NFC-based options selection

The present application claims the priority benefit of U.S. provisional application No. 62/093,298 filed Dec. 17, 2014 entitled “Payment Processes with Warranty Options,” the disclosure of which is hereby incorporated by reference.

The present invention generally relates to a user mobile device equipped with a near field data communication (NFC) interface that performs a purchase of an item linked to a warranty. More specifically, a mobile electronic device communicates with a point-of-sale terminal using near field data communications when making a purchase, prompting an offer regarding a warranty on an item purchased before the purchase is complete.

Near field data communications (NFC) are currently being used by consumers to make secure financial transactions when purchasing goods or services. NFC is a standardized wireless data communication technology that communicates information over short distances. NFC commonly communicates using a frequency of 13.56 megahertz (MHz) with data rates approaching 424 kilo-bits per second (Kb/sec). NFC equipped devices of various sorts are available in the marketplace today.

Users of NFC-enabled user devices currently cannot purchase a warranty when making a purchase using NFC. A system and method where a user of a user device may purchase a warranty when they make a purchase using a NFC data communication interface on a user device is needed because consumers would benefit by having their purchase covered under a warranty as soon as they make their purchase.

Embodiments of the present invention include a system and a method for receiving offers to acquire a warranty on an item at the point-of-sale with a mobile electronic device equipped with a near field communication (NFC) data communication interface. When purchasing an item at an NFC-equipped point-of-sale terminal, a mobile device may receive a communication over a NFC data communication interface indicating that a warranty may be acquired for that item. After receiving the communication, the warranty offer may be displayed in a graphical user interface (GUI) on a display at the mobile electronic device. A user of the mobile device may then accept the warranty offered by touching a selection box displayed in the GUI. After the user accepts the warranty offer, the mobile device may transmit payment information and information relating to the selected warranty over the NFC data communication interface to the point-of-sale terminal, and the transaction may then be processed.

FIG. 1A is a flowchart illustrating a prior art method for basic authorization process based on near field communication (NFC).

FIG. 1B is a flowchart illustrating a prior art method for basic payment process based on NFC.

FIG. 2 illustrates a network environment in which an exemplary system for providing NFC-based payment with warranty options may be implemented.

FIG. 3 includes an exemplary GUI setup that may be used in a system for providing NFC-based payment with warranty options, as well as a flowchart illustrating an exemplary base software method for providing NFC-based payment with warranty options.

FIG. 4 is a flowchart illustrating an exemplary merchant base software method for providing NFC-based payment with warranty options.

FIG. 5A and FIG. 5B are flowcharts illustrating exemplary warranty network base software methods for providing NFC-based payment with warranty options.

FIG. 6 illustrates a matrix of information that may be stored in an exemplary warranty database used in a system for providing NFC-based payment with warranty options.

FIG. 7 is a flowchart illustrating an exemplary method for providing NFC-based payment with warranty options.

Embodiments of the present invention include a system and a method for linking items purchased using mobile electronic devices equipped with near field data communication (NFC) functionality to an offer to warrant the item purchased for a period of time.

Mobile electronic devices described herein include, yet are not limited to, smartphones, IPhones, Android phones, IPads, notebook computers, computers built into a car, and mobile devices dedicated to performing NFC communications. Payment authorization networks, and warranty networks described herein include, yet are not limited to, a computer and a computer server.

The various methods may be performed by software operating in conjunction with hardware. For example, instructions executed by a processor, the instructions otherwise stored in a non-transitory computer readable medium such as memory. Various interfaces may be implemented—both communications and interface. One skilled in the art will appreciate the various requisite components of a mobile device and integration of the same with one or more of the figures and/or descriptions included herein.

FIG. 1A is a flowchart illustrating a prior art method for basic authorization process based on near field communication (NFC). The basic authorization process begins when a customer with an NFC-capable phone sends a purchase order 1 a to a merchant with a contactless terminal. The merchant with the contactless terminal then sends a request 2 a to the merchant bank. Next, the merchant bank forwards credit card information 3 a provided with the purchase order to a credit card payment processing center. The credit card payment processing center then forwards the credit card information 4 a to the customer bank, and the customer bank approves or declines the purchase 5 a . Next, a message is sent back to the merchant 6 a indicating that the purchase has been approved or declined.

FIG. 1A also indicates that funds are approved or declined using a combination of the merchant bank, the credit card payment processing center, and the customer bank. Alternate communication pathways for performing the transactions are possible. The alternate communication pathways include a trusted service manager (TSM) communicating with the customer bank and with the credit card payment processing center, as well as a carrier with over the air (OTA) support communicating with the TSM and with the customer phone. The TSM is an entity that serves a trusted intermediary between mobile devices, networks that service mobile devices, and software applications. The TSM securely coordinates payments from a financial institution to a merchant that have been authorized by a mobile device. Examples of a carrier with OTA support are cellular companies like Verizon, AT&T, and T-Mobile. The basic authorization process may be performed using older phone lines, or it may be performed using modern wireless cellular networks.

FIG. 1B is a flowchart illustrating a prior art method for basic payment process based on NFC. The basic payment process of FIG. 1B involves the merchant sending a settlement request 1 b to the merchant bank and the merchant bank then sending a settlement request 2 b to the customer bank. Then the credit card payment processing company forwards the request 3 b . Next, the customer bank transfers funds to the merchant bank 4 b . Communications between the merchant bank, the credit card payment processing center, and the customer bank are used to transfer from the customer bank to the merchant bank. The customer phone may also communicate with a carrier with OTA support, as well as with a TSM. Here, the TSM also communicates with the credit card payment system and with the customer bank.

FIG. 2 illustrates a network environment in which an exemplary system providing NFC-based payment with warranty options may be implemented. In such a system, a warranty may be acquired when a mobile device makes a purchase using a near field communication (NFC) interface. The network environment may include a mobile device communicating with a warranty network over the cloud or internet. The mobile device may also communicate with a point-of-sale terminal at a merchant that, in turn, communicates over the cloud or internet. The mobile device may include a memory, a battery, operating system software (OS), a warranty application (App) program, and an NFC data communication interface. The warranty application may include base software and a graphical user interface (GUI).

The warranty network may include a warranty network base software that includes a warranty database and an application program interface (API). The warranty network may communicate with manufacturers and with third parties when a warranty is purchased. The point-of-sale terminal at a merchant may include an NFC data communication interface and a display. Base software may also be running on the point-of-sale terminal or an associated computer at the merchant. A transaction code communicated between the mobile device and the point of sale terminal may include payment and warranty information.

In one embodiment of the invention, a mobile device may use NFC when making a purchase, after which the point-of-sale terminal may communicate one or more warranty options to the mobile device over the NFC data communication interface. A user of the mobile device may open the warranty application GUI, review warranty options, and select a warranty prior to completing the purchase. When a warranty is selected, a warranty code may be appended to the payment information, and the payment may then be processed. Additional details and other information regarding the warranty may then be received by the mobile device either over the NFC data communication interface at the mobile device or over another data communication interface at the mobile device. The mobile device may include a wireless data communication interface, including, yet not limited to, a Bluetooth, Wi-Fi, or a cellular 3G/4G/LTE data communication interface.

FIG. 3 includes an exemplary GUI setup that may be used in a system for providing NFC-based payment with warranty options, as well as a flowchart illustrating an exemplary base software method for providing NFC-based payment with warranty options. The GUI setup may include several warranty options (e.g., manufacturer, third party, no warranty), a profile selection option, and an option to create and save extended code selection. When the profile selection box is selected, a user may enter or update user profile information such as an address, an email address, or a telephone number. Selecting the option to create and save extended code may result in display of a list of warranties that are available for purchase. The list of warranties may cover one or more items purchased by the user.

The base software method flowchart in FIG. 3 may begin when a use of a mobile device accesses a warranty application GUI (e.g., by selecting an associated icon in a display at their mobile device). Additionally, the user may select one or more warranty options, select preferences, create a warranty code attachment for a purchase or future purchases, and send a warranty code to a merchant. The warranty code may include or be appended to a payment code. After the warranty code has been sent to the merchant, the warranty information may be received from a warranty network, and a user of the mobile device may select a warranty to purchase.

In addition, the warranty information may be reviewed by the user via a display on the point-of-sale terminal or on the display of the user mobile device. The user may decide to purchase the warranty, after which transaction information relating to the purchase may be updated to include a warranty token. Then, a new warranty extended code may be created for a next transaction. In the instance when a user decides not to purchase a warranty, the transaction is processed normally without including a warranty code.

FIG. 4 is a flowchart illustrating an exemplary merchant base software method for providing NFC-based payment with warranty options. A merchant system may receive data via an NFC data communication from a mobile device. The data may be related to an item being purchased by a user. It may then be determined whether there is a warranty code included with the data received. The merchant base software may determine whether the warranty code is a valid available warranty code. If so, warranty information may be received from a warranty network, and a list of warranty items may be displayed on a point-of-sale terminal or on the user mobile device. The user may then select a warranty from the display. After receiving a warranty selection, the merchant base software may send information relating to the warranty back to the warranty network. Next, a price for the warranty may be added to the price of the item purchased, and the transaction may then be completed using a general credit card payment approval process. The merchant may receive a commission from the warranty network. Where it may be determined that a warranty code is not valid, the transaction may be processed without a warranty.

FIG. 5A and FIG. 5B are flowcharts illustrating exemplary warranty network base software methods for providing NFC-based payment with warranty options. Such software may be running at a warranty network server.

FIG. 5A illustrates information being loaded into a database at the warranty network. An API in the warranty network base software may receive an input, and in a second step warranty data relating to the input is loaded into a database.

FIG. 5B includes receiving a code from the merchant base software (e.g. merchant base software described with respect to FIG. 4 ). The warranty network base software may determine whether the code corresponds to a set of warranty options. If so, the warranty database may be searched for warranties that may be offered to a customer. Warranty options relating to the code may be extracted and then sent to the merchant base software. It may then be determined whether a warranty has been selected. If so, information may be exchanged between the merchant base software and the warranty network data base. Then, a commission may be sent to the merchant (when applicable).

FIG. 6 illustrates a matrix of information that may be stored in a warranty database used in a system for providing NFC-based payment with warranty options. The matrix includes a series of data fields for such data as merchant & user identification (ID), transaction number, warranty offered by, warranty cost, warranty length, and whether the warranty is accepted/declined. The merchant & user ID identifies the merchant, and the transaction number identifies the transaction. Warranties may be offered by various parties, such as manufacturers and third party warranty sellers. For example, transaction number 523 may be identified as occurring at merchant 0001 where two different warranties may have been offered by a manufacturer and two different warranties offered by a third party. Each of the warranties offered may have different costs, as well as different lengths of duration. As illustrated, three of the offers made in transaction 523 were declined, and one of the offers was accepted by a customer.

FIG. 7 is a flowchart illustrating an exemplary method for providing NFC-based payment with warranty options. A mobile device may be provided with a warranty application, a warranty GUI, warranty base software, an NFC data communication interface, a memory, a battery, and an OS. A merchant may be provided with a point-of-sale terminal that includes a display, an NFC data communication interface, and with warranty base software to run on a computer at the merchant.

A warranty network may be provided with warranty network software, a warranty network database, a list of third party warranties, a group of manufacturer warranties, and a API. A user may select a warranty application on their mobile device, select a set of warranty options, enter profile information, and select and save an extended code for the current or future transactions.

The mobile device may transmit information over an NFC data communication interface to a point-of-sale terminal. A warranty application running on the mobile device may attach a warranty code to the information transmitted to the point-of-sale terminal. Merchant base software running on the point-of-sale terminal or an associated computer at the merchant may extract the warranty code from the information transmitted from the mobile device and send the warranty code to a warranty network. The information transmitted from the mobile device over the NFC data communication may identify a credit or debit card that the user of the mobile device wished to use when purchasing an item.

The warranty code may be sent to the warranty network, and the warranty network software may then search for manufacturer warranties and third party warranties that are available for the item purchased that corresponds to the warranty code. When the warranty network identifies one or more available warranties, information relating to those warranties may be transmitted to the manufacturer, and that information may be displayed on the point-of-sale terminal or on the mobile device.

A warranty may be selected by the user, and that selection may be sent to the warranty network. A payment may be received and processed using a general credit card purchase approval process, and the merchant may be sent a commission.

In certain instances after a point-of-sale terminal receives a NFC communication from a mobile device, the point-of-sale terminal may display one or more warranty offerings that may be selected on the point-of-sale terminal without sending an NFC communication listing the warranty offerings to the mobile device. After a warranty is purchased, therefore, a confirmation that the warranty has been purchased may be sent to the mobile device by the point-of-sale terminal over the NFC communication interface, or the mobile device may be sent a confirmation from the warranty network over another data communication interface at the mobile device.

While various embodiments have been described above, it should be understood that they have been presented by way of example only, and not limitation. The descriptions are not intended to limit the scope of the invention to the particular forms set forth herein. Thus, the breadth and scope of a preferred embodiment should not be limited by any of the above-described exemplary embodiments. It should be understood that the above description is illustrative and not restrictive. To the contrary, the present descriptions are intended to cover such alternatives, modifications, and equivalents as may be included within the spirit and scope of the invention as defined by the appended claims and otherwise appreciated by one of ordinary skill in the art. The scope of the invention should, therefore, be determined not with reference to the above description, but instead should be determined with reference to the appended claims along with their full scope of equivalents.