Abstract:
A handheld unit which is capable of emulating a plurality smartcards or magnetic stripe cards. The unit has the capability of storing a plurality of data sets representing a plurality of accounts. The unit is equipped with a near field communications interface that can emulate a smartcard interface that is capable of communicating with smartcard readers at POS or ATM terminals, or anywhere else a smartcard may be utilized. The unit is equipped with a biometric sensor to positively verify an authenticated user

Description:
RELATED APPLICATIONS  
       [0001]     This application claims the benefit of U.S. provisional application Ser. No. 60/750,270, filed Dec. 14, 2005, U.S. provisional application 60/785,329, filed Mar. 22, 2006, both entitled “Biometric RFID Storage Device Used for Contactless Transactions”, and U.S. provisional application 60/804,615, filed Jun. 13, 2006, entitled “Smartcard and Magnetic Stripe Emulator With Biometric Authentication.” 
     
    
     BACKGROUND OF THE INVENTION  
       [0002]     Radio frequency identification devices (RFID) are well known in the art. A typical RFID device includes an antenna and a chip that is activated by RF energy emitted by a reading device. The antenna on the reading device induces a signal into an RFID chip which is in close proximity to the reading device, causing the RFID device it to transmit a small amount of data back to the reading device. An RFID tag can be thought of as similar in usefulness to a bar code.  
         [0003]     RFID has found its way into many applications, including inventory control and tracking, as substitutes for traditional magnetic strip cards for electronic payments at point of sale (POS) locations, devices for automatically paying tolls on highways, passports and personal identification cards. RFID devices have even been used as embedded devices within living beings such as domesticated pets and children.  
         [0004]     A “smartcard” is a card that is embedded with either a microprocessor and a memory chip or a memory chip with non-programmable logic. The microprocessor can add, delete, and otherwise manipulate information on the card, while a memory-chip card can only undertake a pre-defined operation. Although smartcards utilize radio frequency (RF) to transmit and receive data, they are unlike traditional RFID tags or magnetic strip cards in that all necessary functions and information necessary for the completion of a transaction can be carried on the card. Therefore, they do not require access to remote databases at the time of the transaction. Smartcards are governed by many standards, in particular, ISO/IEC standards 7816 and 14443.  
         [0005]     The smartcard is quickly replacing the traditional method of ‘swiping’ credit cards with data contained on magnetic stripes. At a point-of-sale (POS), the smart card is activated by a contactless reader attached to an external device required for the application, for example, an RFID reader attached to a cash register. The reader&#39;s RF antenna induces a signal into the card&#39;s RF antenna, thereby activating the smart card. The application can then communicate with the smart card via the reader unit to transmit the cardholder&#39;s account data back to the point of sale application, utilizing a command set specified by the ISO 7816 standard.  
         [0006]     While smart cards allow transactions to be performed at a faster rate than traditional magnetic stripe cards, they only offer a small improvement in security to guard against account data theft than the conventional magnetic stripe credit cards they are replacing. A closer examination of this technology reveals several inadequacies that will allow fraudulent and illegal trends to emerge. First, owners making a purchase no longer enter PIN numbers or sign a printed copy of the credit card transaction. Therefore, if a smartcard is lost or stolen, it can be used to make unauthorized purchases. Also, there are new security threats that are technically possible against contactless smart cards. A lost or stolen smart card also contains all the required information thereon, including the account number, CCV and any other information necessary to complete a transaction, that can be easily read and copied Differential Power Analysis (DPA) and Simple Power Analysis (SPA) may be used to steal the security keys for communication encryption and decryption. In addition, smartcards are subject to certain types of attacks, known as “relay” attacks, in which a smartcard not in close proximity to a POS-based reader can be used by “relaying” its information through another reader and smartcard pair.  
         [0007]     These deficiencies represent a dramatic financial threat to both the issuing institutions and the card owners. While credit card companies and insurance companies that underwrite fraud coverage usually absorb the losses associated with fraudulent activity, the long-term implications for victims and their credit ratings are very serious. Additionally, it is intuitive that any perceived security risk associated with smartcard technology would represent an obstacle to widespread market acceptance. Therefore, it would be advantageous to provide a means of securing the data stored within smartcards from being covertly and illegally harvested.  
       SUMMARY OF THE INVENTION  
       [0008]     The present invention is a cost effective device capable of storing the information from multiple smartcards and data from multiple conventional magnetic stripe cards for use either through a magnetic stripe emulator or as a ‘virtual’ contactless smartcard, and preventing both unauthorized use of the device and outright theft of the information on the device via a biometric recognition technology, such as, for example, fingerprint verification or voice recognition. In this capacity, the theft of account data via relay attack, as well as crimes associated with lost or stolen smartcards, will be virtually eliminated.  
         [0009]     In the preferred embodiment, the present invention is comprised of two components, a PC application and a handheld portable data storage device. Optionally, an associated base unit may also be provided.  
         [0010]     The handheld device, in the preferred embodiment, is roughly the size of a credit card, approximately 10 mm thick, and contains an LCD display and a numeric keypad, as well as several navigation buttons, namely a four way pushbutton with a central “enter” pushbutton, to navigate through the applications and make appropriate selections. Optionally, a portion of the device also contains a programmable magnetic stripe and conforms to the ISO 7813 standard of 0.76 mm in thickness.  
         [0011]     The device incorporates a near field communications (NFC) capability which is also compatible with the ISO 14443 standard. NFC is a peer-to-peer connection that allows the transfer of larger amounts of data than a simple query and reply smartcard. The NFC capability can emulate a smartcard. The NFC capability may also be used for downloading various data to device, such as electronic receipts, coupons, advertising content, etc. Additionally, the device is capable of communicating with NFC-enabled POS terminals, for purposes of transmitting account information, coupon information, and other types of information to the POS terminal, and can also received information, such as an electronic receipt, from the POS terminal. Additionally, the device will be able to communicate with other NFC-enabled devices, such as kiosks, where discount coupons may be available, and ticketing agents, where event tickets may be purchased and stored electronically until their use  
         [0012]     Most importantly, the device also incorporates a biometric sensor for performing fingerprint or voice recognition to positively identify the user of the device. This provides the means to ensure that only the authorized card owner is actually performing the transaction. In the preferred embodiment, fingerprint verification is used to biometrically identify the authorized user, however, other means of identifying the users, both biometric and non-biometric may also be used. Authentication is required for each transaction, and the identity of the authorized user must be verified before the device&#39;s NFC circuitry is activated, and its signal transmitted to an RFID reader or NFC-enabled POS terminal. Authentication may not be required for all functions of device For example, it may not be desirable to require authentication for the downloading of coupons.  
         [0013]     The handheld device and the optional base unit contain mating connectors which allow rechargeable batteries in the handheld device to be recharged. In addition, the base may contain an NFC reader, such that the base can act as an NFC-enabled POS terminal for internet purchases.  
         [0014]     The handheld device will communicate with an application running on a PC either through a cable directly connecting the handheld device and the PC, such as a USB cable, through the base unit, or via a wireless connection, such as Bluetooth. The PC application allows the storing of various account information and data, and can be synchronized with the handheld device when they are connected such that the data on the PC mirrors the data on the handheld device. The PC application will also provide other functionality which will be discussed in detail herein.  
         [0015]     The handheld device can also emulate a magnetic stripe card by utilizing a programmable magnetic stripe which can be re-programmed on the fly and which can be erased after a pre-determined period of time for security purposes. Account information from cards having a magnetic stripe may be transmitted via an RF signal, in the event that an RF reader is available at the POS terminal. In this fashion, conventional magnetic stripe card owners will be able to perform transactions at venues utilizing the more desirable contactless, RF technology. The device contains ample memory to store account information from multiple conventional magnetic stripe cards and smartcards.  
         [0016]     The handheld device must be initialized prior to the downloading of account information. The initialization process begins with a user enrollment step, in which the user is prompted to place a fingertip on the biometric sensor. The fingerprint is then scanned, converted into a digital template, and stored in the memory of the handheld device. The fingerprint template can then be used for the authentication and activation process prior to any RF signal transmission. Multiple users can be enrolled to use the various accounts stored on the card.  
         [0017]     Use of an account stored on the device depends upon the user selecting a particular account and then authorizing its use through a biometric authentication process. To authenticate, the user places the same finger on the biometric sensor that was used to create the stored digital fingerprint template. In this capacity, any unauthorized use of the card is prohibited, thereby adding a new level of security to transactions with both conventional and smartcards.  
         [0018]     One shortcoming of fingerprint recognition is that a small percentage of the population lacks a ‘usable’ fingerprint pattern for this purpose. In such cases, the users will have the ability to enter a personal identification number (PIN) as an alternate method of authentication. During initialization the user will be prompted to select either fingerprint or PIN for authentication. Once the PIN is entered the device will store the selected application data set in memory. Alternative biometric technologies could also be used in place of the fingerprint scan. The most obvious alternative would be voice recognition.  
         [0019]     For security purposes and to prevent certain types of security attacks on device  100 . The RF antenna in the device is disabled after a single use. Without an enabled antenna the interrogating RF signal won&#39;t be received and the device will not transmit a signal. When a subsequent transaction is desired, and the authentication process is completed, the antenna is re-enabled for a time sufficient to complete the transaction then automatically disabled again, or for a single transmission of the data. For transactions involving a magnetic stripe, the programmable magnetic stripe on device  100  is erased after a predetermined period of time to prevent re-use. The device may also contain circuitry to record and time-stamp all attempts at retrieving data, including both authenticated attempts and attempts to use the device without authentication.  
         [0020]     The device may also be equipped with a camera of the type frequently found on cellular telephones. The camera may be used to capture information from coupons by taking a photo of the coupon&#39;s barcode. The device is equipped with barcode reading software which is able to read the bar code from the captured photograph and display the information to the user in plain-text.  
         [0021]     The inventors envision other types of biometric methods used with the device for authentication, including but not limited to, voice recognition, skin resistance and skin capacitance, and any other type of biometric verification now known or later invented. 
     
    
     BRIEF DESCRIPTION OF THE DRAWINGS  
       [0022]      FIG. 1  shows front, back and side views of the device of the preferred embodiment of the invention.  
         [0023]      FIG. 2  shows a view of the bottom edge of the device.  
         [0024]      FIG. 3  shows the optional base unit of the invention.  
         [0025]      FIG. 4  is a schematic of the architecture of the device.  
         [0026]      FIG. 5  is a flow chart showing the enrollment of a user on the handheld device.  
         [0027]      FIG. 6  is a flow chart showing the device provisioning process wherein account data is downloaded from account issuers.  
         [0028]      FIG. 7  is a flow chart showing the activation of an account stored on the device.  
         [0029]      FIG. 8  is a flow chart for the software application which is stored on the device.  
         [0030]      FIG. 9  is a functional diagram of the menu structure of the software application running on the handheld device.  
         [0031]      FIG. 10  is a functional diagram of the application running on the personal computer.  
         [0032]      FIG. 11  is a first example of a device and reader application.  
         [0033]      FIG. 12  is a second example of a device and reader application. 
     
    
     DETAILED DESCRIPTION OF THE INVENTION  
       [0034]      FIG. 1  shows front, back and side views of the exterior of the device, which contains two portions, thinner portion  100   a  and thicker portion  100   b . Thicker portion  100   b  preferably is about 10 mm thick and may be composed of any material commonly used for housing electronic devices, but is preferably composed of a material that will not interfere with the transmission or reception of RF signals. The front of device  100  contains an LCD display  101  as well as menu selection keys  102  and numeric keypad  103 . Menu selection keys  102  facilitate navigation through a series of menus displayed on display  101 . Menu selection keys  102  consist of directional keys, which may be used move a cursor up, down, left or right, while a central ENTER key may be used to select menu items. The directional keys and ENTER key may be of any configuration.  
         [0035]     Thinner portion  100   a  of device  100  contains a magnetic stripe  107  and is preferably approximately 76 mm in thickness, in accordance with ISO standard 7813. The thickness of portion  100   a  of device  100  is such that it can be passed through a typical magnetic stripe card reader. Between sections  100   a  and  100   b  is a beveled area  104  which makes the transition from the thin portion of device  100  to the thick portion. The thinner portion  100   a  of device  100  and magnetic stripe  107  are optional. It is envisioned that future versions of the device will be made without the magnetic stripe  107 , as magnetic stripe credit cards and readers are phased out in favor of contactless transaction devices. In such cases, thinner portion  100   a  of device  100  may be absent.  
         [0036]     Also located on the front of device  100  is biometric input sensor  105  which, in the preferred embodiment, consists of a fingerprint scanner. In other embodiments of the invention, other biometric authentication devices may also be used, such as voice recognition, skin pH analysis, or any other means of identifying the user, now known or later invented. In addition, the biometric authentication may be replaced an alphanumeric password or PIN that the user may enter into the device using numeric keypad  103 .  
         [0037]     The rear of the device contains the programmable magnetic stripe  107  situated on the thin portion  100   a  of device  100 . Also located on the back of the device is camera  106  which is used primarily in the preferred embodiment for taking photographs of barcodes which can be read through barcode recognition software, however, any images may be captured and stored on the device for display or transmission. In addition, NFC chip  108  and Bluetooth chip  109  are shown on the rear of the card. However, these chips are actually internal to the device. Also located on the back of device  100  is a system reset button  110 .  
         [0038]     The side view of the device in  FIG. 1  shows device soft key  109 , which is used by the user to interact with the software application programmed into the device.  
         [0039]      FIG. 2  shows the bottom of device  100  showing thin area  100   a  having the magnetic stripe  107  disposed thereon, thicker area  100   b  and the beveled transition  104  therebetween. Also present on the bottom of device  100  is connector  201  which may be used to transfer data to and from PC application  1002 , shown in  FIG. 10 , via a direct cable connection or via base unit  200 .  
         [0040]     Optional base unit  200 , shown in  FIG. 3 , contains connector  202  which mates with connector  201  on the bottom of device  100  to provide the aforementioned functions. Base unit  205  also contains an NFC chip  205 , which will allow base unit  200  to act as an NFC-enabled point-of-sale terminal for purchases made on-line. Also present on base  200  is PC interface  204 , which allows device  100  to communicate with PC application  1002 . The means for allowing device  100  to communicate with PC application  1002  may also be any one of a number of wireless transfer protocols well known in the art. Such as Bluetooth.  
         [0041]     Connector  201  may be used to charge rechargeable battery  405  within device  100 , either via a connection to base unit  200  or via a direct cable connection to a PC. AC adapter  203  for base unit  200  may provide power for re-charging battery  405 . 1  Alternatively, battery  405  may be inductively charged via voltages induced on the RF antenna of the device through interaction with an electromagnetic field.  
         [0042]      FIG. 4  is a schematic architectural diagram of the internals of device  100 . System board  401  is contained within the device and contains thereon memory  402  in which is stored operating system  403  and on-board software application  404 .  
         [0043]     Also situated on system board  401  is camera  106 , NFC chip  108 , Bluetooth interface  406  and rechargeable battery  405 .  
         [0044]      FIG. 5  shows the process by which users are enrolled on device  100 . In box  500 , the initialize device process is begun and in box  502 , the portion of the memory containing the stored account information and all other user data is cleared, to prevent an unauthorized person in physical possession of the unit from adding an authorized user to already existing accounts stored in the device. In box  504 , it is determined if a biometric is required, preferably by asking the user. If so, the biometric capture procedure is performed in box  506  and a biometric template is generated and stored in memory  402  in box  508 . In box  510  it is determined if a personal identification number (PIN) is required in addition to or in lieu of the biometric. In box  504 , if it is determined that a biometric is not required, flow proceeds to box  510  and continues as before. If a PIN is required, the PIN is entered by the user using numeric keypad  103  in box  512 . Once the biometric enrollment process is complete, the enrollment data is stored to memory in box  514  and in box  516  it is determined if another user is to be enrolled. If so, control is returned to box  504 . However, if not, the user enrollment process is complete in box  518 .  
         [0045]      FIG. 6  shows the provisioning process in which account data necessary to complete transactions, and any other data associated with the account or account issuer, such as account issuer logos or graphics, advertising content and/or coupons, is downloaded from an account issuer to device  100  via PC application  1002 . Account issuer  601  is typically a bank or other credit card issuer. Account issuer  601  has structured data file  602 , containing the information just discussed, with respect to a particular account. PC application  1002 , running on a personal computer or other equivalent computing device, establishes secure communication channel  603  with the account issuer  601 . Preferably, the secure communication channel would be an HTTPS connection, which uses the HTTP protocol over an encrypted SSL, or TLS transport protocol to insure secured communications with a web server. However, any encrypted secure communications channel may be utilized. Structured data  602  is preferably in the form of an XML document or other structured data file. This structured data would contain the necessary information that is typically encoded in the magnetic stripe or within the memory of a smart card, as well as any auxiliary information. Structured data  602  is downloaded over the secured communication channel  603  to PC application  1002 , which will be discussed in more detail later. PC application  1002  communicates with device  100 , when device is connected to the PC via a cable or is plugged into base  200  or is near enough to the PC to establish a wireless connection, utilizing the NFC or Bluetooth capabilities.  
         [0046]      FIG. 7  shows the process  700  to activate the device for use at a POS terminal. The device activation process  700  is a process by which a user is authenticated, thereby unlocking the various accounts associated with that user. In box  702  it is determined if a biometric is required for this particular user. If so, the user is prompted to perform the biometric scan in box  704 , for example, by placing a finger on the fingerprint scanner. The biometric information is collected in box  704  and is analyzed in box  706  by comparing it to the stored biometric template which was gathered during the user enrollment process  500  shown in  FIG. 5 . In box  708  it is determined if there is a data match found. If no data match is found, the user authentication process  700  returns FALSE and the accounts remain locked. If the collected biometric matches the stored template, the device activation process  700 , in box  712  determines if a PIN is also required. In addition for those users for which no biometric is required the authentication process begins in box  712 , where the user is prompted to enter the PIN on numeric key pad  103 . In box  714 , the user enters the PIN if one is required and in box  716  the PIN is compared with the stored PIN for this particular user. If there is a data match in box  718 , the process returns TRUE in box  720 , indicating that the user has been properly authenticated. If no data match exists, the process returns FALSE in box  710 , indicating that the user has not been authenticated. In the event that no pin code is required in box  712  and the user has already been authenticated biometrically, authentication process  700  returns TRUE in box  720 .  
         [0047]      FIG. 8  shows the upper level flow of control for the device after a user has been authenticated. In box  800 , the device activation process of  FIG. 7  is performed, returning a value of TRUE or FALSE, indicating a successful authentication or an unsuccessful attempt at authentication, respectively. If the activation process returns TRUE in box  802 , control proceeds and the last activated account is displayed as the current active account. If the activation process  700  of  FIG. 7  returns FALSE, the device remains locked and awaits a request to perform another device activation. The number of unsuccessful device activation requests that may be performed may be limited, requiring that device  100  be connected to PC application  1002  before another attempt at authentication is made.  
         [0048]     If the authentication process is successful, the currently active account is displayed in box  804 . The default active account will be the account which was activated last. If the magnetic stripe is present on the device the account information will be programmed into the magnetic stripe for a predetermined amount of time, after which the account will be deactivated. Additionally, or alternatively, the active account information is programmed into the smartcard emulator or the NFC circuitry of the device, such that queries from a smartcard reader or NFC-enabled POS terminal will result in the transmission of the active account information. LCD display  101  may display the name of the account, as well as any associated graphics, such as the logo or trademark of the account issuer. In addition, any auxiliary information necessary to complete the transaction may be displayed. This would include security codes or CCVs, which may be physically printed on a credit card, but not available electronically from the card. Such codes are typically found in the signature panel on the reverse of the card.  
         [0049]     In box  806 , it is determined if the currently active account has been timed-out, and, if so, the device becomes deactivated and the device activation process  800  will have to be repeated to reactivate the accounts. If the device is not timed-out, control proceeds to box  808  where it is determined if a key has been pressed, indicating that the user wishes to use the currently active account. If no key has been pressed in box  808 , the box continues to display the active account in box  804  and awaits a time-out in box  806 . If the device detects a key press, it checks in box  810  to see if soft key  109  has been pressed. If soft key  109  has been pressed in box  810  control proceeds to the top level of the onboard application  900  shown in  FIG. 9  at box  814 , The onboard application  900  provides access to various functions of the device. If it is not soft key  109  that has been pressed as determined in box  810 , control proceeds to a menu where a different active account may be selected in box  812 . Once the active account is selected the control returns to box  804  where the active account is again displayed as described above awaiting its use in box  808  or a time-out in box  806 .  
         [0050]      FIG. 9  shows the top level of the on-board software application  900  shown in  FIG. 4 . The top level menu of application  900  allows users to select from several functions. In box  902  the user is able to activate the NFC circuitry to download content into the device or from the device to the PC or other near field communications devices. For example, the NFC content download  902  can be used to move data regarding new accounts from the PC to the device  100 , in addition data regarding account usage can be downloaded from device  100  to the PC application, such as number of times the account has been used, the amount charged to various accounts, etc. In addition the NFC feature of the device may be used to communicate with POS terminals for other purposes, such as downloading coupons from advertising kiosks, uploading coupons to POS terminals, downloading electronic receipts from POS terminals, downloading product (such as electronic tickets), etc.  
         [0051]     In box  904 , camera  106  may be used to capture images, including images of barcodes from coupons or other advertising materials, such as posters. To capture the barcode the user takes a picture of the barcode from wherever it is displayed. The barcode is then interpreted in box  905  by software which acts similar to optical character recognition software to interpret the contents of the barcode into plain-text. The details of the coupon are then able to be displayed on LCD display  101 . In box  906  the coupon data is stored in on board memory  402  and will be uploaded to PC application  1002  when the device is connected thereto.  
         [0052]     The user may choose to review stored coupons box  910  to determine if they may be used or deleted. Similarly, in box  912 , user is able to review stored receipts which have been downloaded via the NFC circuitry to memory  402  of device  100 . These receipts may eventually be downloaded to PC Application  1002  for permanent storage and/or review and printing. Box  914  is reserved for future expansion of device  100 . Future expansion may occur via software updates which occurs via PC application  1002 .  
         [0053]     A functional diagram of PC application  1002  is shown in  FIG. 10 . PC application  1002  preferably runs on the computer to which device  100  is connected via a cable or via base  200 . Preferably, the computer on which PC application  1002  executes will have a connection to the internet for the downloading of account information from account issuers and the downloading of other content. Thus, PC application  1002  can be of any conventional design for an application of this type as long as the essential functions as laid out in  FIG. 10  are provided.  
         [0054]     PC application  1002  allows account records to be maintained in box  1004 . This includes defining new account records in  1005 , modifying existing account records in  1006  and deleting existing account records in  1007 . Defining new account records includes the downloading of account information from account issuers in the form of the structured data files, preferably in an XML structure and delivered over any secure HTTPS connection. However, any structure useful in delivering the data from the account issuer to the PC is acceptable. The account information downloaded from the account issuer to the PC may include advertising material or graphics which are to be displayed on the LCD display  101  when the account is activated.  
         [0055]     In box  1008 , PC application  1002  synchronizes the account data stored thereon and any other content with device  100 . PC application  1002  and the storage devices on the PC act as a backup to the information stored on device  100  and will retain historical records retrieved from the device as well as synchronizing all account record data between the device and PC application  1002 . An additional level of protection for account data will be managed during the synchronization process. All new account records moved to the device will undergo an encryption process unique to device  100 . The encryption process will be conducted by functionality on the device and the newly encrypted account data will be moved back to PC application  1002  to be stored, thereby overwriting the un-encrypted version of the account data This will ensure that the account data created will only function on a single device  100  and no other similar device.  
         [0056]     PC application  1002  is also capable of acting as a payment agent for purchases made online, with base  200  acting as the POS and able to use NFC to complete the transaction from device  100 . Additionally, if base  200  is not present, then payment can be made directly through the PC from the device using the cable connection or the integrated Bluetooth communications capability. To make an internet payment, device  100  is activated and the appropriate account is selected. When the device  100  is brought into proximity with base  200 , or connected to PC application via a physical cable or wireless connection, the account information from device  100  is read and the relevant fields on the webpage are populated to render payment for the online purchase.  
         [0057]     PC application  1002  also aids in the management of receipt records by selecting menu item  1012 . Receipt records can be downloaded from the device during the synchronization process  1009  and records of the receipts are kept for local storage by the PC application  1002 . In box  1013 , receipts can be exported as image documents in any well know image formats, such as, for example, JPEG, TIFF, PDF or as a text file. Additionally, records of multiple receipts may be exported in a format suitable for reading by a spreadsheet program such as EXCEL. In box  1014  records may be purged from the local storage when they are no longer needed.  
         [0058]     Menu item  1016  enables the coupon management feature of PC application  1002 . In box  1018  coupons that the user no longer wants to retain can be purged or, alternatively, coupons which have reached their expiration dates may be purged automatically. In addition, it is possible to download coupons from the internet through PC application  1002  and then send these coupons to the device during synchronization process  1009 .  
         [0059]     Menu item  1020  enables various configuration options for PC application  1002 , such as the method used by the base to communicate with the PC, the format of the user interface for PC application  1002  and a variety of other items.  
         [0060]     In operation, as shown in  FIG. 11 , device  100  can be used for transactions utilized with POS terminals utilizing a magnetic stripe. After the user successfully activates the device, the account record data is used to encode the magnetic stripe emulator on the device. The magnetic stripe emulator can then be swiped through a magnetic stripe reader commonly found at POS terminals. This provides the necessary information to complete the transaction in a manner that works with existing equipment. Existing contactless POS terminals interfaces would also support the device as the means to communicate the required transactional data by utilizing the NFC compatibility mode to emulate a contactless smartcard. Therefore, a POS terminal which is able to accept a smartcard will be able to enter into a transaction using the device&#39;s NFC capability. This allows for information flow only from device  10  to the POS terminal.  
         [0061]      FIG. 12  shows a transaction between a device and an NFC enabled POS device. Here, an interactive session is supported in which the NFC circuitry on the device is able to establish a two-way communication with the NFC-enabled POS terminal to exchange key information regarding the transaction, such as the selected account information, any applicable coupons or special offers, etc. In addition, information is able to be downloaded to device  100  from the POS terminal, such as electronic receipt data, information regarding loyalty points, key points for future purchases, advertising content and messages directed to the users. This capability is not present in the transaction shown in  FIG. 11  because there is no channel for data to flow from the POS terminal device back to device  100  via magnetic stripe or smartcard interface.  
         [0062]     While it is contemplated that the device contains a portion compliant with ISO standards 7810, 7811, 7812 and 7813 for magnetic stripe cards, it is also contemplated that alternative embodiments will not have the magnetic stripe portion and may only communicate with other devices which utilize smartcard technology or which are NFC-enabled.  
         [0063]     Note that the embodiment shown is provided as an exemplar only and the invention is not meant to be limited thereby. For example, actual physical configuration of device  100  may change depending on the needs of the applications which are run thereon. For example, certain applications may require larger or smaller display  101  or certain embodiments in the invention may include, for example, speakers and/or microphones. Likewise, the layout of the interface controls  102  and keypad  103  may be of any configuration that is convenient for the user. Biometric sensor  1105  may be located in any convenient place on or within the housing of device  100 . Likewise, the system architecture shown in  FIG. 4  is only one possible embodiment. The system architecture may be configured in any manner which provides the functionality necessary for the emulation of magnetic stripes, smartcards and NFC in the manner described herein.