Patent Publication Number: US-2006005024-A1

Title: Dual-path pre-approval authentication method

Description:
The present invention refers to an authentication method between a user and a service and/or product provider (collectively referred to as service provider) using two separate communication paths or channels. The method facilitates the user to authenticate the provider and offers an added security measure for the provider to authenticate the user.  
     BACKGROUND OF THE INVENTION  
      Conventional authentication methods are strongly biased to the service providers, which allow the providers to validate their customers or users. However, the users are unable to tell whether they are dealing with a genuine or a fraudulent provider, and there is no easy or speedy way for the users to distinguish a genuine provider from a fraudulent one.  
      The purpose of user authentication is to distinguish a genuine user from unauthorized ones such that the service provider may allow the user to perform certain activities with it. What is lacking or deficient is the opposite. i.e. service provider authentication to enable the users to distinguish a genuine provider from fraudulent or fake ones.  
      Alternative authentication approaches, such as one-time password, personal assurance message and mobile phone short message notification, have evolved to alleviate this limitation. Such authentication means are now briefly reviewed.  
      One-Time Password  
      The user will be given a random password that the service provider has created before the user connects to the system of the provider. The user then signs on to the provider&#39;s system using the conventional user ID and password method, with the password being the given random number or character string. This approach assures the user that he/she is using the genuine system of the provider because only the genuine system has the proprietary knowledge of such a one-time password. A fraudulent system does not have access to the specific one-time password.  
      It also does not make sense to capture the password using a network intercept hacking method because the one-time password is only valid for one logon or transaction.  
      However, the one-time password is difficult and costly to administer. The provider has to find a way to distribute the one-time password safely to the user, for example, using a secure PIN envelope or an Interactive Voice  
      Response System (IVRS). The secure PIN envelope method is very costly to maintain. The IVRS method is less costly but it is subject to telephone network intercept hacking.  
      Both of these methods of distributing the one-time password create an extra usability burden to the user since one has to collect the password and correctly enter the random number or character string. The generation of the one-time password is by definition “random” and therefore correct entry thereof will be not easy. As a result, some one-time password schemes force the use of numeric digits only, whereby the level of security is compromised.  
      Personal Assurance Message  
      This method is advocated by Visa (registered trade mark) for its “Verified by Visa” program. The personal assurance message method requires the user to pre-register a “personal assurance message” with the service provider at the account setup time. Once the user enters the credit card number, the personal assurance message will be displayed and the user may then enter a password to authorize the transaction. This method assumes only the user has the proprietary knowledge of the “personal assurance message” and only the service provider that registered the user could display the correct message.  
      Mobile Phone Short Message (SMS) Notification  
      The SMS notification method requires the service provider to send a short message (SMS) to the user whenever a transaction is about to occur so that the user knows that he/she is dealing with the genuine system as only the genuine system has the telephone number of the user.  
      A further enhancement of the SMS notification method is to send a random number to the user before the approval of a transaction. The user may then enter the given random number to the transaction terminal so that the service provider can accept the transaction. This method likewise assumes that only the genuine provider knows the telephone number of the user and has the proprietary knowledge of the random number that is sent to the user.  
      The weakness of this method resides in the fact that there will be additional delays in system response as it takes time to transmit the short message. Furthermore, there is no guarantee that the short message may arrive safely and/or within a reasonably short time (say, a few seconds), especially if the user is at a poor mobile phone signal reception location.  
      The subject invention seeks to mitigate or at least alleviate the aforesaid problems and shortcomings by providing an improved authentication method.  
     SUMMARY OF THE INVENTION  
      According to the invention, there is provided an authentication method for use between a first party and a second party for performing a transaction, comprising the following steps: 
          (a) establishing a second communication path and sending by the first party of an approval code via the second communication path;     (b) receiving by the second party of the approval code;     (c) establishing a first communication path by the first party to the second party for performing authentication and then said transaction; and     (d) authenticating the first party by the second party via the first communication path using the received approval code before performing said transaction.        

      Preferably, the approval code includes an identification reference identifying the first party.  
      More preferably, the authentication method includes, before step (a), step (r) of registering the first party with the second party with registration particulars comprising the identification reference.  
      Further more preferably, the registration particulars include first party identifying means, and step (d) includes requiring by the second party the first party to implement the first party identifying means for authentication of the first party.  
      Yet further more preferably, the first party identifying means comprises a specific PIN, and step (d) comprises requiring by the second party the first party to provide the PIN for authentication.  
      It is preferred that the registration particulars include second party identifying means, and step (d) includes requiring by the first party the second party to implement the second party identifying means for authentication of the second party.  
      It is further preferred that the second party identifying means comprises a random element in the approval code in step (a), and step (d) comprises requiring by the first party the second party to provide the random element for authentication.  
      Preferably, step (a) includes composing by the first party a random element in the approval code for sending, and step (d) includes requiring by the first party the second party to provide the random element for authentication of the second party.  
      It is preferred that step (b) includes subsequently maintaining the approval code valid for a predetermined period of time, during which steps (c) and (d) should be taken.  
      It is preferred that step (r) includes specifying by the first party a threshold for monetary value to be involved in said transaction for skipping steps (a) to (d) if the transaction value is below the threshold.  
      In a preferred embodiment, the second party includes a storage system for receiving the approval code in step (b), and step (d) includes retrieving by the second party of the received approval code from the storage system for use in authenticating the first party.  
      More preferably, the authentication method includes, before step (a), setting up the storage system and designating the storage system by the second party for receiving the approval code in step (a).  
      In practice, the authentication method uses two separate communication paths, in that the first party (a user) sends an approval code to an approval code storage system acting for the second party (a service/product provider) using one communication path before conducting a transaction with the second party. The second party then retrieves the approval code from the storage system at a later time when the first party requests the transaction using the other communication path. 
    
    
     BRIEF DESCRIPTION OF DRAWINGS  
      The invention will now be more particularly described, by way of example only, with reference to the accompanying drawing, in which:  
       FIG. 1  is a schematic network diagram depicting a first communication path for conducting a transaction between a user using a workstation and a service provider and a second communication path for sending in advance an approval code from the user using a mobile phone to an Approval Code Storage System that is connected to the service provider, illustrating the performance of an embodiment of an authentication method in accordance with the invention;  
       FIG. 2  is a schematic flow diagram illustrating the sending of the approval code via the first communication path of  FIG. 1 ; and  
       FIG. 3  is a schematic flow diagram illustrating the conduction of the transaction via the second communication path of  FIG. 1 . 
    
    
     DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS  
      Referring initially to  FIG. 1  of the drawings, there is shown a general network arrangement for performing an authentication method embodying the invention, which offers an unprecedented approach in authentication between a user  100  and a service/product provider  200  (collectively referred to as service provider) using two separate communication channels or paths  10  and  20 . The authentication action is particularly but not exclusively mutual as so to maximize the level of security.  
      To facilitate implementation and management of the subject authentication method, the operator preferably sets up a dedicated approval code storage system  210  that is accessible, for example via the Internet, by each service provider  200  who participates in the authentication scheme. The storage system  210  is designated by and acts as an agency for the providers  200  to receive or collect approval codes from users  100 , as hereinafter described.  
      Users  100  who wish to or are required to participate in the authentication scheme should register themselves with the relevant service provider  200  before they can seek service/product therefrom or in general performing a transaction therewith. However, user registration may not be a prerequisite depending on the requirements of individual providers  200  and/or the nature of the transaction intended.  
      For registration, the user  100  is required to supply certain registration particulars which would include one or more user identification references for identifying him/herself, such as user ID, mobile phone number and/or e-mail address. For added security, a PIN (Personal Identification Number) should also be provided, which may be determined freely by the user  100 .  
      The registration should also cover certain aspects that should be agreed between the two parties  100  and  200  in advance, for example the format in which the approval code is to be provided by the user  100 , and whether or not a specific PIN and/or a random element is required in the approval code as identifying means for enhanced security. The user  100  may also specify a threshold for monetary value to be involved in transactions for skipping the authentication procedures if the transaction value is below the threshold. All these data and requirements are to be mapped to or associated with the account of the user  100  with the service provider  200 .  
      The Internet is adapted as the first communication path  10  for, inter alia, conducting an online transaction between the two parties  100  and  200 , with the user  100  using a workstation  110  for example and the service provider  200  represented by a online website for example.  
      The mobile phone network is chosen as the second communication path  20  for executing or more specifically initiating authentication, in which case the user  100  should have a mobile phone  120  in hand for communication with the storage system  210 .  
      In operation, the user  100  initially sends an approval (pre-approval) code to the storage system  210  in advance using his/her mobile phone  120  via the telephone network  20  to prepare for an intended online transaction with the service provider  200 . At a later time when the user  100  requests the transaction using the Internet  10 , the provider  200  should first retrieve the approval code from the storage system  210 .  
      According to the authentication protocol, the user  100  may embed a PIN into the approval code in a format as agreed with the service provider  200  such that the provider  200  can verify the PIN to authenticate the user  100  as an additional measure of security.  
      Alternatively or in addition, the user  100  may embed a random content component into the approval code in a format as agreed with the service provider  200  such that the provider  200  may echo the random content component back to the user  100  and display it on his/her workstation  110  thereby allowing the user  100  to authenticate the provider  200 , since only the genuine provider  200  can have access to the approval code or random content component from the storage system  210  as originally given by the user  100 .  
      The method facilitates the user  100  to authenticate the service provider  200  based on the echo of the value of the random content component of the approval code. It also offers an added security measure for the provider  200  to authenticate the user  100  based on the presence of the approval code retrieved with an associated user identification reference (e.g. a user. ID) as one factor and optionally an embedded PIN in the approval code as the second factor.  
      Given that the approval code will arrive before actual commencement of the transaction, there will be no additional delay for the service provider  200  to wait for the user  100  to enter the approval code during the transaction. Furthermore, since the approval code will arrive via a separate communication path with unknown arrival time before the transaction, it is more difficult to hack both of the communication paths  10  and  20  and to collect sufficient secret information to hack the authentication mechanism.  
      The essence of the subject authentication method lies partly in the utilization of two communication paths  10  and  20 , which are separate or distinct by nature or type inherently or by time of use or existence. The first path  10  is employed for processing a transaction between the user  100  and the service provider  200 , whereas the second path  20  is used for sending the user&#39;s approval code in advance.  
      The first communication path  10  may be an Internet connection, a telephone connection, a leased line connection, a mobile phone connection or other means for conducting the transaction and for echoing the random content component of the approval code from the service provider  200  to the user  100  if a random content component is supported in the approval code.  
      The second communication path  20  is a physically or logically separate path. Similarly it can be an Internet connection, a telephone connection, a leased line connection, a mobile phone connection or other means for transmitting the user&#39;s approval code to the service provider  200  via the storage system  210  designated thereby.  
      The second communication path  20  is conveniently provided by the public telephone network, with the approval code being issued using a mobile phone by means of a simple telephone call or a SMS message. Mobile phones are commonplace, and a call or message therefrom inherently and invariably includes a user identifier i.e. the phone number that is sufficient to identify the caller or sender for initiating the authentication procedures.  
      The authentication method has two phases of operation that are performed one after the other using the second and first communication paths  20  and  10  respectively, as illustrated in  FIGS. 2 and 3  of the drawings.  
      By using his/her mobile phone  120  in the first phase operation, the user  100  initially composes an approval code and sends it to the storage system  210  (Box Z) via the second communication path  20 , before conducting a transaction with the service provider  200  later using the first communication path  10  during the second phase operation. The transmission of the approval code needs not be in an encrypted form. The approval code may or may not have a pre-defined valid period or expiry time.  
      The approval code may or may not contain a PIN component (Box V) and/or a random content (any string) component (Box X), depending on the prior arrangement between the user  100  and the service provider  200 . If either one or both components are required, they should be entered (Box W or Y).  
      The transaction may be a logon request, a site identity verification request or any other type of transaction. The second phase operation follows. At a later time, by using his/her workstation  110 , the user  100  requests the transaction and identifies oneself via the first communication path  10  to the service provider  200  (Box B). The provider  200  will then retrieve the approval code from the storage system  210  according to the given or pre-registered user identification reference (Box C). If the approval code is not found (Box D), the provider  200  will reject the transaction (Box E).  
      If the approval code is found (Box D) and the service provider  200  does not require a PIN in the approval code (Box F), the provider  200  will consider that the approval code as a valid one and proceed to check for a random content component (Box I). On the other hand, if the provider  200  requires a PIN in the approval code (Box F), the provider  200  will verify the embedded PIN (Box G). If PIN verification fails, the provider  200  will reject the transaction (Box H).  
      In the case that a random content component is not required, the user  100  and the service provider  200  may proceed with the transaction (Box J). If the approval code includes a random content component (Box I), the service provider  200  will then return and display the value of that component on the user&#39;s workstation  110  (Box K). The user  100  then checks the displayed value (Box L) and may, if appropriate, proceed with the transaction with the provider  200  (Box J). The user  100  has the option to reject the transaction (Box M) if the displayed value does not match with what he/she has provided to the approval code storage system  210  at the outset. Upon rejection or completion of the transaction, the operation ends (Box N).  
      The subject authentication method assumes that only the user  100  has the proprietary knowledge of the specific approval code that he/she has constructed and sent to the service provider  200  before conducting the transaction. The method also assumes that the provider  200  can retrieve the user transmitted approval code from the storage system  210  according to the unique user identification reference known to the provider  200 , in that the user identification reference is given by the user  100  at the time of transaction or during initial user registration with the provider  200 .  
      If the user  100  has presented a PIN in the approval code, the method further assumes that the service provider  200  will verify the PIN and ignore the approval code should the PIN verification fail. If the user  100  has presented a random content component in the approval code, the method further assumes that the provider  200  will display the value of the random content component for the user  100  to check before proceeding with the transaction.  
      The approval code storage system  210  does not need to know the format of the approval, code, which is agreed between the user  100  and the service provider  200 .  
      Several scenarios are described below to illustrate practical implementation of the subject authentication method.  
      Scenario  1 —Logon Request  
      This is a situation where a service provider  200  allows a registered user  100  to verify the authenticity of the provider  200  before the user  100  submits a password to request logon.  
      Before making a logon request with the service provider  200  using the Internet, the user  100  enters an approval code and sends it to the approval code storage system  210  designated by the provider  200  using his/her mobile phone  120  and the short message system (SMS). The approval code contains a random content component chosen by the user  100 , who however has not requested the use of a PIN in the approval code with the provider  200 .  
      The approval code received by the storage system  210  will only be maintained valid for, say, fifteen minutes to avoid unnecessary exposure. During this period, the user  100  should carry out a logon request to the website of the service provider  200 , establishes a web session with the provider  200  and enters his/her user ID in the dialogue box of the established web session. The provider  200  then retrieves the approval code from the storage system  210  according to the pre-registered mobile phone number (i.e. user identification reference) mapped to the user ID.  
      The integrity of the established web session between the user  100  and the service provider  200  is preferably protected by end-to-end encryption between the user  100  and the web server, for example using the Secure Socket Layer (SSL) protocol.  
      If the approval code is not found, the service provider  200  will abort the logon request and close the web session with the user  100 . If the approval code is found, the provider  200  will consider it as a valid one. The provider  200  will then extract the random content component from the approval code and display it onto the web session for viewing by the user  100  and request the user  100  to enter the password to complete the logon request.  
      The user  100  has the option to cancel the logon request if the echoed random content component of the approval code does not match with what the user  100  has provided earlier to the storage system  210 . If the echoed component is correct, the user  100  may consider the online site of the provider  200  as genuine and then enter the password so that the provider  200  can proceed to perform the normal “user ID and password” verification process.  
      Scenario  2 —Site Identity Verification Request  
      This is a situation where a service provider  200  allows any non-registered user  100  to verify the authenticity of its own online site.  
      Prior to conducting a site identity verification request with the service provider  200  using the Internet, the user  100  enters an approval code and sends it to the approval code storage system  210  designated by the provider  200  using his/her mobile phone  120  and the short message system (SMS). The approval code contains a random content component given by the user  100 . The user  100  does not request the use of PIN in the approval code with the provider  200 .  
      The approval code at the storage system  210  will be valid for fifteen minutes. While the code is valid, the user  100  carries out a site identity verification request to the website of the service provider  200 , establishes a web session with the provider  200  and enters his/her mobile phone number in the dialogue box of the established web session. The provider  200  then retrieves the approval code from the storage system  210  according to the given mobile phone number.  
      The integrity of the established web session between the user  100  and the service provider  200  is preferably protected by end-to-end encryption between the user  100  and the web server, such as the Secure Socket Layer (SSL) protocol.  
      If the approval code is not found, the service provider  200  will abort the site identity verification request and close the web session with the user  100 . If the approval code is found, the provider  200  will consider it valid and then extract the random content component from the approval code and display it onto the web session for viewing by the user  100 .  
      The user  100  has the option to close the web session if the echoed random content component of the approval code does not match with what he/she has provided earlier to the storage system  210 , otherwise the user  100  may consider the provider&#39;s online site as genuine and proceed to browse it.  
      Scenario  3 —Credit Card Fraud Protection  
      For a credit card employing the subject authentication method, it is temporarily suspended from service until the user  100  sends an approval code before conducting a credit card transaction.  
      Some implementations may skip the authentication method for low monetary value credit card transactions, as is deemed unnecessary on balance. In this case, the credit card is usable for such low value transactions but it will be suspended from transactions of monetary value higher than a threshold value specified by the user  100 , for example during the initial user registration procedures, until the user  100  sends the approval code in advance.  
      The credit card authorization network, typically using dial up lines and/or leased circuits, is taken as the first communication path  10  for conducting transactions. The mobile phone network is considered as the second communication path  20  for transmitting the approval code.  
      Before conducting a credit card transaction, the user  100  enters an approval code and sends it to the storage system  210  designated by the credit card issuing bank using his/her mobile phone and the short message system (SMS). The approval code contains a PIN given by the user  100 .  
      The approval code at the storage system  210  will expire in fifteen minutes. Before the expiry, the user  100  should carry out a credit card transaction with either a physical sales point or an online sales channel. Upon receiving the credit card transaction authorization request, the bank will retrieve the approval code from the storage system  210  according to the pre-registered mobile phone number mapped to the credit card number of the cardholder.  
      If the approval code is not found, the bank will reject the credit card transaction. If the approval code is found, the bank will verify the embedded PIN in the approval code. Upon successful PIN verification, the bank will perform the credit card transaction authorization process otherwise it will reject the transaction.  
      Scenario  4 —ATM Card Fraud Protection  
      For an Automatic Teller Machine (ATM) card that uses the subject authentication method, it is temporarily suspended from service until the user  100  sends an approval code before conducting the ATM card transaction.  
      Some implementations may skip authentication for low monetary value ATM card transactions for convenience. In this case, the ATM card is usable for low value transactions but suspended from transactions with monetary value higher than a pre-defined threshold value until the user  100  sends the approval code in advance.  
      The ATM card authorization network, which is typically a private network, is the first communication path  10  for conducting the transaction. The mobile phone network is the second communication path  20  for collecting the approval code.  
      Prior to an ATM card transaction, the user  100  enters an approval code and sends it to the storage system  210  designated by the ATM card issuing bank using his/her mobile phone and the short message system (SMS). The approval code contains a PIN given by the user  100 . This approval code PIN is unrelated to or distinct from the ATM PIN.  
      The approval code at the storage system  210  will expire in fifteen minutes. Before the expiry, the user  100  should carry out an ATM card transaction by inserting the ATM card into an ATM machine and entering the ATM PIN. Upon receiving the ATM card transaction authorization request, the bank will retrieve the approval code from the storage system  210  according to the pre-registered mobile phone number mapped to the ATM card number of the cardholder.  
      If the approval code is not found, the bank will reject the ATM card transaction, otherwise the bank will verify the embedded PIN in the approval code. Upon successful PIN verification, the bank will perform the ATM card transaction authorization process otherwise the bank will reject it.  
      The invention has been given by way of example only, and various other modifications and/or variations to the described embodiments may be made by persons skilled in the art without departing from the scope of the invention as specified in the accompanying claims.