Browse Prior Art Database

Credit Application Merchandizing

IP.com Disclosure Number: IPCOM000077053D
Original Publication Date: 1972-Jun-01
Included in the Prior Art Database: 2005-Feb-24
Document File: 3 page(s) / 51K

Publishing Venue

IBM

Related People

Pelletier, LL: AUTHOR

Abstract

The present credit application merchandising (CAM) system utilizes a magnetic strip type of credit card which contains only a scrambled encoded account number. It is described in flow chart form in the figure.

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Credit Application Merchandizing

The present credit application merchandising (CAM) system utilizes a magnetic strip type of credit card which contains only a scrambled encoded account number. It is described in flow chart form in the figure.

For security reasons no individual name or address is embossed upon the card. Only the name of the issuing company is printed on the card plus a serial number which allows them to identify the owner. A postage guarantee notation allows anyone finding a lost or misplaced card to return it to the owner.

The participating merchants who use the "CAM" System utilize Telecommunication Display Terminals that can process the magnetic strip credit cards.

Any persons wishing to use their "CAM" credit card goes to a "CAM" terminal instead of a cashier. The individual making a purchase hands over his card to the terminal operator, who inserts it into the special magnetic strip reader attachment.

The operator then accesses the "CAM" System central computer and when a "READY" condition is returned, he instructs the customer to key in at a numeric key panel the code number he has been given by the issuing credit company.

As soon as the "READY" signal is received at the terminal, it automatically sends the encoded number from the magnetic strip card to the central computer, where it is placed in a memory register. As soon as the customer keys in the matching code number it also is placed into a memory register.

The computer has an application routine (see the figure) that will unscramble the encoded number from the magnetic strip card and then do a compare against the customer's code number. If the numbers do not match, a "RETRY" signal is sent back to the terminal and the operator instructs the customer to key in his code again.

The computer will allow three tries for matching the code numbers, after which it will signal "SECURITY CHECK" to the terminal operator who will notify store security personnel.

When the numbers do match the computer will signal the terminal to "PROCEED" with the sales transaction. It will also display at the terminal cathode-ray tube (CRT) unit the customer's name and address, his Line-of-Credit limit, the amount that is in use and the amount that is still available for credit. As an added security measure, the terminal operator will ask the customer for his name and address and it should match w...