Note: Descriptions are shown in the official language in which they were submitted.
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Description
Secure Postaqe Pavment System and Method
Technical Field
The invention relates to postage payment
systems and methods, and particularly to systems and
methods for managing and securely dlspensing postage
payments.
Backqround of the Invention
In this information age, use of computers to
process, transfer, and store data is u~iquitous. To
prevent tampering or unauthorized use of the data which
contains vital information, cryptographic technology has
been developed.
Well-known cryptographic methods for
maintaining secrecy of data communications include a data
encryption standard (DES) method. For details on the DES
method, one may refer to: M. Smid et al., I'The Data
Encryption Standard: Past and Future, 1I Proceedinqs of the
IEEE, Vol. 76, No. 5, May 1988. This method requires a
DES algorithm, and a secret key known only to the sender
and recipient of the data. The DES algorithm involves a
number of iterations of a simple transformation of the
data using the key. In each transformation,
transposition and substitution techniques are alternately
applied to the data.
Also well-known is the RSA cryptographic
method, named after its developers, Rivest, Shamir and
Adleman. For details on the RSA method, one may refer
to: R. Rivest et al., I'A Method ~or Obtaining Digital
Signatures and Public Key Cryptosystems," Communications
of the ACM, Vol. 21, No. 2, February 1978. The RSA
method involves a public key algorithm which uses a
~ private key and a public key for data encryption. Unlike
a private key, a public key can be published and made
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known to the public. The keys for the RSA algorithm are
generated mathematically, and are computational inverses
to each other. The success of the RSA method depends on
the use of very large numbers for the keys.
In addition to providing encryption of a data
message, some cryptographic methods can also be used to
authenticate the message. For example, public key
encryption algorithms such as the aforementioned RSA
algorithm can be used to produce a "digital signature'~
for verifying the origin of the message and the identity
of the sender. Another algorithm known as the "Digital
Signature Algorithm (DSA)" can be used for that purpose
as well. A digital signature is distinct for each data
transaction. When a message is encrypted at the sender's
end, the sender uses his/her private key to digitally
sign the message. When the message is decrypted at the
recipient's end, the recipient uses the sender~s public
key to verify the digital signature. If any alteration
in either signature or message occurs, the signature does
not verify.
Another well-known method for verifying the
authenticity of a data message is based on the idea of
arbitrated authentication. In accordance with this
method, a third-party certification authority (sometimes
called a "digital notary") certifies an individual's or
entity's public key so that the authority authenticating
the digital signature is assured that the public key used
to verify the message contents is truly associated with
the sender.
Because of the ubiquitous presence of computers
(in particular, personal computers (PCs)), prior art has
suggested use of a general purpose computer, in lieu of a
specialized postage meter, to print postage indicia
serving as a proof of postage on mail pieces. To deter~ 35 printing of unauthorized postage, the postage indicium
applied on a mail piece includes postal data which is
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i
digitally signed, and thereby can be authenticated by a
postal authority when the mail piece is processed. To
facilitate the mail processing, the indicium is generated
in the form of a bar-code readable by a scanner.
Summary of the ~nvention
In accordance with the invention, a postage
payment system incorporating a general purpose computer
is capable of securely dispensing postage, and
efficiently generating mail pieces. In particular, with
the inventive postage payment system, po~tage indicia are
advantageously generated at the same time as mail
contents such as letters, invoices, and statements. In
accordance with an aspect of the invention, a postage
indicium is applied onto a selected location of the mail
content. In the preferred embodiment, the mail content
is placed into a window envelope such that the postage
indicium on the mail content exposes through a window of
the envelope to facilitate inspection of the indicium.
In addition, the inventive sy~tem is capable of
conducting encrypted communications, and loading and
dispensing of postage funds stored in a secure integrated
circuit (IC) card. Moreover, the inventive system
provides charge-back accounting capabilities to account
for postage expenses by individuals or departments.
Further, the inventive ~ystem is capable of extracting
from the mail contents certain postal data such as zip
code data for inclusion in a postage indicium.
Still further, we have revolutionized the
concept o~ a postage indicium which is traditionally used
as a proof of postage for mailing services rendered by a
postal authority, such as the United States Postal
Service (USPS). We have recognized that a postage
indicium is documentation of a transaction by the~ 35 originator of the indicium. Thus, in accordance with
another aspect of the invention, ~y incorporating, in
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addition to the traditional postal data, transactional
data including a transaction amount and payment
instructions in a postage indicium, the indicium becomes
a money order payable to a specified payee. In that
instance, when the postal authority inspects the
indicium, recoynizing that at least part of the indicium
represents a money order, the postal authority acts as a
payer bank and pays the transaction amount to the
~peci~ied payee according to the payment instructions.
As such, the postage indicium can be used not only as a
proof of postage ~or the mail piece being delivered by
the postal authority, but also as a money order to pay
bills or repay debts to any party which may or may not be
the recipient o~ the mail piece.
In particular, by specifying the payee of the
money order represented by the indicium to be a courier
(e.g., FedEx) different from the postal authority, and
the transaction amount to be the cost of the courier
ser~ice, we have invented a universal postage indicium
for paying any courier service.
Brie~ Descri~tion of the Drawinq
Further objects, features and advantages of the
invention will become apparent from the following
detailed description taken in conjunction with the
accompanying fiqures showing a preferred embodiment of
the invention, in which:
Fig. 1 illustrates a postage payment system in
accordance with the invention;
Fig. 2 is a block diagram of an integrated
circuit (IC) card used in the sys~em of Fig. 1 to
dispense postage;
Fig. 3A illustrates a document generated by the
system of Fig. f in accordance with the invention;
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Fig. 3B illustrates a window envelope in
accordance with the invention for enclosing the document
of Fig. 3A;
Fig. 4 i~ a ~low chart depicting the steps of a
mailing application program used in the system of ~ig. 1;
Fig. 5 i~ a ~low chart depictin~ the step~ o~ a
routine run by a mail processor in the system of Fig. 1;
Fig. 6 illustrates a postage indicium generated
by the system of Fig. 1;
Fig. 7 illustrate a second postage indicium in
accordance with the invention; and
Fig. 8 is a table enumerating di~erent data
fields in a bar-code portion of the indicium of Fig. 7.
Throughout the figures of the drawing, the same
reference numerals and characters are used to denote like
features, elements, components or portions of the
illustrated system.
Detailed Description
Fig. 1 illustrates postage payment system 100
embodying the principles of the invention. As shown in
Fig. 1, system 100 comprises computer 103 (e.g., a
standard PC or workstation), mail processor 150,
integrated circuit (IC) card 180, and printer 190 (e.g.,
a standard inkjet or laser printer). In particular,
installed on computer 103 is a mailing application
program in accordance with the invention. Also installed
on the computer is conventional word processor, billing,
accounting and/or other software which, among other
things, enables a user to generate mail contents in text
and graphics. Computer 103 is connected to mail
processor 150.
Central to mail processor 150 is microprocessor
155 which, among other things, communicates and processes
~ 35 data to and from various interfaces. These interfaces
include communications interface 161 for connection with
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computer 103 as mentioned before, serial interfaces 163
and 165 for connection with devices such as a
conventional optical scanner (e.g., a bar-code scanner)
and postage scale, PCMCIA or serial (PCMCIA/serial)
S interface 167 for interfacing with IC card 180, and
printer parallel interface 16g for connection with
printer 190.
Processor 150 includes rate storage 156 for
storing rate schedule data relating to different courier
services. Because of the volume of the data involved,
storage 156 in this instance is dedicated, and a non-
volatile memory which may be an electrically erasable
programmable read-only memory (EEPROM), a flash EEPROM,
or a battery-backed random-access memory (RAM). The rate
schedule data may be stored in a manner typified by
tables or other formats to facilitate the search=by
microprocessor 115 for correct postage rates for the mail
piece being processed. Other related information for use
in optimum methods to obtain postage may also be stored
in storage 156. As is well known, the cost of delivery
of a mail piece to a destination depends upon not only
the weight of the mail piece, but also the particular
courier service used, the destination zone, the class of
shipment, and the selected service options. For example,
in the United States, courier services such as USPS,
United Parcel Service (UPS) and FedEx each have
independent, different postage rates, and charges for
different service options. For instance, USPS has
various rates for first, second and third mailing
classes, standard (A) classes, express mail service,
priority mail service, parcel post service, book rate
service, etc. UPS levies extra charges for service
options such as the collect on delivery (COD), delivery
confirmation response (DCR) and declared value (DV)
~ 35 options.
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Mail processor 150 also includes memory 158 for
storing a control program, which contains various
routines for microprocessor 155 to per~orm in carrying
out different functions to be described.
Referring to Fig. 2, IC card 180 has P~MCIA/
serial interface 201 for interfacing with and insertion
into mail processor 150, and includes cryptographic
processor 205, and secure memory 207. The components in
IC card 180 may be realized using a chip set of the type
of the NETARMOR VMS310 chip set manufactured by VLSI
Technology, Inc, or alternatively the chip set typified
by smart card technology.
Secure memory 207 which is a nonvolatile memory
comprises a descending register and an ascending
register. In a conventional manner, the descending
register is used to keep track of an amount of postage
available for dispensation. On the other hand, the
ascending register is used to keep track of an amount of
postage dispensed. It may be desirable to store the
accounting data in the registers redundantly, as set
forth in PCT Pub. No. WO 89-11134. In addition, it is
extremely desirable to protect the memory from harm due
to processor malfunction, as set forth in U.S. Patent No.
5,276,884, in EP Pub. No. 527010, or in EP Pub. No.
737944.
When the value of the descending register
decreases over time below a predetermined limit, system
100 can no longer dispense po~tage until the descending
register is reset. Such a reset can be accomplished
using well-known telemeter setting (TMS) techniques. For
example, some of these techniques are disclosed in EPO
Pub. No. EP 442671, PCT Pub. No. WO 86-05611, U.S. Patent
No. 5,237,506, and U.S. Patent No. 4,097,923.
Using a TMS technique in this instance, the~ 35 user need not carry card 180 to a postal authority for
authorized resetting of the register To initiate a TMS
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process in system 100, the user is required to enter a
key or password on mail processor 150 using its keypad
(not shown). Veri~ication o~ the password entry ensures
that the user is authorized to conduct such a process.
After the pas~word entry is veri~ied, processor 15Q
initiates a call through a modem (not shown) incorporated
in computer 103 to a computerized central facility,
requesting additional available postage. Upon receipt o~
the call, the central ~acility verifies speci~ied
encrypted data stored in secure memory 207 of card 180,
and ascertains the availability o~ ~unds in the user~s
prefunded escrow account. After the encrypted data is
validated and the funds are found to be sufficient, the
central facility de~its the user's account and remotely
resets the descending register in card 180 accordingly.
A message is then communicated to mail processor 150,
confirming the ~unds transfer.
It will be appreciated that the postage funds
on card 180 may also be recharged at an automatic teller
machine (ATM) or a similar machine using an ATM card, a
credit card, debit card, charge card, telephone calling
card, telephone prepaid card or prepaid transit fare
card, or at a vending machine using cash; or recharged
using other funds transfer techniques including
electronic funds transfer (EFT) through a private
network, the ATM network, the EFT network, the Internet,
etc.
Secure memory 207 also includes an encryption
algorithm, e.g., an RSA algorithm, a digital signature
algorithm (DSA) or similar algorithm, and the public and
private keys associated therewith. For instance, using
the DSA, cryptographic processor 205 may encrypt
specified postal data with the public key, together with
any transactional data in accordance with the invention
~ 35 (descri~ed below), and/or sign the data with the private
key to produce a digital signature to be included in a
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postage indicium for its authentication. In addition,
the stored public key may be provided in the indicium for
Q the postal authority to verify the digital signature.
It will be appreciated that in secure memory
5 207, which may be multiple discrete memory devices,
critical information may be stored in a re~lln~nt and
historical manner ~or the purpose o~ analysis leading to
reconstruction o~ events regarding ~unds administration.
As mentioned before, the user may utilize the
10 word processor, billing and/or accounting so~tware on
computer 103 to generate mail contents such as letters,
invoices and statements. Traditionally, the mail content
a~ter it is generated is placed into an envelope, and a
proo~ of postage is then applied onto the envelope. The
15 resulting mail piece is ready to be sent. We have
recognized that ~uch a practice is lnef~icient in that
the generation and application o~ the proo~ o~ the
postage is a separate step from the generation of the
mail content. In accordance with the invention, with the
20 aforementioned mailing application program, the step of
generation and application of a postage indicium is made
part o~ the mail content generation step. Speci~ically,
the mail content is printed at the same time as the
postage indicium. In the pre~erred embodiment, the
25 indicium is printed at a selected location o~ the mail
content such that after it is placed in a window
envelope, the indicium is exposed through a window of the
envelope ~or inspection.
Fig. 3A illustrates mail content 300 generated
30 by system lO0 in accordance with the invention. As shown
in Fig. 3A, postage indicium 305 is printed in the upper
right corner of the mail content. Fig. 3B illustrates
corresponding window envelope 340 ~or enclosing mail
content 300. As shown in Fig. 3B, envelope 340 includes
~ 35 window 347 in its upper right corner where a proo~ of
postage is traditionally placed. Window 347 may be
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uncovered, or covered by glassine or similar transparent
or translucent material. In accordance with the
invention, window 347 coincides with postage indicium 305
when mail content 300 i8 folded and placed into envelope
340.
It will be appreciated that where it is
allowed, postage indicium 305 will be printed close to or
become part of an address block so that a traditional
window envelope can be used, whose window coincides with
the address block. In addition, non-window envelopes can
also be used in the event that the postage indicium can
be scanned through the envelopes using an infrared, a
magnetic, or similar scanner.
The aforementioned mailing application program
installed on computer 103 will now be described. By way
of example, the program in question is invoked by the
user after the text of a document has been entered using
the word processor capability on computer 103 and the
user has decided to send the document. Fig. 4 is a flow
chart depicting the steps of the mailing application
program. Instructed by such a program, computer 103
elicits from the user the identity of the document to be
sent, as indicated at step 401. After the user
identifies the document by its name and path on computer
103, the latter at step 405 queries the user for the
method of shipment. Accordingly, computer 103 at step
410 displays a list o~ shipment methods for the user to
select. The selection may be accomplished by pointing
and clicking at the desired method using an indicator
device such as a mouse (not shown) connected to computer
103.
As soon as the user selects one of the shipment
methods, say, USPS first class mail, computer 103 at step
415 queries the user for any optional services to be used
~ 35 for the shipment. Accordingly, computer 103 at step 420
displays a list of optional services applicable to the
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selected shipment method. After the user selects one of
the optional services, ~ay, certi~ied mail, computer 103
~ueries the user for the stock weight or type o~ the
paper to be used for printing the document, as indicated
at step 425. Upon receiving the stock weight or type
entry, say, 24 lbs. (or bond "x"), computer 103 at step
430 queries the user for the stock weight or type and
size of the envelope to be used. In this instance, the
user indicates that a 24 lb. (or tyvek "x") # lO envelope
is to be used. Computer 103 then queries at step 432
whether there are any enclosures and the weight thereo~.
In this instance, the user indicates that there is no
enclosure.
Utilizing, in part, the word processor
capability, computer 103 at step 435 retrieves the
identified document on the screen, and prompts the u~er
to indicate the desired location on the document where
the postage indicium is to be printed. Alternatively,
predefined setups for different formats may be utilized.
In this instance, the user indicates the location being
the upper right corner of page 1 of the document.
Computer 103 thereafter provides at step 440 a draft
option which enables the user to preview the document
including a specimen indicium appearing at the user
defined location before the document is printed. Thus,
this option allows the user to check the format of the
document and the relative placement of the address block,
postage indicium and such on the document before the user
is committed thereto.
After the user decides to proceed with the
printing of the document, computer 103 at step 445
generates an ensemble of control characters
representative of the above user responses. At step 450,
computer 103 transmits the data stream representative of
~ 35 the text of the document to mail processor 155, along
with a control sequence comprlsing the ensemble of
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control characters preceded by a header. This header
comprises a special character pattern and contains
information on the length of the ensemble.
The data stream is formatted pursuant to the
protocol required by printer 190. For example, if
printer 190 is a printer manufactured by Hewlett-Packard
Co., the data stream would be in accordance with the
Hewlett-Packard printer control language (HP-PCL).
After the data stream and the control sequence
are received by mail processor 150, the latter searches
the input for the aforementioned special character
pattern in the header. In an absence of such a pattern,
processor 150 determines that the input consists of only
plain print data (i.e., plain text). If that is the
case, the input would be passed onto printer 190 through
interface 16g without modification. However, in this
instance, the special character pattern has been detected
by mail processor 150. Such a detection invokes a
postage payment routine stored in memory 158.
Fig. 5 illustrates a flow chart depicting the
steps of the postage payment routine. Instructed by this
routine, microprocessor 155 searches the data stream and
control sequence to obtain pertinent information to
compute the required postage and to place the postage
indicium at the user defined location. From the data
stream, microprocessor 155 locates the destination
address and learns its zip code, and derives the number
of pages in the document, as indicated at step 501. From
the control sequence, microprocessor 155 learns the above
information provided by the user including the method of
shipment, selected optional service~, stock weight/type
of the paper, stock weight/type and size of the envelope,
the location of the postage indicium, etc., as indicated
at step 505. Microprocessor 155 then computes at step
~ 35 510 the weight of the would-be mail piece using the
knowledge of the number of pages of the document, stock
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weight of the paper, and stock weight and size of the
envelope. Based on the computed weight, and the
knowledge of the destination zip code, method o~ shipment
and selected optional services, microprocessor 155 at
step 515 obtains from the rate schedule in storage 156
the relevant shipping rates. Microprocessor 155 then
calculates at step 520 the required postage. At step
525, microprocessor 155 sends the required postage and
postal information including the zip code information to
IC card 180 through PCMCIA/serial interface 167.
Alternatively, the user may manually enter the weight and
rates.
Upon receiving such information, processor 205
in card 180 deducts the required postage value ~rom the
available postage funds in the aforementioned descending
register, and accordingly adds same to the dispensed
funds in the ascending register to account ~or the
transaction. Processor 205 then provides to mail
processor 150, a digital signature and other necessary
information such as the ascending and descending register
values, for creating a postage indicium in processor 150.
Alternatively, processor 205 itself may create the
postage indicium and pass it onto mail processor 150. In
any event, in this instance the postage indicium includes
human readable information and a 2-dimensional bar-code
pursuant to, say, the well-known Uniform Symbology
Specification PDF 417. It should be noted that a one-
dimensional bar-code may be used in lieu of a 2-
dimensional bar-code if the former should have sufficient
data capacity.
Fig. 6 illustrates one such postage indicium
created in mail processor 150, where human readable
portion 605 in this instance includes information
concerning the postage, mailing date, etc., and bar-code
~ 35 portion 610 is representative of the postal data required
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by the postal authority, and the digital signature for
authenticating the indicium as mentioned before.
However, it should be pointed out at this
juncture that by further including transactional data in
human readable portion 605 and bar-code portion 61Q in
accordance with the invention, the indicium o~ Fig. 6 may
also be used as a secure money order payable to a
speci~ied payee. In particular, as described
hereinbelow, if the payee is speci~ied to be a courier
service such as the FedEx service, the postage indicium
would represent a service payment to the courier service.
As such, the present postage payment routine and the
above-described mailing application program are
applicable not only to the postal service but other
courier services.
Referring back to Fig. 5, after microprocessor
155 receives ~rom card 180 the aforementioned
in~ormation, it creates the postage indicium of Fig. 6
using the recelved information, as indicated at step 530.
microprocessor 155 at step 535 generates control
instructions compatible with the language of printer 190
for printing the indicium in the user defined position
(in this instance, the upper right corner of page 1 o~
the document). At step 540, microprocessor 155 inserts
the control instructions into the data stream
representative of the text of the document. The revised
data stream is then transmitted to printer 190 through
interface 169, as indicated at step 545. Accordingly,
printer 190 generates the document including the proper
postage indicium in the upper right corner of page 1
thereof. As a result, when the document is folded and
inserted in a window envelope such as envelope 340 in
Fig. 3B, the indicium is exposed and can readily be
inspected.
~ 35 It should be noted at this point that it is
advantageous to have the postage indicium printed on the
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mail content particularly when automated inserting
equipment is used to enclose inserts with the mail
content. As the automated inserting equipment proces~es
encoded data on the mail content indicative of certain
inserts (e.g., a pamphlet) to be added to the mail piece,
by correlating the postage amount in the indicium with
the weight of the inserts, the equipment ensures that the
correct inserts are added.
In a company environment, mail processor 150 is
most likely connected to a number of computers similar to
computer 103 in a network arrangement to generate mail
contents. In addition, in such an environment, an
accounting of the postage expenses may be necessary to
charge back individuals or departments responsible
therefor. To that end, the postage payment routine of
Fig. 5 performed in mail processor 150 can readily be
modi~ied. Specifically, at step 501, microprocessor 155
can also search the data stream representing the text of
the document for the author's identity and/or
authorization, which may be his/her name in the signature
block, telephone number, preselected password and/or code
appearing in the text. With the identity and/or
authorization information, microprocessor 155 can
attribute the corresponding postage expense to the author
himself/hersel~ or to his/her department while the mail
content is being generated. This is advantageous because
otherwise, if the charge-back accounting is performed
after the preparation of the mail content, for instance,
when the postage indicium is applied on an envelope,
special equipment such as a scanner for scanning the
indicium may be required for that purpose.
In addition, by using the above charge-back
accounting technique, microprocessor 155 can also
attribute the po~stage expense to a user/department before
~ 35 the postage indicium is applied. This is advantageous in
that if the user/department is identified to be
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unauthorized to expend postage funds in system 100, e.g.,
not on an authorized list kept in processor 150, the
generation of the mail content, together with the postage
indicium, would be suspended to prevent fraudulent or
unauthorized use. An unauthorized use may stem from a
depletion of postage funds previously allocated to the
user/department account.
In any event, an exception report identifying
the unauthorized user/department may be generated by
processor 150 through printer 190. If after an
investigation, the individual/department is determined to
be allowed to expend postage funds in system 100, the
suspended job may be reactivated and the individual/
department as identified by processor 150 is then added
to the authorized list.
Processor 150 can also maintain a database to
automatically collect information about mail contents
processed thereby including the corresponding postage
information. Such a database is useful in many ways.
For example, it can ~e used to furnish secure audit
trails for a long-term security check against fraudulent
attempts to compromise the integrity of the postage
dispensing function of system 100. In particular, the
secure audit trails provide a parametric feedback of
multiple users/accounts commingled and used randomly in
real time.
In addition, with the above database, various
statistical analyses can be performed, and statistics
such as the median postage expense per mail piece, the
most popular shipment method used, etc. can be generated.
Based on such statistics, a company can cut costs, for
example, by encouraging the employees to use a less
expensive, albeit less popular, courier service whenever
it is possible.
~ 35 The above database can also be used for
tracking the mail pieces generated by system 100, each of
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which may be uniquely identi~ied by, for example, its
source, destination, time of generation, etc.
The above charge-back accounting and database
are realized based on the mail pieces generated within
- 5 system 100. For mail pieces generated outside system
100, the accounting and database in question can be
similarly realized by using a conventional scanner
connected to mail processor 150. In particular, if the
user's name, account number, destination zip code,
lo special routing data, etc. are encoded in a bar-code on
the face of the mail pieces, a bar-code scanner can be
used to extract the information there~rom. Otherwise, an
optical character recognition (OCR) scanner or a similar
device is used to scan the text appearing on the
envelopes, postcards, etc. With the extracted
in~ormation, accounts for charge-backs may be
automatically created, updated and maintained.
The required postage for the above mail pieces
processed by processor 150 may be determined by a
conventional electronic postage scale connected to
processor 150. Again, before processor 150 generates a
postage indicium on a label to be applied onto a mail
piece, the validity of the user account can be checked to
prevent fraudulent or unauthorized use. Of course, if
such illegitimate use is not anticipated, the scanning of
the mail pieces may be performed after the generation of
the postage indicium or confirmation of the postage
dispensation.
In addition to using a postage indicium as a
proof of postage, using the indicium to pay bills, repay
debts, and purchase products and services in accordance
with the invention will now be described. Each household
each month needs to pay numerous bills including utility
bills, credit card bills, insurance payments, etc. The
~ 35 most common method of payment of the bills is writing
paper checks for the appropriate amounts and mailing such
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checks to payees. However, when the mailing occurs close
to the deadline ~or the payment, which is common, the
check is oftentimes still in transit on the due date. f
Accordingly, a notice is sent by the payee indicating an
5 overdue balance, which usually has been paid by the time
the notice reaches the payer as the payee has already
received the check before then. This practice proves to
be annoying to the payer and a waste o~ resources to the
payee in sending out unnecessary notices. This being so,
10 there exists a need ~or an ef~icient method for remitting
payments.
In solving such a need, we have revolutionized
the concept of a postage indicium which is traditionally
used as a proof of postage. We have recognized that a
15 postage indicium is documentation of a transaction by the
originator of the indicium. In accordance with the
invention, by incorporating, in addition to the postal
data, transactional data including a transaction amount
and payment instructions in a postage indicium, the
20 indicium becomes a financial instrument similar to a
money order payable to a specified payee.
Fig. 7 illustrates postage indicium 700 in
accordance with the invention. As shown in Fig. 7,
indicium 700 includes human readable portion 705 and bar-
code portion 710. Unlike portion 605 of Fig. 6, portion
705 includes human readable transactional data 708
indicating a payment (e.g., $10.00) to a specified payee
(e.g., XY~ Co.). As described hereinbelow, like postage
709 (e.g., $0.32), the payment amount (i.e., $10.00) was
deducted ~rom the available funds in the descending
register in card 180 when indicium 700 was created.
Thus, the originator o~ indicium 700 in this instance
expended ~10.00 additional postage (i.e., in addition to
the ~0.32 postage for the cost of delivery of the mail
~ 35 piece on which indicium 700 is applied) in favor o~ the
postal authority. This additional expended amount is to
-
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be paid by the postal authority to the payee in a manner
to be described.
Moreover, unlike bar-code portion 610
representing the required post.al data and digital
signature, portion 710 additionally includes
tran~actional data. However, like portion 610, the data
in portion 710 is readable by the postal authority when
it uses a conventional bar-code scanner to process the
indicium. In accordance with the invention, after
learning the transactional data in portion 710, the
postal authority pays the specified amount to the payee.
Fig. 8 illustrates different data fields in
bar-code portion 710. In particular, fields 801a through
801g contain the transactional data in accordance with
the invention. Specifically, field 801a contains data
identifying the payer and particularly data identifying
the payer account with the payee for proper credit of the
payment. For example, the payee, xYz Co., in this
instance is a credit card company. The payer is a credit
card holder who originated indicium 700 to pay his/her
credit card balance (e.g., $10.00) in accordance with the
invention. Thus, in this example, the data in field 801a
is most likely the payer's credit card account number.
Field 801b contains data identifying the payee,
and the payee's bank account if a transfer of funds (in
this instance in the amount of the credit card balance)
by the postal authority to the payee is anticipated to
realize the bill payment. In this instance, the data in
field 801b represents the name of the payee and an EFT
routing number identifying the payee's bank account.
Field 801c contains data representing a
transaction amount, which in this instance is $10.00.
Field 801d contains a data bit. A ~irst value
(e.g., a binary ~ ) of this data bit indicates to the
~ 35 postal authority that the payment is realized by funds
transfer to the payee. A second value (e.g., a binary
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"0") indicates to the postal authority that the payment
is realized by paying cash to the payee. In this
instance, the data bit is set to the flrst value.
Field 801e contains data representing a
personal identification number (PIN) which is used for
security reasons described hexeinbelow.
Field 801f contains data identifying the
present transaction, which may be a transaction sequence
number. With this data, the payer can communicate with
the postal authority to, for any reason, cancel the
transaction before the transaction is consummated, and
have the transaction amount (probably less some
processing fee) returned by the postal authority to the
payer in cash or deposited into the payer's account with
the postal authority. The postal authority then
registers at a central computer that the subject
transaction or postage indicium has been cancelled.
Field 801g contains data representing special
instructions to the postal authority concerning the
transaction. For example, the instructions may specify a
payment date which may be the actual payment due date, or
an expiration date after which the present transaction is
no longer valid. In addition, by the special
instructions, the payer may request the postal authority
to send to the payer a confirmation of payment to the
payee. Further, the postal authority may apply a digital
signature onto the confirmation, authenticating the date
of payment or certifying the funds transfer to the payee.
The digital signature thus becomes a secure post mark.
Field 801h contains postal data similar to that
in portion 610, which is required by the postal
authority.
Field 801i contains a digital signature
resulting from signing the data in fields 801a through
- 35 801h using the same encryption key as that used to sign
the postal data in portion 610. If any alteration ln
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either digital signature or any data in fields 80la
through 801h occurs, the digital signature does not
verify.
When indicium 700 appearing on a mail piece is
processed by the postal authority~s payment handling
equipment in accordance with the invention, the latter
verifies the digital signature and registers the
transactional data in bar-code portion 710. If the
signature is valid, the equipment checks with a central
computer whether indicium 700 has been cancelled. If it
has not been cancelled, the equipment initiates an
electronic transfer of the specified funds to the payee's
bank account, along with the data identifying the payer
and/or payer account with the payee for proper credit
thereto. The equipment then communicates to the central
computer that indicium 700 has been paid, the~eby
cancelling the indicium. That is, re-presentation of
indicium 700 or the information content thereof to any
payment handling e~uipment thereafter is countered with a
payment denial.
If the aforementioned payment handling
e~uipment is located at designated postal authority mail
processing locations. The mail piece on which indicium
700 is applied is addressed to the closest designated
location. It should be noted that since the mail piece
on which indicium 700 is applied does not need to reach
the payee to realize the bill payment in accordance with
the invention, the transit time of the mail piece is
advantageously shorter than that using the traditional
check mailing method. It will be appreciated that the
transit time of the mail piece can be completely
~ eliminated by presenting, in person, indicium 700 at any
designated location for an immediate bill payment. In
that case, the cost of delivery (i.e., the $0.32 postage)
~ 35 is obviated, and thus postage 709 should show zero.
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It is noteworthy that the functionalities of
the above payment handling equipment should be readily
incorporated in such systems capable of processing mail f
pieces having postage indicia of Fig. 6. The
incorporation simply requires the mail processing system
to be capable of funds transfer through an EFT network
and communicating with a central computer, and
enhancement of software in the system to realize the
above-described transactional functions.
For the ensuing discus~ion, without loss of
generality, we reasonably assume that each mail
processing system incorporates the payment handling
functionalities in question. In that case, the mail
piece on which indicium 700 is applied need not be
addressed to any particular postal authority location.
In fact, it may be applied onto a mail piece addressed to
anybody, say, a friend. When the mail piece is processed
by a mail processing system, it not only causes the mail
piece to be delivered to the friend, but also the
specified payment (i.e., $10.00) to be made to the
designated payee (i.e., XYZ Co.). For privacy reasons,
transactional data 708 in that case need not be shown.
In addition, for an immediate bill payment, the payer can
present, in person, indicium 700 (less the $0.32 postage)
to any post office having a mail processing system, which
is virtually every post office.
In accordance with another aspect of the
invention, indicium 700 (less the $0.32 postage) can be
used as cash. In that case, the payee shown in
transaction data 708 is "cash" (instead of l'XYZ Co."),
and the data bit in aforementioned field 801d is assigned
the second value (i.e., "0" in this instance) to lndicate
cash payment. In addition, since any bearer of such an
indicium is able to cash the indicium for the specified
- 35 amount at a post office, the indicium is preferably
printed on special paper or medium against fraudulent
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duplication thereof using, say, a photo copier. In any
event, for fear that the cash-indicium is accidentally
lost, stolen or duplicated, a PIN can be assigned in
aforementioned field 801e. In fact, when a mail
processing system recognizes a "0~' value in field 801d,
it automatically checks for the PIN in field 801e. If
the latter is a default "NU1L" field, indicium 700 is
regarded as cash. If the field has a value other than
"NULL," indicium 700 is regarded as a "traveler's check,"
which requires PIN verification before it can be cashed.
In that case, the legitimate bearer o~ indicium 700 would
have been provided by the originator of the indicium with
the correct PIN.
It should be pointed out that when a PIN iS
used in indicium 700, it is preferably encrypted for ~ear
that an unauthorized bearer=of the indicium would
otherwise be able to read the PIN from portion 710 using
a bar-code scanner. For that matter, all other
transactional data~and/or postal data in bar-code portion
710 may also be encrypted.
In accordance with yet another aspect of the
invention, when indicium 700 (less the $0.32 postage)
indicating a specified payee (e.g., XYZ Co.) is delivered
to the payee, without going through any mail processing
system, the payee can redeem the indicium at any post
o~fice as if it were a money order, which is payable only
to the specified payee. Depending on the value of the
data bit in field 801d, the payee receives cash for the
indicium if the data bit has the second value, and
otherwise if the data bit has the first value, the payee
is entitled to a funds transfer in the corresponding
amount to the payee's bank account.
In particular, by specifying the payee to be a
courier such as FedEx, indicium 700 (less the $0.32
~ 35 postage) can be used as payment for the courier service.
In that case, indicium 700 can accompany or be attached
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to the package to be delivered by the courier. Using
such an indicium, or a copy thereof (in the event that
the indicium is permanently attached to the package), the
courier can receive the actual payment from the postal
authority as if it were a money order as described
before. As such, we have invented a universal postage
indicium (i.e., indicium 700) good for payment not only
to the postal authority but any other courier for its
service.
Generation of indicium 700 is accomplished by
entering, on mail processor 150, transactional data for
data fields 801a through 801g in addition to the required
postal data. The actual transactional data entry may be
menu driven and achieved using the key pad of processor
150 or the keyboard of computer 103. After receiving the
transactional data and the postal data, processor 150
forwards them to cryptographic processor 205 in card 180
for processing. Processor 205 in this instance is
programmed to deduct the transaction amount (derived from
the transactional data) plus the postage amount (derived
from the postal data) from the available postage funds in
the descending register, and accordingly adds same to the
dispensed funds in the ascending register. Based on the
transactional data and postal data, processor 205 then
creates postage indicium 700. Processor 205 thereafter
transmits image data representative of the indicium to
mail processor 150 where it is formatted for printing on
printer 190.
A second techni~ue for reducing the mail
transit time in the traditional check mailing method will
now be described. In accordance with this second
technique, the contents of the payer's mail piece,
including a remittance in some specified amount, are
indicated with certain encrypted information within the~ 35 postage indiclum on the mail piece. In the alternative,
the contents are indicated by other markings printed on
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the mail piece, or onto a selected area of a sheet o~
paper inside the mail piece such that the markings are
exposed through an appropriate window in the envelope.
The encrypted information includes such detail as is
required by the payee to establish confidence in the
payer's assertion that remittance i8 being made. For
example, the encrypted in~ormation may include the
payer's digital signature (guaranteeing the contents
subject to a legal penalty), the payer's account number
with the payee, the payer~s bank account number, the
amount remitted, etc.
When the mail piece is received and processed
by the postal authority's or other courier's automation
equipment, the a~orementioned encrypted information is
electronically read. The portion of the information
pertaining to the payer~s remittance as required by the
payee is electronically captured and, in a timely
~ashion, communicated to the payee. At the same time,
the payee is informed of the approximate delivery time of
the mail piece containing the payer's remittance. The
delivery time is e~timated based on the current status of
the mail piece (e.g., the time and date, location within
an automated sortation and handling system, etc.) and its
ultimate destination (the payee's postal or routing code,
the carrier sortation route, etc.).
It should be noted that during the processing
of the mail piece, the postal authority or courier may
re-route it to a financial institution for immediate
deposit of the remittance. Such re-routing instructions,
if any, are provided by the payee. Once receipt of the
payment is acknowledged by the financial institution, the
final account reconciliation between the institution and
the payee is confirmed.
Further, the encrypted information on the mail
~ 35 piece may also be used to convey data other than monetary
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data, e.g., partial payment, redlrection of payment, and
order information.
The foregoing merely illustrates the principles
of the invention. It will thus be appreciated that those
~killed in the art will be able to devise numerous other
systems which embody the principles of the invention and
are thus within its spirit and scope.
For example, it will be appreciated that
postage payment system 100 will be expanded to include a
paper handling system, feeder, transport, zip code
scanner, and/or an envelope printers where appropriate.
In addition, in the disclosed embodiment, the
mailing application program of Fig. 4 is used to generate
a postage indicium on the mail contents. However, such a
program is equally applicable to generating a postage
indicium on the cover of a mail piece, an envelope, a
postcard, etc.
Moreover, in the disclosed embodiment, the
mailing application program is installed on computer 103
only. However, such a program may reside in an
interactive network, instead, and intercepts a specified
word processor output to add the requisite control
sequence to the print stream.
Further, mail processor 150 may require coded
access to postage dispensing. The access may be based on
person-by-person, department-by-department, or other
controlled access deemed appropriate.
Mail processor 150 may also be interfaced with
a management information system (MIS) capable of invoice
processing and printing applications. In that instance,
mail proce~sor 150 will be used to enhance the MIS
functions by applying proof of postage directly onto
invoices concurrently with the preparation of the
invoices and any inserts. The MIS would provide to the
~ 35 mail processor such information as the number of pages,
inserts, mail class, etc. concerning each invoice, along
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with weight-related data regarding the envelope and
content materials. The mail processor would then
calculate the re~uired postage and properly apply the
proof of postage to the invoice.
In addition, it will be appreciated that mail
processor 150 will incorporate a well-know address
cleansing capability for matching, verifying, and
correcting the sender and recipient addresses and their
zip codes.
Moreover, mail processor 150 may allow the user
to obtain shipping rates of different couriers (e.g.,
UPS, FedEx and USPS) and to compare rates among such
couriers. It may also be capable of determining the best
method of shipment based upon user parameters such as
cost and speed.
Further, mail processor 150 may be capable of
communicating with a main ~rame or host computer to
receive mail processing directions (e.g., set up
parameters) and printer applications.
Still further, mail processor 150 may be
capable o~ printing bar-coded digital signatures on the
material to be facsimile-transmitted. It can also scan
or digitally read facsimile-transmitted material at its
destination using public/private key cryptography to
authenticate the transmission ~or the recipient.
Further, it can transmit data with an appropriate digital
signature using an encryption algorithm provided in a
control/smart/PCMCIA card such as IC card 180.
It will also be appreciated that mail processor
150 can communicate with a third party certi~ication
authority (e.g., a digital notary) through a
communication network (e.g., the Internet) to provide
veri~ication to the sender that the recipient has (1)
received the transmitted data, (2) accessed the
~ 35 transmitted data, and/or (3) converted the transmitted
data to plain text.
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In addition, it will be appreciated that card
180 can be used as a general purpose prepaid card for
purchasing products and services. Using its
cryptographic engine, card 180 i8 also capable of storing
and dispensing digital money in the manner typified by a
digital wallet or cash card.
Moreover, in the disclosed embodiment, a TMS
process is used to replenish the postage in card 180,
which requires a pre-~unded escrow account with the
postal authority. However, it will be appreciated that a
user will be able to establish a different type of
account with the postal authority (or any other courier
or trusted third party) for purchasing the postage, such
as an account based on line of credit pre-approved by the
postal authority, a charge card, a debit card, a credit
card, etc. Each postage purchase is accompanied by
crediting the corresponding purchase amount to the postal
authority.
Further, it will be appreciated that the user
may purchase the postage on-line (e.g., through a modem
or data set connection) on a transaction by transaction
basis using a credit card, debit card, ATM card, etc. As
soon as a postage indicium is provided as a result of the
on-line pl7r~h~e, the card account is debited with the
purchase amount and a postal authority account is
credited accordingly.
Moreover, it will be appreciated that portions
605 and 610 of postage indicium of Fig. 6 and portions
705 and 710 of indicium 700 may be imparted to a
label/tape for affixing to a mail piece, enclosure or to
an appropriate location on the contents o~ said mail
piece.
Finally, although postage payment system 100,
as disclosed, is embodied in the ~orm of various discrete
~ 35 functional blocks, the system could equally well be
embodied in an arrangement in which the functions of any
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one or more of those blocks or indeed, all of the
functions thereof, are realized, for example, by one or
more appropriately programmed processors or devices. In
particular, in the disclosed embodiment, mail processor
150 and computer 103 are shown to be two separate
elements. However, it will ~e appreciated that all or
part of the functions of processor 150 will be realized
in computer 103. It will also be appreciated that all or
part of the functions of computer 103 are realized in
processor 150 with a dedicated/secure printer, thereby
realizing a sel~-contained postage metering system.
