[001]The present invention relates to the field of electronic transactions, and more specifically
to methods and systems for sharing a Point-Of-Sale (POS) terminal between a plurality of merchants and for implementing payment transactions through a shared POS terminal.
Background of the invention
[002]Electronic transactions and payments using payment cards are increasingly common —
with the number of electronic payment transactions and ubiquity of electronic transaction mechanisms and services growing steadily.
[003] Payment cards enable consumers / purchasers to effect payment transactions by swiping
(or otherwise interfacing) a payment card with a point-of-sale (POS) terminal. As a consequence of growing preference among consumers for cashless transactions, merchants are incentivized to acquire a POS terminal for facilitating payment card based cashless transactions — and merchants who do not have access to a POS terminal run the risk of losing business.
[004] Acquiring a POS terminal however involves certain fixed costs, and small merchants are
often unable to afford these costs.
[005] Yet further, existing POS terminal systems are typically configured so as to be associated
with a single merchant — for the reason that the merchant's bank account / payment account into which customer payments are required to be transferred are written into the hardware or software of the POS terminal If multiple merchants seek to jointly acquire a common POS terminal, there are obvious difficulties in ensuring that payment transactions implemented at the common POS terminal are properly credited to the account of a merchant for whom a particular payment was intended.
[006] There is accordingly a need for expanding merchant access to POS terminals by enabling
sharing of POS terminals between a plurality of merchants, and simultaneously enabling predictable

and accurate crediting of funds received through a POS terminal to the specific merchants to whom such funds are credited.
Summary
[007] The invention relates to methods and systems for sharing a POS terminal between a
plurality of merchants and for implementing payment transactions through a shared POS terminal.
An embodiment of the invention provides a method for implementing an electronic payment transaction through a shared point-of-sale (POS) terminal. The method comprises implementing at a server, the steps of (i) receiving from the shared POS terminal, a unique merchant ID corresponding to a merchant account maintained at the server, payment information identifying a customer payment account, and a transaction amount, (ii) retrieving merchant information corresponding to the received unique merchant ID and transmitting the retrieved merchant information to the shared POS terminal for onward transmission within a transaction request message to an issuer server, wherein said transaction request message requests authorization of payment of the transaction amount from the customer payment account, and wherein the transaction request message includes the retrieved merchant information and the transaction amount , (iii) receiving from the shared POS terminal, authorization for payment of the transaction amount from the customer payment account, wherein said authorization for payment of the transaction amount from the customer payment account has been transmitted to the shared POS terminal from the issuer server, and (iv) recording in a data record associated with the unique merchant ID, the received authorization for payment of the transaction amount from the customer payment account, wherein said data record is retrievable for enabling transfer of the authorized payment of the transaction amount from the customer payment account.
In an embodiment of the method, the retrieved merchant information comprises at least information identifying a merchant bank account. Further, the information identifying the merchant bank account may include at least one of a merchant bank account number and a merchant bank identifier number.
In an embodiment, the transaction request message may transmitted to the issuer server through an acquirer server within an acquirer network that is in network communication with the shared POS terminal. The transaction request message may include data indicating that the authorization of

payment of the transaction amount from the customer payment account has been requested at a shared POS terminal that is shared among a plurality of merchants.
In a particular method embodiment, effecting the transfer of the authorized payment of the transaction amount from the customer payment account comprises implementing at the server, the further steps of (i) receiving from a terminal device, a request for settlement of payment transactions that have been authorized in connection with a specific unique merchant ID, (ii) retrieving and transmitting to the terminal device (a) information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, and (b) information identifying a merchant bank account associated with the specific unique merchant ID, and (iii) implementing through an acquirer server that is in network communication with the terminal device, transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID to the identified merchant bank account.
The retrieved and transmitted information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server may include any of payor bank account information, payor bank account number and an authorized transaction amount.
In a method embodiment, transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID comprises transfer of an authorized transaction amount from a payor bank account to a merchant bank account, wherein each of said authorized transaction amount, payor bank account and merchant bank account are associated with the specific unique merchant ID at the server.
The invention additionally provides a system for implementing an electronic payment transaction through a shared point-of-sale (POS) terminal. The system may comprise at least one processor implemented server configured to (i) receive from the shared POS terminal a unique merchant ID corresponding to a merchant account maintained at the server, payment information identifying a customer payment account, and a transaction amount, (ii) retrieve merchant information corresponding to the received unique merchant ID and transmitting the retrieved merchant

information to the shared POS terminal for onward transmission within a transaction request message to an issuer server, wherein said transaction request message requests authorization of payment of the transaction amount from the customer payment account, and wherein the transaction request message includes the retrieved merchant information and the transaction amount, (iii) receive from the shared POS terminal, authorization for payment of the transaction amount from the customer payment account, wherein said authorization for payment of the transaction amount from the customer payment account has been transmitted to the shared POS terminal from the issuer server, and (iv) record in a data record associated with the unique merchant ID, the received authorization for payment of the transaction amount from the customer payment account, wherein said data record is retrievable for enabling transfer of the authorized payment of the transaction amount from the customer payment account.
In a further embodiment of the system the retrieved merchant information comprises at least information identifying a merchant bank account.
The system may be configured such that the information identifying the merchant bank account includes at least one of a merchant bank account number and a merchant bank identifier number.
The system may be configured such that the transaction request message is transmitted to the issuer server through an acquirer server within an acquirer network that is in network communication with the shared POS terminal.
In a particular system embodiment, the transaction request message includes data indicating that the authorization of payment of the transaction amount from the customer payment account has been requested at a shared POS terminal that is shared among a plurality of merchants.
In a specific embodiment of the system, for effecting the transfer of the authorized payment of the transaction amount from the customer payment account comprises implementing at the server, the server may configured to (i) receive from a terminal device, a request for settlement of payment transactions that have been authorized in connection with a specific unique merchant ID, (ii) retrieve and transmit to the terminal device (a) information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, and (b)

information identifying a merchant bank account associated with the specific unique merchant ID, and (iii) implement through an acquirer server that is in network communication with the terminal device, transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID to the identified merchant bank account.
The system may be configured such that the retrieved and transmitted information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, includes any of payor bank account information, payor bank account number and an authorized transaction amount.
Further, the system may be configured such that transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID comprises transfer of an authorized transaction amount from a payor bank account to a merchant bank account, wherein each of said authorized transaction amount, payor bank account and merchant bank account are associated with the specific unique merchant ID at the server.
The invention additionally provides a computer program product for implementing an electronic payment transaction through a shared point-of-sale (POS) terminal. The computer program product comprises a non-transitory computer usable medium having computer readable program code embodied therein, the computer readable program code comprising instructions for implementing at a server, the steps of (i) receiving from the shared POS terminal, a unique merchant ID corresponding to a merchant account maintained at the server, payment information identifying a customer payment account, and a transaction amount, (ii) retrieving merchant information corresponding to the received unique merchant ID and transmitting the retrieved merchant information to the shared POS terminal for onward transmission within a transaction request message to an issuer server, wherein said transaction request message requests authorization of payment of the transaction amount from the customer payment account, and wherein the transaction request message includes the retrieved merchant information and the transaction amount , (iii) receiving from the shared POS terminal, authorization for payment of the transaction amount from the customer payment account, wherein said authorization for payment of the transaction amount from the customer payment account has been transmitted to the shared POS terminal from the issuer server, and (iv) recording in a data record
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associated with the unique merchant ID, the received authorization for payment of the transaction amount from the customer payment account, wherein said data record is retrievable for enabling transfer of the authorized payment of the transaction amount from the customer payment account.
In an embodiment of the method, the retrieved merchant information comprises at least information identifying a merchant bank account. Further, the information identifying the merchant bank account may include at least one of a merchant bank account number and a merchant bank identifier number.
Brief description of the accompanying drawings
[008] Figure 1 illustrates a prior art system for authenticating and implementing electronic
payment transactions through a POS terminal.
[009] Figure 2 illustrates a system environment configured in accordance with the teachings of
the present invention for enabling sharing of a POS terminal between a plurality of merchants and for implementing payment transactions through a shared POS terminal.
[0010] Figure 3 is a flowchart illustrating a method for merchant registration for using the
transaction services of a shared POS terminal.
[0011] Figure 4 is a communication flow diagram illustrating communication flow between
system entities for implementing the Figure 3 method for merchant registration.
[0012] Figure 5 illustrates an exemplary data structure configured to implement an embodiment
of the present invention.
[0013] Figure 6 is a flowchart illustrating a method of authorizing an electronic payment
transaction through a shared POS terminal in accordance with the teachings of the present invention.
[0014] Figure 7 is a communication flow diagram illustrating communication flow between
system entities for implementing the Figure 6 method for transaction authorization.
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[0015] Figure 8 is a flowchart illustrating a method of payment settlement for electronic payment
transactions that have been authorized through a shared POS terminal in accordance with the teachings of the present invention.
[0016] Figure 9 is a communication flow diagram illustrating communication flow between
system entities for implementing the Figure 8 method for transaction authorization.
[0017] Figure 10 illustrates an exemplary POS Share Control Server configured to implement
payment card transactions through a shared POS terminal.
[0018] Figure 11 illustrates an exemplary computer system according to which various
embodiments of the present invention may be implemented.
Detailed description
[0019] The invention relates to methods and systems for sharing a POS terminal between a
plurality of merchants and for implementing payment transactions through a shared POS terminal.
[0020] For the purposes of the present invention, the following terms shall be understood to have
the meanings provided below.
[0021] “Acquirer” shall mean a business (e.g., a financial institution or a merchant bank) that
contracts with a merchant to coordinate with the issuer network of a customers’ payment card.
[0022] “Acquirer network” shall refer to a communication network, including hardware,
software and other equipment used by an acquirer to transmit and process card based transactions and information related to merchants, customers, payment cards and transactions.
[0023] “Card holder” or “Customer” shall mean an authorized payment card user who is
making a purchase or effecting an electronic transaction with a payment card.
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[0024] “Card network” shall refer to the intermediary between the merchant’s acquirer and the
customer’s issuer (for example, Mastercard® or Visa®). The card network primarily coordinates payment card transactions between acquirers and issuers, and additionally coordinates clearing and settlement services to transfer payments from issuers to merchants.
[0025] “Issuer” shall mean a financial institution that issues payment cards and maintains a
contract with a customer or card holder for repayment or settlement of purchases made on the payment card.
[0026] “Issuer network” shall refer to a communication network, including hardware, software
and other equipment used by an issuer to transmit and process payment card transactions and information related to customers, payment cards and transactions.
[0027] “Merchant” shall mean an authorized acceptor of payment cards for the payment of
goods or services sold by the merchant.
[0028] “Payment card” shall mean a card or data associated with a payment account that may
be provided to a merchant in order to fund a financial transaction via the associated payment account. Payment cards may include credit cards, debit cards, charge cards, stored-value cards, prepaid cards, fleet cards, virtual payment numbers, virtual card numbers, controlled payment numbers, etc. A payment card may be a physical card that may be provided to a merchant, or may be data representing the associated payment account (e.g., as stored in a communication device, such as a smart phone or computer). For example, in some instances, data including a payment account number may be considered a payment card for the processing of a transaction funded by the associated payment account. In some instances, a check may be considered a payment card where applicable.
[0029] “Payment account” shall mean any account that may be used for the purposes of
effecting an electronic payment or electronic transaction, and shall include any electronic transaction account, payment card account, bank account or electronic wallet account.
[0030] “POS Terminal” shall mean any point-of-sale device or merchant device or client
terminal that is capable of receiving information for identifying an electronic payment account,
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payment card, or card holder, authenticating a card holder, and transmitting payment account information, payment card information or customer information directly or indirectly to one or more of an acquirer network, card network or issuer network. The term shall include without limitation, any point-of-sale software or point-of-sale application implemented on a client terminal or on a mobile communication device or on any other device, wherein said software or application does not require a card swipe event to detect payment card information, and which instead is configured to retrieve card details from a repository of card information, such as a data repository associated with a payment wallet, from a data repository or database wherein payment card details corresponding to a payment card may be retrieved based on a primary key associated with said payment card (for example, based on a mobile phone number associated with the payment card), or from an encoded data representation (for example, a bar code or QR code) having payment card information enrolled therein.
[0031] Figure 1 illustrates a system environment 100 of a type that is known in the prior art and
that can be used for implementing payment card or payment account based electronic transactions through a POS terminal 102. System environment 100 includes a POS terminal 102, acquirer network 104, card network 106 and issuer network 108.
[0032] Acquirer network 104 may be communicably coupled with POS terminal 102, and
comprises server 104a, acquirer network database 104b and interface gateway 104c. Server 104a may be configured to receive and process information relating to payment card transactions. In an embodiment, the acquirer network may receive or process transactions received only from merchants having a merchant account with the acquirer – which determination may be made based on information retrieved from acquirer network database 104b. Interface gateway 104c may include a hardware or software network gateway configured to enable acquirer network 104 to communicate with card network 106.
[0033] Card network 106 may be communicably coupled to both acquirer network 104 and issuer
network 108.
[0034] Issuer network 108 comprises server 108a, issuer network database 108b and interface
gateway 108c. Server 108a may be configured to receive and process information relating to payment card transactions. In an embodiment, the issuer network may only receive or process transactions
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received from merchants having a merchant account with the issuer – which determination may be made based on information retrieved from issuer network database 108b. Interface gateway 108c may include a hardware or software network gateway configured to enable issuer network 108 to communicate with card network 106.
[0035] It would be understood that in an embodiment, when system environment 100 is
configured to implement the present invention, POS terminal 102 may comprise any terminal device having data processing capabilities and network communication capabilities and which is capable of implementing a payment card based payment transaction, including without limitation a payment card swipe terminal device, or a terminal device configured for wireless communication with or wireless sensing of a payment card.
[0036] Figure 2 illustrates a system environment 200 configured to enable implementation of one or more of the invention embodiments described in more detail hereunder. A brief description of system 200 is provided hereinbelow, while further details of the operation / functionality / interoperability of various system components are provided in the description concerning the subsequent figures.
[0037] System environment 200 may be configured to enable execution of a payment transaction through a shared POS terminal 202 that is shared among a plurality of merchants. The system comprises shared POS terminal 202 in network communication with acquirer network 206 through communication network 204. Also communicably coupled with communication network 204 are issuer network 208, POS Share Control Server 210 and Identity Verification Platform 212 – in a manner that enables the various system entities within system environment 200 to communicate with one or more other such system entities
[0038] For the purposes of the present invention, shared POS terminal 202 shall comprise any POS terminal that is configured to be operated by a plurality of merchants in accordance with the teachings of the present invention.
[0039] Communication network 204 may comprise any data network (such as the internet) or any payment network (for example, the Mastercard®, VISA®, Discover® or American Express®
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payment networks) that enables electronic payment transactions using one or more payment cards or payment accounts.
[0040] Acquirer network 206 is a bank network used by an acquirer bank that has issued or authorized the issue of the shared POS terminal – and which may also comprise the banking institution with which one or more of the merchants who are sharing the services of shared POS terminal 202 maintain their respective bank accounts.
[0041] Issuer network 208 is a bank network which has issued a payment card or payment account through which a customer (who is using shared POS terminal 202) attempts to implement a payment transaction at shared POS terminal 202.
[0042] POS Share Control Server 210 is a server communicably coupled with communication network 204 and configured in a manner (described in connection with Figures 3 to 10) that enables shared POS terminal 202 to operate as a shared payment terminal resource between a plurality of merchants.
[0043] In various embodiments, POS Share Control Server 210 may be controlled, operated or managed by any one of several entities, including one or more of the merchants, a payment network or a payment intermediary (for example Mastercard®, Visa®, Discover® or American Express®), or any other trusted intermediary capable of provided the necessary activation services, an acquirer network 206 or an issuer network 208.
[0044] Identity verification platform 212 is a trusted third party platform configured to enable verification or authentication of the identity of individuals enrolled therewith. In certain embodiments, identity verification platform 212 includes one or more data records each corresponding to one of the merchants who are authorized to share the services of shared POS terminal 202.
[0045] One or more of said data records may each comprise (i) a unique identifier corresponding to the merchant (i.e. the intended user of the shared POS terminal) (ii) one or more items of identity data corresponding to said merchant and (iii) an association recorded between (i) and (ii). As discussed in more detail in connection with the method of Figure 3, subject to a merchant being able to successfully
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submit both of (i) her / his unique identifier, and (ii) the one or more items of corresponding identity data – to the identity verification platform 212 (for example through POS Share Control Server 210 or through acquirer network 206), said identity verification platform 212 confirms the identity of the merchant to POS Share Control Server 210 or to acquirer network 206 – and which identity confirmation may comprise a pre-requisite for enrolling the merchant for using the services of shared POS terminal 202. In an exemplary, non-limiting embodiment, identity verification platform 212 is the Government of India’s Unique Identification Authority of India (UIDAI) platform.
[0046] The configuration, functionality and role of each system entity within system environment 200 is discussed in more detail in connection with Figures 3 to 10 below.
[0047] Figure 3 is a flowchart illustrating a method for merchant registration with POS Share Control Server 210 for using the transaction services of a shared POS terminal 202.
[0048] At step 302, POS Share Control Server 210 receives from a terminal device (which may comprise any network communication enabled data processing device), a request for registration of a merchant for using the services of shared POS terminal 202. In an embodiment the terminal device from which the request for registration is received may comprise shared POS terminal 202. The request for registration of the merchant may be accompanied by one or more items of merchant data or merchant information – including for example, the merchant name, merchant location, type of goods / services provided by the merchant, and merchant bank account information (i.e. information identifying a merchant bank account).
[0049] Step 304 comprises receiving at POS Share Control Server 210, a unique registrant ID corresponding to the merchant, which unique registrant ID identifies an identity data record corresponding to the merchant, and that is maintained by identity verification platform 212 (with which said merchant has been previously enrolled). In an embodiment of the invention, where identity verification platform 212 is the UIDAI platform set up by the Government of India, the unique registrant ID may comprise the merchant’s Unique Identification Number (Aadhar number). Alternative, non-limiting examples of identifiers that may be used as the merchant’s unique registrant ID are the merchant’s passport number, social security number, voter ID number, ration card number, driver’s license number, and permanent account number (PAN).
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[0050] Step 306 comprises authenticating the merchant’s identity based on information retrieved from identity verification platform 212, which information corresponds to one or more data records associated with the unique registrant ID received from the merchant. In an embodiment, said authentication may include a query-response based information exchange between POS Share Control Server 210 and identity verification platform 212 – wherein POS Share Control Server 210 requests authentication of the requesting merchant’s identity based on the unique registrant ID received from the merchant and optionally based on at least one other item of identity data received from said merchant.
[0051] Responsive to a positive authentication of the merchant’s identity by identity verification platform 212, step 308 comprises transmitting a merchant identity authentication message or identity confirmation message from identity verification platform 212 to POS Share Control Server 210. Step 308 may optionally also include the step of transmitting from identity verification platform 212 to POS Share Control Server 210, bank account details of a bank account corresponding to the merchant – which bank account details may be stored with identity verification platform 212 in a data record associated with the merchant’s unique registrant ID.
[0052] At step 310, subsequent to POS Share Control Server 210 receiving an identity authentication message or identity confirmation message from identity verification platform 212, POS Share Control Server generates and/or stores a unique merchant ID, a merchant PIN and an associated merchant account – all corresponding to the merchant requesting access to the services of shared POS terminal 202. Said unique merchant ID, merchant PIN and information corresponding to the merchant account may be stored in a database accessible or controlled by POS Share Control Server 210 – and within one or more records associated with the generated merchant account. In a particular embodiment, the generated unique merchant ID may serve as a primary key or as a secondary key linking the various data records associated with the generated merchant account.
[0053] Thereafter at step 312, POS Share Control Server 210 transmits confirmation of successful generation of the merchant account to the merchant or to the terminal device from which the request for generation of the merchant account was received. Said transmission at step 312 may additionally
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include transmission of the unique merchant ID and / or the merchant PIN to the merchant for future access to the generated merchant account.
[0054] Figure 5 illustrates an exemplary data structure 500 that may be used to store data records corresponding to merchant accounts generated in accordance with the method of Figure 3. As illustrated in Figure 5, each data record within data structure 500 may include one or more of (i) data field 502 for storage of the unique merchant ID corresponding to the merchant account, and (ii) data field 504 configured to store merchant account data corresponding to each unique merchant ID. In the illustrated embodiment, data field 504 includes (i) sub-data field 5042 configured to store merchant information (for example, merchant name, merchant location, merchant code, descriptor(s) of goods / services provided by the merchant etc.), (ii) sub-data field 5044 configured to store information or identifiers corresponding to one or more shared POS terminals that the corresponding merchant is authorized to use, (iii) sub-data field 5046 configured to store a merchant PIN or other authentication data and (iv) sub-data field 5048 configured to store transaction data corresponding to transactions carried out by the corresponding merchant through the POS Share Control Server 210.
[0055] Figure 4 is a communication flow diagram illustrating communication flow between
system entities for implementing the Figure 3 method for merchant registration.
[0056] At step 4002, terminal device 402 transmits a request for merchant registration / merchant
enrollment at POS Share Control Server 412. Step 4004 comprises transmitting the unique registrant ID corresponding to the requesting merchant from terminal device 402 to POS Share Control Server 412.
[0057] At step 4006, POS Share Control Server 410 transmits the received unique registrant ID
and a request for identity authentication to identity verification platform 412 – which uses the received unique registrant ID of the merchant to authenticate the merchant identity. Responsive to a positive identity authentication decision, identity verification platform 412 transmits a merchant identity authentication message and optionally merchant bank account information corresponding to the received unique registrant ID – from identity verification platform 412 to POS Share Control Server 412.
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[0058] POS Share Control Server 412 thereafter generates a merchant account, unique merchant
ID and merchant PIN, and/or stores information relating to the generated merchant account, the unique merchant ID and merchant PIN – and at step 4010 transmits a confirmation that the merchant account, unique merchant ID and merchant PIN have been generated / stored to terminal device 402.
[0059] Figure 6 is a flowchart illustrating a method of authorizing an electronic payment
transaction through a shared POS terminal in accordance with the teachings of the present invention. The method of Figure 6 would be implemented when a customer seeking to make payment to a merchant presents a payment card for effecting a transaction payment through a shared POS terminal 202 that the merchant intends to use for the purpose of carrying out the proposed payment transaction. In such a situation, the individual operating the shared POS terminal 202 (i.e. the merchant, the customer or an operator designated to carry out transactions through the shared POS terminal 202) would require to be provided with the transaction amount, the unique merchant ID corresponding to said merchant’s account at POS Share Control Server 210, and the customer’s payment card or information identifying the customer’s payment card or payment account – which information may at step 602 be input at shared POS terminal 202 through a user interface or payment card interface or combination of the two.
[0060] Thereafter, step 604 comprises the step of transmitting the received unique merchant ID
and the transaction amount to POS Share Control Server 210 – whereafter the transmitted information may be stored at the POS Share Control Server 210 in one or more data records associated with a merchant account corresponding to the received unique merchant ID.
[0061] At step 606, POS Share Control Server 210 retrieves merchant information from merchant
account data records that correspond to the received unique merchant ID, and transmits the retrieved merchant information to shared POS terminal 202. In an embodiment, the retrieved merchant information comprises bank account information of the merchant whose unique merchant ID has been received – and may include at least a merchant’s bank account number and a merchant’s bank identifier number.
[0062] At step 608, shared POS terminal 202 generates a transaction request message that includes
the received merchant information, the transaction amount and optionally, a data field indicating that
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the transaction has been initialized at a shared POS terminal. By including a data field indicating that the transaction has been initialized at a shared POS terminal, the transaction request message informs an acquirer server that the intended recipient of payment may not be the merchant to whom the shared POS terminal 202 was originally issued by the acquirer network 208, and that the acquirer server instead requires to identify the intended recipient based on the merchant information that is included in the transaction request message. The transaction request message is transmitted to an issuer server within issuer network 208. In an embodiment, the transaction request message may be transmitted to the issuer server through an acquirer server within acquirer network 206 (i.e. within a network corresponding to the acquirer from whom shared POS terminal 202 has been obtained and that is in network communication with shared POS terminal 202).
[0063] At step 610, responsive to the issuer server authorizing the requested payment transaction,
a transaction authorization confirmation message is transmitted back to the shared POS terminal 202 from the issuer server – whereafter, notification of the transaction authorization may be forwarded to from the shared POS terminal 202 to POS Share Control Server 210. It would be understood that authorization of the requested payment transaction may be based on the issuer server authenticating the identity of the cardholder / accountholder requesting the payment transaction and / or ascertaining that the payment card or payment account has sufficient funds for implementing the requested payment transaction and / or any other conditionalities associated with the payment card or payment account.
[0064] At step 612, POS Share Control Server 210 records information corresponding to the
transaction authorization received from shared POS terminal 202 (received at step 602) in a data record corresponding to the receiving merchant’s unique merchant ID. The merchant may be notified of successful recordal of the transaction authorization. In an embodiment, a notification concerning recordal of the transaction authorization at POS Share Control Server 210 may be sent to the shared POS terminal 202 - so that the merchant may release the goods / services to the customer. In a particular embodiment, the information recorded at POS Share Control Server corresponding to the received transaction authorization may include one or more of payor’s bank account information, a payor’s bank identifier number and a corresponding transaction amount that has been authorized by the issuer server.
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[0065] As discussed in more detail in connection with Figures 8 and 9 the data records created at
step 612 may be subsequently retrieved and used for the purposes of transaction settlement.
[0066] Figure 7 is a communication flow diagram illustrating communication flow between
system entities for implementing the method for transaction authorization of Figure 6.
[0067] Step 7002 comprises receiving at shared POS terminal 702, (i) a unique merchant ID
corresponding to the recipient merchant’s account that has been generated by and that is maintained at POS Share Control Server 210, (ii) a desired transaction amount, and (iii) the customer’s payment card or information identifying the customer’s payment card or payment account.
[0068] At step 7004, the received unique merchant ID and transaction amount are transmitted
from shared POS terminal 702 to POS Share Control Server 710. Based on the received unique merchant ID, POS Share Control Server 710 retrieves merchant information from one or more data records associated with a merchant account maintained at POS Share Control Server 710. The retrieved merchant information may in an embodiment include bank account information of the merchant whose unique merchant ID has been received – and may include at least a merchant’s bank account number and a merchant’s bank identifier number.
[0069] Step 7006 comprises transmitting the merchant information retrieved from POS Share
Control Server 710, to shared POS terminal 702. Shared POS terminal 702 thereafter generates a transaction request message. The transaction request message may include the received merchant information, the transaction amount and a data field indicating that the transaction has been initialized at a shared POS terminal. As discussed in connection with Figure 6, inclusion of a data field indicating that the transaction has been initialized at a shared POS terminal ensures that the transaction request message informs a receiving acquirer server that the intended recipient of payment may not be the merchant to whom the shared POS terminal 202 was originally issued by the acquirer network 208, and that the acquirer server requires to ascertain the intended recipient of the payment based on the merchant information that is included in the transaction request message.
[0070] At step 7008, the generated transaction request message is transmitted from shared POS
terminal 702 to issuer server 708. In an embodiment, this transmission may occur through an acquirer
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server within an acquirer network (i.e. within a network corresponding to the acquirer from whom shared POS terminal 202 has been obtained).
[0071] Responsive to receiving the transaction request message, issuer server 708 authorizes the
requested transaction – which authorization may be contingent on issuer server 708 authenticating the identity of the cardholder / account holder who has requested the payment transaction, and / or ascertaining that the payment card or payment account has sufficient funds for implementing the requested payment transaction, and / or any other conditionalities associated with the payment card or payment account.
[0072] Responsive to successful authorization of the transaction by issuer server 708, step 7010
comprises transmitting a transaction authorization message or transaction authorization confirmation to shared POS terminal 702. At step 7012, shared POS terminal 702 forwards a transaction authorization message or transaction authorization confirmation to POS Share Control Server 710 – so that POS Share Control Server 710 may thereafter record the received transaction authorization in a data record corresponding to the receiving merchant. POS Share Control Server 710 may also notify the receiving merchant or the shared POS terminal 702 of successful recordal of the transaction authorization, so that the receiving merchant may now release the goods / services to the customer.
[0073] Figure 8 is a flowchart illustrating a method of payment settlement for electronic payment
transactions that have been authorized through a shared POS terminal in accordance with the teachings of Figures 6 or 7.
[0074] Step 802 comprises receiving at POS Share Control Server 210 (for example, from shared
POS terminal 202), (i) a payment settlement request requesting settlement of one or more authorized payment transactions (that have been successfully authorized in accordance with the methods of Figures 7 and 8) , (ii) a unique merchant ID corresponding to the merchant who is the intended recipient of the authorized payment(s), and who has a merchant account corresponding to the unique merchant ID at POS Share Control Server 210, and (iii) a merchant PIN corresponding to said merchant account. In an embodiment, said payment settlement request, unique merchant ID and merchant PIN may be received from a terminal device (for example from shared POS terminal 202
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or from any other terminal device configured for network based communication with POS Share Control Server 210).
[0075] Step 804 comprises authenticating the identity of the merchant requesting settlement of
her/his authorized payment transactions, based on the received unique merchant ID and merchant PIN. In an embodiment, the authentication of identity may be executed at POS Share Control Server 210 by comparing the unique merchant ID and merchant PIN received at step 802 against records stored within POS Share Control Server 210 – and authenticating the identity of the merchant if the received unique merchant ID and merchant PIN match stored merchant account information.
[0076] Step 806 comprises retrieving and transmitting from POS Share Control Server 210 to
shared POS terminal 202 (or to such other terminal device from which the request for settlement has been received) (i) information identifying one or more authorized payment transactions associated with the unique merchant ID and (ii) merchant information corresponding to said unique merchant ID. In an embodiment, the information corresponding to each of the one or more authorized payment transactions associated with the unique merchant ID that is transmitted to shared POS terminal 202 (or to such other terminal device from which the request for settlement has been received) includes one or more of payor’s bank account information, a payor’s bank identifier number and corresponding transaction amount(s) that has been authorized by the payor’s bank for payment (in accordance with the method steps of Figure 6). In an embodiment, the merchant information (corresponding to the unique merchant ID) that is transmitted to shared POS terminal 202 (or to such other terminal device that the merchant is using to request settlement) includes at least a merchant’s bank account number and a merchant’s bank identifier number.
[0077] Step 808 comprises transmitting from the shared POS terminal 202 to an acquirer server
(or from such other terminal device that the merchant is using to request settlement) (i) information identifying a merchant bank account corresponding to the merchant and (ii) information identifying pending payment transactions associated with the merchant, for which authorizations have already been received from the issuers of the payor’s payment card or payment account, and which are currently pending settlement. It would be understood that this information can be extracted or derived from the information received at step 806 and that this information may be transmitted to an acquirer server within an acquirer network that has issued the shared POS terminal 202.
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[0078] At step 810, the acquirer server uses the information received at step 808 to generate one
or more settlement requests corresponding to each distinct issuer identified based on said information – and forwards said one or more settlement requests to corresponding issuer servers for settlement. In an embodiment, each settlement request may additionally include at least a payor bank account number and a transaction amount. It would be understood that a settlement request may comprise a batch request that includes information relating to multiple authorized transactions involving a single or multiple account holders within an issuer bank – all of which authorized transactions can be settled by the issuer bank on a consolidated / batch basis.
[0079] Responsive to the transmitted settlement requests, the acquirer bank or acquirer network
receives payments from each of the issuer banks that have authorized payments to the merchant. The acquirer bank thereafter effects transfer of funds to the merchant’s bank account that has been identified in the merchant information transmitted at step 806. It would be understood that the funds actually transferred to the merchant’s bank account may in various embodiments be adjusted by deducting one or more of an acquirer transaction fee or a payment network fee for implementing the above payment transactions.
[0080] In an embodiment of the method of Figure 8, all funds associated with transactions
effected through a shared POS terminal 202 are transferred by the acquirer network into a common bank account associated with the shared POS terminal. In a more specific embodiment of the invention, this common bank account may be controlled by a payment network – wherein the payment network credits individual shares in the received amount to each merchant based on each merchant’s share in the total corpus of received funds.
[0081] Figure 9 is a communication flow diagram illustrating communication flow between
system entities for implementing the method for transaction authorization of Figure 8 – wherein the settlement request is initiated at a shared POS terminal 902.
[0082] Step 9002 comprises transmitting from shared POS terminal 902 to POS Share Control
Server 910, a payment settlement request accompanied by the unique merchant ID and PIN of the requesting merchant.
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[0083] POS Share Control Server 910 authenticates the requesting merchant’s identity based on
the received unique merchant ID and merchant PIN. Responsive to successful authentication of the merchant’s identity, at step 9004 POS Share Control Server 910 transmits to shared POS terminal 902, (i) information on one or more pending payment transactions that have been authorized and that are associated with the unique merchant ID, and (ii) corresponding merchant information associated with said unique merchant ID. In an embodiment, the information corresponding to each of the one or more pending payment transactions that is transmitted to shared POS terminal 902 includes one or more of the payor’s bank account information, the payor’s bank identifier and a corresponding transaction amount that has been authorized. In an embodiment, the merchant information (corresponding to the unique merchant ID) that is transmitted to shared POS terminal 902 includes at least a merchant’s bank account number and a merchant’s bank identifier number that are retrieved from POS Share Control Server 910.
[0084] Step 9006 comprises transmitting from shared POS terminal 902 to an acquirer server 906
associated with an acquirer network that has issued the shared POS terminal 902, (i) information identifying the requesting merchant’s payment account and (ii) information identifying payment transactions that have been authorized and are pending clearance, and that are associated with the requesting merchant.
[0085] Step 9008 comprises generating and transmitting settlement request(s), to each distinct
issuer identified based on the information received at step 9006 – for settlement. As discussed in connection with Figure 8, each settlement request may include at least a payor bank account number and a transaction amount. It would be understood that a settlement request may comprise a batch request that includes information relating to multiple authorized transactions involving a single account holder or multiple account holders within an issuer bank – all of which authorized transactions can be settled by the issuer bank on a consolidated / batch clearance basis.
[0086] At step 9010, acquirer server 906, or an acquirer network within which acquirer server 906
is located, or an acquirer bank associated with acquirer server 906, receives payment from each of the issuer banks to whom the respective settlement requests have been transmitted at step 9006. Acquirer server 906 thereafter credits the received settlement amounts to the merchant’s bank accounts – and
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may optionally deduct one or more sets of bank fees or payment network fees that may be applicable for implementing the settled payment transaction(s).
[0087] Step 9012 may involve acquirer server 906 transmitting confirmation of the payment
settlement(s) to the merchant that has requested such settlement(s). In one embodiment, notification of such settlement(s) may be transmitted to shared POS terminal 902 through which the merchant had initiated the settlement request.
[0088] Figure 10 illustrates an exemplary embodiment of a POS Share Control Server 210 that
has been configured to implement payment card transactions through a shared POS terminal. POS Share Control Server 210 comprises processor 2102, network interface 2104, merchant account generation request handler 2106, merchant account database 2108, memory 2110, authorized transaction log handler 2112, settlement handler 2114 and notification handler 2116.
[0089] It would be understood that processor 2102 and memory 2110 cooperate to achieve one
or more of the functionalities of POS Share Control Server 210 and / or the components thereof.
[0090] Network interface 2104 is an interface configured for enabling network communication
between POS Share Control Server 210 and one or more other network communication enabled devices or terminals.
[0091] Merchant Account Generation Request Handler 2106 is a processor implemented handler
that is configured for merchant account generation in accordance with the methods of Figure 3.
[0092] Merchant account database 2108 is a non-transitory memory based storage database that
is accessible to one or more other components within POS Share Control Server 210 and that is configured to store one or more merchant data records – for example data records of a type that are stored within the exemplary data structure of Figure 5.
[0093] Authorized transaction log handler 2112 is a processor implemented transaction log
handler that enables storing of information relating to authorized pending payment transactions associated with a merchant account. In an embodiment, authorized transaction log handler 2112 may
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be configured to store transaction data corresponding to a merchant through POS Share Control Server 210 in sub-data field 5048 of Figure 5.
[0094] Settlement handler 2114 is a processor implemented payment settlement handler that is
configured to implement one or more of the method steps of Figure 8 hereinabove.
[0095] Notification handler 2116 is a processor implemented communication interface that is
configured to enable POS Share Control Server 210 to communicate with external entities and to send notifications to and receive notifications from such external entities in accordance with the teachings of Figures 3 to 9.
[0096] Figure 11 illustrates an exemplary computer system according to which various
embodiments of the present invention may be implemented.
[0097] Figure 11 illustrates an exemplary system 1100 for implementing the present invention.
[0098] System 1100 includes computer system 1102 which in turn comprises one or more
processors 1104 and at least one memory 1106. Processor 1104 is configured to execute program instructions - and may be a real processor or a virtual processor. It will be understood that computer system 1102 does not suggest any limitation as to scope of use or functionality of described embodiments. The computer system 1102 may include, but is not be limited to, one or more of a general-purpose computer, a programmed microprocessor, a micro-controller, an integrated circuit, and other devices or arrangements of devices that are capable of implementing the steps that constitute the method of the present invention. Exemplary embodiments of a computer system 1102 in accordance with the present invention may include one or more servers, desktops, laptops, tablets, smart phones, mobile phones, mobile communication devices, tablets, phablets and personal digital assistants. In an embodiment of the present invention, the memory 1106 may store software for implementing various embodiments of the present invention. The computer system 1102 may have additional components. For example, the computer system 1102 may include one or more communication channels 1108, one or more input devices 1110, one or more output devices 1112, and storage 1114. An interconnection mechanism (not shown) such as a bus, controller, or network, interconnects the components of the computer system 1102. In various embodiments of the present
24

invention, operating system software (not shown) provides an operating environment for various software(s) executing in the computer system 1102 using a processor 1104, and manages different functionalities of the components of the computer system 1102.
[0099] The communication channel(s) 1108 allow communication over a communication medium to various other computing entities. The communication medium provides information such as program instructions, or other data in a communication media. The communication media includes, but is not limited to, wired or wireless methodologies implemented with an electrical, optical, RF, infrared, acoustic, microwave, Bluetooth or other transmission media.
[00100] The input device(s) 1110 may include, but is not limited to, a touch screen, a keyboard,
mouse, pen, joystick, trackball, a voice device, a scanning device, or any another device that is capable of providing input to the computer system 1102. In an embodiment of the present invention, the input device(s) 1110 may be a sound card or similar device that accepts audio input in analog or digital form. The output device(s) 1112 may include, but not be limited to, a user interface on CRT, LCD, LED display, or any other display associated with any of servers, desktops, laptops, tablets, smart phones, mobile phones, mobile communication devices, tablets, phablets and personal digital assistants, printer, speaker, CD/DVD writer, or any other device that provides output from the computer system 1102.
[00101] The storage 1114 may include, but not be limited to, magnetic disks, magnetic tapes, CD-ROMs, CD-RWs, DVDs, any types of computer memory, magnetic stripes, smart cards, printed barcodes or any other transitory or non-transitory medium which can be used to store information and can be accessed by the computer system 1102. In various embodiments of the present invention, the storage 1114 may contain program instructions for implementing any of the described embodiments.
[00102] In an embodiment of the present invention, the computer system 1102 is part of a
distributed network or a part of a set of available cloud resources.
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[00103] The present invention may be implemented in numerous ways including as a system,
a method, or a computer program product such as a computer readable storage medium or a computer network wherein programming instructions are communicated from a remote location.
[00104] The present invention may suitably be embodied as a computer program product for
use with the computer system 1102. The method described herein is typically implemented as a computer program product, comprising a set of program instructions that is executed by the computer system 1102 or any other similar device. The set of program instructions may be a series of computer readable codes stored on a tangible medium, such as a computer readable storage medium (storage 1114), for example, diskette, CD-ROM, ROM, flash drives or hard disk, or transmittable to the computer system 1102, via a modem or other interface device, over either a tangible medium, including but not limited to optical or analogue communications channel(s) 1108. The implementation of the invention as a computer program product may be in an intangible form using wireless techniques, including but not limited to microwave, infrared, Bluetooth or other transmission techniques. These instructions can be preloaded into a system or recorded on a storage medium such as a CD-ROM, or made available for downloading over a network such as the Internet or a mobile telephone network. The series of computer readable instructions may embody all or part of the functionality previously described herein.
[00105] Based on the above, it would be apparent that the present invention offers significant advantages - including enabling expansion of digital access by increasing merchant access to POS terminals through sharing of POS terminals between a plurality of merchants, and simultaneously enabling predictable and accurate crediting of funds received through a POS terminal to the specific merchants to whom such funds are credited.
[00106] While the exemplary embodiments of the present invention are described and illustrated herein, it will be appreciated that they are merely illustrative. It will be understood by those skilled in the art that various modifications in form and detail may be made therein without departing from or offending the spirit and scope of the invention as defined by the appended claims. Additionally, the invention illustratively disclose herein suitably may be practiced in the absence of any element which is not specifically disclosed herein — and in a particular embodiment that is specifically contemplated,

the invention is intended to be practiced in the absence of any one or more element which are not specifically disclosed herein.

We Claim:

A method for implementing an electronic payment transaction through a shared point-of-
sale (POS) terminal, comprising implementing at a server, the steps of:
receiving from the shared POS terminal:
a unique merchant ID corresponding to a merchant account maintained at the server;
payment information identifying a customer payment account; and
a transaction amount;
retrieving merchant information corresponding to the received unique merchant ID and transmitting the retrieved merchant information to the shared POS terminal for onward transmission within a transaction request message to an issuer server, wherein said transaction request message requests authorization of payment of the transaction amount from the customer payment account, and wherein the transaction request message includes the retrieved merchant information and the transaction amount;
receiving from the shared POS terminal, authorization for payment of the transaction amount from the customer payment account, wherein said authorization for payment of the transaction amount from the customer payment account has been transmitted to the shared POS terminal from the issuer server; and
recording in a data record associated with the unique merchant ID, the received authorization for payment of the transaction amount from the customer payment account, wherein said data record is retrievable for enabling transfer of the authorized payment of the transaction amount from the customer payment account.
2. The method as claimed in claim 1, wherein the retrieved merchant information comprises
at least information identifying a merchant bank account.

3. The method as claimed in claim 2, wherein the information identifying the merchant bank account includes at least one of a merchant bank account number and a merchant bank identifier number.
4. The method as claimed in claim 1, wherein the transaction request message is transmitted to the issuer server through an acquirer server within an acquirer network that is in network communication with the shared POS terminal.
5. The method as claimed in claim 1, wherein the transaction request message includes data indicating that the authorization of payment of the transaction amount from the customer payment account has been requested at a shared POS terminal that is shared among a plurality of merchants.
6. The method as claimed in claim 1, wherein effecting the transfer of the authorized payment of the transaction amount from the customer payment account comprises implementing at the server, the further steps of:
receiving from a terminal device, a request for settlement of payment transactions that have been authorized in connection with a specific unique merchant ID;
retrieving and transmitting to the terminal device (i) information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, and (ii) information identifying a merchant bank account associated with the specific unique merchant ID; and
implementing through an acquirer server that is in network communication with the terminal device, transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID to the identified merchant bank account.
7. The method as claimed in claim 6, wherein the retrieved and transmitted information
corresponding to one or more authorized payment transactions that have been associated with the

specific unique merchant ID at the server, includes any of payor bank account information, payor bank account number and an authorized transaction amount.
8. The method as claimed in claim 6, wherein transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID comprises transfer of an authorized transaction amount from a payor bank account to a merchant bank account, wherein each of said authorized transaction amount, payor bank account and merchant bank account are associated with the specific unique merchant ID at the server.
9. A system for implementing an electronic payment transaction through a shared point-of-sale (POS) terminal, the system comprising at least one processor implemented server configured to:
receive from the shared POS terminal:
a unique merchant ID corresponding to a merchant account maintained at the server;
payment information identifying a customer payment account; and
a transaction amount;
retrieve merchant information corresponding to the received unique merchant ID and transmitting the retrieved merchant information to the shared POS terminal for onward transmission within a transaction request message to an issuer server, wherein said transaction request message requests authorization of payment of the transaction amount from the customer payment account, and wherein the transaction request message includes the retrieved merchant information and the transaction amount;
receive from the shared POS terminal, authorization for payment of the transaction amount from the customer payment account, wherein said authorization for payment of the transaction amount from the customer payment account has been transmitted to the shared POS terminal from the issuer server; and

record in a data record associated with the unique merchant ID, the received authorization for payment of the transaction amount from the customer payment account, wherein said data record is retrievable for enabling transfer of the authorized payment of the transaction amount from the customer payment account.
10. The system as claimed in claim 9, wherein the retrieved merchant information comprises at least information identifying a merchant bank account.
11. The system as claimed in claim 10, configured such that the information identifying the merchant bank account includes at least one of a merchant bank account number and a merchant bank identifier number.
12. The system as claimed in claim 9, configured such that the transaction request message is transmitted to the issuer server through an acquirer server within an acquirer network that is in network communication with the shared POS terminal.
13. The system as claimed in claim 9, configured such that the transaction request message includes data indicating that the authorization of payment of the transaction amount from the customer payment account has been requested at a shared POS terminal that is shared among a plurality of merchants.
14. The system as claimed in claim 9, wherein for effecting the transfer of the authorized payment of the transaction amount from the customer payment account comprises implementing at the server, the server is configured to:
receive from a terminal device, a request for settlement of payment transactions that have been authorized in connection with a specific unique merchant ID;
retrieve and transmit to the terminal device (i) information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, and (ii) information identifying a merchant bank account associated with the specific unique merchant ID; and

implement through an acquirer server that is in network communication with the terminal device, transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID to the identified merchant bank account.
15. The system as claimed in claim 14, configured such that the retrieved and transmitted information corresponding to one or more authorized payment transactions that have been associated with the specific unique merchant ID at the server, includes any of payor bank account information, payor bank account number and an authorized transaction amount.
16. The system as claimed in claim 14, configured such that transfer of payment amounts corresponding to the one or more authorized payment transactions that have been associated with the specific unique merchant ID comprises transfer of an authorized transaction amount from a payor bank account to a merchant bank account, wherein each of said authorized transaction amount, payor bank account and merchant bank account are associated with the specific unique merchant ID at the server.