Patent Issued for Method For Preventing Check Fraud (USPTO 10,296,909)

2019 MAY 31 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- According to news reporting originating from Alexandria, Virginia, by NewsRx journalists, a patent by the inventors Buentello, Andre Rene (San Antonio, TX); Haverlah, Sharon Kay (Bulverde, TX), filed on November 25, 2013, was published online on June 3, 2019.

The assignee for this patent, patent number 10,296,909, is United Services Automobile Association (San Antonio, Texas, United States).

Reporters obtained the following quote from the background information supplied by the inventors: “Checks provide a safe and convenient method to transfer money between individuals and companies. Typically, a checking account, or other similar account, must be opened at a financial institution and funds deposited. These funds are then available for withdrawal. The payor (e.g., the account owner) usually designates a payee (e.g., a merchant or seller), an amount payable on the check, and signs the check. As a result, the check becomes negotiable and authorizes funds to be withdrawn from the payor’s account and transferred to the payee.”

In addition to obtaining background information on this patent, NewsRx editors also obtained the inventors’ summary information for this patent: “Systems and methods are described for using 2D barcodes on checks to decrease non-conforming image percentages. In some embodiments, a digital image of a check that has been remotely captured by a user can be received. The digital image of the check can include a 2D barcode with embedded positional information of one or more check features (e.g., signature line, a date line, a memo line, a check number, a magnetic ink character recognition code, an amount line, and/or an amount block). The positional information embedded within the 2D barcode of the one or more check features can be decoded. In addition, one or more check features on the digital image of the check can be optically identified. Examples of positional information within the 2D barcode include, but are not limited to, a size of the check, a distance to a signature line on the check, a distance to one or more edges of the check, a distance from an edge of the check to the top, bottom, start, or end of a magnetic ink character recognition (MICR) code, and a distance to amount block on the check.

“Based on the one or more check features that were optically identified, estimated positional information for the one or more check features can be generated. A set of rotational and scaling adjustments can be computed by comparing the estimated positional information with the positional information of the one or more check features. A more accurate representation of the check can be produced by applying the set of rotational and scaling adjustments to the digital image of the check. Once a more accurate representation of the check has been produced, the check can be electronically processed using a routing transit number found on the check.

“In some embodiments, the 2D barcode can also include one or more check parameters. These check parameters can be decoded and used for processing, verification, and/or fraud prevention. Examples of check parameters include, but are not limited to, an account indicator if the check is drawn from a business account or a personal account, a maximum amount allowed on the check, account information, a government identifier, or an electronic watermark.

“Account holder information can also be embedded in the 2D barcode. Examples of account holder information that can be embedded within the 2D barcode include, but are not limited to, a driver’s license number of an account holder of the check, a representation of the signature, and/or a photo of the account holder. The account holder information embedded within the 2D barcode can be decoded and presented to a recipient of the check (e.g., via a point of sale device).

“Embodiments of the present invention also include computer-readable storage media containing sets of instructions to cause one or more processors to perform the methods, variations of the methods, and other operations described herein.

“Various embodiments provide for a system comprising an image receiving module, a processing module, an estimation module, and an adjustment module. The image receiving module can receive a digital image of a check that has been remotely captured by a user (e.g., using a camera on a mobile phone). The digital image of the captured check includes a 2D barcode with embedded positional information of one or more check features (e.g., a signature line, a date line, a memo line, a check number, a magnetic ink character recognition code, an amount line, and/or an amount block).

“The processing module decodes the positional information embedded within the 2D barcode and optically identifies the one or more check features on the digital image of the check. The positional information can include the location, size of, and/or distance between any two elements of a check. Examples of positional information include, but are not limited to, a size of the check, a distance to a signature line on the check, a distance to one or more edges of the check, a distance from an edge of the check to the top, bottom, start, or end of a magnetic ink character recognition (MICR) code, and a distance to amount block on the check.

“The estimation module generates estimated positional information of the one or more check features that were optically identified and determines a set of rotational and scaling adjustments. In accordance with various embodiments, the set of rotational and scaling adjustments can be determined by comparing the estimated positional information with the positional information of the one or more check features. The adjustment module applies the set of rotational and scaling adjustments to the digital image of the check to produce a more accurate representation of the check.

“In one or more embodiments, the system can also include an account database and an accounting module. The account database can be used to store a plurality of financial accounts of members of a membership organization. The user of the check processing system can be a member of the membership organization and can make deposits into a user account that is one of the plurality of financial accounts associated with the user. The accounting module electronically processes the more accurate representation of the check and deposits funds from the check into the user account.

“The system can include other modules and components such as an information module, a decoding module, a verification module, and/or a point of sale device. The information module can be used to gather information about the user and a user account where funds from the check will be deposited. The decoding module can decode the one or more check parameters and account holder information embedded within the 2D barcode. The verification module can verify, during the processing of the check, the one or more check parameters that were decoded. The point of sale device can present the account holder information to a recipient of the check.

“Examples of check parameters include, but are not limited to, an account indicator identifying if the check is drawn from a business account or a personal account, a maximum amount allowed on the check, account information, a government identifier, and/or an electronic watermark. Examples of account holder information include, but are not limited to, a driver’s license number of an account holder of the check, a representation of the signature, and/or a photo of the account holder.

“While multiple embodiments are disclosed, still other embodiments of the present invention will become apparent to those skilled in the art from the following detailed description, which shows and describes illustrative embodiments of the invention. As will be realized, the invention is capable of modifications in various aspects, all without departing from the scope of the present invention. Accordingly, the drawings and detailed description are to be regarded as illustrative in nature and not restrictive.”

The claims supplied by the inventors are:

“What is claimed is:

“1. A fraud prevention method comprising: receiving, at a point of sale device, a check from a user, wherein the check includes a two-dimensional barcode identifying account holder information and one or more check parameters; capturing a digital image of the check; submitting, via a communications network, the digital image of the check to a check processing system; decoding, by a computing device associated with the check processing system, the one or more check parameters identified by the two-dimensional barcode, wherein the one or more check parameters includes an amount allowed on the check; transferring the account holder information and the amount allowed on the check to the point of sale device; decoding, by the computing device, information regarding one or more check features embedded within the two-dimensional barcode, wherein the information includes positional information of the one or more check features; optically identifying, by the computing device, the one or more check features on the digital image of the check; generating, by the computing device, estimated positional information for the one or more check features that were optically identified; determining, by the computing device, a set of rotational and scaling adjustments by comparing the estimated positional information with the positional information of the one or more check features; and applying, by the computing device, the set of rotational and scaling adjustments to the digital image of the check to produce a more accurate representation of the check.

“2. The fraud prevention method of claim 1, wherein the account holder information includes a driver’s license number, a signature, or a photo of an account holder.

“3. The fraud prevention method of claim 1, further comprising: processing the digital image of the check using the one or more check parameters.

“4. The fraud prevention method of claim 3, wherein the one or more check parameters include an account indicator, account information, a government identifier, or an electronic watermark.

“5. The fraud prevention method of claim 1, further comprising electronically processing the more accurate representation of the check using a routing transit number associated with the check.

“6. The fraud prevention method of claim 1, wherein the one or more check features include a signature line, a date line, a memo line, a check number, a magnetic ink character recognition (MICR) code, an amount line, or an amount block.

“7. The fraud prevention method of claim 1, wherein the positional information embedded within the two-dimensional barcode includes a size of the check, a distance to a signature line on the check, a distance to one or more edges of the check, a distance from an edge of the check to the top, bottom, start, or end of a magnetic ink character recognition (MICR) code, and a distance to amount block on the check.

“8. A fraud prevention method comprising: receiving, from a point of sale device, a check from a user that includes a barcode identifying one or more check parameters; capturing, at the point of sale device, a digital image of the check; submitting, via a network, the digital image of the check to a check processing system; decoding, by a processor, the one or more check parameters identified by the barcode, wherein the one or more check parameters includes an amount allowed on the check; and verifying, during processing of the check by the check processing system, the one or more check parameters that were decoded.

“9. The fraud prevention method of claim 8, wherein the one or more check parameters further includes an account indicator if the check is drawn from a business account or a personal account, account information, a government identifier, or an electronic watermark.

“10. The fraud prevention method of claim 8, wherein account holder information is identified in the barcode and the method further comprises: decoding the account holder information identified within the barcode; and presenting the account holder information to a recipient of the check.

“11. The fraud prevention method of claim 8, wherein the barcode is a two-dimensional barcode.

“12. The fraud prevention method of claim 8, wherein the check from the user is a digital image of the check.

“13. The fraud prevention method of claim 8, further comprising: receiving, at the check processing system, the digital image of the check that has been remotely captured; decoding any positional information of one or more check features embedded within the barcode; identifying the one or more check features on the digital image of the check; generating estimated positional information for the one or more check features that were identified; determining a set of rotational and scaling adjustments by comparing the estimated positional information with the positional information of the one or more check features; and applying the set of rotational and scaling adjustments to the digital image of the check to produce a more accurate representation of the check.

“14. A non-transitory computer-readable storage medium containing a set of instructions, which, when executed by one or more processors, causes a machine to: receive, by a point of sale device, a check from a user, wherein the check includes a barcode identifying account holder information and one or more check parameters; capture a digital image of the check; submit, via a communications network, the digital image of the check to a check processing system, wherein the check processing system decodes the one or more check parameters identified by the barcode, wherein the one or more check parameters includes an amount allowed on the check; and transfer the account holder information and the amount allowed on the check to a display device.

“15. The non-transitory computer-readable storage medium of claim 14, wherein the set of instructions, when executed by the one or more processors, further causes the machine to electronically process the check using a routing transit number found on the check.

“16. The non-transitory computer-readable storage medium of claim 14, wherein the set of instructions, when executed by the one or more processors, further causes the machine to: verify the one or more check parameters that were decoded during the processing of the check.

“17. The non-transitory computer-readable storage medium of claim 14, wherein the check processing system further: decodes information regarding one or more check features embedded within the barcode, wherein the information includes positional information of the one or more check parameters; optically identifies the one or more check parameters on the digital image of the check; generates estimated positional information for the one or more check parameters that were optically identified; determines a set of rotational and scaling adjustments by comparing the estimated positional information with the positional information of the one or more check parameters; and applies the set of rotational and scaling adjustments to the digital image of the check to produce a more accurate representation of the check.”

For more information, see this patent: Buentello, Andre Rene; Haverlah, Sharon Kay. Method For Preventing Check Fraud. U.S. Patent Number 10,296,909, filed November 25, 2013, and published online on June 3, 2019. Patent URL: http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=10,296,909.PN.&OS=PN/10,296,909RS=PN/10,296,909

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