Granted Patent B2

US 7,748,616 · App. 10/968,398 · Granted Jul 6, 2010

Abstract

Claims (32)

1. A method for implementing an anonymous Mail Order Telephone Order (“MOTO”) credit card transaction between a user and a merchant, comprising the steps of:

establishing a user account between a credit source and the user which Is associated with a fictitious account name, a user account number, a user key and a user settlement mechanism through which the user can pay the credit source for charges and fees billed to the user account;

providing the user with an electronic card that is comprised of:

a card base;

a storage medium affixed to the card that can be read by a card reader but is not readable by a human eye;

a computer affixed to the card;

an input mechanism for providing input to the computer; a display controlled by the computer; and

a power source for supplying power to the computer;

wherein the electronic card has the fictitious account name stored in a memory device accessible by the computer, the computer is capable of causing data to be stored in the storage medium and the electronic card is sized such that a standard magnetic stripe reader can read the magnetic storage medium;

completing a MOTO credit card transaction between the user and the merchant in which the user is charged a monetary value by the merchant, comprising the following steps:

entering the user key into the input mechanism;

executing an algorithm by the computer that uses the user key and a card number stored in the electronic card as input variables to generate a valid personal charge number;

visually reading the valid personal charge number from the display;

providing the valid personal charge number and the fictitious account name to the merchant;

sending the monetary value, the valid personal charge number and the fictitious account name to a credit approval center that verifies that the valid personal charge number is valid for the fictitious account name and approves the MOTO credit card transaction; and

sending an approval of the transaction from the credit approval center to the merchant.

2. A method as recited in claim 1 , comprising the further step of:

billing the user for the transaction through the user settlement mechanism.

3. A method as recited in claim 1 , wherein the MOTO credit card transaction is conducted between the user and the merchant over a computer network.

4. A method as recited in claim 1 , comprising the further steps of:

establishing a user insertion key that is associated with the user account; and

generating the valid personal charge number from the card number by inserting the user key into the card number through use of the user insertion key and a permutation variable.

5. A method as recited in claim 4 , comprising the further steps of:

changing the permutation variable from an initial state to a different state; and

generating a second valid personal charge number from the card number by inserting the user key into the card number through use of the user insertion key and the permutation variable in the different state.

6. A method as recited in claim 4 , wherein the user insertion key is derived from the fictitious account name.

7. A method as recited in claim 4 , comprising the further steps of

changing the permutation variable from an initial state to a different state; and

generating a second valid personal charge number from the card number by inserting the user key into the card number through use of the user insertion key and the permutation variable in the different state.

8. A method as recited in claim 1 , wherein the card number. contains at least four less numbers than the valid personal charge number.

9. A method as recited in claim 1 , wherein the valid personal charge number contains at least one non-numeric character.

10. A method as recited in claim 1 , wherein the electronic card does not permanently visually identify the user name, the card number, the fictitious account name or the user account number.

Continuity (8)