System and methods for authenticating and monitoring transactions

#The present invention relates generally to authentication and monitoring of various transactions. In particular, the present invention provides systems and methods for authenticating a variety of transactions including, but not limited to, financial and/or personal information transactions. Further, the present invention provides systems and methods for monitoring such transactions and alerting an entity associated with the transactions of any ongoing activity.

#Companies providing financial services sustain significant losses each year due to fraud. Such fraud can be in the form of a stolen credit card being used to purchase goods or services. In most cases, the credit card company is liable for the losses. For this reason, such companies have implemented a number of security measures aimed at reducing the incidence of fraud. For example, some companies offer a credit card that includes the card holder's photograph. This photograph can be used to assure that a person purchasing goods is authorized to use the credit card. Similarly, other measures include requiring a merchant to verify the person by viewing a driver's license or other photo identification.

#While these approaches are somewhat effective, they are also cumbersome. Because of this, merchants often do not spend the time required to properly verify the person is authorized to use a particular card. Furthermore, such an approach limits the ability for a card holder to authorize another person to use their card. Thus, a child of the card holder cannot use a credit card provided to them by their parent. Yet further, such an approach does not provide any security in effectuating remote transactions, such as, those transactions completed using the Internet.

#The present invention provides systems and methods for monitoring, reporting, and/or authorizing transaction requests. Further, in some aspects, the present invention provides for monitoring and reporting the status of the transaction requests. In various aspects, the present invention provides an efficient and effective mechanism for responding to dubious transactions and/or implementing prophylactic measures to avoid the possibility of unwanted behavior, such as, identity theft.

#As used herein, a transaction request can be any request to access or provide information related to a user, deposit or withdrawal funds from an account associated with a user, incur obligations on behalf of user, or the like. Thus, for example, a transaction request can include a request to use a credit card or a check to purchase goods or services. Alternatively, a transaction request can be a request to open a bank or brokerage account, a request for a credit report, a posting of positive or negative information on a credit report, filing an insurance claim, cashing a check, requesting medical records, an application for social security benefits, an application for a driver's license, an application for a passport or visa, an application for a credit card, or the like. In light of this document, one of ordinary skill in the art will recognize a number of other examples of transaction requests that can be monitored and/or authorized in accordance with the present invention.

#Referring to FIG. 1, a transaction monitoring and/or authorization system 100 is illustrated in accordance with embodiments of the present invention. As illustrated, transaction system 100 includes one or more point-of-sale (“POS”) devices 150, one or more user devices 140, one or more payment/information systems 130, and a central control 120 each communicably coupled to a communication network 110. A number of databases can be accessible from one or more of the devices associated with communication system 100. For description purposes, a database 121 is illustrated in relation to central control 120 and another database 141 is illustrated in relation to user device 140.