Verizon Builds Digital Wallet For Kids

In a world where digital wallets are replacing cash, a Verizon executive has come up with a solution for parents looking to supply kids with spending money for trips to shopping malls and retail stores ranging from CVS to Starbucks.

In addition to allowing parents to transfer funds electronically to a child’s smartphone or tablet, the invention gives parents the ability to restrict where the money could be spent to specific retail stores or geographic locations.

“When a user may encounter scenarios where they may be with other people (e.g., children) who need to perform transactions using a mobile station (equipped with an NFC payment device) that is owned by the user, the user need not provide to a requestor the user’s mobile station. Instead, the user can conveniently preauthorize the requestor’s mobile station to perform a particular transaction. This may alleviate concerns with the user’s mobile station being misplaced or confidential financial information being made public,” Verizon states in the patent application published on Thursday.

Verizon VP Niloufer Tamboly

Verizon Open Information Systems Security Group Vice President Niloufer Tamboly is named as lead inventor on the patent application, titled, “Funds transfer.”

Abstract: Systems and methods for an enhanced fund transfer service are described. Some implementations include receiving, at a first mobile station, instructions to preauthorize a particular value of funds for a transaction, generating, at the first mobile station and based on the instructions, a preauthorization for the particular value of funds, where the preauthorization identifies one or more of: the particular value, a particular time when the preauthorization expires or a geographic location within which the preauthorization is valid, transmitting the generated preauthorization, from the first mobile station to a second mobile station, where the preauthorization is used by the second mobile station complete a transaction within the particular value, and displaying an indication at the first mobile station when the transaction using the preauthorization is completed using the second mobile station, where the indication includes a transacted value of funds and an identification of an entity that received the transacted funds

Patent Application

Claims: 

1. A computer-implemented method comprising: receiving, at a first mobile station, instructions to preauthorize a particular value of funds for a transaction; generating, at the first mobile station and based on the instructions, a preauthorization for the particular value of funds, wherein the preauthorization identifies one or more of: the particular value, a particular time when the preauthorization expires or a geographic location within which the preauthorization is valid; transmitting the generated preauthorization, from the first mobile station to a second mobile station, wherein the preauthorization is used by the second mobile station complete a transaction within the particular value; and displaying an indication at the first mobile station when the transaction using the preauthorization is completed using the second mobile station, wherein the indication includes a transacted value of funds and an identification of an entity that received the transacted funds.

2. The method of claim 1, wherein the generated preauthorization is transmitted using near field communication (NFC) when the first mobile station and the second mobile station are in proximity.

3. The method of claim 1, further comprising: encrypting the generated preauthorization at the first mobile station prior to transmission to the second mobile station.

4. The method of claim 3, further comprising: transmitting a decryption key from the first mobile station to the second mobile station, wherein the decryption key is used decrypt the preauthorization at the second mobile station.

5. The method of claim 4, wherein the decryption key is transmitted from the first mobile station to the second mobile station over a channel separate from a channel used for transmission of the generated preauthorization, wherein the channel used to transmit the decryption key includes one or more of email or short messaging service (SMS).

6. The method of claim 3, wherein the preauthorization is automatically canceled at the second mobile station when a stored particular time value is equal or greater than a current time value or the second mobile station is outside geographic location.

7. The method of claim 1, further comprising: receiving an indication, via a user interface of the first mobile station, identifying the second mobile station or a user associated with the second mobile station; and receiving another indication, via the user interface, that defines the geographic location.

8. A first mobile station comprising: a communication interface configured to enable communication via a mobile network; a processor coupled with the communication interface; a storage device accessible to the processor; and an executable program in the storage device, wherein execution of the program by the processor configures the server to perform functions, including functions to: receive, at the first mobile station, instructions to preauthorize a particular value of funds for a transaction; generate, at the first mobile station and based on the instructions, a preauthorization for the particular value of funds, wherein the preauthorization identifies one or more of: the particular value, a particular time when the preauthorization expires or a geographic location within which the preauthorization is valid; transmit the generated preauthorization, from the first mobile station to a second mobile station, wherein the preauthorization is used by the second mobile station complete a transaction within the particular value; and display an indication at the first mobile station when the transaction using the preauthorization is completed using the second mobile station, wherein the indication includes a transacted value of funds and an identification of an entity that received the transacted funds.

9. The first mobile station of claim 11, wherein the generated preauthorization is transmitted using near field communication (NFC) when the first mobile station and the second mobile station are in proximity.

10. The first mobile station of claim 11, wherein execution of the program by the processor configures the server to perform functions, including functions to: encrypt the generated preauthorization at the first mobile station prior to transmission to the second mobile station.

11. The first mobile station of claim 10, wherein execution of the program by the processor configures the server to perform functions, including functions to: transmitting a decryption key from the first mobile station to the second mobile station, wherein the decryption key is used decrypt the preauthorization at the second mobile station.

12. The first mobile station of claim 11, wherein the decryption key is transmitted from the first mobile station to the second mobile station over a channel separate from a channel used for transmission of generated preauthorization, wherein the channel used to transmit the decryption key includes one or more of email or short messaging service (SMS).

13. The first mobile station of claim 8, wherein the preauthorization is automatically canceled at the second mobile station when the particular time value is equal or greater than a current time value or the second mobile station is outside the geographic location.

14. The first mobile station of claim 8, wherein execution of the program by the processor configures the server to perform functions, including functions to: receive an indication via a user interface identifying the second mobile station or a user associated with the second mobile station; and receive another indication via the user interface that defines the geographic location.

15. A non-transitory computer-readable medium comprising instructions which, when executed by one or more computers, cause the one or more computers to: receive, at a first mobile station, instructions to preauthorize a particular value of funds for a transaction; generate, at the first mobile station and based on the instructions, a preauthorization for the particular value of funds, wherein the preauthorization identifies one or more of: the particular value, a particular time when the preauthorization expires or a geographic location within which the preauthorization is valid; transmit the generated preauthorization, from the first mobile station to a second mobile station, wherein the preauthorization is used by the second mobile station complete a transaction within the particular value; and display an indication at the first mobile station when the transaction using the preauthorization is completed using the second mobile station, wherein the indication includes a transacted value of funds and an identification of an entity that received the transacted funds.

16. The computer-readable medium of claim 15, wherein the generated preauthorization is transmitted using near field communication (NFC) when the first mobile station and the second mobile station are in proximity.

17. The computer-readable medium of claim 15 further comprising instructions which, when executed by the one or more computers, cause the one or more computers to: encrypt the generated preauthorization at the first mobile station prior to transmission to the second mobile station.

18. The computer-readable medium of claim 17, further comprising instructions which, when executed by the one or more computers, cause the one or more computers to: transmitting a decryption key from the first mobile station to the second mobile station, wherein the decryption key is used decrypt the preauthorization at the second mobile station.

19. The computer-readable medium of claim 18, wherein the decryption key is transmitted from the first mobile station to the second mobile station over a channel separate from what is used for transmission of generated preauthorization, wherein the channel includes one or more of email or short messaging service (SMS).

20. The computer-readable medium of claim 17, wherein the preauthorization is automatically canceled at the second mobile station when the particular time value is equal or greater than a current time value or the second mobile station is outside the geographic location.