An improved system is disclosed for detecting invalid transaction cards at remote transaction terminals. The system includes providing each terminal with a master table having data corresponding to invalid cards. The data in the master table is less than the actual account numbers of the invalid cards. By using a compressed version of the data, the file can be shortened to facilitate storage and transmission. The compressed data file is arranged such that when an invalid card is presented, it will be identified and routed on for further processing. In the preferred embodiment, the probability that a valid card will be identified as potentially invalid is on the order of one to three percent. During each transaction, the master table is supplemented with information about the account number of the transaction card presented for the purchase. In this manner, any subsequent use of the card will be routed for additional processing. A scheme for compensating for data transmission errors is used to reduce the possibility that information about invalid cards is not lost when the master file is distributed.
RELATED APPLICATION
This application is a continuation-in-part of prior U.S. application Ser. No. 07/000,596, filed Jan. 6, 1987 now U.S. Pat. No. 4,822,985.
The credit card information management system checks the creditability of a credit card intended to be used for purchase of goods or service by using the card information owned by member stores of credit companies. A host computer of the card management center outputs information regarding the validity or invalidity of a credit card of a customer member of a credit company as card information, a transmission facility wirelessly transmits digital data of the card information. A receiving facility of a member store receives radio signals of the card information and checks whether or not there is any missing of data. If any missing occurs, a transfer of the missed data is requested to the host computer. A terminal computer extracts only the card information necessary for one's own store from the data outputted by the host computer and data outputted in response to the transfer request and stores the same in memory, and the terminal computer outputs judgement of validity or invalidity of a credit card inputted into a card reader.
The invention relates to making use of a "black" list in a system where goods or services are provided in response to a memory card being presented. The complete "black" list is stored in the memory (46) of a computer center (40). The identification numbers of the cards are subdivided into a plurality of classes. The memory (28) of each local terminal (10) stores the ranks of classes having at least one identification number on the "black" list.
A transaction approval system (10) is disclosed which includes various enhancements to existing systems. For example, the transaction limit (30) stored in the terminal can by dynamically adjusted to vary the level of risk at the terminal to be closer to the desired level of risk. The terminal will also generate and store a list of account numbers (44,46) which might be invalid and should provode an on-line request for authorization.
A system and method for processing credit card transactions includes a data processor with memory storage capable of accessing an electronic clearing facility through a time rated (e.g., long distance) communication link. The system generates a real-time communication with the clearing facility to determine card validity and to initiate funds collection for transactions above a predetermined amount, and generates an off-line batch communication to the clearing facility at a time when communication rates are reduced to initiate funds collection for transactions in the system below the predetermined amount. The system relies upon local card validation, including memory storage of a previously validated card during a predetermined time period, as well as rejection of previously invalidated cards during another predetermined time period. The system and method is particularly useful for remote automated vending machines and automatic teller machines which typically handle a large volume of credit and debit transactions, each of which represents a small dollar amount.
An authorization matching system for a credit card transaction system assigns the same identification code to authorization and transaction records associated with a particular transaction. The records may be matched by matching the identification number in the records, even if other data in the records does not match.
