Method for securing mobile remote deposit captures and touch-less metadata gathering from financial checks
Publication Date: 2014-Sep-15
The IP.com Prior Art Database
A method for securing mobile remote deposit captures and touch-less metadata gathering from financial checks.
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Method for securing mobile remote deposit captures and touch -less metadata gathering from financial checks
Disclosed is a method for securing mobile remote deposit captures and touch-less metadata gathering from financial checks is disclosed.
The problem of check fraud has been aggravated because of mobile remote deposit capture (mRDC) technologies. Currently, there is no mechanism yet to seamlessly read metadata from the checks, which might be important as mRDC evolves. The proposed invention includes a system using Near Field Communication (NFC) Tag technology to secure mobile remote deposits by verifying the validity (deposit status) of the checks and also a touch-less mechanism to fetch metadata from financial checks - be it money order, checks, certified checks, etc.
With the introduction of Check 21 Act in the US, which allows for use of digital rather than physical checks to clear a transaction, use of mRDC technology has grown rapidly. Many banks already have this service as part of their mobile banking package. The technology allows a customer to take a photo of the check using their mobile phone camera and deposit the check remotely, leaving the actual physical checks in the hand of the customer. Since the physical check is still in possession of the customer it could be used to carry out several money frauds as described in the mRDC Fraud Scenarios section. Because of the lack of security and trust around the technology, banks have placed restrictions on mobile deposit to help prevent mRDC frauds. Unfortunately, these restrictions have not completely helped mitigate the attacks and also have reduced the usefulness of mobile check deposit Banks are setting daily deposit limits, placing holds on funds and setting time and/or relationship requirements before customers can deposit checks remotely. There is not a good solution that strikes a balance between security and usability when it comes to mobile remote check deposits.
The following are example mRDC Fraud Scenarios:
1) Fraudster double depositing his check in two accounts at different banks.
2) Husband deposits his check via mobile, leaves it in the room, wife finds the same check goes and deposits in bank (prevention technique currently used -> sign at the back of the check with Account number and "For Deposit Only" text).
3) Buying a money order and cashing it in two places.
mRDC Restriction Examples:
1) Limit on Transaction
2) Restricted to Trusted Customers
3) Delay of business days before the money actually posts
The prior arts in these area lack mechanisms to verify the validity of the checks, thereby allowing check fraud use cases to happen frequently and easily. This problem is aggravated because of the advent of mobile remote deposit features as described above. The current check deposit also lacks a mechanism of gathering touch-less metadata from the checks.
The disclosed method to secure mobile remote deposits and also touch-less mechanism to fetch metadata h...