Patent ID: 7069251

Claim:
A system for distributing and activating a Radio Frequency Identification (RFID) Transponder at a point of purchase, the system comprising: an RFID Transponder Dispenser/Authorizer (RTDA) apparatus having a storage for a plurality of Transponders, the plurality of Transponders in the storage, each Transponder having a unique ID code, at least one electronic data reader, and network access to a processor system; and an RTDA application having customer data verification, electronic data and account data verification across the network at the processor, an interface to the RTDA apparatus to control dispensing of Transponders, and receiving an account verification code and an activation, confirmation code from the processor; whereby the RTDA reads customer electronic account data, verifies same and verifies the account is valid, dispenses a Transponder to a customer, reads the is Transponder ID code, and associates the Transponder ID code with the customer's electronic account data in a unique customer record in an RFID database, and receives an account activation confirmation code and displays confirmation of activation to the customer.