Compact security device with transaction risk level approval capability

Abstract

The present invention relates to the field of securing electronic transactions and more specifically to methods to indicate and verify the approval of the risk level of a transaction and to apparatuses for generating transaction risk level approval codes. In a method according to the invention transactions are classified into a limited number of categories. A user submitting a transaction to a server is requested to also generate and submit a dynamic transaction category approval code for the submitted transaction. On the server side a corresponding verification value is generated for the received transaction. In an alternative method according to the invention transactions are assigned one of a limited number of risk levels. A user submitting a transaction to a server is requested to also generate and submit a dynamic risk level approval code for the submitted transaction. On the server side a corresponding verification value is generated for the received transaction. The received dynamic risk level approval code is verified on the server side by comparing it with the generated verification value. A security token to secure electronic transactions adapted to generate dynamic transaction category approval codes and a security token to secure electronic transactions adapted to generate dynamic risk level approval codes are also described.