Abstract:
An integrated rewards card includes a credit card number associated with a credit account of a person, persons, entity or a business. The integrated rewards card also includes a debit card number. The debit card number is different then the credit card number. Purchases using the credit card number cause a reward balance on a reward account associated with the debit card number to be increased. Products or services can be purchased with the reward account using a point of sale device for the credit card number.

Description:
FIELD OF THE INVENTION 
     The present application relates generally to payment systems, cards and methods. More particularly, the present application relates to payment systems that use reward accounts, payment methods that use reward accounts and/or payment cards that use reward accounts. 
     BACKGROUND OF THE INVENTION 
     Payment systems typically utilize a payment card (e.g., a conventional credit and debit card). A payment card is generally a piece of plastic material bearing financial information (e.g., credit and debit card numbers) that can be processed to pay for goods or services. Types of payment cards include a credit or debit card, such as those utilizing Visa®, Mastercard®, and American Express® networks. The payment card is issued by a card issuer (e.g., a bank) to a cardholder (e.g., a customer) who uses the card to purchase goods and services. 
     According to U.S. Patent Application Publication No. 2005/0077350, combination credit/debit cards were developed in the 1990s. To purchase goods or services, a cardholder clerk swipes or otherwise processes the credit/debit card through a point of sale (POS) device (e.g., card reader). The POS device communicates with an open network such as a VISA network. 
     Financial information obtained from the process is transmitted through the open network and causes a charge to appear either on a credit account or a bank account to pay for the purchased product. Given the pervasiveness of charge cards, credit cards, debit cards, credit/debit cards, and other payment cards, the financial transaction interchange to which charge cards, credit cards, debit cards and credit/debit cards belong can be considered an open network. 
     U.S. Patent Application Publication No. 2004/0238622 describes that the payment card issuer prefers that the cardholders predominantly use the issuer&#39;s payment card (e.g., a credit card) in order to generate the largest amount of fees and revenue. Therefore, the credit card issuer often offers incentives to cardholders who use the issuer&#39;s card. The incentives or rewards are accumulated in an account when the cardholder uses the card. The use of incentives benefits the card issuer because the opportunity for the credit card issuer to generate fees and revenue comes with credit card usage. For example, the incentive may be a certain amount of frequent flyer miles, cash, credit towards purchases, points, gifts, etc. These incentives are vigorously promoted by banks and/or card issuing organizations. 
     Credit and debit cards are being issued by banks and financial institutions in association with other commercial companies or businesses which themselves offer goods and/or services. This phenomena, known as co-branding, provides a credit and/or debit card that often carries a name of the commercial company along with the issuer&#39;s name. The commercial company often provides the credit or debit card holder certain benefits which are typically related to the goods or services provided by that commercial company. An example of a co-branded payment card is the General Motors® credit card (Mastercard or Visa) which offers credit card holders 5% of earnings on card purchases toward the purchase or lease of a new General Motors vehicle. The 5% of earnings are accumulated in a rewards account. 
     Heretofore, payment card rewards have required that the cardholder obtain a payment coupon or certificate once a particular number of reward points were accumulated. Alternatively, other reward programs have required that cardholder call, write and/or otherwise request a certificate or coupon for purchasing a particular product. For example, frequent flyer award programs associated with the credit cards require the cardholder to call the airline and provide a frequent flier number to obtain a ticket based upon frequent flier miles. Other payment card reward systems require that the card holder provides card number information to a web-based redemption site for goods and services in exchange for reward points. 
     Using coupons, vouchers, gift cards and the like are inconvenient because they require that the customer carry yet another card or papers. Additionally, gift cards, vouchers and coupons require that new codes and account numbers be generated for the transaction. Further, the redeeming store or dealer is inconvenienced by the use of coupons, vouchers, and gift cards because a separate redemption process (separate from the credit card process) is required to authorize the transaction. The separate process requires additional in-store training and separate reimbursement procedures. 
     U.S. Patent Application Publication No. 2005/0077350 provides a system in which rewards or award points can be redeemed using an automated system. U.S. Publication No. 20051/0077350 discloses a closed network for redeeming award points. However, a closed network requires an additional cost and training for providers of the services. 
     Thus, there is a need for a payment card system that facilitates easy access to redeeming rewards at participating stores, dealers, outlets or service providers. Further, there is a need for a credit card or debit card system that includes a debit card number (or an additional debit card number) that is operable on existing networks for redeeming reward balances. Yet further, there is a need for an open network for redeeming reward balances. Yet further still, there is a need for a payment card optimized for easy redemption of rewards from the merchant&#39;s, card issuer&#39;s and/or card user&#39;s perspective. 
     SUMMARY OF THE INVENTION 
     An exemplary embodiment relates to a financial system including an integrated credit/debit reward card including a payment card number associated with a payment account and a debit card number. The debit card number is different than the payment card number and is associated with a debit account. Purchases using the payment card increase the debit account based upon a reward scheme. The financial system also includes point of sale equipment for processing the payment card number and the debit card number. The payment card number and the debit card number are processed utilizing the same network. 
     Another embodiment relates to a method of procurement using a payment card. The payment card has a debit card number associated with a first account. The payment card also includes a second number associated with a second account. Use of the second number to purchase goods or services may result in an accumulation in the first account. The method includes providing the payment card to a merchant, determining whether to use the first number or the second number to at least partially purchase a good or a service, and using a point of sale device to process the debit card number. The point of sale device is capable of processing the second number for purchases of goods or services. The method also includes consummating a transaction upon receiving verification. 
     Still another exemplary embodiment relates to an integrated rewards card. The integrated rewards card includes a payment card number associated with a payment account of a person, persons, an entity or a business. The integrated rewards card also includes a debit card number. The debit card number is different than the payment card number. Purchases using the payment card number cause a reward balance on a reward account associated with a debit card number to be increased. Products or services can be purchased with the reward account using a POS device for the payment card number. 
    
    
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
       Exemplary embodiments of the present invention are described below with reference to the accompanying drawings, where in like numbers denote like elements and: 
         FIG. 1  is a general block diagram depicting a financial system in accordance with an exemplary embodiment. 
         FIG. 2  is a top view drawing of a payment card for use in the financial system illustrated in  FIG. 1 . 
         FIG. 3  is a bottom view drawing of the payment card illustrated in  FIG. 2 . 
         FIG. 4  is a flow diagram depicting an exemplary operation for record redemption in the financial system of  FIG. 1 . 
         FIG. 5  is a flow diagram depicting an exemplary operation for a customer applying for and being issued an Integrated Reward Card to be processed in the financial system of  FIG. 1 . 
         FIG. 6  is a flow diagram depicting an exemplary operation a customer using an Integrated Reward Card in the financial system of  FIG. 1 . 
     
    
    
     DETAILED DESCRIPTION OF EXEMPLARY EMBODIMENTS 
       FIG. 1  illustrates a financial information system  10  which is configured for procuring goods and services using a reward-type payment card infrastructure. Financial system  10  generally includes an integrated payment card  15 , a point of sale device  25 , a network  55 , a debit account  35  and a payment account  45 . Device  25  is preferably coupled to debit account  35  and payment account  45  through network  55 . Although shown with two communication lines in  FIG. 1 , system  10  can utilize any communication system for accessing account  35  and  45 . 
     Network  55  is preferably an open network for processing payment card transactions, such as credit and debit card transactions. Network  55  can involve a number of wide area networks (WANs), local area networks (LANs), servers, routers and other communication and computing components. Network  55  provides the infrastructure necessary for communication between device  25  and accounts  35  and  45 . 
     Point of sale device  25  can be any type of device for processing payment card transactions (e.g., credit card and/or of debit card transactions). In one embodiment, point of sale device  25  can be a card reader device. Device  25  can include a key pad for entering information (e.g., numbers) on card  15 . An exemplary device  25  is a T7P type POS device manufactured by Hypercom. 
     An exemplary payment card  15  is described with respect to  FIGS. 2-3 . Financial operations associated with such a card are described below with reference to  FIGS. 4-6 . The term payment card as used below refers to a card used for making purchases (e.g., a credit or debit card). Payment Card  15  can have any shape or size depending on design criteria and can be fabricated from any material without departing from the scope of the invention. 
     Financial system  10  can be implemented as a software application written in any language or technology (e.g., Cobol, JAVA, J2EE, or .Net) and supported on secured servers or other hardware. Network  55  can include a myriad of financial processing tools including security software, communication software, etc. Accounts  35  and  45  are preferably located in computing equipment (e.g., servers, networks, mainframes, etc.) operated or controlled by the card issuer. The card issuer&#39;s computing equipment communicates with the vendor and/or device  25  through network  55 . 
     System  10  advantageously utilizes integrated payment and reward cards  15 . Preferably, card  15  is embodied as a Visa or Mastercard credit card or debit card including novel debit card functionality against a reward balance. Card  15  is preferably configured to nearly seamlessly allow transactions based upon either of accounts  35  and  45 . 
     Card  15  preferably includes indicia of the credit card number (for account  45 ) as well as at least partial indicia of the debit card number (for account  35 ). In one embodiment, card  15  includes a credit card number embossed on the front of card  15  and a debit card number printed on the back of card  15  in a non-embossed fashion, such as by spray printing. Preferably, the debit card number printed on the back of card  15  does not include the first four digits of the debit card number for security purposes. The first four digits can be the bank identification number (BIN) or a portion thereof. 
     The credit card number corresponds to the payment account  45  and the debit card number corresponds to the debit account  35 . Use of the payment account  45  for purchasing goods or services results in accumulation in debit account  35  (e.g., a reward account, award account, etc.). According to a rewards scheme, additional points can be rewarded upon other bases, such as purchases from particular merchants. Debit account  35  can hold points, monetary value, or other indicia of rewards. In addition, cash, certificates or other financial instruments can be placed and accounted in debit account  35 . 
     Debit account  35  preferably has a 16-digit debit account number. The debit account number can have a conventional VISA or Mastercard format. Similarly, payment account  45  has a 16-digit payment account number. The payment account number also can have a conventional VISA or Mastercard format. Preferably, at least the first four digits of the credit and debit account number refer to a bank identification number (BIN). 
     As discussed above, the bank identification number for debit account  35  is preferably not printed on payment card  15 . However, the first four digits of debit account  35  and payment account  45  are the same. A merchant or store handling a redemption from debit account  35  can utilize the first four digits from the credit card number with the remaining numbers printed on the back of card  15  to complete the number for debit account  35 . Preferably, card  15  has the same expiration date for debit account  35  and payment account  45 . 
     By printing the debit account number for debit account  35  on the back of card  15 , the bank is able to obscure the fact that payment card  15  includes an active debit card number. Card  15  can also include payment account number for account  45  and the debit account number for debit account  35  encoded on a single magnetic strip or on separate magnetic strips. 
     In addition, other account numbers can be added to card  15 . According to an alternative embodiment, card  15  can have the entire debit card account number for account  35  printed or embossed on card  15 . 
     In operation, system  10  advantageously eases redemption from debit account  35  for both a dealer and customer. Payment card  15  allows the customer to carry a single card for both accounts  35  and  45  and allows the dealer to process the account through the same network  55  and point of sale device  25  to reach either debit account  35  or payment account  45 . 
     The dealer advantageously can be reimbursed via the same settlement processes utilized for a conventional credit card account, according to one embodiment. According to another embodiment, store personnel can advantageously utilize the same type of point of sale device  25  as it would for an ordinary credit card. In addition, separate settlement procedures are not required for the dealer as settlement can be advantageously combined with other card activity. 
     Financial system  10  also provides significant advantages with respect to security by allowing authorization restrictions on debit account  35 . For example, debit account  35  can have authorization restrictions so that purchases from only specifically identified dealers or groups of dealers are allowed. All other transactions can be declined through network  55  and/or the bank. In one embodiment, card  15  is configured so that no authorization stand-in approvals is allowed. 
     Financial system  10  leverages already existing infrastructure through network  55  and private label functionality so that no new networks or connections are required at participating redemption dealers. System  10  can also be configured to include additional accounts provided on same integrated rewards card  15 . In a preferred embodiment, system  10  is utilized in a co-branding fashion in which debit account  35  is meant to be redeemed at particular stores or with a particular product line. 
     With reference to  FIGS. 2 and 3 , a front side  28  of card  15  includes a payment card number (e.g., credit card number)  100 . As shown in  FIG. 2 , number  100  is preferably a 16-digit number with at least the first four digits being the bank identification number. Preferably, number  100  is embossed on the front of the card and the first four digits are also printed on the front of the card at a location  102 . Face  28  can also include various indicia of co-branding, such as a dealer&#39;s trademark or other indication of the link to a particular type of reward account. 
     In  FIG. 3 , a back  200  of card  15  includes a debit card number  205  corresponding to account  35 . Debit account number  205  preferably includes only 12 digits. Number  205  preferably does not include a bank identification number. The bank identification number as printed in number  100  or at place  102 . The bank identification number can be utilized to complete the debit card number. 
     The placement of numbers  100 ,  205  and other indicia is not shown in a limiting fashion. Further, the various other indicia shown in  FIGS. 2 and 3  is exemplary only and not shown in a limiting fashion. 
     Back  200  can include a magnetic strip  208  for including one or both of numbers  100  and  205 . In operation, a customer redeems a reward balance from debit account  35  by presenting card  15  to a clerk or merchant and indicating that the customer wants to pay for goods or services with their reward points. The clerk can key enter number  205  into point of sale device  25  or utilize a card swiping process. Alternatively, chip technology in place of magnetic strip technology can be utilized. 
     After the clerk key enters the debit card number  205  and the transaction amount into point of sale device  25 , network  55  is utilized to route the authorization to the issuer of integrated payment and rewards card  15 . Preferably, network  55  is the same network used to route authorization for the user of payment account  45 . In a preferred embodiment, network  55  is a Visa or Mastercard network that routes authorization to the issuer such as a bank or a partner of a bank, or other institution. Authorization is preferably performed in the same fashion as other credit and debit card authorizations. 
     When the authorization request is received by the issuer, special authorization rules are preferably implemented in software. The software recognizes that the request is using account number  205  as a special reward redemption authorization. The software confirms that the transaction is occurring at the appropriate merchant via merchant category code (MCC), merchant name, specific terminal, or other ID field information. The transaction amount is compared to the available reward balance in debit account  35  and approve/decline decision is returned to the clerk. 
     Settlement for the merchant occurs with all other debit or credit card transactions that participating merchant store has done during the day. As point of sale device  25  is settled and closed, the reward transaction is included. Settlement occurs as part of the acquiring functionality and settlement with the cardholder occurs as the transaction posts. 
     With reference to  FIG. 4 , flow diagram  500  provides an automated rewards redemption for a dealer co-sponsored credit or debit card. However, flow diagram  500  and system  10  can be utilized in a non co-branding situation. In diagram  500 , a customer or cardholder  502  enters a dealer  504  and requests a redemption from debit account  35 . 
     A clerk at dealer  504  either through voice authorization on telephone  37  or point of sale device  25  enters number  205  from card  15 . The clerk includes the missing four digits for a complete account number for debit account  35  which is received at merchant processor  506 . The request includes the transaction amount and can also identify the goods or services being purchased. 
     Merchant processor  506  provides the request through Visa network  508  to a mainframe  510 . Mainframe  510  is preferably controlled by the card issuer. Mainframe  510  recognizes number  205  as a special number associated with debit account  35  and authorizes the transaction based upon reward points as opposed to credit lines or other balances cardholder has at the institution associated with a computing platform C (e.g., mainframe  510 ). 
     In addition, mainframe  510  can check the expiration date of card  15 . Mainframe  510  also tracks the transaction amount. Mainframe  510  can further verify the merchant code, the merchant and the product type to ensure that these factors meet the redemption rules for account  35 . 
     Once the transaction is authorized, award points from debit account  35  are decremented by mainframe  510 . Mainframe  510  can be coupled to a mainframe  520  associated with dealer  504 . Mainframe  510  can provide reports to mainframe  520 . Mainframe  510  can transact with other financial institutions associated with dealer  504 . 
     The customer can also choose to utilize its ordinary credit card number  100  for the transaction. For such a transaction, the clerk runs the process through network  508  to mainframe  510 . Mainframe  510  recognizes number  100  as an ordinary credit card transaction or debit card transaction and process the transaction accordingly. Reward points are accumulated in account  35  for purchases made through account  45 . 
     With reference to  FIG. 5 , a flow diagram  700  shows a process for providing a payment card  15  to a customer  701 . At a step  702 , underwriting begins. Step  702  can begin in response to an application by customer  701 , a web request, phone request, etc. At step  704 , an interface with posting process  706  is made. The posting process enables payment card  15  to be utilized according to flow diagram  500 . 
     At a step  708 , account  45  is tied to a particular credit/debit card number for account  45  and a debit account number for account  35 . The relationship between account  35  and  45  and rewards scheme is also recorded. 
     At a step  710 , the credit card is booked to a master file of credit cards for the credit card issuer (e.g., bank). At a step  712 , account  35  is booked in a master file of debit cards for the card issuer (e.g., bank). At a step  714 , the plastic credit card is produced as payment card  15 . 
     At a step  716 , maintenance associated with account  35  and  45  is performed (e.g., lost and stolen credit cards). Maintenance also includes maintaining accounts  35  and  45  in response to transactions and audit logs. 
     In  FIG. 6 , a flow diagram  800  generically shows the use of payment card  15 . A request comes from Visa, MasterCard, Discover or any credit card institution  802  to the credit card issuer&#39;s authorization system  804 . System  804  obtains a file  816  associated with payment card  15  and accounts  35  and  45 . File  816  contains information about account  45  and  35  and payment card  15 . Preferably communication between a credit card institution  802  and system  804  is a real time or near real time transaction. 
     System  804  communicates with a posting process system  806 . Posting process system  806  also receives daily settlement information from credit card institution  802 . System  806  communicates with a redemption system  808  which calculates reward balances are stored in file  818 . Authorization system  804  utilizes file  818  to determine if account  35  has enough points or other rewards for a purchase using account  35 . Daily settlement information is communicated between institution  802  and system  806 . 
     While several embodiments of the invention have been described, it is to be understood that modifications and changes will occur to those skilled in the art to which the invention pertains. For example, although the term “banking” is used to desire the financial system  10 , the system is not limited to operation by a bank or credit union. Any entity could provide the financial system  10 . System  10  can utilize co-branding in any field including but not limited to automobile manufacturers, airlines, clothing stores, restaurants, electronic stores, grocery stores, etc. Accordingly, the claims appended to this specification are intended to define the invention precisely.