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`Express Mail Label No.1 EV307785964US
`Date of Deposit: February 2] , 2006
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`-1-
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`METHOD AND APPARATUS FOR EMULATING A MAGNETIC STRIPE
`READABLE CARD
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`1.
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`Field of Invention
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`BACKGROUND OF INVENTION
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`The invention relates generally to systems and methods for obtaining
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`information from andlor transmitting information to a user device and, in particular, to
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`systems, methods, and apparatus that provide for contactless information
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`transmission.
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`2.
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`Backgmund
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`Today, both commercial (e.g., banking networks) and non-commercial (e.g.,
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`security systems) information systems often rely on magnetic card readers to collect
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`information specific to a user (e.g., a security code, a credit card number, etc.) from a
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`user device (e.g., a transaction card). Credit card purchases made in person provide
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`an example of the most common transaction~type that relies on a user device, the
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`credit or debit card, which is read by a magnetic card reader. User devices that rely
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`on magnetic—stripe based technology magnetically store information (e.g., binary
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`information) in the magnetic stripe. The magnetic stripe reader provides an interface
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`to a larger computerized network that receives the user’s information to determine, for
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`example, whether to authorize a transaction, to allow the user access to a secure area,
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`etc.
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`Recently, such devices have seen technological advances that increase their
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`capabilities and improve their security. For example, such devices may now include
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`embedded processors, integral biometric sensors that sense one or more biometric
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`feature (e.g., a fingerprint) ofthe user, and magnetic stripe emulators. As one result,
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`today’s user devices may provide greater security by dynamically generating the
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`necessary information, for example, generating the credit card number at the time ofa
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`transaction. Improved security can also be provided by such devices because more
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`sophisticated authentication schemes can be implemented with the devices.
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`In addition, user devices such as transaction cards may now also provide for
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`one or more modes of information transmission other than transmission via a
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`magnetic stripelcard reader combination. For example, user devices that may transmit
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`information optically or via radio frequency (“RF”) signal transmission to a
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`compatible system interface are now available. Further, the architecture of a user
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`device that includes a processor is generally compatible with both the improved
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`security features described above and the contactless transmission modes such as
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`optical and RF signal transmission. As a result of the improved security and greater
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`functionality of some current user devices, there is a desire to replace magnetic-stripe
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`based user devices with devices that include forms of information transmission other
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`than the reading ofa magnetic-stripe.
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`There is, however, a substantial installed base of interfaces (for example, at
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`points of sale, at automatic teller machines (“ATM”), and the like) that include
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`magnetic card readers which are not equipped to receive information from a user
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`device in any other format other than from a magnetic stripe. As a result of the cost to
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`replace or retrofit the installed base, efforts to more-widely introduce user devices that
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`do not employ magnetic stripe devices have not been developed. Because ofthe
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`potential to substantially reduce fraud, however, the further implementation of such
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`devices is of great interest to financial institutions among others. RF devices that
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`transmit information wirelessly are expected to become much more prevalent and at
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`some point, the predominant form of information transmission for user authentication
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`based on a hand-held device, for example, credit card, debit card, drivers license,
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`passport, social security card, personal identification, etc- Thus, new and improved
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`methods for transitioning from a purely magnetic based form of communication to a
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`wireless form of communication are desired.
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`One current approach that is intended to “transform” a smart card for use with
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`a magnetic stripe card reader employs a “bridge” device. The bridge device requires
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`that the smart card be inserted within it. The bridge device includes a slot for
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`receiving the smart card, a key pad whereby the user may enter information (e.g., a
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`PI?»I number), and a credit card sized extension member. Operation of the bridge
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`device requires that the smart card be inserted within it and that an electrical contact
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`surface of the smart card engage a similar surface within the bridge device before the
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`bridge device (i.e., the extension member) can be used with a magnetic card reader.
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`Thus, the contactless nature of more advanced information transmission systems is
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`lost with the bridge device because it does not support wireless signal transmission.
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`SUMMARY OF INVENTION
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`In one aspect of the invention, a device converts a wireless transaction device
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`to a magnetic-stripe emulator device.
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`In one embodiment, the device includes a
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`wireless signal receiver that is configured to receive a wireless signal and provide
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`information from the wireless signal. In addition, the device may include a magnetic-
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`stripe emulator which is communicatively coupled to the wireless signal receiver and
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`adapted to provide a time-varying signal which emulates data provided by a magnetic-
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`stripe card to a magnetic card reader in response to receiving the information from the
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`wireless signal. In one embodiment, the device includes a processor communicatively
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`coupled to the wireless signal receiver and to the magnetic-stripe emulator. The
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`device may also include an LED.
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`In a version of this embodiment, the processor is
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`configured to control the LED to indicate that the device is properly aligned with the
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`magnetic card reader.
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`In another embodiment, the device includes an output device
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`that can provide information to a network or to a network device.
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`In a version of this
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`embodiment, the output device is a wireless transmitter device.
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`Further embodiments of the invention may include additional features, for
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`example, in one embodiment the output device is a data port to which the device can
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`provide data to a network or to a network device. In a version ofthis embodiment, the
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`data port is also configured to receive data from the network or the network's device.
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`In a further embodiment, the device is configured to communicate with the magnetic
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`card reader via the data port.
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`In a further embodiment, the wireless receiver andfor processors c0nfigure,
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`decrypt and encrypt the wireless signal.
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`In a further embodiment, the processor is
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`configured to determine whether a user is authorized to provide the information
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`contained within the wireless signal fi'Om data within the wireless signal.
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`In a version
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`of this embodiment, the data contained within the wireless signal includes user ID
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`information.
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`In yet another embodiment, the data contained within the wireless signal
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`includes biometric information ofthe user.
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`BRIEF DESCRIPTION OF DRAWINGS
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`The accompanying drawings, are not intended to be drawn to scale. In the
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`drawings, each identical or nearly identical component that is illustrated in various
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`figures is represented by a like numeral. For purposes of clarity, not every component
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`may be labeled in every drawing.
`In the drawings:
`FIG. 1 illustrates a system in accordance with one embodiment of the
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`invention;
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`FIG. 2 illustrates a process in accordance with an embodiment of the
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`invention; and
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`FIGS. 3A-3D illustrate a converter device in accordance with one embodiment
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`ofthe invention.
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`DETAILED DESCRIPTION
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`This invention is not limited in its application to the details ofconstruction and
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`the arrangement of components set forth in the following description or illustrated in
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`the drawings. The invention is capable of other embodiments and of being practiced
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`or of being carried out in various ways. Also, the phraseology and terminology used
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`herein is for the purpose of description and should not be regarded as limiting. The
`II
`If
`H ‘5
`'l"
`‘4
`containing ,
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`involving”, and
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`use of "including,
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`comprising," or "having,
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`variations thereof herein, is meant to encompass the items listed thereafter and
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`equivalents thereof as well as additional items.
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`FIG. 1 illustrates an embodiment ofa system 100 that employs a coaverter
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`device 102 to provide an interface between a user device 104 (e.g., a transaction card)
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`and a system interface 106 where, for example, the system interface 106 employs a
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`magnetic card reader and the user device 104 is not equipped with a magnetic stripe.
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`That is, in one embodiment, the converter device 102 provides a mode of information
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`transmission between the user device 102 and the system interface 106 which would
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`otherwise be unavailable to the user device 102. The converter device 102 provides a
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`modified system 100 that provides compatibility with a greater variety of user
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`devices, for example, user devices such as transaction cards that are not equipped with
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`a magnetic stripe. For example, in one embodiment, the converter device 102
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`inciudes a magnetic stripe emulator I37 communicatively coupled to a wireless signal
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`receiver 140 and adapted to provide a time-varying signal emulating data provided by
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`a magnetic stripe card to a magnetic card reader 152.
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`The u5er device need not be a “card” and may, for example, take the form ofa
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`fob used as a key ring, a cell phone, a watch, a personal digital assistant or any device
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`that can include a wireless transmitter, or a magnetic stripe emulator.
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`In general, the system interface 106 provides an interface to a larger
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`information system (e.g., a financial system, an access control system, a medical
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`records system, and the like) that in one embodiment includes a system processor or
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`controller 110, a database 1 l2, a network 1 14, other systems 1 16, such as a universal
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`secure registry 118 as will be described filrther herein. Each of the preceding system
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`elements may be placed in communication with any one-or any combination of the
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`system elements, for example, over communication links 120A, 1208, 120C, 120D.
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`It should be recognized that the communication links 120 need not provide the
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`communication paths shown in FIG. 1 and that other communication paths may be
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`employed. For example, the database I 12 may be connected to the network 1 14 via
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`the communication link 120A and to the system processor 1 10 via the communication
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`link 1203 instead of being connected as shown in FIG. I.
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`The c0mmunication link may be a wireless communication link, a hardwired
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`communication link, a fiber optic communication link, any communication link used
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`in the art, as well as a combination of any ofthe preceding or any other any
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`communication link capable of transmitting signals between the elements of the
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`system 100. The system processor 1 10 allows information transfer of both data and
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`instructions, for example, between the interface 106 and one or more databases which
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`may be connected to the system or other network elements.
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`In general, the operation of the converter device 102 allows a user in
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`possession of a transaction card 104 to wirelessly communicate information to the
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`device so that the device can be employed to interface with a network system. For
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`example, in one embodiment, the network system may provide a magnetic card reader
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`interface and the converter device 102 provides a magnetic stripe emulator that can
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`interface with the system.
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`In general, the overall operation of the system 100 includes
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`the communication of information between the user device 104 and the converter
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`device 102, for example, RF communication.
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`In one embodiment, the communication
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`is bi-directional such that information can be communicated both to and from the user
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`device 104. The converter device 102 provides an interface by which information
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`derived from the information being transmitted to or fi'om the user device 104 is
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`transmitted between the converter device and the system interface 106. The system
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`interface 106 provides the communication interface between it and the remainder of
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`the system 100 (e.g., processor 1 10, database 1 12, network 1 14, etc.).
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`According to one embodiment, the user device 104 includes a processor 122, a
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`user interface 124, a wireless transmitter 126 and card indicia 128.
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`In another
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`embodiment, the user device 104 includes a biometric sensor 130.
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`In various
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`embodiments, the processor 122 is communicatively coupled to each of the wireless
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`transmitter 126, the user interface 124 and the biometric sensor 130.
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`The processor 122 may include a chip such as a general purpose processor, an
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`application specific integrated circuit (“ASIC”), or a field programmable gate array
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`(“FPGA”) and the like that may execute various programs andz’or provide logic inputs
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`and outputs. For example, the processor 122 may process biometric information
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`received from the biometric sensor 130 to verify the identity of the user before the
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`user can employ the user device 104. Exemplary details ofa processor and biometric
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`sensor which are configured to authenticate a fingerprint of a user are disclosed in
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`US published application 200416133787, published on July 8, 2004, which is herein
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`incorporated by reference and also attached as Exhibit A. The processor 122 may also
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`include or be coupled to driver circuitry to drive a display included in the user
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`interface 124 and can be configured to process user input data entered via the user
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`interface 124. In one embodiment, the user interface 124 includes one or more
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`control inputs (for example, control buttons).
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`The wireless transmitter 126 can process information provided by the
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`processor and convert the information to an RF signal and can also include an RF
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`antenna that transmits the RF information wirelessly. In another embodiment, the
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`transaction card may also include an RF receiver that receives a wireless RF signal
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`from the RF antenna and converts the RF signal to an information signal provided to
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`the processor.
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`It is to be appreciated that the wireless transmitter andIor receiver need
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`not be an RF device, it can also be any ofa IR device, an optical device, a Bluetooth
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`signal or any other wireless signal transmitter or receiver used in the art.
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`The user device may also include a power source such as a battery that fits
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`within the device.
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`In one alternative embodiment, the user device remains in a sleep
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`mode until it is placed in the vicinity ofan RF transmitter at which time the user
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`device 104 converts received RF energy into electrical energy used to provide power
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`to the processor 122 and the other components included in the user device 104.
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`According to one embodiment, the user device 104 can be a smart card
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`configured for wireless signal transmission using RF signals. For example, the
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`wireless transmitter 126 may be an RF transmitter device or any other wireless
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`transmitter device configured to transmit the smart card information of the card.
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`Alternatively, it is to be appreciated that the card can be many cards such as a debit
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`card, a plurality ofcredit cards such as VISA, MasterCard, American Express, or any
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`other card with the card indicia and relevant information being stored in card memory
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`129 and read out by processor 122 and provided to the wireless transmitter 126.
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`In the embodiment illustrated in FIG. 1, the converter device 102 includes a
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`substrate 132 which may include a stripe 134 and a magnetic field generator 136
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`which together comprise the magnetic stripe emulator 137, a processor 138, a wireless
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`receiver 140, a user interface 142, a memory 144, and a power source 146. In a
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`fithher embodiment, the converter device 102 includes an indicating light 148 (e.g.,
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`an LED) and an Output device 150.
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`According to one embodiment, the system interface 106 with which the
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`converter device 132 is employed includes any ofor all ofa magnetic card reader 152,
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`a wireless transceiver 154 and a data port 156.
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`In general, according to one embodiment, the converter device 102 receives a
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`wireless signal from the user device 104, processes the information that is received
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`and provides an output in the form ofa time-varying signal provided to the stripe 134
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`(e.g., a magnetic stripe). The signal provided to the stripe 134 can then be provided to
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`the system processor 1 10 by inserting the stripe and the associated substrate 132 or
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`portion thereof in the magnetic card reader of the system interface 106. That is, in
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`one embodiment, the stripe 134 and at least a portion of the substrate 132 can be
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`either slid by the magnetic card reader 152 or inserted to sit statically in front of the
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`read head of the card reader.
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`The processor 138 may be a general purpose processor, an application specific
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`integrated circuit (“ASIC”), or a field programmable gate array (“FPGA”) and may be
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`implemented in hardware, software, firmware or any combination of the preceding.
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`The processor 138 may be communicativeiy coupled with any ofthe magnetic field
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`generator 136 the wireless receiver 140, the memory 144, the user interface 142, the
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`light source 148, the power source 146 and the output device 150.
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`In general, the
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`processor can be configured to receive inputs from one or more of the preceding
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`elements and may provide outputs to each of the elements included in converter
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`device 138.
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`For example, according to one embodiment, the magnetic stripe 134 is a
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`programmable magnetic stripe and the magnetic field generator 136 generates a
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`magnetic signal that controls the information provided by the magnetic stripe 134.
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`The US. Patent Application No. “#680,050, filed October 7, 2003, entitled “System
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`Method and Apparatus for Enabling Transactions Using a Biometrically Enabled
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`Programmable Magnetic Stripe which was published on July 8, 2004 as
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`US2004!0133787 (the ‘050 application), provides further details concerning
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`embodiments of a transaction card that emulates a magnetic stripe and may also
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`include, for example, a biometric sensor. The ‘050 application is attached hereto as
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`Exhibit A.
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`In this embodiment, the processor 138 may control the operation of the
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`magnetic field generator 136 to provide the desired information to the stripe 134. For
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`example, the processor 138 may provide an output to the stripe 134 in response to
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`receiving information from the wireless receiver 140, where the information from the
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`wireless receiver is information transmitted from the user device 104.
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`Further, the processor 138 may be configured to provide signals to drive a
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`display included in the user interface 142 and process user input data entered with the
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`user interface 142.
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`In one embodiment, the user interface 142 includes a display
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`screen that can be used to display an image ofthe user to whom the user device 104
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`belongs, for security purposes. The image to be displayed by the UI can either be part
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`of the information transmitted by the transaction card 104, for example, where the
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`transaction card 104 also requires some authentication by the user before transmitting
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`the card information and image, or can be provided, for example, by the USR system
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`I 18 through the system interface 106 as part ofthe user authentication process, as will
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`be described in more detail herein. In further embodiments, the user interface 142
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`may include a plurality of control elements that allow the user andfor the transaction
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`processor (e.g., store clerk, security guard, medical service provider, etc.) to enter
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`information into the converter device 102.
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`The processor 138 may also be configured to provide signals to operate the
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`indicating light 148. The indicating light 148 may provide an indication of the
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`operational status of the converter device 102, for example, the indicating light 148
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`may indicate any ofthe following: that the converter device 102 is receiving a
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`transmission from a user device 104; that the converter device 102 has generated
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`output data to the stripe 134; the status of the power source 146 is normal or
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`conversely that the power source has a low power level; that the converter device 102
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`is transmitting information via the output device 150; that the converter device 102 is
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`properly aligned with the magnetic card reader 152; that the converter device 102 has
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`received authorization for a transaction; and the like.
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`It should be apparent to one of
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`skill in the art that the indicating light may be a single lamp or a plurality oflamps
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`and that the lamp or lamps may be a single color including white or may included a
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`plurality of colors. Further, it should also be apparent that the lights may provide a
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`plurality of status indications based on their color, intensity, rate of change of the
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`preceding characteristics or any combination of these and other features.
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`The power source 146 may include a battery power source or other energy
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`sources suitable fer the form factor of the converter device 102. For example, in a
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`form factor where the converter device 102 is a hand-held device the power source
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`146 may be any one of a standard size battery (e.g., a AA battery).
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`In a further
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`embodiment, the power source is a lithium battery. Alternatively, the power source
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`can be any of an AC power source, an AC to DC converter device, or any other DC
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`power source known to those skilled in the art.
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`According to one embodiment, the converter device 102 includes a power bus
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`158 that provides a path for the transmission of power to the various components
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`included in the converter device 102.
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`In accordance with one embodiment, the converter device 102 includes the
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`output device 150.
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`It is to be appreciated that the output device can be any standard
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`interface device to be coupled to a data bus such as a USB device, or the output
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`device can be configured for contactless communication with the system interface
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`106. For example, in one embodiment, the output device is an optical transmitter
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`device. In general, the communication between the converter device 102 and the
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`system interface 106 is bi-directional such that information (e.g., information
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`associated with the user’s identity) may be transmitted to the system interface 106, the
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`system processor 1 10 may generate a response (e.g., a transaction approval), and the
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`response may transmitted to the converter device 202 via the system interface 106.
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`In one embodiment, the processor 138 is configured in cOmbination with the
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`output device 150 to provide an encrypted output signal.
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`In a timber embodiment, the
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`processor 138 is configured in combination with the output device 150 to provide a
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`time-varying encrypted output signal.
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`In yet another embodiment, the processor 138
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`is configured in combination with the output device 150 to provide a time—varying
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`encrypted (or not) public and private key output signal.
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`In addition, the processor can
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`also be configured in combination with the wireless receiver to receive and decrypt
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`any and all ofan encrypted signal, a time-varying encrypted signal and a time-varying
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`encrypted (or not) public and private key as provided by the transaction card 104.
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`In some embodiments, the output device 150 need not transmit any personal
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`information associated with the user. For example, commonly owned US. Patent
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`Application No. 09i810,703, filed March 16, 2001, entitled “Universal Secure
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`Registry” (“the ‘703 application”) describes an approach that can improve security
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`and reduce the need for multiple forms of identification. The ‘703 application is
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`herein attached as Exhibit B and is incorporated herein by reference in its entirety.
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`The universal secure registry 1 18 included in the system 100 provides one example of
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`the integration of such a registry into a system that employs a converter device 102.
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`With the USR system, for example, the transaction card 104 can provide some
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`information, e.g., such as a public code of the user, which can be authenticated by the
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`user, for example by providing an ID through the user interface 124 or through
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`biOmetric sensor 130. The public code can be provided to the USR via the converter
`102, system interface 104, and network 114. The USR can then provide back to any
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`of the system interface and the converter device any or all of transaction card
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`information, authorization for a transaction, e.g., where the network or the USR also
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`communicates with the relevant authority, and indicia about the card holder. Various
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`alternatives and embodiments are deseribed in the attached Exhibit B.
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`The system 100 may include a variety of system interfaces 106 of different
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`types such as the wireless transceiver 154 and the data port 156 in addition to the
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`magnetic card reader 152. Although not illustrated, other system interfaces such as an
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`optical interface, a smart card reader interface or any other system interface known to
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`those of skill in the art can also be included. Further, the system interfaces may be
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`either commenly located or may be geographically distributed such that some
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`locations include a wireless transceiver 154, some locations include a data port 156,
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`some locations include a magnetic card reader 152, and some locations include a
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`plurality of types of system interfaces.
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`Thus, in some embodiments the output device 150 of the converter device 102
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`may include a data port via which the converter device 102 can provide data to a
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`network or a networked device.
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`In one embodiment, the data port is also configured
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`to receive data from the network or a networked device.
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`Embodiments ofthe converter device 102 can be configured to provide
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`communication to the system interface 106 via any of the preceding approaches
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`including wireless signal transmission.
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`In a version ofthis embodiment, the converter
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`device 102 may receive wireless signals from the user’s transaction card and transmit
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`wireless signals to the system interface 106. Further, the device may include a
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`transmitter that allows it to transmit information back to the user’s transaction card.
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`Referring now to FIG. 2, a process 260 employing the converter device 102 is
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`illustrated in accordance with one embodiment. The process begins at Stage 262 —
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`START. Here, the converter device 102 is in a steady state in which it awaits receipt
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`ofa signal from a user device 104. At Stage 264, the converter device 102 receives
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`data, for example, a wireless signal transmitted from the user device 104. At Stage
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`266, the converter device 266 extracts information from the wireless signal for
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`processing. As one example, the converter device 102 may extract infon'nation
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`corresponding to the user’s identity andlor the identity ofthe individual to whom the
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`user device was issued. The extracted information is then provided to the system
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`interface, for example, it is simulated as magnetic striped data to the magnetic card
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`reader. At Stage 268, the system 100 authenticates the user. In one embodiment, if
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`the authentication is successful, the process continues at Stage 270. In this
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`embodiment, ifthe authentication is unsuccessful, the process returns to Stage 262
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`where, for example, the user may be prompted to attempt to authenticate again.
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`Various user authentication approaches may be implemented using the
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`converter device 102. For example, the authentication may be performed locaily, that
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`is, without the need for cemmunication between the converter device 102 and the
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`system interface 106 and system processor 1 10.
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`In one embodiment, the
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`authentication process employs the universal secure registry 118. In further
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`embodiments, the authentication process employs one or more authentication
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`protocols such as pubiic-key cryptography, key exchange protocols, protocols
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`employing one-way functions, and the like that are well known by those of ordinary
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`skill in the art.
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`In other embodiments, however, the authentication may require an
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`exchange of information between the converter device 102 and any of the system
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`interface 106, the network 1 14, the USR 1 18 and another database 1 12.
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`At Stage 270, the completion ofthe transaction may be involve any ofa wide
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`variety of acts including: authorizing a withdrawal of money from a user’s account,
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`permitting the user access to a secure area, permitting a user to view medical
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`information concerning themselves or a third party, or permitting the user to access
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`other confidential information.
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`In addition, in some embodiments, the process 260 includes Stage 274 where
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`following authentication the converter device 102 receives information associated
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`with the user. The information may, for example, be necessary for the completion of
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`the transaction. For example, where the system 100 is employed in conjunction with
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`a check-authorization process, the converter device 102 may receive an indication that
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`the user has sufficient funds to cover the amount of the check that is presented at a
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`point of sale. Alternatively, or in addition, the information may include indicia
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`related to the authorized holder of the transaction card 104, such as a picture ID, as is
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`described in more detail in the attached Exhibit B. The process 260 is completed at
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`Stage 272 — END.
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`An embodiment, ofthe converter device 302 is illustrated in FIGS. 3A through
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`3D- As illustrated in the front view of FIG. 3A, in one embodiment, the converter
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`device 302 includes a housing 380, a substrate 332, and a magnetic stripe 334.
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`In one
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`embodiment, the housing 380 is manufactured from a rigid material, for example,
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`metal or plastic and the converter device 302 is designed to be a hand-held device.
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`FIG. BB illustrates a side view perspective of an embodiment of the converter device
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`302, showing an indicating light 348 (e.g., an LED). As described in greater detail
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`above, the indicating light 348 can include a single indicating light or a plurality of
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`indicating lights.
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`FIGS. 3A-3D illustrate an embodiment where the substrate extends
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`substantially perpendicular from a side of the housing 380, however, the specific
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`angle at which the substrate extends from the housing may vary so long as the
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`housing does not interfere with the insertion of the substrate into, for example, the
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`magnetic card reader 152.
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`FIG. 3D illustrates a top view of an embodiment ofthe converter device 302
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`which includes a display screen (e.g., an LCD display screen) that may provide the
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`user interface 342 or a portion ofthe user interface of the converter device 302. In
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`one embodiment, the user interface 342 includes a display screen that displays either a
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`black and white or a color image of the individual to whom the user device 104 was
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`issued.
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`It should be recognized that the display screen may provide a wide range of
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`fiJnctiOnality, for example, the display screen may display a variety of data received
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`by the converter device 302 including data represented in alpha numeric format.
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`The magnetic stripe 334 may be a programmable magnetic stripe such that the
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`converter device 302 provides a magnetic stripe emulator.
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`In one embodiment, as has
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`been described herein, the converter device 302 receives a wireless signal from a user
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`device 102 and provides a time varying signal which emulates data provided by a
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`magnetic—stripe card to a magnetic card reader in response to receiving the
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`information from the wireless signal.
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`In a further embodiment, the information is
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`provided to the magnetic card reader by inserting the magnetic stripe 334 into the
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`magnetic card reader.
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`The various embodiments of a system and method for converting a wireless
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`transaction device to a magnetic stripe emulator device may include any of the
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`following or any combination of the following: a converter device with a processor
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`communicatively coupled to a wireless signal receiver and to a magnetic stripe
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`emulator. The converter device may optionally include an LED. Further the
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`processor may be configured fo