System and method for converting closed loop cards into gift codes
Disclosed herein are systems, methods, and computer-readable storage media for generating a gift code. The system receives an indication from a first user identifying a closed loop card, receives a confirmation of an amount of money in an account associated with the closed loop card, offers to purchase the closed loop card at an amount less than the amount of money in the account associated with the closed loop card, and upon acceptance of the offer, deactivates the closed loop card. The system then offers to sell the amount of money at a discount rate to a second user, receives acceptance of the offer to sell the amount of money at the discount rate, and associates a gift code with the amount of money for use by the second user. Gift codes can have no expiration date. A multi-process secure gateway can confirm the amount of money.
1. A method comprising:
offering to purchase a closed loop card associated with a first consumer at an amount less than an amount of money in an account associated with the closed loop card, wherein the first consumer is not a merchant;
upon acceptance of the offer, deactivating, via a processor, the closed loop card;
offering to sell the amount of money at a discount rate to a second consumer, wherein the first consumer differs from the second consumer, and wherein the second consumer is not a merchant;
receiving acceptance of the offer to sell the amount of money at the discount rate; and
associating a gift code with the amount of money for use by the second consumer, wherein the gift code is electronic and has no associated physical gift card.
2. The method of claim 1 , wherein the gift code has no expiration date.
3. The method of claim 1 , wherein a multi-process secure gateway provides the received confirmation of the amount of money.
4. The method of claim 1 , wherein a multi-process secure gateway communicates with one or more closed loop card processors.
5. The method of claim 1 , the method further comprising providing the gift code to the second consumer.
6. The method of claim 1 , the method further comprising:
determining a set of smaller values totaling a sum equal to the amount of money in the account;
dividing the amount of money in the account into gift codes in denominations of the set of smaller values; and
offering to sell the gift codes of the set of smaller values at discount rates.
7. The method of claim 1 , the method further comprising receiving the closed loop card.
8. The method of claim 1 , wherein the offer is based on a resale velocity of cards of a same type as the closed loop card.
9. The method of claim 1 , the method further comprising restricting an amount of money the first consumer can redeem over a period of time.
10. The method of claim 1 , wherein the gift code is one of a closed loop code and an open loop code.
11. The method of claim 1 , wherein when the second consumer uses the gift code, the method further comprising transferring the amount of money to another account.
12. A system comprising:
a processor; and
a computer-readable medium which stores instruction which, when executed by the processor, perform comprising:
offering to purchase a closed loop card associated with a first consumer at an amount less than an amount of money in an account associated with the closed loop card, wherein the first consumer is not a merchant;
upon acceptance of the offer, deactivating the closed loop card;
offering to sell the amount of money at a discount rate to a second consumer, wherein the first consumer differs from the second consumer, and wherein the second consumer is not a merchant;
receiving acceptance of the offer to sell the amount of money at the discount rate; and
associating a gift code with the amount of money for use by the second consumer, wherein the gift code is electronic and has no associated physical gift card.
13. The system of claim 12 , wherein the gift code has no expiration date.
14. The system of claim 12 , wherein a multi-process secure gateway provides the received confirmation of the amount of money.
15. The system of claim 12 , wherein a multi-process secure gateway communicates with one or more closed loop card processors.
16. The system of claim 12 , where the gift code is one of an open loop gift code and a closed loop gift code.
17. A non-transitory computer-readable storage medium storing instructions which, when executed by a computing device, control the computing device to generate a gift code, the instructions comprising:
offering to purchase a closed loop card associated with a first consumer at an amount less than an amount of money in an account associated with the closed loop card, wherein the first consumer is not a merchant;
upon acceptance of the offer, deactivating the closed loop card;
offering to sell the amount of money at a discount rate to a second consumer, wherein the first consumer differs from the second consumer, and wherein the second consumer is not a merchant;
receiving acceptance of the offer to sell the amount of money at the discount rate; and
associating a gift code with the amount of money for use by the second consumer, wherein the gift code is electronic and has no associated physical gift card.
18. The non-transitory computer-readable storage medium of claim 17 , wherein the offer is based on a resale velocity of cards of a same type as the closed loop card.
19. The non-transitory computer-readable storage medium of claim 17 , the instructions further comprising restricting how much of the amount of money the second consumer can redeem over a period of time.
20. The non-transitory computer-readable storage medium of claim 17 , the instructions further comprising checking that the first consumer is not engaged in fraud with the closed loop card.
21. The non-transitory computer-readable storage medium of claim 17 , wherein when the second consumer uses the gift code, the method further causes the computing device to transfer the amount of money to another account.
22. The non-transitory computer readable storage medium of claim 17 , where the gift code is one of an open loop gift code and a closed loop gift code.
23. A method comprising:
offering to purchase a first code associated with a first consumer at an amount less than an amount of money in an account associated with the first code, wherein the first code is electronic and independent of a physical gift instrument, wherein the first consumer is not a merchant;
upon acceptance of the offer, deactivating, via a processor, the first code;
offering to sell the amount of money at a discount rate to a second consumer, wherein the first consumer differs from the second consumer, and wherein the second consumer is not a merchant;
receiving acceptance of the offer to sell the amount of money at the discount rate; and
associating a second code with the amount of money for use by the second consumer, wherein the second code is electronic and has no associated physical gift card.
24. The method of claim 23 , wherein the each of the first code and the second code are one of an open loop code and a closed loop code.
25. The method of claim 23 , wherein the first code is associated with a first merchant and the second code is associated with a second merchant.