Patent ID: 7347361

Claim:
A system for validating a financial transaction between a merchant and a customer comprising: a personal computing device, said personal computing device comprising a code generating algorithm, said code generating algorithm generating an encrypted verification code based on a transaction amount for said financial transaction, and said encrypted verification code further based on a customer identity number verifying the identity of said customer; said encrypted verification code generated using code generating parameters known to a transaction center, said encrypted verification code transmitted to said transaction center along with a customer account number and said transaction amount; said transaction center comprising: a computer, said computer comprising: a database, said database comprising a plurality of accounts and associated code generating parameters unique to each account of said plurality of accounts relative to the code generating parameters for another account of said plurality of accounts, said code generating parameters protected from disclosure to said merchant, said plurality of accounts including a customer account designated by said customer account number; and a validation algorithm, said validation algorithm utilizing said code generating parameters associated with said customer account together with said encrypted verification code to validate said customer identity number and said transaction amount for said financial transaction.