Patent ID: 8556170

Claim:
A method for authorization of usage of a payment device at a merchant, said payment device having an associated account number and being issued by an issuer coupled to a payment processing network, said method comprising the steps of: facilitating obtaining said account number in connection with a putative transaction with a terminal of said merchant; facilitating determining whether said account number is on file in association with an active file manager apparatus, said active file manager apparatus being intermediate said terminal and said payment processing network; responsive to said determining step indicating that said account number is not on file in association with said active file manager apparatus: facilitating said issuer obtaining an authorization message, through said payment processing network, for said account number; facilitating obtaining an issuer authorization decision; approving said putative transaction, with said active file manager, without use of said issuer authorization decision; responsive to said issuer authorization decision, facilitating setting a spending limit for said account number; facilitating conducting subsequent putative transactions for said account number; facilitating determining that a parameter associated with said account number is reaching a predetermined relationship with said spending limit; and responsive to said determining that said parameter is reaching said predetermined relationship, facilitating obtaining a new issuer authorization decision to adjust a spendable balance associated with said account number.