Follow us on Twitter
twitter icon@FreshPatents

Browse patents:
Next
Prev

Identity verification switch / Early Warning Services, Llc




Title: Identity verification switch.
Abstract: Methods, systems, and machine-readable media are disclosed for an identity verification switch. According to one embodiment, the method comprises receiving from an inquirer a request to verify an identity of an individual initiating a transaction. The request includes account information for an account subject to the transaction and identity information for the individual initiating the transaction. Based on the request, a verifying financial institution is selected from one or more participating financial institutions. The request is forwarded to the verifying financial institution for verification of the identity information. An answer is received from the verifying financial institution indicating results of verification of the identity information. The answer is returned to the inquirer. ...


Browse recent Early Warning Services, Llc patents


USPTO Applicaton #: #20120101945
Inventors: Richard Mayo, Glen Sgambati, Robert Perrotta


The Patent Description & Claims data below is from USPTO Patent Application 20120101945, Identity verification switch.

CROSS-REFERENCES TO RELATED APPLICATIONS

This application is a continuation of U.S. patent application Ser. No. 11/183,167, filed Jul. 14, 2005, entitled “IDENTITY VERIFICATION SWITCH,” which is incorporated herein by reference.

BACKGROUND

- Top of Page


OF THE INVENTION

Numerous losses to merchants and/or financial institutions occur due to identity theft, counterfeiting, and account takeovers. With the rapid growth in Internet transactions and E-Check payments, fraud perpetrators can conduct fraud remotely when they want, where they want, and with no face-to-face contact. Because of the anonymity, reach and speed that the Internet provides for fraud perpetrators, risk management and fraud prevention are increasingly important and valuable. For example, with the increase of web transactions, (non face-to-face transactions), efforts to identify the person conducting the transaction as an authorized user of the account is important to help mitigate losses from identity theft and account take-over. Similarly, identification of an authorized account owner for new account funding opening deposits and account to account transfers, processed through financial services companies, is beneficial for preventing losses as well as for customer convenience.

In order to reduce the risk of losses due to fraud, banks, merchants, and other entities routinely verify information related to a particular financial account when conducting transactions with that account. For example, payment processors and financial service companies verify checking account information for a consumer wishing to make a transaction using that account. Such transactions occur in a variety of forms, including traditional paper checks, debit cards, electronic checks, or Automated Clearing House system transactions.

Presently, verification systems exist which include a centralized database populated with account information contributed directly by participating banks and institutions. These systems provide advance notification of potential check returns to participating financial institutions by allowing financial institutions inquiry to a national shared account and transaction database (NSD), which is contributed to by major financial institutions and updated daily, and which includes the most current checking account status information as well as check level detail on returned items and stop payments. The information stored in the NSD is intended to be available to inquirers receiving funds by check or electronic payment in sufficient time to enable them to avoid loss that might result from non-payment. The NSD thus stores information about each participant institutions checking accounts, such that, if queried about a particular participant bank's account, the database may return the status (e.g., closed, overdrawn, high check return rate, new account) of that account to the inquirer. The inquirer (such as a merchant or depository bank) may then decide how they want to handle the transaction (e.g., merchants and financial institutions may decide whether to accept the check and financial institutions may decide whether to place an “extended hold” on the checking account). Inquiries may take place immediately (i.e., in real time) or in overnight batch processes.

Additionally, the NSD can include identity information related to individuals authorized to use the account. For instance, the NSD can maintain names of authorized individuals for each account. Such information can be used to verify that a particular individual is authorized to conduct a given transaction on a specific account, prior to completion of the transaction.

However, because of the account and identity information such a centralized database holds, it presents an attractive target for hackers, thieves, and other assorted miscreants. Typically, such a centralized database will be protected by the best firewalls, encryption, and other security technology available to prevent unauthorized access and/or theft of the information stored therein. Nevertheless, some financial institutions may be reluctant to contribute account information to such a centralized system for fear of the information being stolen or misused.

BRIEF

SUMMARY

- Top of Page


OF THE INVENTION

Methods, systems, and machine-readable media are disclosed for an identity verification switch. According to one embodiment, the method comprises receiving from an inquirer a request to verify account ownership and, thus, authorized use of the account based on the identity of an individual initiating a transaction. The request can include account information for an account subject to the transaction and identity information for the individual initiating the transaction. Based on the request, a verifying financial institution can be selected from one or more participating financial institutions. The request can be forwarded to the verifying financial institution for verification of the identity information and the linkage of the account owner(s) to the account. An answer can be received from the verifying financial institution indicating results of verification of the identity information. The answer can be returned to the inquirer.

The account information from the request can include a Routing Transit (RT) number and account number. In this case, selecting the verifying financial institution from one or more participating financial institutions can be based on the RT number.

Verification of the identity information can comprise determining whether the individual is authorized to conduct transactions on the account based on the identity information from the request and account information maintained by the verifying financial institution. The answer can include positive indications corresponding to identity information from the request that matches identity information for individuals authorized to conduct transactions on the account maintained by the verifying financial institution. The answer can include negative indications corresponding to identity information from the request that does not match identity information for individuals authorized to conduct transactions on the account maintained by the verifying financial institution. The answer can include cautionary indications corresponding to identity information from the request that is not found in identity information for individuals authorized to conduct transactions on the account maintained by the verifying financial institution.

According to another embodiment, a system can comprise a processor and a memory communicatively connected with and readable by the processor. The memory can contain instructions which, when executed by the processor, cause the system to receive from an inquirer a request to verify account ownership of an individual initiating a transaction. The request can include account information for an account subject to the transaction and identity information for the individual initiating the transaction. Based on the request, a verifying financial institution can be selected from one or more participating financial institutions. The request can be forwarded to the verifying financial institution for verification of the identity information. An answer can be received from the verifying financial institution indicating results of verification of the identity information and linkage to the account owner(s). The answer can be returned to the inquirer.

According to yet another embodiment, a machine-readable medium can have stored thereon a series of executable instructions which, when executed by a processor, cause the processor to receive from an inquirer a request to verify account ownership of an individual initiating a transaction. The request can include account information for an account subject to the transaction and identity information for the individual initiating the transaction. The account information can comprise a Routing Transit (RT) number and an account number. A verifying financial institution can be selected from one or more participating financial institutions based on the RT number. The request can be forwarded to the verifying financial institution for verification of the identity information. An answer can be received from the verifying financial institution indicating results of verification of the identity information and the answer can be returned to the inquirer.

BRIEF DESCRIPTION OF THE DRAWINGS

- Top of Page


FIG. 1 is a block diagram conceptually illustrating an exemplary environment in which an identity verification switch system may be implemented according to one embodiment.

FIG. 2 is a block diagram illustrating an exemplary computer system upon which various elements of the exemplary environment illustrated in FIG. 1 may be implemented.

FIG. 3 is a block diagram illustrating functional components of an identity verification switch system according to one embodiment.

FIG. 4 is flowchart illustrating, at a high level, a process for verifying an identity according to one embodiment.

FIG. 5 is a flowchart illustrating an identity verification switch system process for verifying an identity according to one embodiment.

FIG. 6 is a flowchart illustrating a process for verifying request information received from an identity verification switch system according to one embodiment.

FIG. 7 is a block diagram illustrating an inquiry message and an answer message according to one embodiment.

DETAILED DESCRIPTION

- Top of Page


OF THE INVENTION

In the following description, for the purposes of explanation, numerous specific details are set forth in order to provide a thorough understanding of various embodiments of the present invention. It will be apparent, however, to one skilled in the art that embodiments of the present invention may be practiced without some of these specific details. In other instances, well-known structures and devices are shown in block diagram form.

FIG. 1 conceptually illustrates an exemplary environment in which an identity verification switch system may be implemented according to one embodiment. In this example, the environment 100 includes an identity verification switch system 105, a number of participant financial institutions 125-135, and a number of inquirers 110-120. The inquirers 110-120 and participating financial institutions 125-135 may be communicatively connected with the identity verification switch system 105 in a variety of ways including, but not limited to, a wire or wireless Local Area Network (LAN), Wide Area Network (WAN), the Internet, or other common communications media.

As used herein, the term inquirer can refer to an entity requesting confirmation or verification of account information for a particular individual or other entity. For example, inquirers 110-120 can comprise one or more financial institutions 110, one or more merchants 115, one or more financial service providers 120, and/or other types of entities. Inquiring financial institutions 110 may be any type of financial institution such as banks, credit card companies, lenders, etc. Merchants 115 may comprise online or storefront retailers, wholesalers, etc. Financial services providers 120 may be brokerages, mortgage companies, and other types of entities offering various types of financial services.

Generally speaking, an inquirer, such as merchant 115, considering conducting a sale or other transaction with an individual or other entity can submit a request 140 to identity verification switch system 105. The request 140 may include account and other information presumably related to the individual or other entity. As will be seen, the identity verification switch system 105 then sends a request 150 to one of the participating financial institutions 125-135 for verification of the information contained in the request 150.

The term participant financial institution can refer to an entity communicatively connected with the identity verification switch system 105 to assist the identity verification switch system 105 in confirming or verifying account and identity information. For example, verifying financial institution 130 may represent a bank in which an individual or other entity holds a checking account. When, for example, this individual or entity tries to pay merchant 115 with a check drawn on this account and identity verification switch system 105 has received a request 140 to verify account and/or other information related to this individual, identity verification switch system 105 can forward the request 150 to the verifying financial institution 130 upon which the check is drawn for assistance in the verification process. In this way, the identity verification switch system 105 maintains information for routing verification requests 140 from inquirers 110-120 to the appropriate participating financial institution 125-135 but does not need to maintained detailed information about individual accounts. In other cases, a different participating financial institution may act as the verifying financial institution. That is, the identity verification switch system 105 can select a verifying financial institution from among the participating financial institutions 125-135 based on the account information from the request 140.

Some entities connected with the identity verification switch system 105 can act as an inquirer 110-120, a participating financial institution 125-135, or a verifying financial institution at any given time. For example, financial institution 110, when presented with a check drawn on an account from participating financial institution 125 can act as an inquirer of identity verification switch system 105 while financial institution 125 acts as a verifying financial institution. However, these roles may be reversed when financial institution 125 is presented with a check drawn on an account from financial institution 110.

Therefore, in operation, an inquirer such as merchant 115 may send information for verification to identity verification switch system 105 via request 140. The information in the request 140 may include account information such as a routing transit number, an account number, etc. as well as identity information such as a name, phone number, address, Social Security number, date of birth, etc related to an individual or entity initiating a transaction.




← Previous       Next →
Advertise on FreshPatents.com - Rates & Info


You can also Monitor Keywords and Search for tracking patents relating to this Identity verification switch patent application.

###


Browse recent Early Warning Services, Llc patents

Keyword Monitor How KEYWORD MONITOR works... a FREE service from FreshPatents
1. Sign up (takes 30 seconds). 2. Fill in the keywords to be monitored.
3. Each week you receive an email with patent applications related to your keywords.  
Start now! - Receive info on patent apps like Identity verification switch or other areas of interest.
###


Previous Patent Application:
E-wallet service method based on a waiting screen application
Next Patent Application:
System and method for processing media gifts
Industry Class:
Data processing: financial, business practice, management, or cost/price determination
Thank you for viewing the Identity verification switch patent info.
- - -

Results in 0.37993 seconds


Other interesting Freshpatents.com categories:
QUALCOMM , Monsanto , Yahoo , Corning ,

###

Data source: patent applications published in the public domain by the United States Patent and Trademark Office (USPTO). Information published here is for research/educational purposes only. FreshPatents is not affiliated with the USPTO, assignee companies, inventors, law firms or other assignees. Patent applications, documents and images may contain trademarks of the respective companies/authors. FreshPatents is not responsible for the accuracy, validity or otherwise contents of these public document patent application filings. When possible a complete PDF is provided, however, in some cases the presented document/images is an abstract or sampling of the full patent application for display purposes. FreshPatents.com Terms/Support
-g2-0.4962

66.232.115.224
Browse patents:
Next
Prev

stats Patent Info
Application #
US 20120101945 A1
Publish Date
04/26/2012
Document #
File Date
12/31/1969
USPTO Class
Other USPTO Classes
International Class
/
Drawings
0




Follow us on Twitter
twitter icon@FreshPatents

Early Warning Services, Llc


Browse recent Early Warning Services, Llc patents



Data Processing: Financial, Business Practice, Management, Or Cost/price Determination   Automated Electrical Financial Or Business Practice Or Management Arrangement   Finance (e.g., Banking, Investment Or Credit)   Including Funds Transfer Or Credit Transaction   Requiring Authorization Or Authentication  

Browse patents:
Next
Prev
20120426|20120101945|identity verification switch|Methods, systems, and machine-readable media are disclosed for an identity verification switch. According to one embodiment, the method comprises receiving from an inquirer a request to verify an identity of an individual initiating a transaction. The request includes account information for an account subject to the transaction and identity information |Early-Warning-Services-Llc
';