Granted Patent B2

US 12,619,974 · App. 18/090,866 · Granted May 5, 2026

Inventor: Dmitriy Kolchin (Rolling Hills Estates, CA)

G06Q20/352G06Q20/3224

Abstract

Claims (36)

1 . A computer-implemented method for conducting a secure card-present transaction without physically swiping, inserting, or imprinting a card, the method executed by one or more processors of a computing system and comprising:

identifying, by the computing system, a first payment source account held by a cardholder;

receiving, by the computing system, transaction data associated with a transaction initiated by the cardholder with a merchant using the first payment source account, the transaction having a transaction amount;

requesting, via a first network, a first transfer of the transaction amount from the first payment source account within a predetermined time;

capturing, using a mobile device camera, one or more images of a payment card while concurrently obtaining, by a navigation facility of the mobile device, a first geolocation of the mobile device and embedding the first geolocation as metadata of the captured image;

pre-validating the captured image by programmatically analyzing image quality to detect at least blur and glare using frequency-domain or Laplacian-based operators, and automatically re-prompting for recapture unless a predefined quality threshold is met;

transmitting, from the computing system to a device of the cardholder, an electronic authentication request over a secure channel that authenticates the parties by digital certificates and establishes encrypted communications;

in response, receiving from the cardholder device an electronic signature together with a second geolocation of the cardholder device at a time of signing, and decrypting the electronic signature after successful authentication;

collecting and storing, as part of a transaction record, metadata associated with the signature writing process and the transaction, the metadata including at least the first geolocation, the second geolocation, and an indicator of a card-present status;

determining, by the computing system, the card-present status for the transaction by computing a distance between the first and second geolocations and setting the status to “card-present” when the distance is within a predetermined threshold; and

transferring, by the computing system, the transaction amount to pay the merchant.

2 . The method of claim 1 , wherein the card-present status condition is met when the card is present, or the cardholder is present, or both.

3 . The method of claim 1 , wherein the fee associated with the transaction is reduced by a predetermined amount if the card-present status condition is met.

4 . The method of claim 1 , wherein the card-present status is further determined by using a GPS location of the merchant, such that if the location of the merchant and the cardholder are within a predetermined range, the card-present condition is met.

5 . The method of claim 1 , wherein the card-present status is determined by making a video call to the cardholder if the cardholder is remotely located.

6 . The method of claim 1 , wherein the card-present status is determined by using a smartphone of the merchant or the cardholder to read special non-visible NFC markers or to write special non-visible NFC markers into an NFC memory.

7 . The method of claim 1 , wherein the card-present status is determined by taking a picture of the card by the merchant's phone or the cardholder's phone.

8 . The method of claim 1 , wherein the card-present status is determined by making a video of the card by using a camera of the merchant's phone or the cardholder's phone.

9 . The method of claim 1 , wherein the card-present status is determined by verifying any physical object in the possession of the cardholder.

10 . The method of claim 1 , wherein the card-present status is determined by the knowledge of certain information possessed by the cardholder.

11 . The method of claim 1 , wherein the card-present status is determined by at least one physical characteristic attributable to the cardholder.

12 . The method of claim 1 , wherein the card-present status is determined by a holographic image detection on the cardholder's card.

13 . The method of claim 12 , wherein the holographic image detection comprising taking multiple pictures or videos of the card at different angles and verifying that a hologram is moving.

14 . The method of claim 12 , wherein the holographic image detection comprising taking a picture or video of the card using multiple cameras at the same time in order to detect a holographic moving image with high accuracy.

15 . A system for conducting a secure card-present transaction without physically swiping, inserting, or imprinting a card, comprising:

one or more processors; and

one or more memories storing instructions which, when executed by the one or more processors, cause the one or more processors to:

identify a first payment source account held by a cardholder;

receive transaction data associated with a transaction initiated by the cardholder with a merchant using the first payment source account, the transaction having a transaction amount;

request, via a first network, a first transfer of the transaction amount from the first payment source account within a predetermined time;

receive from a mobile device one or more images of a payment card captured by a mobile device camera and a first geolocation obtained by a navigation facility concurrently with the capture, the first geolocation being embedded as metadata of the captured image;

pre-validate the captured image by detecting blur and glare using frequency-domain or Laplacian-based operators and request recapture unless a predefined quality threshold is met;

transmit, to a device of the cardholder, an authentication request over a secure channel that authenticates the parties by digital certificates and establishes encrypted communications, and receive, in response, an electronic signature together with a second geolocation of the cardholder device at a time of signing, the system being configured to decrypt the electronic signature after successful authentication;

store, in a database, a transaction record including metadata comprising at least the first geolocation, the second geolocation, and an indicator of a card-present status;

determine the card-present status by computing a distance between the first and second geolocations and setting the status to “card-present” when the distance is within a predetermined threshold; and

transfer the transaction amount to pay the merchant.

Assignments (1)

Continuity (4)

References Cited (15)