U.S. patent application number 13/744151 was filed with the patent office on 2013-08-01 for seeding challenges for payment transactions.
This patent application is currently assigned to VISA U.S.A. INC.. The applicant listed for this patent is VISA U.S.A. INC.. Invention is credited to Mark Carlson, Patrick Faith.
Application Number | 20130198077 13/744151 |
Document ID | / |
Family ID | 40137518 |
Filed Date | 2013-08-01 |
United States Patent
Application |
20130198077 |
Kind Code |
A1 |
Carlson; Mark ; et
al. |
August 1, 2013 |
SEEDING CHALLENGES FOR PAYMENT TRANSACTIONS
Abstract
Systems, methods, and apparatus are provided for authenticating
a consumer using challenge questions. A response to a challenge
question is verified via seeding the challenge question, receiving
response, and deductively determining the answer. The verified
response and challenge question may then be used to authenticate a
consumer as part of an authorization process.
Inventors: |
Carlson; Mark; (Half Moon
Bay, CA) ; Faith; Patrick; (Pleasanton, CA) |
|
Applicant: |
Name |
City |
State |
Country |
Type |
VISA U.S.A. INC.; |
SAN FRANCISCO |
CA |
US |
|
|
Assignee: |
VISA U.S.A. INC.
SAN FRANCISCO
CA
|
Family ID: |
40137518 |
Appl. No.: |
13/744151 |
Filed: |
January 17, 2013 |
Related U.S. Patent Documents
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Application
Number |
Filing Date |
Patent Number |
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12140215 |
Jun 16, 2008 |
8380629 |
|
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13744151 |
|
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60946113 |
Jun 25, 2007 |
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Current U.S.
Class: |
705/44 |
Current CPC
Class: |
G06Q 20/403 20130101;
G06Q 40/00 20130101; G06Q 40/02 20130101; G06Q 20/385 20130101;
G06Q 20/40 20130101; G06Q 40/12 20131203; G06Q 20/04 20130101; G06Q
20/10 20130101; G06Q 20/382 20130101 |
Class at
Publication: |
705/44 |
International
Class: |
G06Q 20/38 20120101
G06Q020/38 |
Claims
1.-14. (canceled)
15. A method comprising: receiving, from an entity, a challenge
message for a consumer for a first time; providing, to the entity,
a first challenge response that is responsive to the challenge
message; repeating receiving the challenge message and providing a
subsequent challenge response during each of one or more processes
for authorizing a respective transaction initiated by the consumer
in order to provide a verified answer to the challenge message;
receiving, from the entity, the challenge message during a process
for authorizing another transaction, wherein the challenge message
is in response to an authorization request message that is
associated with the consumer conducting the another transaction
with a portable consumer device and that is sent to an issuer
associated with the portable consumer device; and providing, to the
entity, another challenge response suitable for determining an
authorization response message that indicates whether or not the
another transaction is authorized, wherein the another transaction
is more likely to be authorized if the another challenge response
is similar to the verified answer.
16. The method of claim 15 wherein the entity is the issuer.
17. The method of claim 15, further comprising: during the process
for authorizing the another transaction, providing, by the consumer
to the entity, one or more additional challenge responses that are
respectively responsive to one or more other challenge messages,
wherein the transaction is more likely to be authorized if the
additional challenge responses are respectively similar to
previously provided challenge responses responsive to the other
challenge messages.
18. The method of claim 15, wherein a confidence score is
associated with the challenge message, and wherein the confidence
score is a measure of a likelihood that when the another challenge
response is dissimilar from the verified answer that the another
transaction will not be authorized.
19. The method of claim 18 wherein the confidence score increases
when the another response is similar to the verified answer.
20. The method of claim 15, further comprising: when the another
challenge response is dissimilar from the verified answer,
repeating receiving the challenge message and providing a
subsequent challenge response during each of one or more processes
for authorizing a respective transaction initiated by the consumer
in order to provide a re-verified answer to the challenge
message.
21. A computer program product comprising a computer readable
medium encoded with a plurality of instructions for controlling a
computing system to perform an operation for facilitating a
consumer in an authorization process for a transaction requested by
the consumer, the operation comprising the steps of: receiving,
from an entity, a challenge message for a consumer for a first
time; providing, from the consumer to the entity, a first challenge
response that is responsive to the challenge message; repeating
receiving the challenge message and providing a subsequent
challenge response during each of one or more processes for
authorizing a respective transaction initiated by the consumer in
order to provide a verified answer to the challenge message;
receiving, from the entity, the challenge message during a process
for authorizing another transaction, wherein the challenge message
is in response to an authorization request message that is
associated with the consumer conducting the another transaction
with a portable consumer device and that is sent to an issuer
associated with the portable consumer device; providing, to the
entity, another challenge response suitable for determining an
authorization response message that indicates whether or not the
another transaction is authorized, wherein the another transaction
is more likely to be authorized if the another challenge response
is similar to the verified answer.
22. A phone comprising a computer readable medium encoded with a
plurality of instructions for controlling a computing system of the
phone to perform an operation for facilitating a consumer in an
authorization process for a transaction requested by the consumer,
the operation comprising the steps of: receiving, at the phone
being used by a consumer, a challenge message from an entity for a
first time; providing, to the entity using the phone, a first
challenge response that is responsive to the challenge message;
repeating receiving the challenge message at the phone and
providing a subsequent challenge response using the phone during
each of one or more processes for authorizing a respective
transaction initiated by the consumer in order to provide a
verified answer to the challenge message; receiving, at the phone
from the entity, the challenge message for the consumer during a
process for authorizing another transaction, wherein the challenge
message is in response to an authorization request message that is
associated with the consumer conducting the another transaction
with a portable consumer device and that is sent to an issuer
associated with the portable consumer device; and providing, to the
entity using the phone, another challenge response suitable for
determining an authorization response message that indicates
whether or not the another transaction is authorized, wherein the
another transaction is more likely to be authorized if the another
challenge response is similar to the verified answer.
23. A method of using a phone to facilitate an authorization
process, the method comprising: receiving, at a phone being used by
a consumer, a challenge message from an entity for a first time;
providing, to the entity using the phone, a first challenge
response that is responsive to the challenge message; repeating
receiving the challenge message and providing a subsequent
challenge response during each of one or more processes for
authorizing a respective transaction initiated by the consumer in
order to provide a verified answer to the challenge message;
receiving, from the entity, the challenge message during a process
for authorizing another transaction, wherein the challenge message
is in response to an authorization request message that is
associated with the consumer conducting the another transaction
with a portable consumer device and that is sent to an issuer
associated with the portable consumer device; and providing, to the
entity, another challenge response suitable for determining an
authorization response message that indicates whether or not the
another transaction is authorized, wherein the another transaction
is more likely to be authorized if the another challenge response
is similar to the verified answer.
24. The method of claim 15, wherein none of the subsequent
challenge responses are used in a determination of whether the
consumer is authorized to make any of the respective
transactions.
25. The method of claim 15, wherein the entity compares the another
challenge response to the verified answer, wherein the entity
calculates a contribution to a risk score based on the comparison,
and wherein the risk score is used to determine whether or not to
authorize the another transaction.
26. The method of claim 15, wherein the first challenge response is
provided during a process of authorizing a transaction requested by
the consumer.
27. The method of claim 15, wherein the entity infers respective
verified answers to one or more other challenge messages, and
wherein the entity may use the other challenge messages, their
respective verified answers, and respective challenge responses in
the determination of the another transaction.
28. The method of claim 15, wherein the entity infers the verified
answer to the challenge message by determining a consistency value
for the provided subsequent challenge responses, comparing the
consistency value to a threshold value, and verifying the answer
when a threshold criteria has been achieved.
29. The method of claim 28, wherein the consistency value is a
number of consecutive responses that have been similar, wherein the
threshold value is an integer N, and wherein the threshold criteria
is whether the consistency value is at least one of greater than N
or greater than or equal to N.
30. The method of claim 28, wherein the entity infers the verified
answer based also on one or more other criteria.
31. The method of claim 30, wherein the other criteria includes a
number of billing cycles that the consumer has had a portable
consumer device without suspect activity.
32. The method of claim 15, wherein the entity resets a process of
inferring the verified answer when the another challenge response
is different than the verified answer.
33. The method of claim 30, wherein the other criteria further
includes whether any of the respective other transactions have been
reversed.
34. The method of claim 30, wherein the other criteria further
includes a location of the consumer when the subsequent challenge
responses were provided.
Description
CLAIM OF PRIORITY
[0001] The present application is a divisional application of U.S.
patent application Ser. No. 12/140,215, filed Jun. 16, 2008, now
U.S. Pat. No. 8,380,629, issued Feb. 19, 2013, which is a
non-provisional application of and claims priority to U.S.
Provisional No. 60/946,113, filed on Jun. 25, 2007, the entire
contents of which are herein incorporated by reference for all
purposes.
CROSS-REFERENCES TO RELATED APPLICATIONS
[0002] The present application is related to U.S. patent
application Ser. No. 11/763,240, filed on Jun. 14, 2007, which is
incorporated by reference in its entirety for all purposes.
BACKGROUND OF THE INVENTION
[0003] The present application is generally related to payment
transactions, and more specifically to the use of challenge
questions in authorizing a transaction.
[0004] It is desirable to have mechanisms that ensure that a
consumer who is using a portable consumer device such as a credit
card is really the consumer who is associated with the credit card.
Fraudulent activity can be very costly to merchants, issuers of
portable consumer devices, and others.
[0005] A number of consumer authentication mechanisms are known. In
one example of a conventional consumer authentication process, a
consumer may purchase gas at a gas station using his credit card.
Before the consumer is allowed to buy the gas and before the
authorization request message is sent to the issuer of the portable
consumer device, the gas pump may request that the consumer supply
his zip code. The answer supplied by the consumer is then compared
against a zip code obtained, for example, from the records of the
issuer of the credit card or records from some other third
party.
[0006] This authentication request may be provided by the merchant
as a way to ensure that the consumer is in fact the consumer
associated with the credit card. The gas station wants to verify
that the consumer is authentic, since the gas station may bear some
of the risk for any fraudulent activity that results from purchases
made at the gas station.
[0007] While such conventional authentication methods have some
effectiveness, there are still problems. For example, conventional
authentication requests typically reuse the same questions. If
someone has stolen a consumer's portable consumer device and knows
the consumer's zip code (possibly obtained from the same third
party), for example, that person could still conduct fraudulent
transactions using the authentic portable consumer device. As there
may be limited number of known data that can be used as a correct
answer to a question posed to the consumer, it may not be hard for
a thief to obtain such information. The data may be public (e.g.,
in a phone listing or on the Internet) or obtainable for purchase
from a third party if requested under false pretenses.
[0008] Better ways to authenticate consumers using portable
consumer devices are desirable. Embodiments of the invention
address the above problems, and other problems, individually and
collectively.
BRIEF SUMMARY OF THE INVENTION
[0009] Embodiments of the invention can be used to seed and
deductively verify a response to a challenge question. The verified
response and challenge question may then be used to authenticate a
consumer as part of an authorization process. In this manner, an
entity or system that is used to create challenge questions is less
likely to be compromised and can generate valid data for posing
challenge questions without having to rely on buying or receiving
the data from a third party.
[0010] One embodiment of the invention is directed to a method
comprising providing a challenge message to a consumer, wherein a
correct response to the challenge message is not known by an entity
issuing the challenge message. A first challenge response that is
responsive to the challenge message is received from the consumer.
Providing the challenge message to the consumer and receiving a
subsequent challenge response are then repeated during each of one
or more processes for authorizing a respective transaction
requested by the consumer. In some embodiments, none of the
subsequent challenge responses are used in a determination of
whether the consumer is authorized to make any of the respective
transactions. Subsequent challenge responses may be generated by
transactions conducted by the consumer at various locations and/or
with various different merchants. A verified answer to the
challenge message is inferred based at least on a similarity of the
received challenge responses. The challenge message, the verified
answer, and another challenge response that is responsive to the
challenge message is then used in a process for determining whether
the consumer is authorized to make another transaction.
[0011] Another embodiment of the invention is directed to a method
where a consumer receives from an entity a challenge message for a
first time. The consumer provides to the entity a first challenge
response that is responsive to the challenge message. Receiving the
challenge message and providing a subsequent challenge response is
then repeated during each of one or more processes for authorizing
a respective transaction initiated by the consumer. The subsequent
challenge responses are provided to facilitate a verification of an
answer to the challenge message. In some embodiments, none of the
subsequent challenge responses affect whether the consumer is
authorized to make any of the respective transactions.
[0012] An authorization request message, which is associated with a
consumer conducting another transaction with a portable consumer
device, is initiated and sent to an issuer associated with the
portable consumer device. The consumer receives from the entity the
challenge message during a process for authorizing the another
transaction. The consumer provides the entity with another
challenge response. The consumer then receives an authorization
response message that indicates whether or not the another
transaction is authorized. The another transaction is more likely
to be authorized if the another challenge response is similar to
the verified answer.
[0013] Other embodiments of the invention are directed to systems,
portable consumer devices, and computer readable media associated
with the above-described methods.
[0014] These and other embodiments of the invention are described
in further detail below with reference to the Figures and the
Detailed Description.
BRIEF DESCRIPTION OF THE DRAWINGS
[0015] FIG. 1 is a flow diagram illustrating a method for
authorizing a transaction that may be improved by an embodiment of
the present invention.
[0016] FIG. 2 shows an exemplary system according to an embodiment
of the present invention.
[0017] FIG. 3 is a flow diagram illustrating a method for
determining a verified response to a challenge question and using
the verified response in an authorization process according to an
embodiment of the present invention.
[0018] FIG. 4 is a flow diagram illustrating a method for
determining a challenge to use in an authorization process
according to an embodiment of the present invention.
[0019] FIG. 5 is a flow diagram illustrating a method for
determining a verified response during an authorization process
according to an embodiment of the present invention.
[0020] FIG. 6 is a flow diagram illustrating a method for
performing an authorization of a transaction using a verified
challenge response according to an embodiment of the present
invention.
[0021] FIG. 7 shows a block diagram of a computer apparatus.
DETAILED DESCRIPTION OF THE INVENTION
[0022] Currently, consumer authentication using challenge questions
is typically performed at the merchant. The merchant asks the
consumer for identification such as a driver's license before
allowing a purchase transaction with a portable consumer device to
proceed. In some cases, it may be better to use data that have been
collected by the entity posing the challenge questions. This data
(responses to the challenge questions) may not be publicly
available or at least not easily obtainable by a thief. Thus, such
data is more secure and such data does not have to be purchased
from another party.
[0023] Once a response to a challenge question has been
sufficiently verified, the verified challenge and response may then
be used to authenticate a consumer as part of a process for
authorizing a transaction. For example, if the consumer answers the
challenge question with the verified response, the consumer is more
likely to be considered authenticated and authorized to make the
transaction. In addition, the issuer and the payment processing
organization have information such as recent purchase information
and consumer purchasing behavior. Any of this information can also
be used in authorizing a purchase transaction.
[0024] Some embodiments of the invention can be used with standard
payment processing systems. Exemplary payment processing systems
are described in further detail below.
[0025] The term verified as used herein means that the response has
been deemed worthy to be used in some manner for determining
whether a transaction requested by a consumer will be authorized.
Up until verification, the responses are merely collected to deduce
a verified response.
I. Authorization Using Challenges
[0026] FIG. 1 is a flow diagram illustrating a method 100 for
authorizing a transaction that may be improved by an embodiment of
the present invention. In a typical purchase transaction, a
consumer purchases a good or service at a merchant using a portable
consumer device, such as a credit card. The consumer's portable
consumer device can interact with an access device such as a POS
(point of sale) terminal at the merchant. Typically, the
interaction causes an authorization request to be sent to an
authorization system, which may be termed an initiation of the
authorization request message. The authorization request messages
may have information such as BINs (bank identification numbers),
transaction amounts, account numbers, service codes, etc.
[0027] In step 105, the authorization system receives the
authorization request message. In one embodiment, the first
authorization request message is sent through a payment processing
network and received at a payment processing network server and the
payment processing network server.
[0028] In step 110, it is determined if a challenge is needed.
Various criteria may be used to determine if a challenge is needed.
For example, the payment processing network server may determine
that the particular transaction is a high value transaction (e.g.,
greater than $1000) and that a challenge is therefore appropriate.
In another example, the payment processing network server may
determine that there is something suspicious about the present
transaction and may thereafter determine that a challenge is
appropriate. For example, the payment processing network server may
determine that the portable consumer device is currently being used
at a location which is different from the consumer's home state,
and the consumer's recent purchase history suggests that the
consumer is not traveling.
[0029] In step 115, a challenge question may then be selected or
fetched, e.g., from a challenge question database. In step 120, the
authorization system sends an authorization response message to the
access device via the merchant. The first authorization response
message may contain data representing the challenge question or an
order to the access device to issue a challenge based on a set of
preloaded question in the access device. Once the challenge
question is received at the access device, the consumer supplies
the challenge response to the access device. The challenge response
may be supplied to the access device in any suitable manner (e.g.,
through a keypad, contactless reader, etc.). The access device can
then forward the challenge response to the authorization
system.
[0030] In step 125, the authorization system receives the challenge
response. The challenge response (or the challenge and response or
the challenge pointer and response) message may be part of a second
authorization request message. In step 130, the payment processing
network server can then validate the challenge response
message.
[0031] If the challenge response message is not validated, then the
payment processing network server may send a response message back
to the access device indicating that that transaction is not
approved. If the challenge response message is validated, the
authorization system may send an approval to the access device or
may send an indication to another system or party (e.g. an issuer)
that the consumer has satisfied any challenges posed by the payment
processing network. The issuer may then approve or disapprove the
transaction based on other criteria.
[0032] At the end of the day, a normal clearing and settlement
process can be conducted by the transaction processing system. A
clearing process is a process of exchanging financial details
between and acquirer and an issuer to facilitate posting to a
consumer's account and reconciliation of the consumer's settlement
position. Clearing and settlement can occur simultaneously.
[0033] The method described with respect to FIG. 1 can be
characterized as a "closed channel" process since the access device
receives a challenge question and provides a response to the
challenge question. However, other embodiments of the invention may
use open channel solutions whereby a challenge question may be sent
to a device other than the access device which sent the first
authorization response message.
[0034] FIG. 2 shows an exemplary system 20 according to an
embodiment of the present invention. Other systems according to
other embodiments of the invention may include more or less
components than are shown in FIG. 2.
[0035] The system 20 shown in FIG. 2 includes a merchant 22 and an
acquirer 24 associated with the merchant 22. In a typical payment
transaction, a consumer 30 may purchase goods or services at the
merchant 22 using a portable consumer device 32. The acquirer 24
can communicate with an issuer 28 via a payment processing network
26. The merchant 22 could alternatively be connected directly to
the payment processing network 26. The consumer 30 may be an
individual, or an organization such as a business that is capable
of purchasing goods or services. The consumer 30 may optionally
operate a wireless phone 34.
[0036] The portable consumer device 32 may be in any suitable form.
For example, suitable portable consumer devices can be hand-held
and compact so that they can fit into a consumer's wallet and/or
pocket (e.g., pocket-sized). They may include smart cards, ordinary
credit or debit cards (with a magnetic strip and without a
microprocessor), keychain devices (such as the Speedpass.TM.
commercially available from Exxon-Mobil Corp.), etc. Other examples
of portable consumer devices include cellular phones, personal
digital assistants (PDAs), pagers, payment cards, security cards,
access cards, smart media, transponders, and the like. The portable
consumer devices can also be debit devices (e.g., a debit card),
credit devices (e.g., a credit card), or stored value devices
(e.g., a stored value card).
[0037] An exemplary portable consumer device in the form of a phone
may comprise a computer readable medium and a body. The memory of
the computer readable medium preferably stores information such as
financial information, transit information (e.g., as in a subway or
train pass), access information (e.g., as in access badges), etc.
Financial information may include information such as bank account
information, bank identification number (BIN), credit or debit card
number information, account balance information, expiration date,
consumer information such as name, date of birth, etc. Any of this
information may be transmitted by the portable consumer device
32.
[0038] The portable consumer device 32 may further include a
contactless element, which is typically implemented in the form of
a semiconductor chip (or other data storage element) with an
associated wireless transfer (e.g., data transmission) element,
such as an antenna.
[0039] The portable consumer device 32 may also include a processor
(e.g., a microprocessor) for processing the functions of the
portable consumer device 32 and a display to allow a consumer to
see phone numbers and other information and messages. The portable
consumer device 32 may further include input elements to allow a
consumer to input information into the device, a speaker to allow
the consumer to hear voice communication, music, etc., and a
microphone to allow the consumer to transmit her voice through the
portable consumer device 32. The portable consumer device 32 may
also include an antenna for wireless data transfer (e.g., data
transmission). These characteristics may also be present in the
phone 34.
[0040] The payment processing network 26 may include data
processing subsystems, networks, and operations used to support and
deliver authorization services, exception file services, and
clearing and settlement services. An exemplary payment processing
network may include VisaNet.TM.. Payment processing networks such
as VisaNet.TM. are able to process credit card transactions, debit
card transactions, and other types of commercial transactions.
VisaNet.TM., in particular, includes a VIP system (Visa Integrated
Payments system) which processes authorization requests and a Base
II system which performs clearing and settlement services.
[0041] The payment processing network 26 may include a server
computer. A server computer is typically a powerful computer or
cluster of computers. For example, the server computer can be a
large mainframe, a minicomputer cluster, or a group of servers
functioning as a unit. In one example, the server computer may be a
database server coupled to a Web server. The payment processing
network 26 may use any suitable wired or wireless network,
including the Internet.
[0042] As shown in FIG. 2, the payment processing network 26 may
comprise a server 26(a), which may comprise a challenge question
engine 26(a)-1. The server 26(a) may also be in communication with
a transaction history database 26(b) and a challenge question
database 26(c). As will be explained in further detail below, the
challenge question engine 26(a)-1 may simply extract challenge
questions from the challenge question database 26(c). Alternatively
or additionally, the challenge question engine 26(a)-1 may generate
challenge questions using information in the transaction history
database 26(b).
[0043] The challenge question database 26(c) may be populated with
questions of any suitable type. The questions may relate to a past
location (e.g., the consumer's current home, the city that the
consumer recently visited) or current location (e.g., the current
location of the store that the consumer is currently at), the type
or name of the merchant that the consumer is presently visiting or
has visited in the past, the consumer's family or personal data
(e.g., name, phone number, social security number, etc.), etc. The
questions in the challenge question database 26(c) may be generated
by the challenge question engine 26(a)-1 and subsequently stored in
the challenge question database 26(c).
[0044] Alternatively, or additionally, the challenge questions may
be generated from an external source and then subsequently stored
in the challenge question database 26(c). For example, the consumer
30 may use a browser on a personal computer or the like to supply
specific challenge questions to the server 26(a) via a
communication medium (not shown) such as the Internet.
[0045] The merchant 22 may also have, or may receive communications
from, an access device 36 that can interact with the portable
consumer device 32. The access devices according to embodiments of
the invention can be in any suitable form. Examples of access
devices include point of sale (POS) devices, cellular phones, PDAs,
personal computers (PCs), tablet PCs, handheld specialized readers,
set-top boxes, electronic cash registers (ECRs), automated teller
machines (ATMs), virtual cash registers (VCRs), kiosks, security
systems, access systems, and the like.
[0046] The issuer 28 may be a bank or other organization that may
have an account associated with the consumer 30. The issuer 26 may
operate a server 28(a) which may have a challenge question engine
28(a)-1. A transaction history database 26(b) and a challenge
question database 28(c) may be in communication with the server
28(a). The issuer server 28(a), challenge question engine 28(a)-1,
transaction history database 26(b), and challenge question database
28(c) may operate in the same way or a different way than the
payment processing network server 28(a), challenge question engine
28(a)-1, transaction history database 28(b), and challenge question
database 28(c). The above-descriptions as to elements 26(a),
26(a)-1, 26(b), and 26(c) may apply to elements 28(a), 28(a)-1,
28(b), and 28(c).
[0047] Embodiments of the invention are not limited to the
above-described embodiments. For example, although separate
functional blocks are shown for an issuer, payment processing
network, and acquirer, some entities perform all or any suitable
combination of these functions and may be included in embodiments
of invention. Additional components may also be included in
embodiments of the invention.
[0048] As mentioned above, it is desirable to seed challenge
questions and deduce (infer) verified responses for use in the
authentication process.
II. Authorization Using Seeded Challenges
[0049] FIG. 3 is a flow diagram illustrating a method 300 for
determining a verified response to a challenge question and using
the verified response in an authorization process according to an
embodiment of the present invention. Method 300 may be performed,
for example, when a correct answer is not known to any number of
challenge questions, when new challenge questions and corresponding
responses are desired, and/or when a proprietary access to data is
desired. Reference is also made to FIG. 2.
[0050] In step 302, seeding is performed to deduce a verified
response to a challenge question. During seeding, a challenge
question is proposed to the consumer, who then responds with a
response to the challenge. This can be done multiple times. For
example, the challenge question may be presented to the consumer 30
via the access device 36 or the mobile phone 34. The challenge
question may originate from the issuer 28 or the payment processing
network 26. A response is verified after the consumer 30
consistently provides the same or similar response. Up until
verification, the responses are merely collected to deduce a
verified response, and may not be actively used in an authorization
process. That is, the challenge response does not impact or affect
the authorization outcome, until the response to the challenge
question is verified. This seeding/deducing process will be
discussed in detail below.
[0051] In step 305, the authorization system receives an
authorization request message. For example, the issuer 28 may
receive an authorization request message from the merchant 22 via
the acquirer 24 and the payment processing network 26 after the
consumer 30 interacts with the access device 36 using the portable
consumer device 32. In step 310, it is determined if a challenge
should and/or can be made. For example, the issuer 28 and/or the
payment processing network 26 can determine if a challenge should
and/or can be made. In addition to criteria previously mentioned
for determining whether a challenge is needed the following
criteria may be used.
[0052] To determine whether a challenge should be made, it may be
ascertained whether the issuer 28 participates in an authorization
program. Another criteria is whether the issuer 28 or the payment
processing network 26 makes the challenge decision. Another
criteria is whether there is an available challenge channel, e.g.,
means for the consumer to view a challenge question and respond
accordingly. The channel may flow directly to the merchant or may
bypass the merchant and flow directly to the consumer, e.g. through
his phone. Another criteria is whether or not the merchant is
trusted or exempt, e.g., a merchant who used a type of biological
identification (fingerprint, retina scan, etc.) may be trusted.
Repeat customers to a specific merchant may also be exempt. For
example, if a customer regularly uses a gas station near his home,
that customer can be considered authentic without challenge.
Further, a consumer may also be exempt if an advanced (initial)
authorization score for the transaction is excellent, which may be
based on criteria mentioned herein. These criteria may be used to
determine whether or not to issue a challenge.
[0053] To determine whether a challenge and/or what type of
challenge can be made, it may be ascertained what is the form
factor that the consumer is attempting initiate the transaction,
e.g., whether the person is making the purchase over the Internet,
at a brick and mortar business, or through a mobile device. If the
person, is making the purchase over the Internet then he/she will
be able to answer any type of question with a keyboard. A separate
pop up window may be used for implementing challenge process. In
contrast, brick and mortar stores may not have access to a
keyboard, and thus possibly no challenges may be made, only yes or
no questions, or possibility only limited to numeric answers.
[0054] Additionally, if there is no form factor at or through the
merchant 22, then it may be checked whether the consumer 30 may be
contacted directly with the challenge question. For example, a text
message may be sent to the consumer's phone 34 with a challenge
question to be answered.
[0055] In step 315, if a challenge should and can be made, a
challenge question may then be selected or fetched, e.g., from a
challenge question database 28(c). In step 320, the authorization
system, which can include the issuer 28 or the payment processing
network 26, sends an authorization request message to the access
device 36, e.g., via the merchant 22. The first authorization
request message may contain data representing the challenge
question or an order to the access device 36 to issue a challenge
based on a set of preloaded question in the access device 36. Once
the challenge question is received at the access device 36, the
consumer 30 supplies the challenge response to the access device
36. The access device 36 can then forward the challenge response to
the authorization system including the issuer 28 via the merchant
22, acquirer 24, and the payment processing network 26.
[0056] The questions asked may also have static or dynamic
(semi-dynamic or fully dynamic) answers. For example, the question
"What is your birthday?" requires a static answer, since the answer
does not change. The question "What is your zip-code?" requires a
semi-dynamic answer, since it could change or can change
infrequently. Note that multiple challenge questions may be used
during a single authorization process.
[0057] In step 325, the authorization system including the issuer
28 receives the challenge response from the consumer 30. In step
330, the issuer server 28(a) (or the payment processing network
server 26(a) can then validate the challenge response message,
which at some confidence level authenticates the identity of the
consumer 30.
[0058] In step 335, after the challenge response has been validated
as being correct or incorrect, a risk score may be provided to the
issuer 28 for use in determining whether to authorize the
transaction. The risk score may account for correctness of the
challenge response, the place of purchase, the history of the card,
the amount of the purchase, or any combination of the other
criteria mentioned herein. Thus, if an incorrect response is
provided, the transaction is not necessarily denied. Also, more
than one challenge can be used. If two challenges are used and the
response to both are wrong, then there would be a greater chance
that person would be turned down, i.e. a greater risk score. If one
is wrong and the other right, then the total contribution to the
risk score from the challenges may be zero or dependent on the
confidence score (see below) of each challenge. One skilled in the
art will appreciate the different contributions arising from
multiple challenge questions.
[0059] The seeding process may be first started when a customer
fills out a form, e.g., over the Internet. However, this one time
occurrence does not establish enough consistency. Thus, at least
some of the seeding process also occurs during an authorization
process that does not use the challenge response to the particular
challenge question that is being seeded. That is, the challenge
response does not affect (is not a factor of) whether the
transaction will be authorized. In one embodiment, all of the
challenge responses are obtained during one or more authorization
processes.
[0060] FIG. 4 is a flow diagram illustrating a method 400 for
determining a challenge to use in an authorization process
according to an embodiment of the present invention. In step 405,
the authorization system including payment processing network 26
(and/or the issuer 28) receives an authorization request message
from the consumer 30 via the merchant 22, acquirer 24, and the
payment processing network 26. In step 410, it is determined if a
challenge should and/or can be made.
[0061] In step 420, if a challenge should and can be made, it is
determined whether at least one challenge with a response that has
already been verified exists. This may be present in the challenge
question database 26(c). If a verified response already exists, one
or more verified challenges are selected from the database 26(c) by
the challenge question engine 26(a)-1. The authorization request
may then be processed as in method 300 from step 320 and on.
[0062] In step 430, if there is not a verified challenge, it is
determined (e.g., by the payment processing network server 26(a) or
the issuer server 28(a)) whether an unverified challenge exists in
a format that the merchant 22 can process, or the consumer 30 can
directly process. If an unverified challenge does exist in a format
that the merchant 22 can process, then one or more of the
unverified challenges are selected in step 435 (e.g., by the
payment processing network server 26(a) or the issuer server 28(a).
Accordingly, time and effort is advantageously not wasted trying to
receive a challenge response that cannot be provided.
[0063] In step 445, the selected unverified challenge is sent to
the consumer 30 via the access device 36, mobile phone 34, or even
the portable consumer device 32 (if the portable consumer device 32
is a phone or computer). The response from the consumer 30 is
received at the payment processing network 26 and/or the issuer 28.
As noted later, if the response shows a consistency that makes the
challenge verified with that particular response, it may be used in
the calculation of the risk score. Thus, the term verified can mean
that the response is used in some manner to determine whether the
transaction will be authorized.
[0064] If an unverified challenge does not exist in a format that
the merchant 22 can process, then at step 440 a challenge is
optionally created in a format that the merchant 22 can process. In
step 445, the newly created unverified challenge may also be sent
to the consumer 30 (e.g., via the access device 36) and the
response from the consumer 30 is received (e.g. from the access
device 36) at the payment processing network 26 or the issuer
28.
[0065] Note that step 430 may still be done even if there is a
verified response that exists. This may be done in order to build a
larger database of verified challenges. Similarly, even if there is
an unverified response that the merchant 22 can process, a new
challenge may be created and sent also in order to build a larger
database of verified challenges.
[0066] The determination of when a response, and thus the
corresponding challenge, is verified can depend on different
factors. At least one of the factors is a similarity in the
responses received.
III. Verifying Challenges and Determining Reliability of
Responses
[0067] FIG. 5 is a flow diagram illustrating a method 500 for
determining a verified response during an authorization process
according to an embodiment of the present invention. In step 510,
an unverified challenge is provided to a consumer 30 as previously
described. In step 520, the challenge response is received from the
consumer 30 as previously described.
[0068] In step 530, the payment processing network server 26(a)
and/or the issuer server 28(a) determines whether the response is
the same or similar as one or more previous responses from the
consumer 30. Similar answers may be taken as well depending on the
question. For example, if the difference is a small typographical
error, then a consistency between the two answers may be inferred.
For example, if the question is the place of your birth and past
responses have been "Kansas City", then a misspelled response of
"Kansas Ciry" may be taken to be the same answer.
[0069] In step 550, if it is determined that the response is the
same a previous response, then it is determined whether a
verification threshold has been reached. In one embodiment, the
verification threshold is simply a count for the number of times
that the response has been similar. For example, if the response
has been the same the last N times, the response (and corresponding
challenge) are deemed verified. The number N may be viewed as a
threshold value, such that the count is equal to or greater than N
before is verified. Similarly, a threshold of N-1 could be used
where the determination is whether the count is greater than N. One
skilled in the art will appreciate the breadth of the types of
embodiments possible.
[0070] In another embodiment, the verification threshold accounts
for a consistency across all or a certain segment of responses even
if some of them have been wrong. The percentage of the last N
responses that are correct may be used to determine whether the
response is to be verified. Note that a minimum number of responses
may be required. For example, if at least 10 responses have been
received, and at least 90% (9 responses) are similar then the
response may be verified.
[0071] Other criteria may also be used besides the level of
consistency in the similarity between responses. For example, the
amount of time that the consumer has had the portable consumer
device may be also used. One way of enumerating this amount of time
is the number of billing cycles that the consumer has had the card.
Thus, in one embodiment, if the answer is similar three times in a
row and the consumer has kept the card for 4 billing cycles, then
the challenge question/answer may be used in the authorization
process, e.g., to authenticate the consumer. Other criteria can
include whether there have been any charge backs on the card (i.e.
a transaction reversed is at a later time), where the responses
have been made (such as at home, a trusted merchant, or someplace
else), or any other criteria mentioned herein or known to one
skilled in the art.
[0072] If it is determined that the response is not the same as a
previous response, then an error control is performed in step 540.
In one embodiment, the error control process resets the count for
the number of times that the response has been similar. In one
aspect, this results in a restart of the seeding process. This may
occur, for example, when the actual correct answer has changed. The
consumer may have moved, and thus his zip code may actually be
different; therefore, the inferred correct answer will be
different.
[0073] In another embodiment, the error control may do nothing,
such as might be the case when a percentage of similar answers are
being used. Other criteria may be analyzed to determine if the
seeding process should be restarted, such as looking at the recent
activity on the credit card, where the current transaction is
taking place, or other criteria mentioned herein. The error control
may also perform other actions related to safeguarding the account
when the answer is different.
[0074] A verified challenge may also be affected by the response
from the consumer. For example, some challenge questions may be
more reliable (confidence score) than other ones. The more reliable
challenge questions may affect the risk score more. Thus, a more
accurate and efficient risk may be achieved.
[0075] FIG. 6 is a flow diagram illustrating a method 600 for
performing an authorization of a transaction using a verified
challenge response according to an embodiment of the present
invention. In step 610, a verified challenge is provided by the
issuer 28 and/or the payment processing network 26 to a consumer 30
as previously described (e.g., either using the mobile phone 34,
portable consumer device 32, or access device 36). In step 620, the
challenge response is received from the consumer 30 at the payment
processing network 26 or the issuer 28.
[0076] In step 630, the payment processing network server 26(a) or
the issuer server 28(a) determines whether the response is the same
or similar as one or more previous responses. This analysis may be
performed as in the step 530 of method 500.
[0077] In step 650, if it is determined that the response is the
same as a previous response, then a confidence score associated
with the challenge may be increased. A confidence score reflects a
level of how reliable the response is for authenticating the
identity of the consumer. Examples of a confidence score may be a
value between 0 and 1, a percentage between 0 and 100, or any other
suitable values, which may have any scaling factor.
[0078] The confidence score may increase differently each time the
same response is received. For instance, the confidence score might
increase more for the responses received earlier. A confidence
score may also increase less if suspect behavior had just occurred
with the credit card. Thus, other criteria may be affect the
confidence score. For example, that the card has not been canceled
can also increase the reliability (confidence score) or the risk
score. Different confidence scores may also increase different
amounts.
[0079] In one aspect, the confidence score may be used as a
weighting in determining the overall risk score, or similarly
whether the user is considered to be authenticated. For example, an
inconsistent (not similar) response to a challenge with a high
confidence score will have a greater impact on the risk score than
would an inconsistent response. Each challenge question posed
during an authorization process may have a different confidence
score.
[0080] In one embodiment, the confidence score simply multiplies a
one or a zero, depending whether that particular response is
similar. In another embodiment, the confidence score is used in a
more complex function as an input or an offset.
[0081] In one embodiment, the confidence scores of challenges that
have just become verified will vary. In another embodiment, the
confidence score of each verified challenge is the same (e.g. 30%)
after it is verified.
[0082] In step 660, whether a similar response was received, along
with the corresponding confidence score, is used to determine a
risk score for a transaction. In one embodiment, the newly updated
confidence is used. In another embodiment, the confidence score
after the last transaction is used. Past transactional information
may be stored in a database such as the transaction history
database 26(b).
[0083] In step 640, an error control may be performed as in method
500 when the response is not similar. Even if the response is not
similar, a risk score may still be calculated. In one embodiment,
as part of the error control, the challenge is labeled as not
verified any more. In one aspect, the verification process is
completely restarted. Thus, the count would be reset to zero or the
percentage of similar responses would be reset to 0%.
[0084] In another aspect, the verification process is started
midstream. For example, the percentage of past responses that are
viewed as similar might not become 0% and the minimum number of
transaction may already be considered as met (i.e. the responses of
the last N transaction may be kept). The decision as to whether to
completely restart the verification process may be based at least
in part on other criteria mentioned herein and known to one skilled
in the art. Once a challenge becomes verified again, its confidence
score may reflect the process of re-verification. That is a
challenge that has become re-verified might have a lower or higher
confidence score than a challenge that has become verified for a
first time.
[0085] In another embodiment, the challenge stays verified, but its
confidence score is decreased.
[0086] Any of the servers 26(a), 28(a), and the access device 36
may utilize any suitable number of subsystems. Examples of such
subsystems or components are shown in FIG. 7. The subsystems shown
in FIG. 7 are interconnected via a system bus 775. Additional
subsystems such as a printer 774, keyboard 778, fixed disk 779,
monitor 776, which is coupled to display adapter 782, and others
are shown. Peripherals and input/output (I/O) devices, which couple
to I/O controller 771, can be connected to the computer system by
any number of means known in the art, such as serial port 777. For
example, serial port 777 or external interface 781 can be used to
connect the computer apparatus to a wide area network such as the
Internet, a mouse input device, or a scanner. The interconnection
via system bus allows the central processor 773 to communicate with
each subsystem and to control the execution of instructions from
system memory 772 or the fixed disk 779, as well as the exchange of
information between subsystems. The system memory 772 and/or the
fixed disk 779 may embody a computer readable medium.
[0087] Embodiments of the invention provide for a number of
advantages. For example, since challenge responses are verified on
an "as you go" basis, embodiments of the invention do not require
an issuer or payment processing organization to amass challenge
questions and answers before a consumer starts conducting payment
transactions (or money transfer transactions). If, for instance, a
consumer does not conduct a great number of payment transactions,
then significant time and resources need not be spent generating a
collection of information for that consumer. Also, consumers are
not required to "pre-register" before using embodiments of the
invention. A consumer need not fill out a form to provide challenge
response information up front. Thus, it is more likely that many
consumers will use embodiments of the invention since consumers
need not take the time to pre-register.
[0088] The specific details of the specific aspects of the present
invention may be combined in any suitable manner without departing
from the spirit and scope of embodiments of the invention. However,
other embodiments of the invention may be directed to specific
embodiments relating to each individual aspects, or specific
combinations of these individual aspects.
[0089] It should be understood that the present invention as
described above can be implemented in the form of control logic
using computer software in a modular or integrated manner. Based on
the disclosure and teachings provided herein, a person of ordinary
skill in the art will know and appreciate other ways and/or methods
to implement the present invention using hardware and a combination
of hardware and software
[0090] Any of the software components or functions described in
this application, may be implemented as software code to be
executed by a processor using any suitable computer language such
as, for example, Java, C++ or Perl using, for example, conventional
or object-oriented techniques. Computer programs incorporating
features of the present invention may be encoded on various
computer readable media for storage and/or transmission; suitable
media include magnetic disk or tape, optical storage media such as
compact disk (CD) or DVD (digital versatile disk), flash memory,
and the like. The computer readable medium may be any combination
of such storage or transmission devices.
[0091] Such programs may also be encoded and transmitted using
carrier signals adapted for transmission via wired, optical, and/or
wireless networks conforming to a variety of protocols, including
the Internet. As such, a computer readable medium according to an
embodiment of the present invention may be created using a data
signal encoded with such programs. Computer readable media encoded
with the program code may be packaged with a compatible device or
provided separately from other devices (e.g., via Internet
download). Any such computer readable medium may reside on or
within a single computer program product (e.g. a hard drive or an
entire computer system), and may be present on or within different
computer program products within a system or network.
[0092] The above description is illustrative and is not
restrictive. Many variations of the invention will become apparent
to those skilled in the art upon review of the disclosure. The
scope of the invention should, therefore, be determined not with
reference to the above description, but instead should be
determined with reference to the pending claims along with their
full scope or equivalents.
[0093] A recitation of "a", "an" or "the" is intended to mean "one
or more" unless specifically indicated to the contrary.
[0094] All patents, patent applications, publications, and
descriptions mentioned above are herein incorporated by reference
in their entirety for all purposes. None is admitted to be prior
art.
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