Card activation at point of distribution

A method for securely activating a stored value card contained within a card olding device, said method comprising:

• determining whether said stored value card is in a security mode, said stored value card including a card security code;
• deriving said card security code using a secure application module and an issuer key;
• presenting said derived card security code to said stored value card;
• activating said stored value card such that value on said stored value card is available for use;
• and
• dispensing said stored value card from said card holding device.

A system for securely activating stored value cards at a point of distribution, said system comprising:

• an issuer of stored value cards, said issuer producing a secret activation key;
• a card supplier that receives said secret activation key from said issuer, said card supplier deriving a plurality of card security codes based upon said secret activation key;
• a batch of stored value cards produced by said card supplier, each stored value card of said batch having written upon it one of said card security codes derived from said secret activation key, each stored value card further being placed in a security mode such that a value of each card is unavailable for use;
• and
• a secure application module that includes said secret activation key from said issuer, said secure application module being arranged to derive said card security codes using said secret activation key;
• and
• a card dispensing machine that stores said batch of stored value cards and includes said secure application module, said card dispensing machine being arranged to query said secure application module for one of said card security codes and to present said card security code to one of said stored value cards, whereby said stored value card is taken out of said security mode and is available for use.

A system for creating an activation secure module for activating stored value cards, each stored value card being unusable unless presented with a card security code, said system comprising:

• a database that securely stores an activation key, said activation key being necessary for activating said stored value cards;
• a control secure module arranged to securely access said activation key;
• an activation secure module arranged to store securely said activation key, and including an encryption module for deriving said card security codes from said activation key;
• an activation manager computer in communication with said database, said control secure module and said activation secure module, said activation manager computer being arranged to transfer said activation key from said database via said control secure module to said activation secure module, whereby said activation secure module is capable of producing said card security codes using said activation key.

A method for creating an activation secure module useful for activating stored value cards, said stored value cards each requiring a card security code before their value is accessible, said method comprising:

• placing an activation manager computer into communication with a control secure module and said activation secure module;
• retrieving an activation key from a database using said control secure module, said activation key being necessary for activating said stored value cards;
• loading encryption software into said activation secure module to allow said activation secure module to produce said card security codes using said activation key;
• transferring said retrieved activation key to said activation secure module, whereby said activation secure module is capable of producing said card security codes using said activation key.

A method for maintaining in the field an activation secure module useful for activating stored value cards, said method comprising:

• placing a plurality of stored value cards into a card dispensing machine, said stored value cards each requiring a card security code before their value is accessible, said card dispensing machine including an activation secure module;
• placing a field secure module into communication with said card dispensing machine, said field secure module including an activation key necessary for activating said stored value cards;
• retrieving said activation key from said field secure module;
• and
• transferring said retrieved activation key to said activation secure module, whereby said activation secure module is now able to produce said card security codes using said activation key.

A method for maintaining in the field an activation secure module useful for activating stored value cards, said method comprising:

• initiating a connection over a communications network between an activation computer having a control secure module and a card dispensing machine, said card dispensing machine including a plurality of stored value cards, said stored value cards each requiring a card security code before their value is accessible;
• placing said control secure module into communication with an activation secure module of said card dispensing machine, said control secure module including an activation key necessary for activating said stored value cards;
• retrieving said activation key from said control secure module;
• and
• transferring said retrieved activation key to said activation secure module over said communications network, whereby said activation secure module is now able to produce said card security codes using said activation key.