Abstract:
The present invention advantageously combines communications aspects of mobile devices with financial transaction system capabilities in a novel manner. This advantageous combination enables a user to automatically initiate a financial transaction with a merchant upon the user being located in a particular geographic vicinity. Numerous types of transactions can be enabled using the present invention.

Description:
CROSS REFERENCE TO RELATED APPLICATION 
       [0001]    This application is a continuation of U.S. application Ser. No. 11/964,819, filed on Dec. 27, 2007, now allowed, which is herein incorporated by reference in its entirety. 
     
    
     BACKGROUND OF THE INVENTION 
       [0002]    1. Field of the Invention 
         [0003]    The present invention generally relates to financial transaction systems, and more particularly to conducting a financial transaction using a mobile communication device. 
         [0004]    2. Brief Description of the Related Art 
         [0005]    Today, financial transactions systems (FTS) are generally well known in the art and can include both wired communication systems and wireless communication systems. Typically, these systems include one or more payment devices and a payment terminal for processing financial transactions. The payment devices can include credit, debit, prepaid and smart cards, as well as cellular phones, personal digital assistants (PDAs), and other types of devices. 
         [0006]    Global Positioning Systems (GPS) are also becoming increasingly available. Typically, these systems are used for navigation purposes and include hand-held receivers that can lock on to wireless signals to calculate a 2D position (latitude and longitude) and track movement. In the past, tracking individuals with GPS technology required purchasing special and expensive hardware and software. Today, various solutions are available through cellular service providers. For example, GPS-enabled cell phones are becoming more prevalent in the marketplace. 
         [0007]    With cellular technology providing consistent communication capabilities and the use of GPS-based devices becoming more accessible and prevalent, there is a need in the art for techniques for utilizing GPS-based capabilities in financial transactions. 
       SUMMARY OF THE INVENTION 
       [0008]    The present invention advantageously combines communications aspects of mobile devices with financial transaction system capabilities in a novel manner. This advantageous combination enables a user to automatically initiate a financial transaction with a merchant upon the user being located in a particular geographic vicinity. Numerous types of transactions can be enabled using the present invention. 
         [0009]    Various aspects of the system relate to conducting financial transactions using geographic location information. For example, according to one aspect, a system for conducting a financial transaction exchange includes a payment terminal for charging a user account to complete a financial transaction, and a payment device capable of (i) sending a financial transaction instruction to the payment terminal, the instruction competent to charge the user account through the terminal, and (ii) calculating a geographic location for the device in response to receiving a plurality of distance signals. Preferably, the instruction is sent based on the calculated geographic location and an authorized activation of the device. 
         [0010]    In one preferred embodiment, the payment device includes a global positioning system to provide said geographic location. Preferably, the payment terminal and the payment device are operatively coupled via a wireless network. 
         [0011]    In one preferred embodiment, the payment device compares the calculated geographic location to a predefined geographic location and sends the instruction based on the comparison. The system can also include a graphical user interface for identifying the predefined geographic location. Preferably, the graphical user interface displays a map on the payment device for selecting the predefined geographic location. 
         [0012]    Preferably, the payment terminal transmits an acknowledgement to the payment device upon completion of the transaction. In one preferred embodiment, the system includes a map server that provides a map to the payment device to select the predefined geographic location. In another preferred embodiment, the payment terminal associates a fee for processing the transaction. 
         [0013]    In yet another aspect, a method of conducting a transaction exchange includes providing a payment terminal for charging a user account to complete a financial transaction. The method also includes providing a payment device capable of (i) sending a financial transaction instruction to the payment terminal, the instruction competent to charge the user account through the terminal, and (ii) calculating a geographic location for the device in response to receiving a plurality of distance signals, wherein the instruction is sent based on the calculated geographic location and an authorized activation of the device. 
         [0014]    In one preferred embodiment, the method includes calculating the geographic location using a trilateration technique. The method can also include coupling operatively the payment terminal and the payment device using a wireless network. 
         [0015]    In one preferred embodiment, the method further includes comparing the calculated geographic location to a predefined geographic location, and sending the instruction based on the comparison. 
         [0016]    In another preferred embodiment, the method further includes selecting the predefined geographic location using a graphical user interface. The method can also include displaying a map on the payment device for selecting the predefined geographic location. 
         [0017]    In yet another preferred embodiment, the method further includes transmitting an acknowledgement from the payment terminal to the payment device upon completion of the transaction. The method can further include providing a map to said payment device from a map server and charging a fee for processing said transaction. 
         [0018]    Other objects and features of the present invention will become apparent from the following detailed description considered in conjunction with the accompanying drawings. It is to be understood, however, that the drawings are designed as an illustration only and not as a definition of the limits of the invention. 
     
    
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
         [0019]      FIG. 1  is a block diagram of a mobile communication device according to the present invention. 
           [0020]      FIG. 2  is a block diagram of a financial transaction system using a mobile communication device according to the present invention. 
           [0021]      FIG. 3  is an example graphical user interface for defining a transaction location. 
           [0022]      FIG. 4  is a flow chart of a method for conducting location-based financial transactions. 
       
    
    
       [0023]    Like reference symbols in the various drawings indicate like elements. 
       DETAILED DESCRIPTION OF THE PREFERRED EMBODIMENTS 
       [0024]    The invention described provides a system and method for executing financial transactions using existing and available technology in a novel manner. The preferred technique allows an individual to use a GPS-enabled mobile communication device, such as a cell phone, as a payment device to automate a business transaction. 
         [0025]      FIG. 1  is a block diagram illustrating a payment device  10  according to the present invention. As shown in  FIG. 1 , the payment device can be a mobile communication device  10  that includes a GPS receiver  12 , communication interface  14 , processing unit  16 , memory  18 , input/output interface  20 , and a power source  22 , such as a battery. 
         [0026]    The communication interface  14  preferably includes a particular structure and functionality based upon the type of the device  10 . For example, when the device  10  is a cellular telephone, the communication interface  14  supports a corresponding interface standard e.g., Global System for Mobile communication (GSM), General Packet Radio Service (GPRS), Enhanced Data Rates for Global Evolution (EDGE), Universal Mobile Telecommunications Service (UMTS), etc. The communication interface  14  of the device  10  may also/alternately support Wireless Wide Area Network (WWAN), Wireless Local Area Network (WLAN), and/or Wire-less Personal Area Network (WPAN) functionality. 
         [0027]    When the device  10  is a WLAN device for example, the wireless interface  14  preferably supports a standardized communication according to the IEEE 802.11x group of standards, for example. When the device  10  is a WPAN device, the wireless interface  14  preferably supports the Bluetooth interface standard or another WPAN standard such as the 802.15 standard. In any case, the wireless interface  14  can support all or a subset of cellular telephone, WLAN, and WPAN operations. 
         [0028]    The processing unit  16  of the device  10  may include any type of processor such as a microprocessor, a digital signal processor, an Application Specific Integrated Circuit (ASIC), or a combination of processing type devices. The processing unit  16  is operable to execute a plurality of software instructions that are stored in the memory  18  and are accessed for execution. The processing unit  806  may also include specialized hardware required to implement particular aspects of the present invention. Memory  18  may include SRAM, DRAM, PROM, flash RAM, or any other type of memory capable of storing data and instructions. 
         [0029]    The input/output interface  20  may include a keypad, a mouse, a screen, a touch screen, and/or any other type of interface that allows a user of the device  10  to interact with the device  10 . The power source  22 , such as a battery, operates to power the components of the device  10 . 
         [0030]    The GPS receiver  12  operates to receive GPS signals from a plurality of satellites that operate as part of a GPS system. In one preferred embodiment, the GPS receiver  12  determines a geographic location for the device  10  by calculating a distance between the device  10  and at least three satellites. Preferably, the receiver  12  calculates the distance using low-power radio signals received from the satellites using a technique known as Trilateration, which is known in the art. 
         [0031]    The memory  18  of the device is configured to include a GPS module  18 A that provides a graphical user interface on the device  10  to identify payment locations, one or more data storage areas  18 B for storing location coordinates identified by the user, and a payment module  18 C capable of initiating a financial transaction instruction to a payment terminal based on a geographic location of the device  10 . Details of the GPS module  18 A and payment module  18 C are discussed in connection with  FIGS. 3-4 . 
         [0032]    Referring now to  FIG. 2 , a financial transaction system for conducting a financial transaction using a mobile communication payment device is disclosed. The system can be used to automate financial transactions based on a geographic location of the payment device  10 . 
         [0033]    As shown in  FIG. 2 , the system includes the payment device  10  disclosed in connection with  FIG. 1 , a payment terminal  28  that can operate as a point of sale (POS) terminal for merchants, and a network  26  for operatively connecting the payment device  10  to the payment terminal  28 . Although only one payment device  10  is shown in  FIG. 2 , the present invention is not limited to one payment device and can include a multitude of varied payment devices that are capable of communicating using a wireless protocol. 
         [0034]    The payment terminal  28  is preferably a computer device that operates as a point of sale terminal for goods or services rendered. In one preferred embodiment, the payment terminal  28  includes a management module  28 A that processes financial transaction instructions received from the device  10  and provides an acknowledgement message to the payment device  10  upon completion of a transaction. 
         [0035]    As shown in  FIG. 2 , the payment terminal  28  is preferably in communication with a financial institution  30 , such as a bank, which has access to a conventional payment network for transaction authorizations. 
         [0036]    In one preferred embodiment, as shown in  FIG. 2 , the system includes a map server  24  that provides maps to the payment device  10  on demand. As used herein, the term ‘map’ refers to a representation of the whole or a part of a geographic area. Use of the map server  24  is discussed in connection with  FIGS. 3 and 4  of the disclosure. 
         [0037]    The network  26  is preferably a wireless network that can be an 802.11-compliant network, Bluetooth network, cellular digital packet data (CDPD) network, high speed circuit switched data (HSCSD) network, packet data cellular (PDC-P) network, general packet radio service (GPRS) network, 1x radio transmission technology (1xRTT) network, IrDA network, multichannel multipoint distribution service (MMDS) network, local multipoint distribution service (LMDS) network, worldwide interoperability for microwave access (WiMAX) network, and/or any other network that communicates using a wireless protocol. 
         [0038]    Referring now to  FIG. 3 , an example graphical user interface (GUI)  32  provided by the GPS module  18 A is shown. In one preferred embodiment, the GPS module  18 A displays the user interface  32  on the screen  20  of the payment device  10  and prompts the user to enter either an address or MAP name that identifies a particular geographic area to be displayed on the device  10 . In another preferred embodiment, the GPS module  18 A displays the graphical user interface  32  on a Personal Computer (PC) attached to the device  10  and prompts the user to enter either an address or map name to be displayed on the device  10 . 
         [0039]    As shown in the  FIG. 3  example, the graphical user interface  32  of the present invention includes a map area  34 , a map-name/address area  42  with map-name/address entry area  44 , an access-map button  46 , a charge-amount entry area  52 , and a select-payment-location button  48 . 
         [0040]    The map-name/address area  42  provides a listing of previously accessed maps and entered addresses that are user selectable and available for display on the device  10 . In the event a particular map name or address is not included in the area  42 , map-name/address entry area  44  provides a data entry area for entering the particular address or map name which, upon selection of access-map button  46 , is displayed on the device  10 . In one preferred embodiment, the GPS module  18 A requests the associated map from the map server  24  which is then displayed in map area  34 . In another preferred embodiment, the GPS module  18 A accesses the associated map from memory  18  of the device  10  and displays the same in the map area  34 . As shown in  FIG. 3 , in one preferred embodiment, the map displayed can include latitudinal  38  and longitudinal  36  coordinates representing varying degrees of specificity concerning geographic locations and coordinates. 
         [0041]    Once a map is displayed in the map area  34  and the user selects select-payment-location button  48 , the user can then select transaction locations for automatic payment. For example, in one preferred embodiment, upon selection of select-payment-location button  48 , the GPS module  18 A displays a cursor that overlays the displayed map and allows the user to identify a particular location  58  on the map where a payment is to be automatically commenced. 
         [0042]    Once a transaction location  58  is identified on the map, the GPS module  18 A activates the transaction amount data entry area  52  that allows the user to specify a monetary amount for the transaction. 
         [0043]    Once a value is entered into data entry area  52  and the user selects the save button  54 , the GPS module  18 A saves the identified transaction location and entered transaction amount to the data storage area  18 B. For example, in one preferred embodiment, the GPS module  18 A calculates transaction coordinates using one or more particular transaction locations  58  identified on the map and stores the calculated transaction coordinates along with the entered transaction amount to the data storage area  18 B. Upon the user selecting the exit button  64 , the GPS module  30  terminates display of the GUI  32 . 
         [0044]    Turning now to  FIG. 4 , a typical financial transaction executed by the system using the techniques of the present invention will now be described. As shown in the  FIG. 4  example, first, the GPS module  18 A of the payment device  10  calculates the current geographical coordinates of the device  10  upon receiving a plurality of satellite signals  60 . As mentioned previously, in one preferred embodiment, the GPS module  18 A uses a trilateration technique to determine geographic coordinates of the device  10 . Next, the GPS module  18 A compares the calculated geographic coordinates to predefined transaction locations stored in the data storage areas  18  of the device  10 . In one preferred embodiment, if the calculated coordinates are within a particular distance of one of the predefined transaction locations  64 , the GPS module  18 A activates the payment module  18 C to initiate a financial transaction  66  over the network  26 . If the calculated coordinates are not within a particular distance of any of the stored transaction locations  64 , the GPS module  18 A continues to calculate the device&#39;s current geographical location and continues its comparisons. 
         [0045]    Once the payment module  18 C is activated, the payment module  18 C initiates a network connection  68  to the payment terminal  28 . In one preferred embodiment, where the payment device  10  is a cellular phone, a telephone company (TELCO) provider can be used as a gateway into one or more payment networks. For example, an arrangement can be made between the user of the device  10  and the TELCO provider such that the TELCO provider would charge a fee for supporting location dependent transactions. 
         [0046]    In one preferred embodiment, the payment module  18 C initiates the network connection by polling for a wireless network connection as is known in the art. Preferably, the network connection is a secure connection that includes encryption and digital authentication. Upon the payment terminal  28  verifying the authenticity of the payment device  10 , the payment terminal  28  grants network access to the payment device  10 . 
         [0047]    Once the payment device  10  is connected to the network  26 , the payment module  18 C can send financial transaction instructions to the payment terminal to charge a particular account a predefined transaction amount automatically  70 . 
         [0048]    Next, upon transmission of a financial transaction instruction from the payment device  10  to the payment terminal  28 , the management module  28 A of the payment terminal  28  transmits an authorization request to the financial institution  30  for approval  72 . In one preferred embodiment, the financial institution  30  in turn forwards the authorization request through a conventional payment network to a credit grantor. Based upon the payment device user&#39;s account status and the amount of transaction, the credit grantor can authorize or deny the authorization request  74 . The grantor&#39;s response is then routed back through the financial institution  30  to the payment terminal  28  and payment device  10 . 
         [0049]    A number of embodiments of the invention have been described. Nevertheless, it will be understood that various modifications may be made without departing from the spirit and scope of the invention. For example, payment terminals can provide messages to payment devices that could include information relating to upcoming offers and sales. Also, the steps described above may be modified in various ways or performed in a different order than described above, where appropriate. Accordingly, alternative embodiments are within the scope of the following claims.