Method and apparatus for ordering goods, services and content over an internetwork using a virtual payment account

Abstract

A virtual payment system for ordering and paying for goods, services and content over an internetwork. The virtual system comprises a commerce gateway and a credit processing server. The virtual system is a secure closed system comprising registered merchants and consumers. Once an account is established, a digital certificate is stored on the registered participant's computer. The consumer can then order a product, i.e., goods, services or content from a merchant and charge it to a virtual payment card. When the product is shipped, the merchant notifies the commerce gateway component, which in turn notifies the credit processing server which applies the charges to the consumer's virtual card account. The consumer can settle the charges using a prepaid account, a credit card, or by using reward points earned through use of the virtual payment card. A consumer may create sub-account that have additional limitations.

1 . An apparatus for purchasing a tangible product from a merchant server using a virtual payment account associated with a consumer computer over an internetwork, comprising:
 a consumer computer comprising a network interface for connecting to said internetwork, a processing unit coupled to said network interface, and a storage medium coupled to said processing unit;   a merchant server comprising a network interface for connecting to said internetwork, a processing unit coupled to said network interface, and a storage medium coupled to said processing unit;   a commerce gateway comprising a network interface for connecting to said internetwork, a processing unit coupled to said network interface, and a storage medium coupled to said processing unit, the commerce gateway serving a plurality of merchant servers, including the merchant server; and
 wherein said storage medium of said consumer computer contains program code executed by said consumer computer processing unit for transmitting a request to said merchant server to purchase a tangible product, said purchase request identifying a virtual payment account associated with the consumer computer as the method of payment for said product; and 
 wherein said storage medium of said merchant server contains program code executed by said merchant ‘server processing unit for requesting the identity of a valid virtual payment account associated with said consumer computer in response to receiving a purchase request from said consumer computer and a product database, the product database containing information regarding tangible items offered for sale; and 
 wherein said storage medium of said commerce gateway contains program code executed by said commerce gateway processing unit for determining whether a valid virtual payment account is associated with said consumer computer, and for transmitting an account identification container to said consumer computer in response to determining that a valid virtual payment account is associated with said consumer computer. 
   
     
     
         2 . The apparatus of  claim 1 , wherein said storage medium of said consumer computer further contains program code executed by said consumer computer processing unit for receiving said account identification container from said commerce gateway, and for transmitting a purchase request to said merchant server including said account identification container. 
     
     
         3 . The apparatus of  claim 2 , wherein said storage medium of said merchant server further contains program code executed by said merchant server processing unit for receiving said purchase request from said consumer computer, and for transmitting said purchase request to said commerce gateway. 
     
     
         4 . The apparatus of  claim 3 , wherein said storage medium of said commerce gateway further contains program code executed by said commerce gateway processing unit for receiving said purchase request, and for determining whether said virtual payment account may be used to pay for said product. 
     
     
         5 . The apparatus of  claim 4 , wherein said storage medium of said commerce gateway further contains program code executed by said commerce gateway processing unit for transmitting a valid transaction authorization to said merchant server in response to determining that said virtual payment account may be used to pay for said product. 
     
     
         6 . The apparatus of  claim 5 , wherein said storage medium of said commerce gateway further contains program code executed by said commerce gateway processing unit for charging said virtual payment account for a cost associated with said product. 
     
     
         7 . The apparatus of  claim 6 , wherein said virtual payment account comprises a main account and a sub-account, and wherein said storage medium of said commerce gateway further contains program code executed by said commerce gateway processing unit for charging said sub-account of said virtual payment account for a cost associated with said product. 
     
     
         8 . A computer-readable medium having a computer-executable component for purchasing a tangible product from a merchant server using a virtual payment account, the computer-executable component comprising instructions which when executed by the computer cause the computer to transmit a report to a merchant server to purchase a product, the merchant server storing a product database containing information regarding tangible items offered for sale, said purchase request identifying a virtual payment account as the method of payment for said product.