SYSTEM AND METHODS FOR DEPOSITING FUNDS TO A FINANCIAL SERVICE PROVIDER

• US 20020188564A1
• Filed: 05/10/1999
• Published: 12/12/2002
• Est. Priority Date: 05/10/1999
• Status: Abandoned Application

• Current Assignee: OneCore Financial Network, Inc.
• Original Assignee: OneCore Financial Network, Inc.
• Inventors: STAR, BARRY L.
• Application Number:
  US09/309,073
• Publication Number:
  US 20020188564A1
• Time in Patent Office: Days
• US Class Current: 705/42
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/042 characterized in that the payment protocol involves at least one cheque
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/108 Remote banking, e.g. home banking

Abstract

A method is presented to deposit funds into a financial service provider, such as a securities company, via a banking institution. A client first deposits funds into a transfer account at the banking institution using a deposit slip that can include a magnetic ink character reading (MICR) line. The MICR line includes the number associated with the client'"'"'s account and the number of the transfer account. The service provider uses a software package to accept data from the banking institution informing it of the client'"'"'s name, account number, deposit size, etc. The banking institution then transfers the funds from the transfer fund to the service provider'"'"'s clearing firm. This firm, at their convenience, may then transfer the funds to the financial service provider'"'"'s general ledger account. Three business days after the initial deposit, the service provider finally credits the client'"'"'s account the amount of the deposited funds.

Claims

1. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution, comprising

providing the funds and a deposit slip to the intermediate banking institution, said slip including an associated client account number of the financial service provider that identifies the client, and a transfer account number that designates a transfer account to which the funds are deposited;

transmitting data that includes the account numbers from the banking institution to the financial service provider;

crediting an account of the client at the financial service provider; and

transferring the funds from the transfer account to an account belonging to a clearing firm wherein the funds are made available to the financial service provider.

2. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, wherein transmitting data includes transmitting a daily file download of Bank Administration Institute files having activities of a business day.

3. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, further comprising

determining whether the funds are checks;

and

when the funds are checks, endorsing the checks by using an endorsement stamp.

4. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 3, wherein endorsing the checks by using an endorsement stamp includes using an endorsement stamp indicating that the check is for deposit only, the name of the financial service provider, the transfer account number, the name of the client, and the associated client account number of the financial service provider.

5. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, wherein the associated client and transfer account numbers are provided on a magnetic ink character reading line.

6. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, wherein crediting an account of the client at the financial service provider occurs on a third business day after the client deposits the funds at the intermediate banking institution.

7. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, wherein transferring the funds occurs after the funds have been collected from the client.

8. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, further comprising transferring funds from the clearing firm to a general ledger account of the financial service provider.

9. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 1, further comprising tracking a flow of the funds by the client on an Internet.

10. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 9, wherein tracking a flow of the funds by the client on the Internet includes tracking a pending deposit.

11. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution, comprising

providing a number associated with a location code that permits the client to make deposits into a transfer account at the intermediate banking institution;

transmitting data that includes the number associated with the location code from the intermediate banking institution to the financial service provider;

crediting the client'"'"'s account at the financial service provider after reading the data; and

transferring the funds from the transfer account to an account belonging to a clearing firm of the financial service provider.

12. A method for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 11, further comprising

transferring the funds from the account belonging to a clearing firm to a general ledger account of the financial service provider.

14. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, further comprising a stamp to endorse funds that are checks.

15. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, wherein the associated client and transfer account numbers are provided on a magnetic ink character reading line.

16. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, further comprising means for crediting an account of the client at the financial service provider, said means including a software package to credit a correct amount on a prescribed day.

17. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, further comprising a general ledger account into which the funds may be transferred from the clearing firm.

18. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, further comprising a tracker for the client to track a flow of the funds, said tracker comprising an Internet to permit the client to transmit and receive information regarding the funds.

19. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 13, further comprising a Bank Administration Institute file by which data may be transmitted from the intermediate banking institution to the financial service provider.

13. A system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution comprising

a deposit slip provided to the client, said slip having an associated client account number to help identify the client;

a transmitter of data including an amount of the funds, the associated client account number, and a transfer account number to send the data from the intermediate banking institution to the financial service provider alerting the financial service provider of a pending deposit; and

a clearing firm having an account into which the funds may be transferred from a transfer account.

20. A method executed in a computer system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution comprising

reading a file received from the intermediate banking institution to determine an amount of the funds deposited by the client and an associated account number that helps identify the client;

storing data that includes said amount and account number into a database;

processing data from said database to schedule a transfer of the funds from a transfer account at the intermediate banking institution to an account of a clearing firm; and

transmitting data from said database to the clearing firm to transfer the funds from an account of the financial service provider to an account of the client.

21. A method executed in a computer system for allowing a client to deposit funds to a financial service provider through an intermediate banking institution as in claim 20, further comprising

transmitting data from said database to the clearing firm to transfer the funds from the account of the clearing firm to the account of the financial service provider.