to attempt to collect the funds. In the case of automated teller machine accounts, these accounts may be accessed, such as with a lost, stolen, or counterfeit card and/or with a card account number(s) and/or associated personal identification number(s), by a thief or by any other unauthorized person who could then make an unauthorized withdrawal(s) therefrom.

Once again, the account owner would not receive notification and/or have knowledge of the unauthorized transaction until they are notified by the bank or financial institution either via a monthly and/or periodic statement, and/or when they attempt a transaction at the automated teller machine and, at that time, discover that funds are missing and/or have been withdrawn. In the case of savings accounts, checking accounts and/or automated teller machine accounts, there is no present apparatus or method by which to provide notification to an account owner at the time of the unauthorized transaction and/or account activity and/or shortly thereafter same.

In the case of cellular telephones, recent practices involving “cloning” cellular telephones, which entails intercepting telephone transmissions from a cellular telephone, which transmissions contain the phone number of the transmitting phone and/or the associated personal identification number (PIN), and utilizing the intercepted information to program a different cellular phone which by then be utilized in conjunction with the account of the “cloned” cellular telephone, has also resulted in widespread theft and fraudulent use of cellular telephones and/or cellular communications devices The “cloned” telephones are typically sold on the “black” market. In these instances, the cellular telephone owner has no way of knowing whether, or when, his or her cellular transmissions are being intercepted and/or if and when a “cloned” cellular phone is created and/or is utilized on, or over, his or her cellular telephone account.

Typically, the cellular telephone owner first becomes aware of the unauthorized usage of his or her cellular telephone account when he or she receives their telephone account statement. Once again, in the time between the “cloning” of the cellular telephone and the discovery of same, hundreds, if not thousands, of dollars worth of cellular telephone calls may have been made before the unauthorized use is detected. At present, there is no apparatus or method for providing notification to the cellular telephone owner as to when his or her cellular telephone and/or cellular telephone number is, or has been, utilized in an unauthorized manner.

SUMMARY OF THE INVENTION

The present invention provides an apparatus and a method for providing financial transaction authorization, notification and/or security, and, in particular, provides an apparatus and a method for providing financial transaction authorization, notification and/or security in conjunction with credit card, charge card, debit card, and/or currency or “smart” card use, savings and/or checking account activity and use and/or cellular telephone use, which overcomes the shortcomings of the prior art.

The apparatus and method of the present invention, which is utilized in conjunction with a credit card, a charge card, a debit card and/or a currency or “smart” card authorization process comprises a point-of-sale authorization terminal which terminals are found in various establishments and which are utilized in conjunction with the sale of goods and/or services and/or in other types of financial transactions. The point-of-sale terminal may be utilized at the location of the seller and/or service provider, such as at a retail store or office, and/or the point-of-sale terminal may be located at the site of the goods or service provider or vendor, such as in cases when the sale is a telephone order, mail order and/or other type of transaction, including transactions made on, or over, the INTERNET and/or other on-line services or communication networks or mediums.

The apparatus also comprises a central processing computer for processing the credit, charge, debit and/or currency or “smart” card and/or other transaction requests, and data and/or information pertaining thereto, and/or the authorization pertaining thereto. The central processing computer may service any predefined group of card holders and/or any pre-defined group(s) and/or type(s) of cards. The central processing computer may also process accounts for any of the various banks and/or financial institutions which issue and/or manage credit cards, charge cards, debit cards and/or currency or “smart” cards and/or process or manage these accounts.

The point-of-sale terminal is linked and/or connected to the central processing computer via a communications system, link and/or medium, such as, for example, a telephone network or line. The communications system which is utilized may be any communications system and may include telecommunication systems, satellite communications systems, radio communication systems, digital satellite communications systems, personal communications services communication systems as well as any other appropriate communications system.

The point-of-sale terminal transmits signals and/or data to the central processing computer as well as receives signals and/or data from the central processing computer.

The apparatus also comprises a cardholder communication device which may receive signals and/or data from either or both of the point-of-sale terminal and/or the central processing computer. The communication device may also be equipped with a transmitter for transmitting signals and/or data to the central processing computer. In this regard, the central processing computer transmits signals and/or data to the communication device as well as receives signals and/or data from the communication device. The communication device may also transmit signals and/or data directly to the point-of-sale terminal and receive signals and/or data directly from the point-of-sale terminal.

The point-of-sale terminal may transmit signals and/or data to the central processing computer and to the communication device and may receive signals and/or data from the central processing computer and from the communication device.

The communication device may be a wireless device. In this regard, the communication device may be a telephone signal receiving device which may be a beeper or pager or other device which may be carried by the cardholder and/or be kept on and/or close to the cardholder's person so that the central processing computer may transmit signals and/or data to the communication device so as to communication with the cardholder at any time and at any location.

The apparatus may also comprise a facsimile (fax) machine, a personal computer, a telephone, a telephone answering machine, an alternate telephone, an alternate telephone answering machine, a network computer and/or an alternate beeper or pager. The central processing computer may be linked with the above fax machine, personal computer, telephone, associated answering machine, alternate telephone and associated answering machine, network computer, and/or alternate beeper or pager via any suitable communication system. The telecommunications link or telephone line or link, which may or may not be a wireless link depending on the device and/or the circumstances, is utilized in order to link the central processing computer with each of the fax machine, the personal computer, the telephone, the associated answering machine, the alternate telephone, alternate telephone answering machine, the network computer and/or the alternate beeper or pager.

The apparatus and method of the present invention may be utilized in order to provide cardholder authorization, notification and/or security measures in financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards and may be utilized in order to obtain cardholder authorization in a card-related transaction.

The apparatus and method of the present invention may commence operation when the card, which is to be utilized in a credit card, charge card, debit card, and/or currency or “smart” card, or number corresponding thereto, transaction, is offered at the point-of-sale or other appropriate location whereupon the attendant or point-of-sale terminal operator will activate the apparatus in any typical manner, such as by obtaining a phone line and entering card information into the point-of-sale terminal. Data entry may typically be performed by swiping the magnetic strip of the card through a card reader of the point-of-sale terminal. The information and/or data pertinent to the transaction and the card is then transmitted to the central processing computer.

The central processing computer will then process the information and/or data pertinent to the transaction and to the particular card account and may request, if needed, that the point-of-sale operator enter the transaction amount. The central processing computer will process the information and/or data pertinent to the transaction in conjunction with the card account information in order to determine if the card has been lost, stolen and/or cancelled and/or de-activated. Further, the central processing computer may perform a test in order to determine if the maximum credit, charge or debit account limit has been exceeded and/or if the card has been depleted of its currency value.

Once all of the information and/or data processing has been completed, the central processing computer will determine if the card has been lost, stolen, and/or cancelled and/or de-activated and/or if the credit, charge or debit account limit of the card has been reached and/or exceeded and/or if the currency value of the card has been depleted.

The central processing computer may also perform a test in order to determine if the predetermined maximum number of unauthorized transactions have occurred on the account. If any of the above listed conditions are found to exist (i.e. card is lost, stolen, cancelled and/or de-activated, or credit, charge or debit account limit has been reached or exceeded, currency value depleted, or unauthorized transaction limit reached or exceeded), the central processing computer may transmit a signal to the point-of-sale terminal indicating that the transaction is not approved and/or is not authorized. The point-of-sale terminal operator may then cancel the transaction. The point-of-sale terminal operator may then confiscate the card and/or alert the authorities.

If, however, the central processing computer should determine that the card is not lost, stolen, cancelled or de-activated, or that the credit, charge or debit account limit of the card has not been reached or exceeded, or that the of unauthorized transactions count has not reached a predefined limit, the central processing computer may transmit a signal and/or data to the communication device which is located with the cardholder. The central processing computer may then also transmit respective signals and/or data to any one or more of the cardholder's designated fax machine, personal computer, telephone, telephone answering machine, alternate telephone, alternate telephone answering machine, network computer, and/or alternate beeper or pager, either sequentially and/or simultaneously.

The information and/or data transmitted to the communication device includes information and/or data identifying the transaction and may include the name of the store or the service provider and the amount of the transaction. The information and/or data may also provide the time of the transaction, the location (i.e. city, town, village, state, country, etc.) of the transaction. The information and/or data may also include the phone number of the central processing office and/or computer servicing the account so that the cardholder may telephone same in order to authorize or cancel the transaction. The information and/or data may also be supplemented to include the type of goods and/or services involved in the transaction, if such information can be entered at the point-of-sale terminal.

The information and/or data which is transmitted from the central processing computer, and received at the communication device, may be displayed to the cardholder on a display device of the communication device. The information displayed on the display device may include the name of the store or the service provider, the amount of the transaction, the time of the transaction and the location of the transaction. The information and/or data may also be supplemented to include the type of goods and/or services involved in the transaction, if such information can be entered at the point-of-sale terminal.

The apparatus, or the central processing computer, may then wait for the cardholder to respond to the transmission. During this time, the cardholder may either utilize the reply or two-way pager feature on the communication device in order to either approve, or authorize, the transaction or to disapprove, or void the transaction. The apparatus may then determine if the cardholder has made a reply or response within a pre-defined time limit. The cardholder may also transmit a signal via an appropriate key or button suspending use of the card such as when he or she may first be apprised of the fact that the card has been lost or stolen. If the cardholder has replied or responded to the notice, the response may then be transmitted to, and received by, the central processing computer. The cardholder may also simply telephone the central processing office or processing center, servicing the card, so as to personally notify the office or center of his or her response to the central processing computer transmission regarding the transaction.

If the cardholder does not reply to the central processing computer within a pre-specified time, the central processing computer may transmit a signal and/or data to the point-of-sale terminal indicating that, with the exception of receiving the authorization of the cardholder, the transaction is otherwise approved. The central processing computer may also simply transmit a signal indicating that the transaction is not authorized and, therefore, should be cancelled of voided. The point-of-sale terminal operator may then either proceed to complete the transaction, try to obtain additional information from the purchaser, or cancel the transaction.

The action taken by the point-of-sale terminal operator may be dictated by the specific agreement in effect between the sales or service establishment and the bank or financial institution administering the card accounts. Thereafter, the operation of the apparatus will cease. If the cardholder should reply or respond to the transaction notice at a later period, this information may then be utilized in order to approve, or to disapprove, and/or to dispute the transaction.

The central processing computer, after receiving the reply or response from the cardholder, may then identify the cardholder response. The apparatus, or the central processing computer, may then determine if the cardholder has replied or responded so as to authorize the transaction. If the cardholder's response is to cancel, to disapprove or not authorize, the transaction, the central processing computer may transmit a signal and/or data to the point-of-sale terminal which will notify and/or instruct the point-of-sale terminal operator that the transaction is not authorized and, therefore, should be cancelled or voided. The point-of-sale terminal operator may then cancel the transaction. The point-of-sale terminal operator may then confiscate the card and/or alert the authorities. Thereafter, the apparatus will cease operation.

If, however, the central processing computer identifies the cardholder reply or response as being one to authorize the transaction, the central processing computer may then transmit a signal and/or data to the point-of-sale terminal which may notify and/or instruct the point-of-sale terminal operator that the transaction is authorized and/or approved. The point-of-sale terminal operator may then complete the transaction. Thereafter, operation of the apparatus will cease.

In cases when the cardholder is the party to the transaction, he or she, having the communication device with, or on, his or her person, may authorize the transaction at the point-of-sale location or from his or her remote location. The cardholder may also program and/or set the communication device to automatically authorize or disapprove or disallow transactions.

In this regard, the communication device may be programmable so as to receive and/or to analyze the transaction information and/or data and reply or respond to same automatically and/or with preset or programmed replies and/or responses. The communication device may also be programmable so as to limit and/or restrict the amounts and/or types of transactions, and/or the goods and/or services which may be purchased with the card, the stores or service providers which may be authorized to accept the card, limits on the dollar amounts of transactions pertaining to each authorized vendor, seller and/or service provider, daily spending limits, and/or the geographical area or location to which authorized use may be limited, and/or authorized times for card usage (i.e. specific days, dates, time of day, time of month, year, etc.), and/or any other limitation and/or restriction regarding amount of the transaction, the parties involved, the geographical area limitations, and/or the times of allowed usage. In this regard, the cardholder may provide for temporary transaction and/or purchasing amounts.

The communication device may also be provided with a memory device for storing any number of transactions so that the cardholder may review his account activity and/or transactions which have occurred involving his or her card. In this manner, the cardholder may “scroll” through and/or in other ways review account activity at any time and for any time period and/or interval. The communication device may also be equipped to service more than one card. For example, a plurality of cards may be serviced with or by a single communication device.

The apparatus and method of the present invention provides for the real-time authorization, notification and/or security of financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards, which enables a cardholder to monitor, in real-time, all activity involving his or her card(s) and the corresponding account numbers. The apparatus and method of the present invention also provides a means and a mechanism by which to inform a cardholder that his or her card(s) are lost, stolen and/or are or have been fraudulently used, and/or when his or her card number(s) are or have been fraudulently used, and provides an indication to the cardholder of where his or her card(s) are being or have been utilized in transactions. The cardholder may then report the card lost or stolen and/or cancel and/or de-activate the card.

The present invention also provides a means and a mechanism by which to monitor the number of transactions which are unauthorized by the cardholder and determine whether or not to authorize transactions and/or to cancel or to de-activate the card(s). In the above manner, the present invention provides an apparatus and a method to prevent and/or to drastically limit fraudulent and/or unauthorized use of credit cards, charge cards, debit cards, and/or currency or “smart” cards, and/or the account numbers corresponding thereto.

The present invention, in an alternate embodiment, may be utilized so as to provide authorization, notification and/or security in banking and related financial transactions involving checking accounts, savings accounts and/or automated teller machine (ATM) transactions and/or other transactions wherein an account holder can be notified of a transaction and/or attempted transaction. In such an alternate embodiment, the apparatus comprises a banking transaction terminal, which terminals are found in banks and financial institutions, and which may be a teller terminal, a processing computer terminal and/or an ATM terminal. The apparatus also comprises a central processing computer and a communication device. The banking transaction terminal transmits an authorization request which may include the data pertaining to the particular account which is accessed and/or involved in the transaction and the type and the amount of the transaction, over a communications medium, to the central processing computer for processing the transaction request and/or the authorization pertaining thereto.

The central processing computer may transmit signals and/or data pertaining to the transaction to the communication device. The apparatus may then operate and/or be utilized in a manner similar to, or analogous to, the apparatus utilized in conjunction with credit cards, charge cards, debit cards, and/or currency or “smart” cards, and/or the account numbers corresponding thereto, as described above.

In this manner, the apparatus and method of the present invention may provide for the real-time notification of banking and/or financial transactions involving various bank and/or financial accounts and enable an account owner to monitor, in real-time, all activity involving his or her bank and/or financial accounts. The apparatus and method of the present invention also provides a means and a mechanism by which to inform an account owner that his or her account is overdrawn, has been charged against and/or that his or her ATM card(s) are lost, stolen, cancelled or de-activated and/or provides an indication to the account owner of when and/or where his or her accounts are being accessed in transactions and/or are being otherwise compromised. The account owner may then report the unauthorized activity, or the discovery of a lost or stolen ATM card, and/or cancel and/or de-activate the respective account(s) and/or ATM card(s).

In another alternate embodiment, the apparatus and method of the present invention may also be utilized so as to provide authorization, notification and/or security for, and in conjunction with, cellular and/or mobile telephones and/or communication systems wherein a cellular or mobile telephone owner and/or account holder can be notified of a transmission and/or an attempted transmission and/or telephone call made with his or her cellular or mobile telephone and/or with the telephone number and/or account information, which information may include, but not be limited to, transmission codes and/or associated signatures and/or data which corresponds to his or her cellular or mobile telephone.

The apparatus utilized in conjunction with a cellular telephone comprises a cellular telephone which serves as the transaction terminal, a central processing computer and a communication device. The cellular telephone transmits signals and/or data which are received by the central processing computer. The central processing computer may then transmit signals and/or data which are received by the communication device. The apparatus may then operate and/or be utilized in a manner similar to, or analogous to, the apparatus utilized in conjunction with credit cards, charge cards, debit cards, and/or currency or “smart” cards, savings accounts, checking accounts and/or automated teller machine accounts, and/or the account numbers corresponding thereto, as described above.

The apparatus and method of the present invention provides for the real-time notification of cellular or mobile telephone usage which enables a cellular telephone owner and/or account holder to monitor, in real-time, all activity involving his or her cellular telephone. The apparatus and method of the present invention also provides a means and a mechanism by which to inform a cellular telephone owner and/or account holder that his or her cellular telephone is lost, stolen and/or is being fraudulently used, and/or that the telephone number is being used in an unauthorized manner, and provides an indication to the cellular telephone owner and/or account holder of how, when and where his or her cellular telephone, or the account number which corresponds thereto, is being utilized in cellular communication transactions. The cellular telephone owner and/or account holder may then report the cellular telephone lost or stolen and/or cancel and/or de-activate the cellular telephone and/or the corresponding account and/or the account number.

The present invention also provides an apparatus and a method by which to monitor the number of cellular or mobile telephone transactions which are unauthorized by the cellular or mobile telephone owner and to determine whether or not a central processing computer should cancel or de-activate the cellular telephone and/or the account. In the above manner, the present invention provides an apparatus and a method for preventing and/or for drastically limiting fraudulent use and/or unauthorized use of cellular or mobile telephones and/or cellular or mobile telephone numbers. The present invention also provides an apparatus and a method for combating cellular telephone “cloning.”

The apparatus and method of the present invention may also be utilized in connection with an on-line service and/or on, or over, the Internet and/or the World Wide Web, so as to provide for a means by which the authorized user or operator may utilize the apparatus in conjunction with a home and/or a personal computer and/or a commercial or industrial computer system (i.e., an internet server computer) and/or any other appropriate device, including a personal communication and/or computing device, in a network environment, and which may be utilized over any suitable and/or appropriate communications network or medium.

The communications system utilized in conjunction with the present invention may operate anywhere in the electromagnetic and/or the radio spectrum. Personal communication service (PCS) systems and devices, including stationary, portable and/or hand-held devices, and digital signal communications devices and systems, may also be utilized. The communication system or medium should provide for the transmission and for the reception of a multitude of remote electrical, electronic, electromagnetic, and/or other suitable signals, over long distances and/or in a mobile and/or a wireless communications environment.

The apparatus and method of the present invention may be utilized in conjunction any appropriate communications device which may be utilized with any appropriate communications system and/or medium.

The present invention may also be equipped with, and be utilized with, hardware and software necessary for providing self-monitoring functions, automatic control and/or responses to occurrences, automatic notice of an occurrence and/or a situation, to an owner, user and/or authorized individual. In this regard, any and all of the embodiments described above may comprise a monitoring device, a triggering device and/or any other suitable device for detecting an occurrence and/or identifying a situation which may warrant providing notice to a card holder, account owner, cellular telephone owner and/or an authorized individual.

In this regard, the apparatus and method may provide a transmission of any appropriate signal from a transmitter and, if desired, from a voice synthesizer to the card holder, account owner and/or cellular telephone owner. The signal utilized could be in the form of a communication transmission, depending upon the communication medium utilized, a telephone call, a voice message, a beeper and/or a pager message, an electronic mail message, a fax transmission, and/or any other mode of communication which may be utilized with any of the apparatuses, devices and/or components described herein.

In this regard, the apparatus may be designed or programmed to telephone the cardholder, account owner and/or cellular telephone owner, and/or other authorized individual, at a primary phone number, at an alternate or forwarding phone number, and/or at a business phone number, send a beeper or pager message to the individual, and/or send a fax message, an electronic mail (e-mail) message, a voice mail message and/or an answering service message to, or for, the card holder, account owner and/or cellular telephone owner or authorized individual. In this manner, the apparatus may communicate with the desired individual by utilizing multiple notification and/or reporting avenues and/or devices so as to provide and to ensure that best efforts are to be made to communicate with the desired individual as soon as possible.

The apparatus and method of the present invention may also be programmable for programmed and/or automatic activation, self-activation, programmed and/or automatic operation and/or self-operation. The apparatus and method of the present invention may provide for an immediate, as well as for a deferred, authorization, notification and/or security in any of the above-described financial transactions and/or wireless communication transactions.

The present invention may also be utilized in such a manner that a communication device may receive and/or transmit signals, data and/or information which pertains to multiple accounts and/or multiple types of accounts in order to provide authorization, notification and/or security for a plurality of any of the accounts described herein.

The present invention, in any of the embodiments described herein, may also be designed to be user-friendly. In this regard, the present invention may be menu-driven, and/or its operation may be menu-selected, from audio menus, visual menus, or both audio and visual menus.

Accordingly, it is an object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart cards, savings accounts, checking accounts and/or automated teller machine accounts and for providing authorization, notification and/or security in wireless communications transactions involving cellular telephones and/or other cellular communications devices.

It is another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions involving credit cards, charge cards, debit cards, wherein the cardholder may authorize or disapprove of a transaction, in real time.

It is another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions involving savings account, checking accounts and/or automated teller machine accounts, wherein the account owner may authorize or disapprove of a transaction, in real time.

It is another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in wireless communications transactions involving cellular telephones and/or other cellular communications devices, wherein the cellular telephone or cellular communication device owner may authorize or disapprove of a transaction, in real time.

It is another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions and/or in wireless communication transactions, which may be utilized on, over, or in conjunction with, an on-line service and/or the Internet, the World Wide Web, and/or any other suitable communication network or medium.

It is still another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions and/or in wireless communications transactions, which is programmable and/or which may provide for pre-programmed and/or pre-specified transaction authorization and/or transaction disapproval.

It is still another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions and/or in wireless communications transactions, which may be utilized over any suitable communications network or medium.

It is still another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions and/or in wireless communication transactions, wherein the respective cardholder, account owner or cellular telephone owner may increase or decrease the respective account credit limits, account activity, funds available, calling areas and/or usage limits at any time and/or from any location.

It is still another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions and/or in wireless communications transactions, which is programmable with respect to authorized times of usage (i.e. specific days, dates, time of day, time of month, year, etc.), and/or any other limitations regarding amount of transaction limitations, parties involved, and/or geographical area and/or location of allowed usage.

It is yet another object of the present invention to provide an apparatus and a method for providing authorization, notification and/or security in financial transactions, and/or in wireless communication transactions, for a plurality of accounts and types of accounts.

Other objects and advantages of the present invention will be apparent to those skilled in the art upon a review of the Description of the Preferred Embodiment taken in conjunction with the Drawings which follow.

BRIEF DESCRIPTION OF THE DRAWINGS

In the Drawings:

FIG. 1 illustrates a block diagram of the apparatus of the present invention which is utilized in conjunction with a credit card, a charge card, a debit card, and/or a currency or “smart” card authorization process;

FIG. 2 illustrates the various components of the apparatus ofFIG. 1;

FIG. 3 illustrates the operation of the apparatus ofFIG. 1 in flow diagram form;

FIG. 4 illustrates a block diagram of an alternate embodiment of the apparatus of the present invention which is utilized in conjunction with a checking account, a savings account and/or an automated teller machine transaction;

FIG. 5 illustrates the various components of the apparatus ofFIG. 4;

FIG. 6 illustrates the operation of the apparatus ofFIG. 4 in flow diagram form;

FIG. 7 illustrates a block diagram of an alternate embodiment of the apparatus of the present invention which is utilized in conjunction with a cellular and/or a mobile telephone;

FIG. 8 illustrates the various components of the apparatus ofFIG. 7;

FIG. 9 illustrates the operation of the apparatus ofFIG. 7 in flow diagram form;

FIG. 10 illustrates yet another alternate embodiment of the present invention wherein the apparatus of the present invention is utilized on, or over, an on-line service, the INTERNET and/or the World Wide Web or other suitable communication network or medium; and

FIG. 11 illustrates yet another alternate embodiment of the present invention which is also utilized in conjunction with an on-line service and/or on, or over, the INTERNET and/or the World Wide Web or the suitable communication network or medium.

DESCRIPTION OF THE PREFERRED EMBODIMENT

FIG. 1 illustrates a block diagram of a preferred embodiment of the apparatus of the present invention, which is utilized in conjunction with a credit card, a charge card and/or a debit card authorization process. The apparatus ofFIG. 1 is denoted generally by the reference numeral1. With reference toFIG. 1, the apparatus consists of a point-of-sale authorization terminal2 which terminals are found in various establishments and utilized in conjunction with the sale of goods and/or services and in other financial transactions.

The point-of-sale authorization terminal2 (hereinafter referred to as “point-of-sale terminal”) may be any of the widely used and well known terminals or devices for providing point-of-sale authorization for transactions involving credit cards, charge cards, debit cards and/or other currency or “smart” cards. The point-of-sale terminal2 may be utilized at the location of the goods and/or service provider, such as the retail store or office, and/or the point-of-sale terminal2 may be located at the site of the goods or service provider or vendor, such as in cases when the sale is a telephone order, mail order and/or other type of transaction, including transactions made over the INTERNET and/or other on-line mediums.

Typically, the terminals and devices for providing point-of-sale authorization comprise and utilize a magnetic card reader and/or magnetic strip card reader, for reading data from the magnetic strip located on credit cards, charge cards, debit cards and/or the currency or “smart” cards. The point-of-sale terminal2 transmits an authorization request which may include the data pertaining to the particular card utilized in the transaction and the amount of the transaction, over a communications medium, to a central processing computer for processing the credit, charge, debit and/or other transaction request and/or the authorization request pertaining thereto.

The point-of-sale terminal2 also receives the authorization and/or authorization data and/or information from the central processing computer. A printed transaction receipt may also be provided at and/or obtained via the point-of-sale terminal2, or peripheral device associated therewith, for printing a transaction receipt which is usually or typically signed by the card holder in completing the transaction. The point-of-sale terminal2 may be designed to read other data besides and/or in addition to magnetic card data. The point-of-sale terminal2 may also comprise, or have associated therewith, a keypad for the manual entry of transaction information and/or data, such as the amount of the transaction. The point-of-sale terminal2 may also be an integral component of a cash register or other transaction terminal or device which may provide for the automatic entry of transaction information and/or data.

The apparatus1 also comprises a central processing computer3 which services any predefined group of cardholders. For example, the central processing computer3 may handle all MASTERCARD transactions for a given financial and/or credit institution. The central processing computer3, for example, may process credit cards, charge cards, debit cards, and/or currency or “smart” cards and/or combinations of same, such as, for example, VISA®, MASTERCARD®, and/or AMERICAN EXPRESS® cards and process and/or mange account information pertaining thereto. The central processing computer3 may also process accounts for any of the various banks and/or financial institutions which issue and/or manage credit cards, charge cards, debit cards and/or currency or “smart” cards (hereinafter referred to as “card” or “cards”) and/or process or manage these accounts.

The central processing computer3 may be a mainframe computer, a mini-computer, a micro-computer, a server computer, such as those utilized in conjunction with on-line services and/or in a network environment, and/or any other suitable computer or computer system.

The apparatus1 also comprises acardholder communication device4 which may receive signals and/or data from either or both of the point-of-sale terminal2 and/or the central processing computer3. In the preferred embodiment ofFIG. 1, thecommunication device4 receives signals and data from the central processing computer3 with said signals being transmitted via a suitable communication system. In the preferred embodiment, the communications system utilized for transmitting signals and/or data to thecommunication device4 is a wireless telephone line and thecommunication device4 is a telephone signal receiving device such as a telephone beeper or pager. Thecommunication device4 or pager receives the wireless telephone signals and/or data from the central processing computer3 during the authorization procedure as will be described in more detail below.

In the preferred embodiment, thecommunication device4 is also equipped with a transmitter for transmitting signals and/or data to the central processing computer3. In this regard, the central processing computer3 transmits signals and/or data to thecommunication device4 as well as receives signals and/or data from thecommunication device4. Thecommunication device4 may also transmit signals and/or data directly to the point-of-sale terminal2 and receive signals and/or data directly from the point-of-sale terminal2. In the preferred embodiment, the point-of-sale terminal2 transmits signals and/or data to the central processing computer3 and receives signals and/or data from the central processing computer3. Further, in the preferred embodiment, thecommunication device4 receives signals and/or data from the central processing computer3 and transmits signals and/or data to the central processing computer3.

As noted above, thecommunication device4 is a wireless device. In this regard, thecommunication device4 or pager may be carried by the cardholder and/or be kept on and/or close to the cardholder's person so that the central processing computer3 may transmit signals and/or data to thecommunication device4 so as to communicate with the cardholder at any time. Thecommunication device4 may also comprise any one or more of a facsimile (fax) machine, a personal computer, a telephone, a telephone answering machine, an alternate telephone, an alternate telephone answering machine, a network computer, and/or an alternate beeper or pager. The central processing computer3 may be linked with each of the above devices via any suitable communication system.

In the preferred embodiment, the apparatus1 also comprises a facsimile (fax)machine5, apersonal computer6, a telephone7, atelephone answering machine8, analternate telephone9, an alternatetelephone answering machine10, anetwork computer11, analternate beeper12 and analternate pager13. The central processing computer3 may be linked with theabove fax machine5,personal computer6, telephone7, associated answeringmachine8,alternate telephone9, alternatetelephone answering machine10,network computer11, and/oralternate beeper12 orpager13, via any suitable communication system. In the preferred embodiment, a telecommunications link or telephone network, line or link, which may or may not be a wireless link depending on the device and/or the circumstances, is utilized in order to link the central processing computer3 with each of thefax machine5, thepersonal computer6, the telephone7, the associated answeringmachine8, thealternate telephone9, alternatetelephone answering machine10, thenetwork computer11, and/or thealternate beeper12 and thealternate pager13.

FIG. 2 illustrates the various components of the apparatus1 ofFIG. 1. InFIG. 2, the point-of-sale terminal2, in the preferred embodiment, comprises a central processing unit orCPU2A, amagnetic card reader2B, which is connected to theCPU2A, associatedrandom access memory2C (RAM) and read onlymemory2D (ROM) devices, which are also connected to theCPU2A, auser input device2E, which is typically a keypad or other suitable input device for inputting data into theterminal2 and which is also connected to theCPU2A, and adisplay device2F for displaying information and/or data to a user.

The point-of-sale terminal2 also comprises atransmitter2G for transmitting signals and/or data to the central processing computer3, and/or to thecommunication device4 and/or to any other device associated with the cardholder and/or the apparatus, if desired. Thetransmitter2G is also connected to theCPU2A. The point-of-sale terminal2 also comprises areceiver2H for receiving signals and/or data from the central processing computer3, and from thecommunication device4 and/or any other associated device which may be utilized, if desired. Thereceiver2H is also connected to theCPU2A. The point-of-sale terminal2 also comprises a printer2I or other appropriate output device for outputting data to the user. The printer2I is also connected to theCPU2A. In the preferred embodiment, the printer2I prints receipts corresponding to the transaction.

InFIG. 2, the central processing computer3, in the preferred embodiment, comprises a central processing unit orCPU3A, associatedrandom access memory3B (RAM) and read onlymemory3C (ROM) devices, which are connected to theCPU3A, auser input device3D, which is a keypad and/or any other suitable input device for inputting data into the central processing computer3 and which is also connected to theCPU3A and adisplay device3E for displaying information and/or data to a user or operator.

The central processing computer3 also comprises a transmitter(s)3F for transmitting signals and/or data to the point-of-sale terminal2 and to thecommunication device4 and/or to any one or more of thefax machine5,personal computer6, telephone7,telephone answering machine8,alternate telephone9, alternatetelephone answering machine10,network computer11 and/oralternate beeper12 oralternate pager13. The transmitter(s)3F is also connected to theCPU3A. The central processing computer3 also comprises a receiver(s)3G for receiving signals and/or data from the point-of-sale terminal2 and from thecommunication device4 and/or from any other suitable device which may be utilized in conjunction with the apparatus1. The receiver(s)3G is also connected to theCPU3A. The central processing computer3, in any and/or all of the embodiments described herein, may utilize a fax/modem and/or any other suitable computer communication device.

The central processing computer also comprises a database(s)3H which contains account information and data pertaining to the cardholders and/or to the cardholder accounts. Thedatabase3H contains information about the cardholder, the cardholders account number, credit and/or account limits, previous purchases, number of unauthorized purchases made to the account and other information and/or data necessary to manage and/or process an account transaction as described herein.

Thedatabase3H may also comprise data and/or information regarding specific limitations and/or restrictions which may be placed on a particular account, which may be pre-selected and/or programmed by the cardholder and which may include limitations and/or restrictions on the usage of the card. The limitations and/or restrictions may include the types of transactions which are allowed and/or authorized, the goods and/or services which may be purchased with the card, the vendors, stores and/or service provider which may be authorized to accept the card, limits on the dollar amounts of transactions pertaining to each authorized vendor, seller and/or service provider, daily spending limits, and/or the geographical area or location wherein authorized card use may be limited, and/or authorized times for card usage (i.e. specific days, dates, time of day, time of month, year, etc.), and/or any other limitation and/or restriction regarding amount of transaction, parties involved, geographical area, and/or times of allowed usage. Thedatabase3H is also connected to theCPU3A. The central processing computer3 also comprises a printer3I or other appropriate output device for outputting information and/or data to a user or operator.

InFIG. 2, thecommunication device4, in the preferred embodiment, comprises a central processing unit orCPU4A, associatedrandom access memory4B (RAM) and read onlymemory4C (ROM) devices, which are connected to theCPU4A, auser input device4D, which is a keypad or a plurality of keys and/or switches for inputting data into thecommunication device4 and which is also connected to theCPU4A, and adisplay device4E, for displaying information and/or data to the cardholder, and adatabase4F, which are also connected to theCPU4A. Thecommunication device4 also comprises areceiver4G for receiving signals and/or data from the central processing computer3 and which is also connected to theCPU4A, atransmitter4H for transmitting signals and/or data to the central processing computer3 and which is also connected to theCPU4A.

In the preferred embodiment, thecommunication device4 which is utilized is a pager with a reply feature and/or device. A two-way pager and/or pager systems may also be utilized for implementing the respective component system(s) in thecommunication device4/central processing computer3 combination and/or link.

The apparatus1 of the present invention, in the preferred embodiment, may be utilized in order to facilitate cardholder authorization, notification and/or security measures in financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards, in the manner described below and with reference toFIG. 3. In this manner, the apparatus1 of the present invention may be utilized to obtain cardholder authorization in a card-related transaction.

FIG. 3 illustrates the operation of the apparatus1 in flow diagram form. With reference toFIG. 3, the operation of the apparatus1 commences atstep30 when the card, which is to be utilized in a credit card, charge card, debit card, and/or currency or “smart” card transaction, is presented in the transaction. Atstep31, the sales or service attendant or point-of-sale terminal operator (hereinafter “point-of-sale terminal operator”) will activate the apparatus1 in any typical manner, such as by obtaining a phone line and entering card information into the point-of-sale terminal2. This data entry is typically performed by swiping the magnetic strip of the card through thecard reader2B. The information and/or data pertinent to the transaction, and/or the card, is then transmitted, atstep32, to the central processing computer3.

The central processing computer3 will, atstep33, process the information and/or data pertinent to the transaction and/or to the particular card account and may request, if needed, that the point-of-sale operator enter the transaction amount. The central processing computer3 will then process the information and/or data pertinent to the transaction in conjunction with the card account information in order to determine if the card has been lost, stolen and/or cancelled and/or de-activated. Further, the central processing computer3 will perform a test to determine if the card has reached and/or exceeded the maximum credit, charge or debit limit and/or if the card has been depleted of its currency value.

The central processing computer3 may utilize any of the widely known data processing and/or software routines, which are known to those skilled in that art, in order to process transaction requests and/or authorizations involving the use of the respective card(s). Once the information and/or data processing has been completed atstep33, the central processing computer3, atstep34, will determine if the card has been lost, stolen, and/or cancelled and/or de-activated, or if the credit, charge or debit limit of the card has been reached and/or exceeded, or if the currency value of the card has been depleted.

The central processing computer3 will, atstep34, also perform a test in order to determine if the predetermined maximum number of unauthorized transactions have occurred on the account. The unauthorized transactions count refers to transactions which are not authorized by the cardholder as will be described herein. The authorized transaction count (UNAUTHCT) is a variable which is pre-set to zero (0) at the time the card account is issued. Each time an unauthorized transaction occurs, the unauthorized transaction count is incremented by one (1). Once the unauthorized transaction count reaches a pre-defined limit of, for example, three (3), the central processing computer3 will cancel the transaction and de-activate the card. The central processing computer3 will then notify the cardholder. In this manner, the apparatus1 will enable the central processing computer3 of an issuing and/or card servicing institution to cancel and/or de-activate the card, either permanently and/or temporarily, in cases when the cardholder may have failed to respond or to reply to transaction notices, which may be the case when the cardholder is not aware that the card has been lost or stolen, or when the card or account number has been duplicated, “cloned”, or in other ways utilized without the cardholder's authorization, and/or when the cardholder is unable to respond or reply to the transaction notices for some other reason(s). This feature of the present invention serves to put a usage limit on the use of the card(s). The central processing computer3, atstep34, will also perform a test(s) to determine if any additional limitations and/or restrictions have been met and/or satisfied.

If any of the above listed conditions exist (i.e. card is lost, stolen, cancelled and/or de-activated, or credit, charge or debit limit is reached and/or exceeded, currency value depleted, unauthorized transaction limit reached or exceeded limitations and/or restrictions violated, etc.), the central processing computer3 will, atstep35, transmit a signal to the point-of-sale terminal2 indicating that the transaction is not approved and/or is not authorized. The point-of-sale terminal operator may then cancel the transaction, atstep36. The point-of-sale terminal operator may then confiscate the card and/or alert the authorities. Upon the completion ofstep36, the apparatus will cease operation atstep55.

If, atstep34, the central processing computer3 determines that the card is not lost, stolen, cancelled or de-activated, or that the credit, charge or debit limit of the card has not been reached or exceeded, or that the of unauthorized transactions count (UNAUTHCT) has not reached a pre-defined limit, or whether any other pre-defined, pre-selected and/or programmed limitation(s) and/or restriction(s) have been met, have been satisfied and/or have been reconciled, the central processing computer3 will, atstep37, transmit a signal and/or data to thecommunication device4 which is located at the cardholder.

Atstep37, the central processing computer3 will then also transmit respective signals and/or data to any one or more of the cardholder's designatedfax machine5,personal computer6, telephone7,telephone answering machine8,alternate telephone9, alternatetelephone answering machine10,network computer11, and/oralternate beeper12 oralternate pager13.

The information and/or data which is transmitted to thecommunication device4 includes information and/or data identifying the transaction and may include the name of the store or the service provider and the amount of the transaction. The information and/or data may also provide the time of the transaction, the location (i.e. city, town, village, state, country etc.) of the transaction. The information and/or data may also include the phone number of the central processing office and/or computer servicing the account so that the cardholder may telephone same in order to authorize or cancel the transaction. The information and/or data may also be supplemented to include the type of goods and/or services involved in the transaction, if such information can be entered at the point-of-sale terminal2.

Atstep38, the information and/or data which is transmitted from the central processing computer3 and received at thecommunication device4 is displayed to the cardholder on thedisplay device4E of thecommunication device4. The information displayed on thedisplay device4E includes the name of the store or the service provider, the amount of the transaction, the time of the transaction and the location of the transaction. The information and/or data may also be supplemented to include the type of goods and/or services involved in the transaction, if such information can be entered at the point-of-sale terminal2.

The apparatus1 will then, atstep39, wait for the cardholder to respond to the transmission. During this time, the cardholder may either utilize the reply or two-way pager feature on thecommunication device4 in order to either approve or authorize the transaction or disapprove of or void the transaction. Atstep39, the central processing computer3 will also receive the response if one is sent. Atstep40, the apparatus1 will determine if the cardholder has made a reply or response within the pre-defined time limit which is chosen, in the preferred embodiment, to be one (1) minute. The cardholder may also transmit a signal via an appropriate key or button suspending use of the card such as when he or she may first be apprised of the fact that the card has been lost or stolen. In instances when thecommunication device4 does not have a reply or two-way pager feature, the cardholder may simply telephone the central processing office or a processing center for the card in order to personally appraise the center or office of his or her response to the central processing computer transmission regarding the transaction.

If the cardholder does not respond or reply to the central processing office within the pre-specified time, chosen, in the preferred embodiment, to be one (1) minute, the central office computer will, atstep41, increment the unauthorized transaction count (UNAUTHCT) by one (1) and will, atstep42, transmit a signal and/or data to the point-of-sale terminal2 indicating that, with the exception of receiving the authorization of the cardholder, the transaction is otherwise approved. The point-of-sale terminal operator may then, atstep43, either proceed to consummate the transaction, try to obtain additional information from the purchaser, or cancel the transaction. The action taken by the point-of-sale terminal operator may be dictated by the specific agreement in effect between the sales and/or service provider establishment and the bank or financial institution administering the card account. Upon the completion ofstep43, the operation of the apparatus1 will cease atstep44. If the cardholder should reply or respond to the transaction notice at a later period, the response or reply information may then be utilized in order to approve of, or to disapprove and/or to dispute, the transaction.

If, atstep40, the response or reply is determined to be timely, the central processing computer3 will, atstep45, process and identify the cardholder response. Atstep46, the central processing computer3 will determine if the cardholder has replied or responded so as to authorize the transaction. If the cardholder's response is to cancel, disapprove or, or not to authorize, the transaction, the central processing computer3 will, atstep47, increment an unauthorized transaction count by 1. At this juncture, it is important to note that the unauthorized count (UNAUTHCT) is set to zero at the time of the issuance of the card. After the unauthorized transaction count has been incremented, the central processing computer3 will, atstep48, transmit a signal and/or data to the point-of-sale terminal2 which will notify and/or instruct the point-of-sale terminal operator that the transaction is not authorized and should, therefore, be cancelled or voided. The point-of-sale terminal operator may then cancel the transaction atstep49. The point-of-sale terminal operator may then confiscate the card and/or alert the authorities. Upon the completion ofstep49, the apparatus will cease operation atstep50.

If, atstep46, the central processing computer3 identifies the cardholder reply or response as being one to authorize the transaction, the central processing computer3, atstep51, will reset the unauthorized transaction count (UNAUTHCT) to 0. An unauthorized transaction count (UNAUTHCT) of 0 will signify that any string of unauthorized transactions has now been broken by the cardholder, and further, that the present transaction is approved by the cardholder. The central processing computer3 will then, atstep52, transmit a signal and/or data to the point-of-sale terminal2 which will notify and/or instruct the point-of-sale terminal operator that the transaction is authorized and/or approved.

The point-of-sale terminal operator may then complete the transaction, atstep53. After the transaction has been completed atstep53, the operation of the apparatus1 will cease atstep54.

In instances when the cardholder is a party to the transaction, he or she, having thecommunication device4 on his or her person, may authorize the transaction at the point-of-sale location. If the transaction is a telephone and/or other remotely made transaction, the cardholder may authorize the transaction from his or her remote location. The cardholder may also program and/or set thecommunication device4 to automatically authorize or disapprove or disallow transactions. In this regard, thecommunication device4 may be programmable so as to receive and analyze the transaction information and/or data and reply and/or respond to same automatically and/or with preset and/or programmed relies and/or responses. Thecommunication device4 may also be programmable so as to limit the amounts of transactions. In this regard, the cardholder may provide for temporary transaction and/or purchasing amounts.

Thecommunication device4, in the preferred embodiment, is provided with a memory device for storing any number of transactions so that the cardholder may review his or her card and/or account activity and/or transactions which have occurred involving his or her card. In this manner, the cardholder may “scroll” through and/or in other ways review card and/or account activity. Thecommunication device4 may also be equipped to service more than one card. For example, a cardholder's MASTERCARD®, VISA®, and/or AMERICAN EXPRESS® card or cards and the accounts corresponding thereto may all be serviced with or by asingle communication device4.

The apparatus and method of the present invention provides for the real-time notification of financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards, which enables a cardholder to monitor, in real-time, activity involving his or her card(s) and the corresponding accounts. The apparatus and method of the present invention also provides a means and a mechanism by which to inform a cardholder that his or her card(s) are lost or stolen, and/or that his or her card(s), and/or the account numbers corresponding thereto, are utilized without his or her authorization and also provides an indication to the cardholder of where his or her card(s) or corresponding account number(s) is being utilized in transactions. The cardholder may then report the card lost or stolen and/or cancel and/or de-activate the card and/or the account.

The present invention also provides a means and a mechanism by which to monitor the number of transactions which are unauthorized by the cardholder and to determine whether or not to authorize transactions and/or cancel or de-activate the card(s) and/or the account. In the above manner, the apparatus and method of the present invention provides an apparatus and a method for preventing and/or for drastically limiting fraudulent and/or unauthorized use of credit cards, charge cards, debit cards, and/or currency or “smart” cards and/or the account numbers corresponding thereto.

The present invention, in an alternate embodiment, may be utilized so as to provide authorization, notification and/or security in banking and related financial transactions involving checking accounts, savings accounts and/or automated teller machine (ATM) accounts and transactions and other transactions wherein an account owner may be notified of a transaction and/or an attempted transaction.

FIG. 4 illustrates a block diagram of an alternate embodiment of the apparatus of the present invention which is utilized in conjunction with a checking account, savings account and/or ATM account and/or transaction (hereinafter referred to as a “banking transaction”) and/or the authorization process involved therewith. The apparatus ofFIG. 4 is denoted generally by thereference numeral100. InFIG. 4, theapparatus100 consists of a banking transaction terminal which terminals are found in banks and financial establishments. In the preferred embodiment, thebanking transaction terminal102 is a teller terminal, a processing computer terminal and/or an ATM terminal. Any other terminal or similar device may also be utilized as thebanking transaction terminal102 depending upon the application and/or the transaction.

The banking transaction terminal102 (hereinafter referred to as “banking terminal”) may be any of the widely used and well known terminals or devices for providing banking transactions over-the-counter, ATM transactions and/or in any other type of financial transactions, including clearing transactions, check clearing and/or account charging and/or charge-back transactions, which transactions banks and financial institutions perform and/or engage in.

Typically, the banking terminals and/or devices comprise a computer terminal having an input device such as a keyboard and/or various reader and/or scanning device for reading and/or scanning, respectively, information and/or data necessary in order to perform the transaction. The banking terminal transmits an authorization request which may include the data pertaining to the particular account which is accessed and/or involved in the transaction and the type and the amount of the transaction, over a communications medium, to a central processing computer for processing the transaction, the transaction request and/or the authorization request pertaining thereto. The banking terminal may transmit the transaction authorization request and/or notice to a central processing computer via a central bank computer (not shown) which may be a central computer at the particular bank or financial institution. The central processing computer may also be a central computer system which is not located at the bank or financial institution, but rather, services the particular bank or financial institution or a group of banks or financial institutions.

Thebanking terminal102 also receives the transaction and/or authorization data and/or information from the central processing computer. If a central bank computer is utilized, the data transmitted from the central processing computer would be transmitted to thebanking terminal102 via the central bank computer. A printed transaction receipt may also be provided at and/or obtained via thebanking terminal102, or peripheral device associated therewith, for printing a transaction receipt which is usually provided to the account holder at the time and/or location of the transaction.

Thebanking terminal102 may also comprise, and/or have associated therewith, a keypad for the manual entry of transaction information and/or data, such as the amount of the transaction, account number, etc. Thebanking terminal102 may also be an integral component of a teller and/or cashier work station and/or other transaction terminals and/or devices, including those which may provide for the automatic entry of transaction information and/or data.

Theapparatus100 also comprises acentral processing computer103 which services any bank and/or financial institution and/or any pre-defined group of banks and/or financial institutions and/or any number of accounts associated therewith. For example, thecentral processing computer103 may handle all checking accounts, savings accounts and/or other accounts for a given bank or banks. Thecentral processing computer103, for example, may process and maintain records of deposits, withdrawals, checks cashed, drafts, ATM deposits, ATM withdrawals, charges made against an account, credits made to an account, etc., and/or any combinations of same. Thecentral processing computer103 may process accounts for any of the various banks and/or financial institutions.

Thecentral processing computer103 may be a mainframe computer, a mini-computer, a micro-computer, a server computer, such as those utilized in conjunction with on-line services and/or in a network environment, and/or any other suitable computer or computer system.

Theapparatus100 also comprises an accountowner communication device104 which may receive signals and/or data from either or both of thebanking transaction terminal102 and/or thecentral processing computer103. In the preferred embodiment ofFIG. 4, thecommunication device104 receives signals and/or data from thecentral processing computer103 with said signals being transmitted via a suitable communication system. In the preferred embodiment, the communications system utilized for transmitting signals and/or data to thecommunication device104 is a wireless telephone line and thecommunication device104 is a wireless telephone signal receiving device such as a telephone beeper or pager. Thecommunication device104, which may be a pager, receives the wireless telephone signals and/or data from thecentral processing computer103 during the authorization procedure as will be described in more detail below.

In the preferred embodiment, thecommunication device104 is also equipped with a transmitter for transmitting signals and/or data to thecentral processing computer103. In this regard, thecentral processing computer103 transmits signals and/or data to thecommunication device104 as well as receives signals and/or data from thecommunication device104. Thecommunication device104 may also transmit signals and/or data directly to thebanking terminal102 and receive signals and/or data directly from thebanking terminal102. In the preferred embodiment, thebanking terminal102 transmits signals and/or data to thecentral processing computer103 and receives signals and/or data from thecentral processing computer103. Further, in the preferred embodiment, thecommunication device104 receives signals and/or data from the central processing computer3 and transmits signals and/or data to thecentral processing computer103.

As noted above, thecommunication device104 is a wireless device. In this regard, thecommunication device104 or pager may be carried by the account owner and/or be kept on and/or close to the account owner's person so that thecentral processing computer103 may transmit signals and/or data to thecommunication device104 so as to communication with the account owner at any time.

In the preferred embodiment, theapparatus100 also comprises a facsimile (fax)machine105, apersonal computer106, atelephone107, atelephone answering machine108, analternate telephone109, an alternatetelephone answering machine110, anetwork computer111, and/or analternate beeper112 oralternate pager113. Thecentral processing computer103 may be linked with theabove fax machine105,personal computer106,telephone107, associated answeringmachine108,alternate telephone109, alternatetelephone answering machine110,network computer111

alternate beeper

112 andalternate pager113, via any suitable communication system. In the preferred embodiment, a telecommunications link or telephone line or link, which may or may not be a wireless link, depending on the device and/or the circumstances, is utilized in order to link thecentral processing computer103 with each of thefax machine105, thepersonal computer106, thetelephone107, the associated answeringmachine108, thealternate telephone109, the alternatetelephone answering machine110, thenetwork computer111, thealternate beeper112 and thealternate pager113.

FIG. 5 illustrates the various components of theapparatus100 ofFIG. 4. InFIG. 5, thebanking terminal102, in the preferred embodiment, comprises a central processing unit orCPU102A, a scanner orreader102B, which is connected to theCPU102A, associatedrandom access memory102C (RAM) and read onlymemory102D (ROM) devices, which are also connected to theCPU102A, auser input device102E, which is typically a keypad or other suitable input device for inputting data into thebanking terminal102 and which is also connected to theCPU102A, and adisplay device102F for displaying information and/or data to a user or operator, which displaydevice102F is also connected to theCPU102A.

Thebanking terminal102 also comprises atransmitter102G for transmitting signals and/or data to thecentral processing computer103, and/or to thecommunication device104 and/or to any other device associated with the account owner and/or the apparatus, if desired. Thetransmitter102G is also connected to theCPU102A. Thebanking terminal102 also comprises areceiver102H for receiving signals and/or data from thecentral processing computer103, and from thecommunication device104 and/or from any other associated device which may be utilized, if desired. Thereceiver102H is also connected to theCPU102A. Thebanking terminal102 also comprises a printer102I or other appropriate output device for outputting data to the operator. The printer102I is also connected to theCPU102A. In the preferred embodiment, the printer102I prints receipts corresponding to the transaction.

InFIG. 5, thecentral processing computer103, in the preferred embodiment, comprises a central processing unit orCPU103A, associatedrandom access memory103B (RAM) and readonly memory103C (ROM) devices, which are connected to theCPU103A, auser input device103D, which is a keypad or any other suitable input device, for inputting data into thecentral processing computer103 and which is also connected to theCPU103A, and adisplay device103E for displaying information and/or data to a user or operator.

Thecentral processing computer103 also comprises a transmitter(s)103F for transmitting signals and/or data to thebanking terminal102 and to thecommunication device104 and/or to any one or more of thefax machine105, thepersonal computer106, thetelephone107, thetelephone answering machine108, thealternate telephone109, the alternatetelephone answering machine110, thenetwork computer111, thealternate beeper112, and/or thealternate pager113. The transmitter(s)103F is also connected to theCPU103A. Thecentral processing computer103 also comprises a receiver(s)103G for receiving signals and/or data from thebanking transaction terminal102 and from thecommunication device104 and/or from any other suitable device which may be utilized in conjunction with theapparatus100. The receiver(s)103G is also connected to theCPU103A.

Thecentral processing computer103 also comprises a database(s)103H which contains account information and data pertaining to the account owner's account(s). Thedatabase103H contains information about the account owner, the account number, etc., and any other information and/or data necessary to the manage and/or process an account and/or account transaction as described herein. Thedatabase103H is also connected to theCPU103A. Thecentral processing computer103 also comprises a printer103I or other appropriate output device for outputting information and/or data to a user or operator, which printer103I or other output device is also connected to theCPU103A.

InFIG. 5, thecommunication device104, in the preferred embodiment, comprises a central processing unit orCPU104A, associatedrandom access memory104B (RAM) and readonly memory104C (ROM) devices, which are also connected to theCPU104A, auser input device104D, which is a keypad or a plurality of keys and/or switches for inputting data into thecommunication device104 and which is also connected to theCPU104A, and adisplay device104E, for displaying information and/or data to the account owner, and adatabase104F. Thisdisplay device104E and thedatabase104F are also connected to theCPU104A. Thecommunication device104 also comprises areceiver104G for receiving signals and/or data from thecentral processing computer103 and which is also connected to theCPU104A, and atransmitter104H for transmitting signals and/or data to thecentral processing computer103 and which is also connected to theCPU104A.

In the preferred embodiment, thecommunication device104, which is utilized, is a pager with a reply feature and/or device. A two-way pager and/or pager system(s) may also be utilized for implementing the respective component systems in thecommunication device104/central processing computer103 combination and/or link.

Theapparatus100 of the present invention, in the preferred embodiment, may be utilized in order to facilitate account owner authorization, notification and/or security, in financial transactions involving checking accounts, savings accounts and ATM accounts, and/or any transactions involving same in the manner described below and with reference toFIG. 6. In this manner, the apparatus and method of the present invention may be utilized to obtain account owner authorization in a banking and/or financial transaction.

FIG. 6 illustrates the operation of theapparatus100 in flow diagram form. With reference toFIG. 6, the operation of theapparatus100 commences atstep130 when the financial transaction and/or instrument or ATM card is presented to the bank or financial institution employee, representative and/or placed in a card reader, respectively. Atstep131, the employee or representative of the bank or financial institution will activate the apparatus, via thebanking transaction terminal102, in any typical manner, such as by entering account and/or card information, into thebanking transaction terminal102. This data entry is typically performed by manual data entry and/or via a card reader, depending upon the transaction. For example, if a person offers a check for cashing and provides a savings account or a checking account number, as the means by which to endorse the check, the employee or representative will enter the savings account or checking account number into thebanking terminal102 for processing. Similarly, if one desires to withdraw money from an ATM account, the card reader will read and enter the account number and/or information for processing. The information and/or data pertinent to the transaction and the card is then transmitted, atstep132, to thecentral processing computer103.

Thecentral processing computer103 will then, atstep133, process the information and/or data pertinent to the transaction and to the particular account. Thecentral processing computer103 may utilize any of the widely known data processing and/or software routines, which are known to those skilled in that art, in order to process transaction requests and/or authorizations involving the use of the respective account(s) and/or related card(s).

Thecentral processing computer103 will process the information and/or data pertinent to the transaction in conjunction with the account information in order to determine the status of the account (i.e. whether any holds have been placed on the account, such as those prohibiting withdrawals). Further, thecentral processing computer103 will then perform a test, atstep134, in order to determine if the transaction amount has reached and/or exceeded the amount available in the account and/or if the ATM card has been reported lost, stolen, cancelled and/or de-activated, and/or determine whether any other pre-defined, pre-selected and/or programmed limitation(s) and/or restriction(s) have been met, satisfied and/or reconciled. Thecentral processing computer103 will also perform a test in order to determine if the predetermined maximum number count of unauthorized transactions, pre-defined in the preferred embodiment to be one (1), has occurred on the account.

The unauthorized transaction count refers to a count of the transactions which are not authorized by the account owner as will be described herein. The authorized transaction count (UNAUTHCT) is a variable which is pre-set to zero (0) at the time the account is opened. Each time an unauthorized transaction occurs, the unauthorized transaction count is incremented by one. Once the unauthorized transaction count reaches a pre-defined limit of, for example, one (1), although it may be pre-defined to be zero (0), thecentral processing computer103 will cancel the transaction and de-activate the account and/or the ATM card. Thecentral processing computer103 will then notify the account owner. In this manner, theapparatus100 will enable thecentral processing computer103 of a banking and/or financial institution to cancel and/or de-activate the account and/or the ATM card, either permanently or temporarily, in cases when the account owner may have failed to respond or to reply to transaction notices, which may be the case when the account owner is not aware that the account has been charged, overdrawn, and/or that the ATM card has been lost or stolen, cancelled or de-activated, duplicated, “cloned”, or in other ways utilized without the account owner's knowledge or authorization, or when the account owner is unable to respond or reply to the transaction notices for some other reason(s). This feature of the present invention serves to place a transaction stop limit on the account and/or on the use of the ATM card.

If any of the above listed conditions exist (i.e. account overdrawn and/or ATM card is lost, stolen, cancelled and/or de-activated), thecentral processing computer103 will, atstep135, transmit a signal to thebanking transaction terminal102 indicating that the transaction is not approved and/or is not authorized. The banking terminal operator, or employee, or representative, may then cancel the transaction atstep136. The employee or representative may then alert the authorities and/or confiscate the ATM card. In the case when an ATM machine is utilized as thebanking terminal102, the ATM machine may confiscate the ATM card automatically. Upon the completion ofstep136, the apparatus will cease operation atstep137.

If, atstep134, thecentral processing computer103 determines that the account is not overdrawn or that the ATM card is not lost, stolen, cancelled or de-activated, or that the of unauthorized transactions count (UNAUTHCT) has not reached a predefined limit, and/or that pre-defined or pre-specified limitations and/or restrictions have been met, thecentral processing computer103 will, atstep138, transmit a signal and/or data to thecommunication device104 which is located at the account owner.

Atstep138, thecentral processing computer103 will then also transmit respective signals and/or data to any one or more of the cardholder's designatedfax machine105,personal computer106,telephone107,telephone answering machine108,alternate telephone109, alternatetelephone answering machine110,network computer111, and/oralternate beeper112 oralternate pager113.

The information and/or data transmitted to thecommunication device104 includes information and data identifying the transaction and may include the name of the bank or financial institution where the transaction is taking place, the account number and/or description, the amount of the transaction, the time of the transaction and the location (i.e. city, town, village, state, country etc.) of the transaction. The information and/or data may also include the phone number of the central processing office and/or computer servicing, and/or the banking and/or financial institution handling, the account so that the account owner may telephone same in order to authorize or cancel the transaction. The information and/or data may also be supplemented to include a description of the person seeking to make the transaction and the type of transaction sought (i.e. cash withdrawal, cashing of check, etc.).

Atstep139, the information and/or data which is transmitted from thecentral processing computer103, and received at thecommunication device104, is displayed to the account owner on thedisplay device104E of thecommunication device104. The information displayed on thedisplay device104 includes the name of the banking and/or financial institution, the amount of the transaction, the time of the transaction and the location of the transaction. The information and/or data may also include the type of transaction and a description of the person seeking to make the transaction, etc.

Theapparatus100, atstep140, will then wait for the account owner to respond to the transmission. During this time, the account owner may either utilize the reply or two-way pager feature on thecommunication device104 in order to either approve or authorize the transaction or disapprove of, or void, the transaction. Atstep140, theapparatus100 will receive the reply or response from the account owner. Atstep141, thecentral processing computer103 will determine if the account owner has made a reply or response within the pre-defined time limit which is chosen, in the preferred embodiment, to be one (1) minute. The account owner may also transmit a signal via an appropriate key or button suspending use of the account or ATM card, such as when he or she may first be apprised of the fact that the account is being unlawfully accessed, or the use thereof is unauthorized, or that the ATM card has been lost or stolen.

In instances when thecommunication device104 does not have a reply or two-way pager feature, the account owner may simply telephone the central processing office or processing center and/or the banking or financial institution so as to personally reply or respond to the authorization request.

If, atstep141, it is determined that the account owner's reply or response was not made within the pre-specified time, chosen in the preferred embodiment to be one (1) minute, thecentral processing computer103 will, atstep142, increment the unauthorized transaction count (UNAUTHCT) by one (1) and will; atstep143, transmit a signal and/or data to thebanking transaction terminal102 indicating that the transaction is not authorized by the account owner. The banking terminal operator may then, atstep144, either cancel the transaction, proceed to consummate the transaction, and/or attempt to obtain additional information or identification from the customer and/or obtain an alternate account number from which to draw against.

The action taken by the banking transaction terminal operator may be dictated by the specific agreement in effect between the account owner and the bank or financial institution administering the accounts. Upon the completion ofstep144, the operation of the apparatus will cease atstep145. If the account owner should reply or respond to the transaction notice at a later period, this information may then be utilized to approve of or to disapprove and/or to dispute the transaction.

If, atstep141, it is determined that the reply or response was timely, thecentral processing computer103 will, atstep146, process and identify the account owner response. Atstep147, thecentral processing computer103 will determine if the account owner has authorized the transaction. If the account owner's response is to cancel, to disapprove, or to not authorize, the transaction, thecentral processing computer103 will, atstep148, increment the unauthorized transaction count (UNAUTHCT) by 1. At this juncture, it is important to note that the unauthorized count (UNAUTHCT) is set to zero at the time of the opening of the account.

After the unauthorized transaction count has been incremented, thecentral processing computer103 will, atstep149, transmit a signal and/or data to thebanking terminal102 which will notify and/or instruct the banking terminal operator that the transaction is not authorized and should, therefore, be cancelled or voided. The banking terminal operator may then cancel the transaction atstep150. The banking transaction terminal operator or the ATM machine may then confiscate the ATM card and/or alert the authorities. Upon the completion ofstep150, the apparatus will cease operation atstep151.

If, atstep147, thecentral processing computer103 identifies the account owner's reply or response as being one to authorize the transaction, thecentral processing computer103 will, atstep151, reset the unauthorized transaction count (UNAUTHCT) to zero (0). Thecentral processing computer103 will then, atstep153, transmit a signal and/or data to thebanking terminal102 which will notify and/or instruct the banking terminal operator, and/or the ATM machine, that the transaction is authorized and/or approved. The banking terminal operator, and/or the ATM machine, may then complete the transaction, atstep154. After the transaction has been completed atstep154, the operation of theapparatus100 will cease atstep155.

In instances when the account owner is a party to the transaction, which should typically be the case in banking and/or financial transactions, the account owner, having thecommunication device104 on his or her person, may authorize the transaction at the point of the transaction. If the transaction is an overnight or other remotely made transaction, such as in clearing and/or account settling transactions, the account owner may authorize the transaction from his or her remote location.

The account owner may also program and/or set thecommunication device104 so as to automatically authorize or disapprove or disallow transactions. In this regard, thecommunication device104 may be programmable so as to receive and analyze the transaction information and/or data and reply or respond to same automatically and/or with preset or programmed replies and/or responses. Thecommunication device104 may also be programmable so as to limit the amounts of transactions. In this regard, the account owner may provide for temporary transaction types and/or amounts.

Thecommunication device104, in the preferred embodiment, is provided with a memory device for storing any number of transactions so that the account owner may review his or her account activity and/or transactions which have occurred involving his or her accounts and/or ATM card. In this manner, the account owner may “scroll” through and/or in other ways review account activity. Thecommunication device104 may also be equipped to service more than one bank and/or financial account and/or ATM card. For example, any number and/or types of accounts may be serviced with or by asingle communication device104.

The apparatus and method of the present invention provides for the real-time notification of banking and/or financial transactions involving various bank and/or financial accounts and enables an account owner to monitor, in real-time, activity involving his or her bank and/or financial accounts and/or ATM card(s).

The apparatus and method of the present invention also provides a means and a mechanism by which to inform an account owner that his or her account is overdrawn, has been charged against and/or that his or her ATM card(s) are lost, stolen, cancelled or de-activated and/or provides an indication to the account owner of when and/or where his or her accounts are being accessed in transactions. The account owner may then report the unauthorized activity, and/or the discovery of a lost or stolen ATM card, and/or cancel and/or de-activate the respective account(s) and/or ATM card(s).

The present invention, in an alternate embodiment, may also be utilized so as to provide authorization, notification and/or security for, and in conjunction with, cellular and/or mobile telephone and/or communication systems wherein a cellular or mobile telephone owner and/or account owner may be notified of a transmission and/or an attempted transmission and/or telephone call made with his or her cellular or mobile telephone and/or with the telephone number and or transmission codes and/or associated signatures and/or data which corresponds to his or her cellular or mobile telephone.

FIG. 7 illustrates a block diagram of an alternate embodiment of the apparatus of the present invention which is utilized in conjunction with a cellular or mobile telephone (hereinafter referred to as “cellular telephone”) and/or corresponding cellular telephone account number and/or information related thereto. The apparatus ofFIG. 7 is denoted generally by thereference numeral200. InFIG. 7, theapparatus200 consists of acellular telephone202 which may be any typical cellular and/or mobile telephone. Any other cellular and/or mobile communication device may also be utilized.

Thecellular telephone202 may be any of the widely used and well known cellular telephones and/or mobile communication device(s). In the embodiment ofFIG. 7, thecellular telephone202 serves as the transaction terminal which is described above in conjunction with the previous embodiments. As is the case with cellular telephones, the cellular telephone may transmit the authorization request and/or notice to a central processing computer. Thecellular telephone202 may, but need not, receive authorization data and/or information from the central processing computer. Thecellular telephone202 may also comprise, or have associated therewith, a keypad for the manual entry of transaction information and/or data, such as the telephone number and various command codes utilized in making or placing a telephone call.

Theapparatus200 also comprises acentral processing computer203 which services any predefined group of cellular telephones or cellular communication devices. For example, thecentral processing computer203 may handle all cellular telephone accounts for a given telecommunications company and/or area. Thecentral processing computer203, for example, may process and maintain records of cellular telephone calls, including billing information, for any number of cellular telephones, cellular telephone accounts, and/or cellular telephone owners which or who are serviced by a particular communications company or central processing office or computer.

Thecentral processing computer203 may be a mainframe computer, a mini-computer, a micro-computer, a server computer, such as those utilized in conjunction with on-line services and/or in a network environment, and/or any other suitable computer or computer system.

Thecentral processing computer203 may also process accounts for any of the various cellular and/or mobile communications accounts and/or devices. In the preferred embodiment, thecellular telephone202 is linked and/or connected to thecentral processing computer203 via a telecommunications system, link and/or medium (hereinafter referred to as “communications system”) such as, for example, a telephone network or line. It is important to note that the communications system which is utilized may be any communications system and may include telecommunication systems, satellite communications systems, radio communication systems, digital communications systems, digital satellite communications systems, personal communications services communication systems as well as any other appropriate communications system. Thecellular telephone202 transmits signals and/or data to thecentral processing computer203 as well as receives signals and/or data from thecentral processing computer203.

Theapparatus200 also comprises a cellular telephoneowner communication device204 which may receive signals and/or data from either or both of thecellular telephone202 and/or thecentral processing computer203. In the embodiment ofFIG. 7, thecommunication device204 receives signals and data from thecentral processing computer203 with said signals being transmitted via a suitable communication system. In the embodiment ofFIG. 7, the communications system utilized for transmitting signals and/or data to thecommunication device204 is a wireless telephone network or line and thecommunication device204 is a wireless telephone signal receiving device such as a telephone beeper or pager. Thecommunication device204 or pager receives the wireless telephone signals and/or data from thecentral processing computer203 during the authorization procedure as will be described in more detail below.

In the preferred embodiment, thecommunication device204 is also equipped with a transmitter for transmitting signals and/or data to thecentral processing computer203. In this regard, thecentral processing computer203 transmits signals and/or data to thecommunication device204 as well as receives signals and/or data from thecommunication device204. Thecommunication device204 may also transmit signals and/or data directly to thecellular telephone202 and receive signals and/or data directly from thecellular telephone202.

In the preferred embodiment, signals and/or data which are transmitted by thecellular telephone202 are received at thecentral processing computer203. Thecellular telephone202 also receives signals and/or data from thecentral processing computer203. Further, in the alternate embodiment ofFIG. 7, thecommunication device204 receives signals and/or data from thecentral processing computer203 and transmits signals and/or data to thecentral processing computer203.

As noted above, thecommunication device204 is a wireless device. In this regard, thecommunication device204 or pager may be carried by the cellular telephone owner and/or be kept on and/or close to the cellular telephone owner's person so that thecentral processing computer203 may transmit signals and/or data to thecommunication device204 so as to communicate with the cellular telephone owner at any time.

In the alternate embodiment ofFIG. 7, theapparatus200 also comprises a facsimile (fax)machine205, a personal computer201, atelephone202, atelephone answering machine208, analternate telephone209, an alternatetelephone answering machine210, anetwork computer211, analternate beeper212, and analternate pager213.

Thecentral processing computer203 may be linked with theabove fax machine205,personal computer206,telephone207 and associated answeringmachine208,alternate telephone209 and associated answeringmachine210,network computer211,alternate beeper212 and/oralternate pager213, via any suitable communication system. In the preferred embodiment, a telecommunications link or telephone line or link, which may or may not be a wireless link depending on the device and/or the circumstances, is utilized in order to link thecentral processing computer203 with each of thefax machine205, thepersonal computer206, thetelephone207 and associated answeringmachine208, thealternate telephone209 and associated answeringmachine210, thenetwork computer211, thealternate beeper212, and/or thealternate pager213.

FIG. 8 illustrates the various components of theapparatus200 ofFIG. 7. InFIG. 8, thecellular telephone202, in the preferred embodiment, comprises a central processing unit orCPU202A, associatedrandom access memory202B (RAM) and readonly memory202C (ROM) devices, which are also connected to theCPU202A, auser input device202D, which is a typically a keypad or other suitable input device for inputting data into thecellular telephone202 and which is also connected to theCPU202A, and adisplay device202E for displaying information and/or data to a user or operator.

Thecellular telephone202 also comprises atransmitter202F for transmitting signals during normal telephone operation and/or for transmitting signals and/or data to thecentral processing computer203, and/or to thecommunication device204 and/or to any other device associated with the account owner orapparatus200 if desired. Thetransmitter202F is also connected to theCPU202A. Thecellular telephone202 also comprises areceiver202G for receiving signals during normal telephone operation and/or for receiving signals and/or data from thecentral processing computer203, and from thecommunication device204 and/or from any other associated device which may be utilized, if desired.

Thereceiver202G is also connected to theCPU202A. Thecellular telephone202 may also comprise aprinter202H or other appropriate output device for outputting data to the user. Theprinter202H, if utilized, is also connected to theCPU202A. In the preferred embodiment, theprinter202H prints receipts corresponding to the transaction and/or information transmitted during the telephone call or transaction.

InFIG. 8, thecentral processing computer203, in the preferred embodiment, comprises a central processing unit orCPU203A, associatedrandom access memory203B (RAM) and readonly memory203C (ROM) devices, which are connected to theCPU203A, auser input device203D, which is a keypad or any other suitable input device for inputting data into thecentral processing computer203 and which is also connected to theCPU203A and adisplay device203E for displaying information and/or data to a user or operator.

Thecentral processing computer203 also comprises a transmitter(s)203F for transmitting signals and/or data to thecellular telephone202 and to thecommunication device204 and/or to any other device which may be utilized and/or to any one or more of thefax machine205,personal computer206,telephone207 and associated answeringmachine208,alternate telephone209 and associated answeringmachine210,network computer211,alternate beeper212, and/oralternate pager213. The transmitter(s)203F is also connected to theCPU203A. Thecentral processing computer203 also comprises a receiver(s)203G for receiving signals and/or data from thecellular telephone202 and from thecommunication device204 and/or from any other suitable device which may be utilized in conjunction with theapparatus200. The receiver(s)203G is also connected to theCPU203A.

Thecentral processing computer203 also comprises a database(s)203H which contains account information and data pertaining to the cellular telephone owner(s) and/or account(s). Thedatabase203H contains information about the cellular telephone owner, the telephone number, etc., and any other information and/or data necessary to the manage and/or process an account and/or account transaction as described herein. Thedatabase203H may also contain information regarding any limitations and/or restrictions placed on the cellular telephone and/or the use thereof. Thedatabase203H is also connected to theCPU203A. Thecentral processing computer203 also comprises a printer203I or other appropriate output device for outputting information and/or data to a user or operator.

InFIG. 8, thecommunication device204, in the preferred embodiment, comprises a central processing unit orCPU204A, associatedrandom access memory204B (RAM) and readonly memory204C (ROM) devices, which also connected to theCPU204A, auser input device204D, which is a keypad or a plurality of keys and/or switches for inputting data into thecommunication device204 and which is also connected to theCPU204A, and adisplay device204E, for displaying information and/or data to the cellular telephone owner, and adatabase204F, which are also connected to theCPU204A.

Thecommunication device204 also comprises areceiver204G for receiving signals and/or data from thecentral processing computer203 and which is also connected to theCPU204A, atransmitter204H for transmitting signals and/or data to thecentral processing computer203 and which is also connected to theCPU204A. In the preferred embodiment, thecommunication device204 utilized is a pager with a reply feature and/or device. A two-way pager and/or pager systems may also be utilized for implementing the respective components, and/or systems in thecommunication device204/central processing computer203 combination and/or link.

Theapparatus200 of the present invention, in the preferred embodiment, may be utilized in order provide cellular telephone owner and/or account owner authorization, notification and/or security measures in transactions involving cellular telephones and/or cellular telephone numbers, and any transactions involving same in the manner described below and with reference toFIG. 9. In this manner, the apparatus and method of the present invention may be utilized to obtain cellular telephone owner and/or account owner authorization in a transaction involving cellular telephones and/or cellular telephone numbers.

FIG. 9 illustrates the operation of theapparatus200 ofFIG. 7 in flow diagram form. It is important to note, with regards to theapparatus200 ofFIG. 7, that the cellular telephone replaces the transaction terminal of the previously described embodiments. With reference toFIG. 9, the operation of theapparatus200 commences atstep230 when thecellular telephone202 is utilized to make a cellular telephone call and/or transaction.

Thecellular telephone202 will activate theapparatus200, atstep231, with the initiation of the cellular telephone call, and/or in any other typical manner, such as when a cellular telephone is utilized to gain access to the telephone network so that the calling connection may be established via the cellular communications network and/or the cell site. Upon the making of the cellular telephone call, atstep231, thecellular telephone202 will transmit data and/or information, which identifies the calling telephone, to the central processing computer which services the particular cellular telephone or cellular telephone network, so that appropriate billing and/or accounting of telephone usage may be noted and/or processed. In the preferred embodiment, the central processing computer for the particular cellular telephone and/or cellular telephone network is thecentral processing computer203. Atstep232, the central processing computer will receive and store the data and/or information which is transmitted by thecellular telephone202. Atstep233, thecentral processing computer203 will process the data and/or information which is received from thecellular telephone202.

Thecentral processing computer203 may utilize any of the widely known data processing and/or software routines, which are known to those skilled in that art, in order to process transaction requests and/or authorizations involving the use of the respective cellular telephone(s) and/or cellular communication device, and/or cellular telephone number. Atstep234, thecentral processing computer203 will perform a test in order to determine if the cellular telephone is lost, stolen, cancelled or de-activated. If the cellular telephone is determined to be lost, stolen, cancelled or de-activated, thecentral processing computer203 will, atstep235, block the telephone call or terminate the call if it has already been connected. Thecentral processing computer203 will then, atstep236, cancel and/or de-activate the cellular telephone number or account. Thecentral processing computer203 will then, atstep237, notify the cellular telephone owner that his or her cellular telephone has been cancelled and/or de-activated. The operation of the apparatus will then cease atstep238.

If, atstep234, thecentral processing computer203 determines that the cellular telephone is not lost, stolen, cancelled or de-activated, thecentral processing computer203 will, atstep239, transmit a signal and/or data to thecommunication device204 which is located at the cellular telephone owner. Atstep240, thecommunication device204 will receive and display the data and/or information which is transmitted from thecentral processing computer203. The displayed information, in the preferred embodiment, will include the number called, the time of the call, and the duration of the call, in real-time. The information will remain displayed during the duration of the call so that the cellular telephone owner will be notified continuously throughout the duration of the call.

Atstep241, thecentral processing computer203 will await the cellular telephone owner's reply or response. If the cellular telephone owner replies or responds, the reply or response data will also be transmitted to, and received by, thecentral processing computer203 atstep241. Atstep242, thecentral processing computer203 will then determine if the cellular telephone owner's response was made within a pre-defined time period, which is chosen, in the preferred embodiment, to be one (1) minute. If atstep242, it is determined that the cellular telephone owner did not reply or respond within the pre-defined time limit, the central processing computer will, atstep243, increment the unauthorized transaction count (UNAUTHCT) by one (1).

Thecentral processing computer203 will then, depending upon pre-defined instructions of the cellular telephone owner, atstep244, either allow the telephone call to continue, such as for a pre-defined duration of one (1) minute, so as to allow for cases wherein an emergency condition exists, or terminate the telephone call immediately. The decision to either allow the telephone call to continue or to terminate the telephone call can be made by the cellular telephone owner and/or by the cellular telephone service provider. Upon the completion ofstep244, thecentral processing computer203 will then, atstep245, cancel and/or de-activate the cellular telephone. Thereafter, thecentral processing computer203 will, atstep246, notify the cellular telephone owner that the cellular telephone number or account has been cancelled and/or de-activated. Upon completion ofstep246, the apparatus will cease operation atstep247.

If, atstep242, the cellular telephone owner did respond in time, thecentral processing computer203 will process the reply or response data and/or information, atstep248. Thecentral processing computer203 will then determine, atstep249, if the cellular telephone call is authorized by the cellular telephone owner. If, atstep249, the cellular telephone call is unauthorized, the central processing computer will, atstep250, increment the unauthorized transaction count (UNAUTHCT) by one (1). Thecentral processing computer203 will then, atstep251, terminate the telephone call immediately. Upon the completion ofstep251, thecentral processing computer203 will then, atstep252, cancel and/or de-activate the cellular telephone. Thereafter, thecentral processing computer203 will, atstep253, notify the cellular telephone owner that the cellular telephone has been cancelled and/or de-activated. Upon completion ofstep253, the apparatus will cease operation atstep254.

If, atstep249, thecentral processing computer203 identifies the cardholder reply or response as being one to authorize the cellular telephone call, thecentral processing computer203 will, atstep255, reset the unauthorized transaction count (UNAUTHCT) to zero (0). An unauthorized transaction count (UNAUTHCT) of 0 will signify that any string of unauthorized transactions has now been broken by the cellular telephone owner. Thecentral processing computer203 will then, atstep256, allow the cellular telephone call to continue uninterrupted. Upon the completion of the cellular telephone call, atstep256, theapparatus200 will cease operation atstep257.

Thecommunication device204, in the preferred embodiment, is provided with a memory device for storing any number of cellular telephone calls and/or transactions so that the cellular telephone owner may review his or her account activity and/or cellular calls and/or transactions made and/or which have occurred involving his or her cellular telephone. In this manner, the cellular telephone owner may “scroll” through and/or in other ways review account activity. Thecommunication device204 may also be equipped to service more than one cellular telephone and/or mobile communication device(s).

The present invention also provides a means and a mechanism by which to monitor the number of cellular or mobile telephone calls and/or transactions which are unauthorized by the cellular telephone owner and to determine whether or not to de-activate the cellular telephone and/or the cellular telephone number and/or account. In the above manner, the apparatus and method of the present invention provides an apparatus and a method to prevent and/or to drastically limit fraudulent and/or unauthorized use of, and/or the “cloning” of, cellular telephones and/or the unauthorized use of cellular telephone numbers.

The apparatus and method of the present invention may also be utilized in connection with an on-line service and/or on, or over, the Internet and/or the World Wide Web, so as to provide for a means by which the respective cardholder, account owner, and/or cellular telephone owner, may utilize the apparatus and method in conjunction with a home and/or a personal computer, a personal communications device, and/or a commercial or industrial computer system (i.e., an internet server computer), and/or any other appropriate device, in any appropriate network, system or medium.

FIG. 10 illustrates yet another alternate embodiment of the present invention wherein the apparatus and method of any of the embodiments described herein may be utilized on, or over, an on-line service, the Internet, and/or the World Wide Web, and/or any other suitable communication network or medium. InFIG. 10, the apparatus, which is denoted generally by thereference numeral300, comprises atransaction terminal302, which may be a transaction terminal or a cellular telephone or communication device, depending upon the application, aserver computer350, which is a central processing computer for processing data and/or information in an on-line, and/or Internet, and/or World Wide Web, communication environment, network, or medium.

Theserver computer350 may be a mainframe computer, a mini-computer, a micro-computer, a server computer, such as those utilized in conjunction with on-line services and/or in a network environment, and/or any other suitable computer or computer system. Theserver computer350, in the preferred embodiment, should have associated therewith a suitable receiver(s) or transmitter(s) which may be a fax/modem and/or any other device(s) which are well known to those skilled in the art for providing communications and/or a link with a server computer in such a network environment.

The apparatus ofFIG. 10 also comprises acommunications device304 which may comprise a home and/or a personal computer, a laptop or a notebook computer and any one or more of the herein-described personal communications devices so that the individual may access theapparatus300, and in particular, theserver computer350, at any time and from any location. Basically, the embodiment ofFIG. 10 serves to replace the central processing computer of the previously described embodiments with a server computer for utilization on, or over, an on-line service, the Internet, the World Wide Web, and/or any other suitable communications network or medium. The apparatus ofFIG. 10 operates and is utilized in the same, in similar and/or an analogous, manner as described herein in conjunction with the previously described embodiments.

FIG. 11 illustrates yet another alternate embodiment of the present invention, wherein the present invention is also utilized in conjunction with an on-line service and/or on, or over, the Internet and/or the World Wide Web, and/or any other suitable communication network or medium. InFIG. 11, the apparatus, which is denoted generally by thereference numeral400, comprises atransaction terminal402, which may be a transaction terminal and/or a cellular telephone and/or cellular communications device, depending upon the application.

The apparatus ofFIG. 11 also comprises acentral processing computer403 which provides processing and/or control over theapparatus400 in the manner described above in conjunction with the previously described embodiments. Thecentral processing computer403 and/or the server computer450 may be a mainframe computer, a mini-computer, a micro-computer, a server computer, such as those utilized in conjunction with on-line services and/or in a network environment, and/or any other suitable computer or computer system.

Theapparatus400 ofFIG. 11 also comprises a communications device(s)404 such as those described herein and in conjunction with theapparatus300 ofFIG. 10. The apparatus also comprises a server computer450 which may either perform parallel operations and/or processing of the data and/or information which is performed and/or processed by thecentral processing computer403 and/or may simply receive the data and/or information processed by thecentral processing computer403. In any event, the server computer450 provides the means by which the data and/or information, which is provided by the apparatus, can be accessed and or utilized via an on-line service and/or on, or over, the Internet, and/or the World Wide Web, and/or any other communications network or medium.

The server computer450 should have associated therewith a suitable receiver(s) or transmitter(s) which may be a fax/modem and/or any other device(s) which are well known to those skilled in the art for providing communications and/or a link with a server computer in such a network environment. The apparatus ofFIG. 11 also comprises acommunications device404 which may comprise a home and/or a personal computer, a laptop or a notebook computer, and/or any one or more of the herein described personal communications devices so that the individual may access the apparatus, and in particular, the server computer450, at any time and from any location. The apparatus ofFIG. 11 is utilized and/or operates in the same, a similar and/or an analogous, manner as any of the embodiments described herein.

Applicant hereby incorporates by reference herein all of the methods and/or techniques for providing information and/or data over on-line service and/or on, or over, the Internet, and/or the World Wide Web, and/or any other suitable communication network or medium, along with client/server and/or Web Site technology and methods and/or techniques utilized in conjunction therewith, which are known as of the filing date of this application.

In any and/or all of the embodiments described herein, each and every one the components of the apparatus, which include, but which are not limited to, the described transaction terminals, cellular telephones and/or other cellular communications devices, central processing computers, server computers, if utilized, and any of the various communications devices, may transmit and/or receive signals and/or data, and/or be capable or transmitting and/or receiving signals and/or data, to and from any and all of the other apparatus components which may be utilized in conjunction therewith, in and for a given embodiment. In this regard, it is important to note, with respect to the embodiments ofFIGS. 10 and 11, and any of the other embodiments described herein, that each and every component involved in the transmission and/or reception of signals, data and/or information may include an associated transmitter, receiver and/or suitable communication device.

The communication system or medium should provide for the transmission and/or for the reception of a multitude of remote electrical, electronic, electromagnetic, and/or other suitable signals, over long distances and/or in a mobile and/or a wireless communications environment. Telephone signals and telephone communication devices can be utilized in the present invention as well as personal computers and associated peripheral devices which may be utilized with telecommunications and/or other suitable communication systems and/or mediums.

The apparatus and method of the present invention may operate over any appropriate communications system, network and/or medium and/or other suitable communications systems, including radio signal, optical, satellite, digital, digital satellite, and/or other communications systems. The communications system utilized may operate anywhere in the electromagnetic and/or radio frequency spectrum. As noted above, the present invention may also be utilized in conjunction with a satellite communications system, in which case, the receivers and transmitters which are utilized in conjunction with the apparatus should be satellite communication receivers and transmitters, respectively. For example, the associated receiver(s) may be a satellite dish receiver(s).

In this regard, the cardholder, account owner or cellular telephone owner may utilize the apparatus and method of the present invention to its fullest capabilities over an on-line service and/or on, or over, the Internet, and/or the World Wide Web, and/or any other suitable communication network or medium. In this manner, the embodiment ofFIGS. 10 and 11 may allow the cardholder, account owner or cellular telephone owner to utilize the apparatus and/or to monitor the operation of the apparatus over the on-line service and/or on, or over, the Internet, and/or the World Wide Web, and/or any other communication network or medium, from any suitable computer or device, and/or from any location.

The system receiver(s) may also be utilized in conjunction with a home and/or a personal computer and/or other personal communications device(s) and/or apparatuses which may be utilized with an associated receiver or equivalent peripheral device(s). The apparatus may also be utilized in conjunction with a computer network such as an on-line service and/or on, or over, the Internet, and/or the World Wide Web, by employing any appropriate server computer and/or an associated Web Site and/or Web Site technology in conjunction with an appropriate communication medium and communication equipment.

In any of the above described embodiments, the present invention may be utilized in conjunction with any suitable communication device(s) and/or communication system(s). In this manner, the present invention may be utilized in conjunction with a telephone, a line-connected and/or a permanent telephone, a touch-tone telephone, a cordless telephone and/or a cellular or mobile telephone, a home and/or a personal computer having associated telecommunication devices or other suitable peripheral device(s), such as a modem and/or a fax/modem, and/or other suitable personal communication devices which can operate over an appropriate communications system, and/or other suitable communications systems and/or mediums, including radio signal, optical, satellite, digital, and/or other communications systems and/or mediums.

Any suitable communication system and/or medium may be utilized. Personal communication service (PCS) systems and devices, including stationary, portable and/or hand-held devices, may also be utilized. Digital signal communications devices and systems may also be utilized. Televisions, interactive and/or digital televisions, personal communication devices, personal communication services (PCS) devices, personal digital assistants, cellular telephones, display telephones, video telephones, display cellular telephones and electronically equipped watches and/or other devices and/or effects and/or accessories, may also be utilized for performing user interactive control, monitoring, authorization, notification and/or security functions in conjunction with the present invention.

It should be noted that the telephone/telephone beeper or pager system, including two-way pager systems, may be replaced with any other type of transmitter/receiver combination, electronic or otherwise, which provides for the transmission and reception of a multitude of remote electrical, electronic, electromagnetic, and/or other suitable signals, over long distances and/or in a mobile and/or a wireless communications environment. As noted above, a personal computer system which may be adapted to such operation, or a personal communication device(s) or personal communication services (PCS) device(s) may also be utilized for, or in, any of the transmitter/receiver system combinations described herein. Two-way pagers and reply pagers may also be utilized for any, or in any, of the transmitter/receiver system combinations described herein.

The communication device(s) utilized in the present invention, as well as the associated transaction terminal and/or cellular communications device(s) and/or associated central processing computer may be personal communication services (PCS) devices and/or other suitable communications devices. A television, appropriately equipped to receive and/or to transmit signals may also be utilized. It is also envisioned that digital televisions, interactive televisions, personal communications devices, personal communications services (PCS) devices, personal digital assistants, display telephones, electronically equipped watches, cellular telephones and/or display cellular telephones may also be utilized in conjunction with the present invention.

It is also important to note that the communication device(s), in any of the embodiments described herein may be a home and/or a personal computer having associated therewith an appropriate receiver(s) and transmitter(s) such as, for example, a fax/modem.

It is important to note that the telephone/telephone beeper system, described above, may be replaced with any remote transmitter/receiver system, such as by a remote transmitter, i.e., a television-type remote control unit, which control unit would require a user interface feature and which has the capability to remotely transmit a multitude of signals over long distances to an associated receiver. A two-way pager, a reply pager, or any other appropriate two-way communication device may also be utilized. A home and/or a personal computer, with requisite peripheral devices, a personal communication device and/or a personal communication services (PCS) device may also be utilized. Digital communications devices, interactive televisions and/or digital televisions may also be utilized. It is also envisioned that digital televisions, interactive televisions, personal communications devices, personal communications services (PCS) devices, personal digital assistants, display telephones, video telephones, electronically equipped watches and/or other effects or accessories, cellular telephones, display cellular telephones, may also be utilized.

The apparatus of the present invention may be designed or programmed to telephone an owner, user, operator, occupant, or other authorized central office individual or other authorized individual, at a primary phone number, at an alternate or forwarding phone number and/or at a business phone number, send a beeper or pager message to the individual or central office and/or send a facsimile message, an electronic mail message, a voice mail message and/or an answering service message to, or for, the individual or central office. In this manner, the apparatus may report a theft and/or a malfunction situation to the interested individual(s) by utilizing multiple notification and/or reporting avenues and/or schemes so as to provide and ensure that the interested individual(s) are in fact notified as soon as possible. The multiple notification transmissions may be sequentially and/or simultaneously performed.

The apparatus and method of the present invention may also be programmable for programmed and/or automatic activation, self-activation, programmed and/or automatic operation and/or self-operation. The apparatus and method of the present invention may provide for an immediate, as well as for a deferred, control, monitoring and/or security function, and/or response thereto, so as to provide for the immediate and/or the deferred control, activation, de-activation, programming, monitoring and/or security, etc., of any one or more the herein described credit cards, charge cards, debit cards, currency or “smart” cards, banking and/or financial accounts and associated transaction cards, and/or cellular telephones and/or cellular or mobile communications devices, and/or any other suitable application in and for which the present invention may be utilized.

In any of the herein-described embodiments, the communications devices and associated transaction terminals and/or cellular communications devices and associated central processing computers, may be devices for receiving, and transmitting, respectively, radio signals, satellite communication signals, telecommunications signals, optical communication signals and/or other signals and/or those signals, including digital signals, which are utilized in conjunction with personal communication devices and/or personal communication services (PCS) devices. The devices utilized should, however, be of the same type and/or operate compatibly with the corresponding transmitters and receivers of the apparatus of the present invention.

The present invention may also be equipped with, and be utilized in conjunction with, hardware and software necessary for providing self-monitoring functions, automatic control and/or responses to occurrences, providing automatic notice of an occurrence and/or a situation to an owner, user and/or authorized individual. In this regard, any and all of the embodiments described above may comprise a monitoring device, a triggering device and/or any other suitable device for detecting an occurrence and/or a transaction which may warrant providing notice to the respective cardholder, account owner and/or cellular telephone owner. In this regard, the apparatus may provide for an appropriate signal, data and/or information transmission to the central processing computer, and/or server computer, if utilized. The signal, data and/or information may be conveyed in the form of a communication transmission, depending upon the communication medium utilized, a telephone call, a voice message, a beeper and/or a pager message, an electronic mail message, a fax transmission, and/or any other mode of communication which may be utilized in conjunction with any of the embodiments described herein.

The present invention, in any of the embodiments described herein, may be designed to be user-friendly. In this regard, the present invention may be menu-driven, and/or its operation may be menu-selected, from audio menus, visual menus, or both audio and visual menus.

While the present invention has been illustrated and described as being utilized in conjunction with providing notice and for obtaining authorizations with regard to transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards, banking and/or financial accounts, and/or in conjunction with cellular and/or mobile telephones, it is also envisioned that the present invention may be utilized in any similar type of transactional activity, such as purchasing and/or sale activity over an on-line service, the Internet, and/or the World Wide Web and/or in any other type of transaction wherein frequent notice and/or account holder authorization may be utilized to guard against theft and/or fraud and/or unauthorized transactions.

The apparatus of the present invention may be accessed at any time by the respective cardholder, account owner and/or cellular telephone owner and/or cellular communications device owner so as to obtain information regarding activity on his or her respective account. The respective cardholder, account owner and/or cellular telephone owner and/or cellular communications device owner may access the apparatus and, in particular, the central processing computer, and/or the server computer, if utilized, so as to obtain transaction records regarding any transaction, group or string of transactions, transactions by goods and/or service type, transactions by dollar amount, etc.

The respective cardholder, account owner, and/or cellular telephone owner and/or cellular communications device owner may also obtain, via the central processing computer, and/or the server computer, if utilized, periodic transaction records showing all transactions for a given week, which may by provided weekly, bi-weekly, monthly, yearly, and/or for any given and/or desired time period and/or interval. The apparatus and, in particular, the central processing computer, and/or the server computer, if utilized, may be designed and/or programmed so as to automatically and/or periodically provide and/or transmit any of the above-described account and/or transaction information to the respective cardholder, account owner and/or cellular telephone owner and/or cellular communications device owner, by transmitting same to the respective communications device, which may be any of the devices described herein which are utilized as the communications device.

The apparatus and, in particular, the central processing computer, and/or the server computer, if utilized, may also be designed and or programmed to transmit any of the above-described account information and/or transaction information to any one or all of the respective cardholder's, account owner's, and/or cellular telephone owner's and/or cellular communications device owner's facsimile (fax) machine, personal computer, telephone, telephone answering machine, alternate telephone, alternate telephone answering machine, network computer, and/or alternate beeper or pager. Such multiple notification transmissions, if utilized, may be performed sequentially and/or simultaneously.

The central processing computer may be linked with a fax machine, personal computer, telephone, associated answering machine, alternate telephone and associated answering machine, network computer, and/or alternate beeper or pager via any suitable communication system. The telecommunications link or telephone line or link, which may or may not be a wireless link, depending on the device and/or the circumstances, is utilized in order to link the central processing computer with each of the fax machine, the personal computer, the telephone, the associated answering machine, the alternate telephone, the alternate telephone answering machine, the network computer, and/or the alternate beeper or pager.

In any of the herein-described and/or envisioned embodiments, the respective central processing computer which is utilized may comprise a plurality of computers and/or computer systems. Further, the respective central processing computer may be the processing computer for processing account information, and/or for servicing, and/or monitoring, the respective account(s) activity, and/or the central processing computer may be a separate and/or distinct computer or computer system which is associated with and/or linked with the processing computer.

In any of the herein-described and/or envisioned embodiments, the respective communication device which may be utilized may operate independently of, and/or in conjunction with, a central service and/or a communications service. For example, a beeper or pager may be utilized in conjunction with a corresponding beeper or pager communications service, which communications service may serve to relay signals, data and/or information, to, and from, the beeper or pager, whichever the case may be. The communication device which may be utilized may also be capable of transmitting signals, data and/or information, directly to, and receiving signals, data and/or information, directly from, a component(s) of the apparatus, without the need for a central service and/or a communications service and/or a relay system.

It is also envisioned that the apparatus and method of the present invention may provide for transmitting signals, data and/or information to the cardholder, account owner and/or cellular telephone owner via transmissions made to, and received at a television, radio, car radio, computer and/or other communication device which receives signals transmitted via any suitable communication system. In this manner, for example, a cardholder, account owner and/or cellular telephone owner may be notified by having signals, data and/or information transmitted to their television, radio, car radio, computer, etc., in such a manner so as to interrupt the normal operation of same, so as to convey the information and/or message to the cardholder, account owner and/or cellular telephone owner, in real-time and/or upon the occurrence of the event triggering or giving rise to same.

In any and/or all of the above described embodiments, the apparatus may be programmed and/or be programmable by the respective cardholder, account owner and/or cellular telephone owner or cellular device owner, for his or her account. In conjunction with the use of credit cards, charge cards, debit cards, the cardholder may program the central processing computer, and/or the server computer, if utilized, so as to change the credit limits on his or her account, periodically and/or at any desired time. For example, a cardholder having a credit card with a $10,000.00 dollar credit limit, but who very seldom utilizes his or her card for much more than $500.00 dollars during a monthly billing period, may program the apparatus and, in particular, the central processing computer, or server computer, if utilized, so as to temporarily reduce his or her credit limit.

If the cardholder should then desire to make a major purchase with his or her credit card of, for example, a purchase in the amount of $8500.00, the cardholder may, prior to the transaction, reprogram the central processing computer and/or server computer, if utilized, so as to temporarily increase his or her temporary credit limit. The apparatus may then be programmed so that, after the major purchase has been made, the apparatus may revert operation back to the reduced credit limit.

The cardholder may program the central processing computer, and/or the server computer, if utilized, via the communication device, which may be any one or more of the devices described herein. The cardholder may also perform the above-described programming via a touch-tone telephone. In the same manner, the cardholder may program the apparatus so as to limit the types of transactions involving, and/or the goods and/or services which may be purchased with, his or her card, and/or the stores and/or service providers which may be authorized to accept the card, limits on the dollar amounts of transactions pertaining to each authorized vendor, seller and/or service provider, daily spending limits, the vendors, sellers, and/or service providers with which the card may be utilized, the geographical area or location within which the card may be utilized, and/or authorized times for card usage (i.e. specific days, dates, times of day, times of month, year, etc.), and/or any other limitations and/or restrictions regarding amount of transaction, parties involved, geographical area, and or times of allowed usage. In a similar manner, the cardholder may similarly program the apparatus as described above in conjunction with use of any of the herein-described cards.

In the case of savings accounts, checking accounts, and/or automated teller machine accounts, the account owner may program the apparatus and, in particular, the central processing computer, and/or the server computer, if utilized, so as to limit the amount of any one transaction or transactions, individuals who may make the transactions, proof of identity of which the types of proof may be specified, specific banks and/or financial institutions authorized to accept and/or perform transactions for the account, geographical areas and/or location within which banks and/or financial institutions may be authorized to accept and/or perform transactions with the account, specific times of day, specific days, dates and/or time of the month in, or on, which transactions may be authorized, limits of charge-backs, returned item amount withdrawals, maintenance and/or other fee charge withdrawals, etc. and/or authorized times for account usage (i.e. specific days, dates, times of day, times of month, year, etc.), and/or any other limitations and/or restrictions regarding amount of transaction, parties involved, geographical area, and or times of allowed usage.

With regards to automated teller machine accounts, it is also possible to specify and programmably change personal identification numbers and/or any other access code(s) and provide for various personal identification numbers and/or access codes for different locations, different automated teller machines, different days, different times and/or different transaction amounts.

In the cases of cellular telephones and/or cellular communications devices, the cellular telephone owner and/or cellular communication device owner may program the apparatus and, in particular, the central processing computer, and/or the server computer, if utilized, so as to limit the phone numbers which may be called, and/or the numbers from which incoming calls may be accepted and/or received, the geographical areas and/or locations which may be called and/or accessed or from which calls may be received, the times of day, specific days, dates, times of month or year, during which the cellular telephone and/or cellular communication device may be utilized, specific phone numbers which may be called, specific time durations for a phone call and/or any authorized times for cellular telephone and/or cellular communication device usage (i.e. specific days, dates, times of day, times of month, year, etc.), and/or any other limitations and/or restrictions, regarding amount of transaction, parties involved, geographical area, and or times of allowed usage.

The present invention may also be utilized so as to provide financial transaction and/or wireless communication device authorization, notification and/or security for any number and/or types of accounts, including credit card accounts, charge card accounts, debit card accounts, currency or “smart” card accounts, and/or other transaction card accounts, savings accounts, checking accounts, automated teller machine accounts, cellular telephone accounts and/or cellular communication device accounts. In this manner, the apparatus may comprise a communication device or communications devices which may receive and/or transmit signals, data and/or information, for any number and/or types of the above accounts, and/or for each of the respective accounts utilized, from and to the respective central processing computer and/or central processing computers for the respective accounts. In this manner, an individual may utilize a single communication device so as to monitor all of his or her accounts and/or types of accounts.

The apparatus and method of the present invention provides for the real-time notification of financial transactions involving credit cards, charge cards, debit cards, and/or currency or “smart” cards, which enables a cardholder to monitor, in real-time, activity involving his or her card(s) and the corresponding accounts. The apparatus and method of the present invention also provides a means and a mechanism by which to inform a cardholder that his or her card(s) are lost, stolen, or is being utilized in an unauthorized manner and provides an indication to the cardholder of when and where his or her card(s) is being utilized in transactions. The cardholder may then report the card lost or stolen and/or cancel and/or de-activate the card. The apparatus and method of the present invention provides the same, and/or analogous, features and/or functions for banking and/or financial accounts and/or for cellular telephone accounts.

While the communications device(s) described above are described, in each of the respective embodiments, as being utilized for specific uses (i.e. credit and other cards transactions, banking and/or financial transactions, and/or cellular telephone transactions, the communication device(s) may also be adapted and/or programmed for use in all of these aforementioned transactions so that an individual may utilize a single communication device for all of the above described and/or envisioned transaction types.

It is envisioned that the apparatus and method of the present invention may be utilized in conjunction with other apparatuses and methods in the prior art, and that the present invention may be incorporated with these known apparatuses and methods so as to improve upon them and so as to find additional applications for the present invention.

Applicant hereby incorporates by reference herein the following U.S. Pat. No. 5,173,594 which teaches a system for printing personalized charge-card service receipts at remote locations; U.S. Pat. No. 5,479,510 which teaches an automated data card payment verification method; U.S. Pat. No. 5,473,667 which teaches a paging system with third party authorization; U.S. Pat. No. 3,723,655 which teaches a credit authorization terminal; U.S. Pat. No. 5,485,510 which teaches a secure credit/debit card authorization; U.S. Pat. No. 5,406,619 which teaches a universal authentication device for use over telephone lines; U.S. Pat. No. 5,444,616 which teaches financial transaction systems and methods utilizing a multi-reader transaction terminal; U.S. Pat. No. 5,513,250 which teaches telephone based credit card protection; U.S. Pat. No. 4,485,300 which teaches a loss control system; U.S. Pat. No. 4,758,714 which teaches a point-of-sale mechanism; U.S. Pat. No. 4,947,027 which teaches a system for identifying authorized use of credit cards; U.S. Pat. No. 5,357,563 which teaches a data card terminal for receiving authorizations from remote locations; U.S. Pat. No. 5,444,763 which teaches a translation and connection device for radio frequency point of sale transaction system; U.S. Pat. No. 5,243,645 which teaches an automatic system for forwarding of calls; and U.S. Pat. No. 3,938,090 which teaches a terminal apparatus.

While the present invention has been described and illustrated in various preferred and alternate embodiments, such descriptions are merely illustrative of the present invention and are not to be construed to be limitations thereof. In this regard, the present invention encompasses any and all modifications, variations and/or alternate embodiments with the scope of the present invention being limited only by the claims which follow.

Claims

1-20. (canceled)

21. A transaction security apparatus, comprising:

a receiver, wherein the receiver receives a limitation or restriction on an account usage, wherein the limitation or restriction on an account usage is received in real-time from a communication device associated with an individual account holder;

a memory device for storing the limitation or restriction on an account usage; and

a processing device for processing a transaction on an account or an authorization request in conjunction with the limitation or restriction on an account usage,

wherein the processing device generates a first signal, wherein the first signal contains information for authorizing or disallowing the transaction.

22. The apparatus ofclaim 21, wherein the account is at least one of a credit card account, a charge card account, a debit card account, a currency card account, and a “smart” card account.

23. The apparatus ofclaim 21, wherein the account is at least one of a bank account, a savings account, a checking account, and an automated teller machine account.

24. The apparatus ofclaim 21, wherein the account is at least one of a cellular telephone account and a cellular communication device account.

25. The apparatus ofclaim 21, wherein the communication device is a wireless device.

26. The apparatus ofclaim 21, wherein the receiver receives a transaction authorization request.

27. The apparatus ofclaim 21, further comprising:

a transmitter for transmitting a notification signal to the communication device or to a second communication device associated with the account holder in response to the transaction on an account or an authorization request.

28. The apparatus ofclaim 21, wherein the communication device is a home computer or personal computer.

29. The apparatus ofclaim 21, wherein the communication device is an interactive television.

30. The apparatus ofclaim 27, wherein the communication device or the second communication device is at least one of a cellular telephone, a wireless telephone, a mobile telephone, and a personal digital assistant.

31. The apparatus ofclaim 27, wherein the communication device or the second communication device is a home computer or personal computer.

32. The apparatus ofclaim 27, wherein the communication device or the second communication device is an interactive television.

33. The apparatus ofclaim 21, wherein said authorization request is input via or transmitted from at least one of a point-of-sale device, a transaction device, a cellular telephone, and a cellular communication device.

34. The apparatus ofclaim 21, wherein the limitation or restriction is transmitted to the receiver on or over at least one of the Internet and the World Wide Web.

35. The apparatus ofclaim 21, wherein the processing device counts a number of unauthorized transactions which occur on an account.

36. The apparatus ofclaim 27, wherein the notification signal contains information regarding at least one of a transaction type, a transaction amount, a location of transaction, a time of transaction, and at least one of good and a service involved in the transaction.

37. A transaction security apparatus, comprising:

a processing device, wherein the processing device processes information regarding a transaction involving at least one of a credit card, a charge card, a bank account, a checking account, a savings account transaction, and a automated teller machine account, wherein the processing device is capable of allowing or disallowing the transaction, and further wherein the processing device generates a signal containing information regarding the transaction; and

a transmitter, wherein the transmitter transmits the signal to a communication device associated with an individual account holder, wherein the signal is transmitted to the communication device in real-time, and further wherein the signal is transmitted on or over at least one of the Internet and the World Wide Web.

38. The apparatus ofclaim 37, wherein the communication device is at least one of a beeper, a pager, a telephone, a two-way pager, a reply pager, a home computer, a personal computer, a personal communication device, a personal communication services device, a television, an interactive television, a digital television, a personal digital assistant, a display telephone, a video telephone, a watch, a cellular telephone, a wireless telephone, a mobile telephone, a display cellular telephone, and a facsimile machine.

39. The apparatus ofclaim 38, further comprising:

a receiver, wherein the receiver receives a second signal from the communication device, wherein the second signal contains information for allowing or disallowing the transaction.

40. A transaction security method, comprising:

receiving a limitation or restriction on an account usage, wherein the limitation or restriction is received in real-time from a communication device associated with an individual account holder, wherein the limitation or restriction is transmitted on or over at least one of the Internet and the World Wide Web;

storing the limitation or restriction on an account usage;

processing at least one of a transaction on an account and an authorization request in conjunction with the limitation or restriction on an account usage, wherein the transaction on the account or the authorization request is processed with a processing device; and

generating a signal containing information for authorizing or disallowing the transaction.