Method and system for electronic payment and check guarantee
First Claim
1. A process for settling and guaranteeing a point-of-sale transaction between a consumer and a merchant comprising:
- presenting a prepared bank check, in relation to a point-of-sale transaction, to the merchant;
scanning the prepared bank check with a point-of-sale terminal located at the point-of-sale transaction, creating a scanned image of the prepared bank check;
transmitting the scanned image of the prepared bank check and transmitting transaction information to a central database from the point-of-sale terminal; and
obtaining consumer bank account information from the scanned image of the prepared bank check;
submitting the consumer bank account information and transaction information to a originating depository financial institution for subsequent electronic settlement.
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Accused Products
Abstract
One method of the present invention includes presenting a prepared bank check, in relation to a point-of-sale transaction, to the merchant. The merchant, using a point-of-sale terminal, scans the prepared bank check to retrieve consumer bank account information and using the terminal may enter transaction information. The information is then transmitted to a third party'"'"'s central database for authorization or rejection of the check transaction. The third party may thereafter present the information to an originating depository financial institution for electronic settlement. The merchant further retains the paper check and forwards it to the third party to secure the electronic settlement. If the consumer cancels the electronic settlement in bad faith, the third party may thereafter present the paper check as a negotiable instrument to the originating depository financial institution.
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Citations
17 Claims
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1. A process for settling and guaranteeing a point-of-sale transaction between a consumer and a merchant comprising:
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presenting a prepared bank check, in relation to a point-of-sale transaction, to the merchant;
scanning the prepared bank check with a point-of-sale terminal located at the point-of-sale transaction, creating a scanned image of the prepared bank check;
transmitting the scanned image of the prepared bank check and transmitting transaction information to a central database from the point-of-sale terminal; and
obtaining consumer bank account information from the scanned image of the prepared bank check;
submitting the consumer bank account information and transaction information to a originating depository financial institution for subsequent electronic settlement. - View Dependent Claims (2, 3, 4)
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5. A system to electronically settle and guarantee a point-of-sale transaction between a consumer and a merchant comprising:
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a point-of-sale terminal, located at the point-of-sale transaction, to receive a prepared bank check, in relation to the point-of-sale transaction, the point-of-sale terminal configured to retrieve consumer bank account information and transaction information in relation to the point-of-sale transaction from the prepared bank check;
a third party'"'"'s central database in communication with the point-of-sale terminal set up terminal to receive said consumer bank account information and transaction information in relation to the point-of-sale transaction;
the third party having a means to validate and authorize the transaction based upon said consumer bank account information and transaction information, wherein the central database transmits a validation code to the point-of-sale terminal authorizing the transaction; and
the third party instructing an originating depositary financial institution to transmit said consumer bank account information and transaction information for subsequent electronic settlement of the point-of-sale transaction. - View Dependent Claims (6, 7)
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8. A process for settling and guaranteeing a point-of-sale transaction between a consumer and a merchant comprising:
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presenting a prepared bank check, in relation to a point-of-sale transaction, to the merchant;
scanning the prepared bank check, by a point-of-sale terminal, to retrieve consumer bank account information transmitting the consumer bank account information and transaction information to a central database for subsequent electronic settlement of the point-of-sale transaction; and
retaining the prepared bank check as a negotiable instrument to guarantee the electronic settlement when the consumer revokes the electronic settlement in bad faith or the electronic settlement returns unpaid. - View Dependent Claims (9, 10, 11, 12, 14, 15, 17)
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13. A system to electronically settle and guarantee a point-of-sale transaction between a merchant and a consumer comprising:
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a point-of-sale terminal configured to read consumer bank account information from a prepared bank check, the point-of-sale terminal also configured to receive transaction information in relation to the point-of-sale transaction;
a central database;
a means for transmitting said consumer bank account information and transaction information from the point-of-sale terminal to the central database;
the central database including the means for receiving said consumer bank account information and transaction information from the point-of-sale terminal and, further including the means for validating and authorizing an electronic settlement of the point-of-sale transaction, the central database further including the means to transmit to the point-of-sale terminal a denial or acceptance based off of the means for validating and authorizing the electronic settlement;
the point-of-sale terminal, upon receiving the acceptance from the central database, further includes the means to display said acceptance, whereupon the prepared bank check is retained as a negotiable instrument by the merchant for subsequent presentment when the consumer revokes the electronic settlement in bad faith or the electronic settlement returns unpaid; and
a third party with the means to transmit said consumer bank account information and transaction information to an originating depository financial institution for subsequent electronic settlement of the point-of-sale transaction.
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16. A point-of-sale terminal comprising:
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a means for scanning a check prepared for electronic settlement of a transaction between a merchant and a consumer and for creating a scanned image of said prepared check;
a means to communicate with a central database operated by a third party for transmitting the scanned image of said prepared check such that when a consumer revokes the electronic settlement in bad faith said scanned image may be submitted to a bank as a negotiable instrument for settlement of the transaction;
a means for reading a magnetic strip of a credit card or debit card and the accessing information embedded is such magnetic strip;
a keypad means for entering transaction information and pin code information;
a means for displaying various transaction information and for displaying various validation or authorization information; and
a housing supporting the scanning means;
reading means, keypad means and display means.
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Specification