U.S. patent application number 12/193646 was filed with the patent office on 2009-02-19 for federated id secure virtual terminal emulation smartcard.
Invention is credited to Christopher T. Maus.
Application Number | 20090045257 12/193646 |
Document ID | / |
Family ID | 40362199 |
Filed Date | 2009-02-19 |
United States Patent
Application |
20090045257 |
Kind Code |
A1 |
Maus; Christopher T. |
February 19, 2009 |
Federated ID Secure Virtual Terminal Emulation Smartcard
Abstract
A smartcard using a combination of secure virtual terminal
emulation implemented by the smartcard and Federated ID information
stored on the smartcard (and optionally on a transaction processor
server) to provide secure verification of the personal identity of
the cardholder. The Federated ID information provides a high level
personal identity verification for the cardholder while secure
virtual terminal emulation by the smartcard prevents the Federated
ID information from being exposed to the microprocessor and memory
resources of a host computer station when the smartcard is used
with the host computer station to engage in transactions. The
Federated ID smartcard provides a flexible, dynamically adjustable,
highly efficient and secure system for personal identity
verification for online commerce and a wide range of other
application involving personal identity verification.
Inventors: |
Maus; Christopher T.;
(Sagle, ID) |
Correspondence
Address: |
MEHRMAN LAW OFFICE, P.C.
P.O. Box 420797
ATLANTA
GA
30342
US
|
Family ID: |
40362199 |
Appl. No.: |
12/193646 |
Filed: |
August 18, 2008 |
Related U.S. Patent Documents
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Application
Number |
Filing Date |
Patent Number |
|
|
60956506 |
Aug 17, 2007 |
|
|
|
Current U.S.
Class: |
235/382 ;
235/492 |
Current CPC
Class: |
G06K 19/025 20130101;
G06K 19/07 20130101 |
Class at
Publication: |
235/382 ;
235/492 |
International
Class: |
G06K 19/067 20060101
G06K019/067; G06K 5/00 20060101 G06K005/00 |
Claims
1. A smartcard configured for secure personal identification of an
associated cardholder authorized to use the smartcard, comprising:
a portable substrate carrying a machine-readable magnetic memory
strip, a microprocessor, a microprocessor interface, and a
read-only memory; wherein the microprocessor interface is
configured for engaging in functional communications with a
smartcard reader associated with a host computer having user
input-output resources, network interface resources, microprocessor
resources, and memory resources; wherein the read-only memory
residing on the smartcard stores Federated ID information for the
associated cardholder; wherein the microprocessor residing on the
smartcard is configured to validate a personal identity associated
with the cardholder and transmit at least a portion of the
Federated ID information to a back-end transaction processor via
the network interface resources of the host computer; and wherein
the microprocessor residing on the smartcard is configured to
emulate a secure virtual terminal in which the smartcard controls
the network interface resources of the host computer while
excluding the Federated ID information from the microprocessor and
memory resources of the host computer.
2. The smartcard of claim 1, wherein the smartcard is configured to
receive user-supplied personal identification information from the
cardholder via the user input-output resources of the host computer
while excluding the user-supplied personal identification
information from the microprocessor and memory resources of the
host computer.
3. The smartcard of claim 2, wherein the smartcard is configured to
validate the personal identity of the cardholder by comparing the
user-supplied personal identification information to corresponding
predefined personal identification information stored on the
read-only memory of the smartcard.
4. The smartcard of claim 3, wherein the user-supplied personal
identification information comprises a PIN and the predefined item
of identification information stored on the read-only memory
residing on the smartcard comprises a predefined PIN.
5. The smartcard of claim 3, wherein the user-supplied personal
identification information comprises an electronically received
handwritten signature and the predefined item of identification
information stored on the read-only memory residing on the
smartcard comprises a predefined handwritten signature.
6. The smartcard of claim 3, wherein the user-supplied personal
identification information comprises an electronically received
biometric signature and the predefined item of identification
information stored on the read-only memory residing on the
smartcard comprises a predefined biometric signature.
Description
REFERENCE TO RELATED APPLICATIONS
[0001] This application claims priority to commonly-owned U.S.
Provisional Patent Application Ser. No. 60/956,506 filed Aug. 17,
2007 entitled "Internet Credit Card with a Federated ID and other
Online Verification Protocols Embedded on a Smart Card along with
and During the Bank (Credit/Debit) Card Application for Direct
Internet Transactions, Access and Payments," which is incorporated
herein by reference.
FIELD OF THE INVENTION
[0002] This application relates to smartcards used for personal
identification and financial transactions and, more particularly,
to a smartcard configured for secure terminal emulation using
Federated ID and personal identification information stored on the
smartcard to provide personal identity verification for online
transactions and other purposes.
BACKGROUND OF THE INVENTION
[0003] As online commerce and identity theft have increased, so has
the need for personal identity verification and secure online
commercial transactions. Preventing the theft of financial and
personal information obtained from online financial transactions is
an important objective. For a solution to find widespread
acceptance, however, it must also be cost effective, user-friendly
for consumers, efficient at the point of sale, convenient for
vendors, merchants and service providers, and backward compatible
with the existing bankcard infrastructure. Despite a wide range of
approaches proposed to meet these objectives, none has yet taken
hold to solve the continuing problems of providing an adequate
level of personal identity verification and security for online
commerce while also meeting the other commercially important
objectives of convenience, ease of use and backward compatibility
with the existing bankcard infrastructure. Accordingly, there
continues to be a need for improved approaches to providing
personal identity verification and security online commerce and
other applications involving verification of the personal identity
of persons attempting to engage in transactions.
SUMMARY OF THE INVENTION
[0004] The present invention meets the needs described above
through a smartcard that emulates a secure virtual transaction
terminal and uses Federated ID information stored on the smartcard
to provide personal identity verification for online transactions
and other purposes. The combination of secure virtual terminal
emulation implemented by a smartcard and the use of Federated ID
stored on the smartcard to provide secure verification of the
personal identity of the cardholder is powerful because the
Federated ID information provides a high level personal identity
verification for the cardholder while secure virtual terminal
emulation by the smartcard prevents the Federated ID information
from being exposed to a host computer station when the smartcard is
used with the host computer station to engage in transactions
requiring personal identity verification, such as financial
transactions. In this system, the Federated ID information stored
on the smartcard (and optionally on a back-end transaction
processor) provides a high degree of personal identity
verification, while secure virtual terminal emulation performed by
the smartcard prevents theft of the Federated ID information.
Together, these two attributes result in a flexible, dynamically
adjustable, highly efficient and secure system for personal
identity verification for online commerce and a wide range of other
purposes relying on personal identity verification.
[0005] In view of the foregoing, it will be appreciated that the
present invention avoids the drawbacks of prior online commerce and
personal identification systems by providing a smartcard that
stores Federated ID information and emulates a secure virtual
terminal to prevent exposure of the Federated ID information to the
microprocessor and storage resources of a host computer that is
used to read the smartcard. The invention also provides a
dynamically adjustable personal identity validation mechanism for a
wide range of application including bankcard transactions, building
access systems, vehicle and equipment access systems, restricted
data access systems, and other restricted access systems requiring
secure validation of the personal identity of an individual seeking
access to restricted resources. Specific structures and processes
for implementing the invention, and thereby accomplishing the
advantages described above, will become apparent from the following
detailed description of the illustrative embodiments of the
invention and the appended drawings and claims.
BRIEF DESCRIPTION OF THE DRAWINGS
[0006] FIG. 1 is a conceptual illustration of a Federated ID secure
virtual terminal emulation smartcard.
[0007] FIG. 2 is functional block diagram of an online commerce
system using a Federated ID secure virtual terminal emulation
smartcard.
[0008] FIG. 3 is a logic flow diagram for an online commerce system
using a Federated ID secure virtual terminal emulation
smartcard.
DETAILED DESCRIPTION OF THE PREFERRED EMBODIMENTS
[0009] A Federated ID smartcard uses a combination of secure
virtual terminal emulation implemented by the smartcard and
Federated ID information stored on the smartcard (and optionally on
a transaction processor server) to provide secure verification of
the personal identity of the cardholder. The Federated ID
information provides a high level personal identity verification
for the cardholder while secure virtual terminal emulation by the
smartcard prevents the Federated ID information from being exposed
to the microprocessor and memory resources of a host computer
station when the smartcard is used with the host computer station
to engage in transactions. The Federated ID smartcard provides a
flexible, dynamically adjustable, highly efficient and secure
system for personal identity verification for online commerce and a
wide range of other application involving personal identity
verification.
[0010] The secure virtual terminal emulation implemented by the
smartcard provides security for the Federated ID and other personal
identification information stored on the smartcard and thereby
provides a secure and highly efficient mechanism for online third
party identification and validation. The smartcard may be used for
conducting secure online bankcard transactions and may also be used
for personal identification validation not in connection with a
financial transaction. As a result, the smartcard may be used for
conducting secure online bankcard transactions and may also be used
for personal identification validation in connection with any other
identity-based access or transaction. For example, the smartcard
can be used to provide identity verification for travel,
employment, building access, computer file and data access,
security clearance-based access systems, receipt of benefits,
receipt of services, and other applications for which access is
restricted to a particular individual who produces sufficient
authenticating documentation.
[0011] Referring to the figures, in which like numerals refer to
similar elements throughout the figures, FIG. 1 is a conceptual
illustration of a Federated ID smartcard 10 configured to emulate a
secure virtual terminal. The smartcard is preferably implemented on
durable card substrate 12, such as that used for conventional
smartcards. Although a wallet-sized card is presently considered to
be the preferred approach, other sizes and physical configurations
may be employed, such as key-ring cards, USB thumb drives, RFID
cards or other substrates, Bluetooth cards or other substrates, or
any other suitable chip-carrying substrate. It should be noted that
with the advent of Bluetooth and RFID technology, the federated ID
smartcard technology is not limited to conventional wallet-sized
cards, but can alternatively be implemented on a wide range of
portable computing devices. Nevertheless, it should also be
appreciated that implementing the technology on wallet-sized
smartcards that are visually indistinguishable from conventional
smartcards and almost visually indistinguishable from conventional
bankcards is a preferred implementation with inherent advantages
for immediate consumer acceptance and integration into the
conventional bankcard processing system.
[0012] The illustrative wallet-sized smartcard 10 shown in FIG. 1
includes microprocessor 14, microprocessor I/O interface 16, and
memory 18 similar to the resources included on conventional
smartcards. The smartcard 10 also includes a magnetic strip 20
similar to that present on conventional bankcards and may further
include a hologram and printed photo ID similar to those included
on some conventional drivers licenses and passports. The smartcard
10 is different from these conventional items, however, in that the
memory 18 includes a permanent, read-only, tamper-proof portion
containing the cardholder's Federated ID information, which
includes or is associated with one or more pieces of predefined
personal identification information. The Federated ID information
is distinguished from the information stored on conventional
bankcards and smartcards in that the at least a portion of the
Federated ID information is provided or verified by a third-party
verification authority as being sufficient for personal
identification of the cardholder for financial transaction or other
purposes. That is, the Federated ID information contains encrypted
personal identification credentials for the cardholder obtained or
validated in advance by an appropriate third-party authority,
typically involving an extended validation process. Once this
information is stored on the smartcard 10, the card itself can be
used as the cardholder's secure, portable, personally carried
credentialing device. In addition to the type of credentialing
information included in a conventional Federated ID profile, the
smartcard 10 may include additional types of credentialing
information for the cardholder, such as biometric identifiers and
one or more secret Federated ID data items that are expected to be
remembered by the cardholder and, therefore, not transmitted by
mail or other media to anyone attempting to obtain issuance of a
Federated ID smartcard in the name of the individual.
[0013] The Federated ID information is permanently stored in a
read-only, temper-proof memory location, which may be part of a
larger memory device on the smartcard or it may be a separate,
special purpose memory. In either case, the smartcard should have
no mechanism for the cardholder or an intruder obtaining possession
of the card to read or alter the Federated ID information. For
example, all or a portion of the Federated ID information may only
be read or decrypted using information obtained from a back-end
transaction processor after the identify of the cardholder has been
validated. As an additional security measure, all or a portion of
the Federated ID information may only be read or decrypted after
the cardholder has entered a secret Federated ID data item that is
not stored on the card itself. For example, the secret Federated ID
data item may be used as a private portion of an encryption system.
The cardholder's PIN or password may be used as part of an
encryption key that is used to encrypt the Federated ID information
without actually storing the PIN or password on the smartcard
itself.
[0014] FIG. 2 is functional block diagram of an online commerce
system 20 using the Federated ID smartcard 10 and a host computer
22. The basis system architecture can be relatively simple, as
shown in FIG. 2. The cardholder inserts the smartcard 10 into a
smartcard reader 24 of the host computer 22. Upon activation, the
smartcard launches a secure virtual terminal emulation process,
which allows the microprocessor and memory resources residing on
the smartcard to interact with the user input/output devices 23,
data bus 26, and network interface hardware 28 of the host computer
while excluding the Federated ID information from the
microprocessor and memory resources of the host computer. In other
words, the smartcard 10 implements a virtual terminal 30 that
allows the smartcard to engage in user input-output communications
and network communications without storing personal or financial
information received from the user via the user input/output
devices 23 or read from the smartcard 10 on the microprocessor or
memory resources of the host computer 22. The user input/output
devices 23 typically include a mouse and keyboard, and may further
include additional devices used for personal identification of the
cardholder, such as a microphone for receiving a voice signature, a
writing tablet for receiving a handwritten signature, a fingerprint
reader for receiving a fingerprint signature, a retina scanner for
receiving a retina signature, and so forth. In this regard, the
host computer 22 may be a general purpose personal computer used of
online commerce, a special purpose commercial transaction terminal,
or other special purpose access control device, such as a building,
equipment or secure data access control system.
[0015] Once the smartcard 10 has emulated the secure virtual
terminal 30, the smartcard is enabled to interact with the user
(cardholder) and via the user I/O devices 23 and access the
Internet 32 to access one or more transaction processors, as
represented by the transaction processor 34 shown in FIG. 2, using
a secure, encrypted communication protocol without exposing the
cardholder's Federated ID information to the microprocessor or the
memory resources of the host computer. The smartcard 10 verifies
the identify of the cardholder by prompting and receiving the
cardholder's PIN, password or other identification information and
comparing the user-supplied identification information with
corresponding identification information stored on the smartcard
and, alternatively or optionally, one or more back-end transaction
processors.
[0016] The host computer 22 may also notify the smartcard 10 of
additional components of the user I/O devices 23 and associated
identity verification protocols required to access resources
controlled by the host computer. For example, the host computer 22
may notify the smartcard 10 that the host computer has an
associated handwriting tablet and that access requires receipt and
validation of a handwritten signature. This protocol is
particularly useful, for example, for a commercial bank card check
out terminal. Similarly, the host computer may notify the smartcard
10 that the host computer has an associated fingerprint reader and
that access requires receipt and validation of a fingerprint
signature. This protocol is particularly useful for a building or
secure data access system. It should also be noted that the
smartcard 10 maybe configured to detect the presence of certain
types of personal identification hardware, such as fingerprint
readers and handwritten signature tables, and automatically
implement associated security protocols without the active
involvement of the host computer microprocessor. For example, the
smartcard may autonomously detect the presence of the fingerprint
reader and automatically implement the fingerprint security
procedures. The smartcard may also read a security protocol exposed
by the host computer and implement security procedures as
identified by the protocol provided by the host computer.
[0017] To provide an illustrative example of a transaction that may
be implemented by the Federated ID smartcard 10, FIG. 3 is a logic
flow diagram for a transaction conducted by an online commerce
system using the Federated ID smartcard. In step 100, the card
issuer obtains and verifies Federated ID information for a
prospective cardholder. This information includes at least one
piece of personal identification information that will be used for
on-site verification of the cardholder's personal identity when the
cardholder attempts to used the card for personal identification.
Step 100 is followed by step 102, in which the card issuer stores
the Federated ID information including the personal identification
information on a permanent, read-only, temper-proof electronic
memory on the smartcard. At this time, the cardholder's photo
identification may also be printed on the smartcard substrate
and/or stored on the permanent memory of the smartcard. Step 102 is
followed by step 104, in which the card issuer sends the Federated
ID smartcard to the cardholder. Once the cardholder has received
the smartcard, he or she may use the card to engage in secure
transactions, as described below.
[0018] Step 104 is followed by step 106, in which the cardholder
places the smartcard in a smartcard reader of a host computer, such
as general purpose computer being used for online commerce or a
commercial bankcard check out terminal. At this point, the
cardholder may be required to enter an on-site launch code to
initiate the secure virtual terminal. Step 106 is followed by step
108, in which the smartcard implements the secure virtual terminal
emulation process. At this point, the cardholder is typically
prompted to enter user-supplied personal identification
corresponding to predefined personal identification information
stored on the Federated ID smartcard. The specific personal
identification information required may vary for different
applications and may be specified by the host computer, the
smartcard, and/or one or more back-end transaction processors at
the time access is requested. Once the cardholder's identity has
been adequately validated, step 108 is followed by step 110, in
which the smartcard transmits all or a portion of the cardholder's
Federated ID information to a back-end transaction processor
without exposing that information to the microprocessor or memory
resources of the host computer. Step 110 is followed by step 112,
in which the virtual terminal (including the smartcard and the user
I/O interface and network interface resources of the host computer)
interact with the back-end transaction processor to complete the
transaction without exposing the user's Federated ID information to
the microprocessor or memory resources of the host computer.
[0019] To enable the secure access system, the Federated ID
smartcard typically stores one or more items of personal
identification information that are used to validate the personal
identity of the cardholder when the cardholder attempts to use the
smartcard for online financial transactions and other situations in
which personal identification is desired. The smartcard itself, and
optional one or more back-end transaction processors, store the
items of personal identification information for the card holder,
such as a PIN, password, electronic signature, electronic photo ID,
and/or one more biometric identifiers. During a transaction
requiring personal identification, the smartcard emulates a secure
virtual terminal when communicating with the back-end transaction
processor to prevent exposure of the personal identification
information entered or read into the host computer as well as the
personal identification information stored on the smartcard and/or
one or more associated back-end transaction processors. The
combination of the smartcard and back-end transaction processors
may store a range of personal identification information that can
be used to provide a dynamically adjustable range of security in
personal identity verification for different types of
transactions.
[0020] Importantly, the specific procedures required for personal
identity verification for different types of transactions need not
be stored on the smartcard itself, which stores at least a portion
of the cardholder's predefined personal identification and account
information sufficient to identify at least one back-end
transaction processor. In particular, the Federated ID information
may be stored on the read-only memory while the financial account
information may be stored on the magnetic strip (optionally with
another iteration of the financial account information stored on
the read-only memory). The specific personal identification
parameters required for each particular type of transaction can,
therefore, be further defined by the on-site transaction processing
equipment (e.g., host computer) and related systems and/or the
associated back-end transaction processor. As a result, many
different dynamically adjustable personal identification protocols
may be defined and implemented without requiring changes to the
information or software stored on the Federated ID smartcard
itself, which can be used as a high-level personal identity
security key storing a range of personal identification information
for use in a wide of transactions using a wide and dynamically
adjustable range of security protocols. For the purpose of this
specification, it will therefore be understood that the terms
"transaction" and "transaction processor" include but are not
limited to financial transactions. Rather, these terms apply to any
type of interaction involving verification of the personal identity
of the cardholder, which are referred to generally as
transactions.
[0021] In addition to providing a wide and dynamically adjustable
range of personal identity verification protocols, the Federated ID
smartcard also provides an efficient and highly effective mechanism
for improving the security of conventional bankcard transactions,
such as credit card, debit card, gift card, and defined-use
financial cards. Specifically, the secure virtual terminal
emulation service implemented by the smartcard prevents the
financial account and routing information as well as the personal
identification information (e.g., PIN, password, electronic photo
ID, electronic signature) stored on the card from being exposed to
the microprocessor and memory resources of the host computer during
use of the card. This level of increased transaction security may
be implemented without requiring any changes to the back-end
financial transaction processor. In addition, storing the Federated
ID information on the smartcard provides a level of personal
identification documentation presently accomplished only through a
detailed and time consuming validation process, typically requiring
the presentation of photo identification along with a passport or
social security number, and in some cases requiring additional
information such as financial account and password information. The
Federated ID smartcard provides a significantly higher level of
personal identity validation without risking loss of the personal
identification information through the host computer. Moreover, the
cardholder is not required to carry, remember or otherwise provide
personal information other than the particular information required
for on-site verification, which can be as simple as a PIN, may also
include a secret Federated ID data item, and may be much more
involved, for example requiring multiple biometric identifiers
validated by the smartcard itself as well as multiple back-end
transaction processors. Notwithstanding the potential
sophistication of the system, the ability of the Federated ID
smartcard to validate the cardholder's personal identity using a
simple PIN (and, if desired, other identifiers stored on the
smartcard) without involvement of the back-end transaction
processor in the personal identification process is an important
advantage that allows the Federated ID smartcard to be seamlessly
and incrementally introduced into the existing bankcard
infrastructure without requiring any changes to the bankcard
infrastructure other than introduction of the Federated ID
smartcard itself.
[0022] This innovation allows the Federated ID smartcard to be used
with any host computer without creating an entry point for security
breach and theft of the user's financial and personal information,
as occurs with conventional online transaction systems. This is
because in conventional online transaction systems, the resources
of the host computer, including the microprocessor and associated
memory residing on the host computer, are used to store, process
and communicate the cardholder's financial and personal information
with the back-end transaction processor. This typically involves
typing or electronically reading the financial and personal
information into a browser running on the host computer, which
stores this information in a variety of locations. Some of these
locations are not exposed to the user (cardholder), who may be
unaware that the host computer is storing this information. This
exposes the information to loss through spyware, hacking, and other
types of computer intrusion. Although browser cookies are a well
known mechanism for storing this type of information on the host
computer, the information may also be stored in other locations
that are less well known and more difficult to eradicate, such as
Internet temporary files, cache memory, registry keys, and the
like. In addition, computer thieves are notoriously adaptive,
continually finding new ways to bypass computer security systems,
such as Trojan horses, web crawlers, spyware, and so forth.
[0023] In previous Internet commerce systems, the cardholder's
personal and financial information used to engage in financial
transactions is necessarily exposed to the host computer's
microprocessor and memory resources as these resources are used to
receive and transmit this information to the back-end transaction
processor. The Federated ID smartcard avoids this exposure by using
the microprocessor and memory resources resident on the smartcard
to receive and transmit the cardholder's financial and personal
information to the back-end transaction processor. This is possible
because the Federated ID smartcard carries its own microprocessor,
memory, user interface software, and network interface software.
When the smartcard is read by a smartcard reader of the host
computer, the microprocessor and related resources residing on the
smartcard operates as a secure virtual terminal that uses the
input-output and network interface resources of the host computer
while excluding the Federated ID information from the
microprocessor and memory resources of the host computer. This
process, which is referred to as secure virtual terminal emulation,
prevents the cardholder's personal and financial information used
to engage in transactions (e.g., the Federated ID information
stored on the smartcard) from being read or otherwise entered into
the microprocessor and memory resources of the host computer. As a
result, the browser, temporary Internet files, and registry keys
implemented by the host computer are not used to interact with the
input-output and network interface resources of the host computer
during virtual terminal emulation. Rather, the microprocessor and
memory resources residing on the smartcard interact with the
input-output and network interface resources of the host computer
to create the secure virtual terminal emulation computing
environment.
[0024] Secure virtual terminal emulation by the Federated ID
smartcard therefore allows the resources of the host computer to be
used to receive user-supplied personal identification, such as a
PIN, password, fingerprint signature, and so forth, without that
information being stored on the memory resources or processed by
the microprocessor of the host computer. Instead, the smartcard
receives and stores the user-supplied personal identification
information, which the smartcard typically validates by comparing
the user-supplied personal identification information with
corresponding, predefined personal identification information
stored on the smartcard. Alternatively or optionally, the smartcard
and/or a back-end transaction processor may validate some or all of
the user-supplied personal identification by comparing that
information with corresponding, predefined personal identification
stored on one or more back-end transaction processors. Importantly,
the personal identity of the cardholder is validated through the
secure virtual emulation process in which the smartcard
communicates with the back-end transaction processor, which
prevents the user-supplied personal identification, the predefined
personal identification information stored on the smartcard, and
the personal identification information stored in one or more
back-end transaction processors from being exposing to the
microprocessor and memory storage resources of the host
computer.
[0025] It should be noted at this point that the host computer can
be any host computer with direct or indirect access to a smartcard
reader. For example, the cardholder can use any personal computer
with a smartcard reader to engage in financial transactions without
risking exposure and potential loss of personal identification
information to or through the host computer. This includes the
personal identification information stored on the smartcard as well
as that entered into the smartcard and communicated with the
back-end transaction processor using the input-output and network
interface resources of the host computer. Similarly, the host
computer may be a transaction terminal operated by a vendor. In
this case, the transaction terminal or an associated resource
(e.g., network accessed security computer associated with the
transaction terminal) may define the type of personal
identification validation required for the specific cardholder and
transaction requested. As anther example, the host computer may be
a transaction terminal providing restricted access to a building,
vehicle, computer file, or other resource. Again for these
applications, the transaction terminal or an associated resource
may define the type of personal identification validation required
for the specific cardholder and transaction requested. In this
manner, a wide range of dynamically adjustable security and
personal identity validation protocols may be implemented using the
Federated ID smartcard without requiring any change to the personal
identification information or software stored on the card
itself.
[0026] The Federated ID information stored on the smartcard may
includes typical identification information, such as the
cardholder's name, gender, date of birth, physical description,
address, driver's license number, passport number, social security
number and electronic picture ID. The Federated ID information may
also include financial account verification, such as account
numbers existing or previously associated with the subject person.
Other information, such as the subject's present or historical
telephone number or a personal encryption key may also be included
for identity verification purposes. The Federated ID information
should also include one or more parameters that the cardholder will
be expected to provide at the time of card use to validate his or
her identity. This should include at least a PIN or similar date
item to be entered by the cardholder in order to use the card for
financial or other transactions requiring validation of the
cardholder's identity. Many other types of personal identification
information may also be employed, some of which may be stored only
on the card, only on a back-end transactions processor, or at both
locations. Storing the personal identification on a back-end
processor as well as the smartcard itself provides a level of
security against counterfeit smartcards in that an intruder cannot
create a counterfeit smartcard by creating and storing new personal
identification information solely on a smartcard because the
personal identification information stored on the smartcard must
correspond to the predefined personal identification also stored in
the subject's Federated ID profile on the back-end transaction
processor.
[0027] In addition, different back-end processors implementing
different transactions in concert with the smartcard may store
different items of personal identification. This allows the
smartcard to store a wide range of personal identification
information used for a wide range of transactions. For example, the
personal identification information may include a PIN, password,
electronic signature, electronic photograph, secret Federated ID
data item, and a range of biometric identifiers, such as electronic
fingerprint signature, electronic voice signature, electronic
retina signature, and so forth. For high-security applications,
such as financial transactions in excess of $10,000 or access to
information, premises or equipment requiring a high-level security
clearance, the back-end transaction processor may also require a
secret Federated ID data item that is not stored on the smartcard
10 itself. Similarly, the smartcard 10 may require the cardholder
to enter a secret Federated ID data item that is stored on the
smartcard 10, but not transmitted to the cardholder after initial
creation of the cardholder's Federated ID profile. Thus, a person
desiring issuance of a Federated ID smartcard in the name of a
particular subject must know the requisite secret Federated ID data
item or go through the process of establishing a new Federated ID
profile with all of the associated credentialing and verification
processes.
[0028] To provision the smartcard, the smartcard issuer typically
obtains validation of the personal identification information
through a third party validation service. Federated ID represents
any type of well defined protocol or credentials for validating
personal identification information. The smartcard issuer stores
the validated personal identification information (referred to as
Federated ID information) in permanent memory on the smartcard,
delivers the smartcard to the cardholder, and activates the card
for financial transaction purposes. The cardholder may conduct a
bankcard transaction or identification verification process online
by inserting the smartcard into a local computer connected to the
Internet and entering the on-site personal identifier using the
input-output resources of the local computer.
[0029] Upon validating that the correct on-site personal identifier
(or multiple personal identifiers, as desired) has been entered,
the smartcard acts as a virtual bankcard terminal that delivers the
validated Federated ID personal identification information from the
permanent memory on the smartcard to a back-end, network-accessed
transaction processing computer. Importantly, the Federated ID
personal identification is delivered to the network transaction
processing computer without storing a copy of the validated
personal identification information on the host computer (i.e., the
local computer comprising the smartcard reader into which the
smartcard has been inserted). This is enabled by the smartcard
emulating a secure virtual terminal using the microprocessor and
memory resources residing on the smartcard rather than those
residing on the host computer. In this manner, the smartcard uses
the network interfacing resources of the host computer to access
the network transaction processing computer, but does not otherwise
store the Federated ID information on microprocessor or memory
resources residing on the host computer. This avoids, for example,
storing the Federated ID information on the host computer's cache
memory or entering it into a browser or other software running on
the host computer's microprocessor, which could allow the Federated
ID information to be stored in cookies or local temporary files, or
transmitted to another location by a spyware resident on the host
computer.
[0030] While the on-site personal identifiers are entered into the
local host computer using the input-output resources of the host
computer, the personal identifiers stored on the smartcard are
never read into or accessed by the host computer. This prevents
theft, contamination, tampering or spoofing of the personal
identifiers stored on the smartcard. The advantage over prior
smartcard systems is tremendous because the present system does not
exposes the microprocessor or memory resources of the host computer
to the Federated ID information stored on the smartcard or the
personal identification information entered by the cardholder using
the local computer.
[0031] To implement the Federated ID smartcard system, bankcards,
with traditional bank and credit products, will be issued with a
smartcard chip, including but not limited to contact and
contact-less such as RFID (radio frequency identification)
input/output ports, along with the traditional bank magnetic strip
currently accompanying all bankcards. The bankcard magnetic strip
carries routing and other information required for bank transaction
including ATM, debit/credit/stored-value/gift, or any other types
of bankcard transactions used in the traditional closed bankcard
system. The chip on the smartcard carries bank routing and other
information required for the same bank transactions, which may be
used in the traditional closed EMV bankcard (chip based) system in
conjunction with Federated ID information for secured online access
and/or transactions.
[0032] The issuing bank will independently verify the cardholder's
persons identity at the time of issuing the Federated ID smartcard
and permanently embedded key data fields required for Federate ID
verification protocols for online access and transactions. The chip
on the card will also give the cardholder the ability to add credit
card information for routing payments for online purchases. The
information on the card-chip will contain the Federated ID online
identification rules where the critical information for the
Federated ID will be verified by and through the tradition credit
and banking verification process prior to issuance of the
smartcard.
[0033] Upon verifying a person's identity required to issue the
credit card, the ID fields will be loaded on the chip in a manner
that will satisfying the applicable online requirements for
controlled access, processing, and purchases. This online
requirement for independent third party verification, referred to
as Federate ID, will insure authentication of the cardholder's
identity in a manner acceptable to the card issuer and other
participants in the wider financial industry. Additional private
information could also be added such as Driver License numbers,
bank account numbers, Insurance information etc. when such personal
ID verification is required for online access and transaction.
[0034] The cardholder can add additional routing information for
payment using other financial accounts once the Federated ID
smartcard has been issued. For example, after receiving the
Federated ID smartcard for use with an initial financial account,
the cardholder may add additional bankcards information, such as a
Sears, VISA card, Exxon Card, any other affinity card that carry
the same "name" as is embedded on the Federated ID smartcard by
inserting the card into a host computer and following predefined
instructions, which are typically provide with the card and
published through a website associated with the card.
[0035] For online purchases, unlike solutions such as PayPal, which
imposes a surcharge up to 1.9% to the merchant over and above the
traditional bankcard transaction fee (3%), with the Federated ID
smartcard the consumer would be closer to a more traditional fee
because this card effectively turns the cardholder's personal
computer into a secure financial transaction terminal. That is, the
Federated ID smartcard effectively turns any host computer from a
more the open internet platform into a secure banking platform for
conducting secure bankcard transactions.
[0036] A single Federated ID smartcard may be configured to access
multiple financial accounts having different account numbers and
routing codes and thereby replace multiple bankcards, which is
referred to as "multi card storage." The purpose of multi card
storage is to first secure Internet transactions through issuance
of the Federated ID smartcard along with advanced encryption
technologies and corresponding procedures. The first major advance
is accomplished by issuance of the Federated ID smartcard the
Federated ID information permanently stored on to the chip and
secure virtual terminal functionality enabled by the smartcard. The
Federated ID information includes at least the identity information
required to issue the bankcard. When purchasing on line the smart
card, card reader and the computer together act much like a retail
bankcard terminal. The online merchant is assured that the card is
together with the owner. The Federated ID on the card functions
much like presenting unrelated third party ID right online, similar
to the type of identity validation that occurs when a cardholder
presents a physical ID verification such as a driver license along
with a credit card when conducting an in-person transaction.
Additionally, the Federated ID smartcard will enable online secured
access for non-financial transactions requiring unrelated third
party verification using the same process used for online bank
transactions. The Federated ID on the smart card will therefore be
useful for a wide variety of financial and non-financial
transactions involving personal identity verification of the
cardholder.
[0037] It will therefore be appreciated that the Federated ID
smartcard is far superior to traditional bankcards for online
commerce. As the market increases for the Federated ID smartcard,
smartcards and smartcard readers will be increasingly deployed and
used in traditional bankcard terminals such as ATM's and merchant
terminals. As cardholders migrate multiple accounts onto their
Federated ID smartcards to obtain the associated security and
convenience benefits for multiple accounts, the cardholder will be
able to see a list of all of the accounts serviced by the Federated
ID smartcard on a display screen and select among the accounts for
particular transactions. This will allow the cardholder to see the
list of financial accounts and direct particular charges to
particular selected accounts charge, as well as make other
bank/credit request, account access, transfers, withdrawals and so
forth for multiple accounts using a single Federated ID
smartcard.
[0038] The Federated ID information and other personal
identification information will preferably be permanently posted on
the smartcard, thereby creating a powerful new electronic
credentialing source for the cardholder. The Federated ID
information generally includes a significant base of non-hanging or
very infrequently changing information, such as the cardholder's
name, birth date, gender, physical description, social security or
passport number, place of birth, etc. and other personal
identification information that may be used to Identify the
cardholder. The Federated ID information is stored on the chip
(microprocessor) resident on the smartcard, the smartcard is under
the control of the cardholder, and the Federated ID information
stored on the smartcard is not copied onto the memory of the host
computer. That is, when the smartcard is inserted into a smartcard
reader connected to a host computer, the microprocessor residing on
the smartcard emulates a secure virtual terminal that prevents any
of the Federated ID data from being downloaded from the smartcard
or copied onto the RAM and/or ROM on the host computer. As a
result, on the host computer side of the network, only the
smartcard itself stores the Federated ID information when the
smartcard is used to conduct financial transactions. Therefore,
Federated ID information stored on the smartcard remains secure
during online transactions, thus minimizing the ability for
information to be hacked from the host computer. During these
transaction, the chip residing on the smartcard talks directly to a
back-end transaction processor with encrypted communications, which
allows the smartcard to identify the cardholder, allow
authorizations, routing appropriate payments as directed by the
cardholder, much like the magnetic strip and PIN numbers identify
an individual and allows directed financial transaction with
merchants, service providers ATM's etc.
[0039] The Federated ID smartcard issuer obtains and validates
personal identification information for the prospective cardholder
from the customer and third party sources, such as banks and
bankcard issuers (i.e. credit/debit card) and/or third party
validation services, such as Lexis-Nexis. The authorized
cardholder's personal identification information typically includes
name, date of birth, social security number, gender, residence,
telephone number, passport number, driver's license number, photo
identification, etc. For a financial smartcard, the financial
account numbers, routing codes and other financial account
information for one or more financial accounts authorized for use
by the cardholder is also stored on the smartcard. For cardholder
authentication purposes, the smartcard issuer also creates or
obtains one or more on-site personal identifiers, such as a PIN,
hand-written signature, one or more personal encryption key or key,
one or more passwords, cardholder photograph, and/or biometric
identifier, such as a finger print, retina print or other biometric
information.
[0040] The personal identification information may be, in whole or
in part, assigned by the card issuer, assigned by a third party
authentication service, and received from the cardholder. Some or
all of the on-site personal identifiers are typically (but need not
necessarily be) stored on the card itself. In addition, some or all
of the on-site personal are typically (but need not necessarily be)
also stored on a back-end authenticating computer system. In
addition, one or more of the personal identifiers, such as a
personal data item created separate from or prior to issuance of
the smartcard, may be stored on the card and the back-end computer
system but not otherwise transmitted to the person requesting
issuance of the card. For example, a person's Federated ID profile
may contain one or more secret personal data keys created at the
time the person's Federated ID record is initially established.
This secret Federated ID personal data key(s) assigned to a
particular person may thereafter be required to use or obtain
issuance of a Federated ID smartcard in the name of that particular
person. The secret Federated ID personal data key(s) may be stored
only on a back-end server, or it may only be stored on the card
itself, or it may be stored in both locations as desired. In
addition, two different potentially related personal data key items
(e.g., mother's first and last maiden names, first three and last
four digits of a telephone number, and so forth) may be stored on
the card and on the back-end server. However, the secret Federated
ID personal data key(s) are something that the cardholder is
expected to know from memory and is therefore not included on
paperwork sent along with or in association with the issuance of
the card.
[0041] The cardholder is typically required to present one or more
of the on-site personal identifiers when attempting to use the
card. The user's identity is then verified at the location of card
use by comparing personal identifier(s) received from the
cardholder at the location of use to the corresponding personal
identifier(s) stored on the smartcard and/or those stored on the
back-end transaction processing computer system. To use the
cardholder's photo as an example, a photograph of the face of the
authorized cardholder may be visibly printed on the card, stored on
an electronic memory on the smartcard, and stored on a back-end
server. Depending on the level of authentication desired at the
point of card use, the authenticating party (e.g., vendor accepting
the card for payment, bank cashing a check for the cardholder,
airline clerk issuing a plane ticket to the cardholder, and so
forth) may verify the identity of the cardholder by comparing the
appearance of the cardholder to one or more of (a) the visible
photo of the authorized cardholder printed on the card, (b) the
digital photo of the authorized cardholder stored on the electronic
memory residing on the card displayed on a terminal visible to the
authorizing party, and (c) the digital photo of the authorized
cardholder stored on the back-end computer system displayed on a
terminal visible to the authorizing party.
[0042] In the same or similar manner (excluding perhaps the
presence of printed indicia corresponding to the authorized
cardholder's photo visibly printed on the card), the same or a
similar procedure can be used with other types of personal
identifiers (e.g., fingerprint, retina scan, PIN, password, etc.)
instead of or in addition to using the cardholder's photo ID for
authentication purposes. The Federated ID smartcard thereby may
provide up to three levels of identification authentication (i.e.,
indicia printed on card, indicia stored on memory resident on card,
and indicia stored on a back-end transaction processor), and may
use multiple types of identification information to perform
identify authentication at the point of card use. Different types
of identification information representing different levels of
authentication security may therefore be implemented for different
purposes. For example, simple visual authentication using the photo
ID printed on the card may be appropriate for building access,
whereas visual authentication using the photo ID printed on the
card together with handwritten signature authentication performed
by comparing a signature obtained at the point of card use with an
electronic signature stored on the memory resident on the card may
be required to use the card for financial transactions. For
financial transactions in excess of $10,000, for example, the
cardholder may be required to input the correct secret Federated ID
data item. As another example, fingerprint authentication performed
by comparing an electronic fingerprint obtained at the point of
card use with an electronic fingerprint stored on the memory
resident on the card may be required for access to computer files,
whereas further comparison with a fingerprint signature stored on a
back-end transaction processor may be required for access to highly
restricted premises or materials. The examples may go on an on, for
example by requiring an authenticated retina scan for access to a
secured portion of a building, or as another example by requiring
an authenticated fingerprint scan to operate a vehicle, such as an
expensive automobile, aircraft or yacht, or obtain access to
certain premises, equipment or information. Of course, the security
regimes may change as needed or desired. Importantly, the Federated
ID smartcard (together with the back-end server, as desired)
provides a convenient device where different types of
authentication information is stored. The way in which this
information is required, obtained, compared and otherwise used at
the time to card may therefor be defined by the authenticating
location or system.
[0043] For any of these security regimes, which can be dynamically
changed and augmented as needed, the personal identifiers stored on
the smartcard itself and those stored an the back-end system may be
validated individually or in combination. As a result, higher level
authentication involving the retrieval of confirmatory personal
identifiers for the back-end server may take longer, and therefore
may be reserved for infrequent applications where higher level,
more time consuming security is appropriate. Similarly, simple
visual authentication and signature validation using an electronic
signature stored on the card will be quite simple and fast, which
may be appropriate for access requiring a lower level of security,
such as routine building access, vehicle access, and financial
transactions.
[0044] Security and convenience is significantly improved over
prior security systems through the use of Federated ID information
stored on the smartcard and secure virtual terminal emulation by
the smartcard. These features are particularly important for
providing a secure online commerce system. In view of the
foregoing, it will be appreciated that present invention provides
significant improvements in secure commercial transactions and
personal identification verification systems and that numerous
changes may be made therein without departing from the spirit and
scope of the invention as defined by the following claims.
* * * * *