Systems and methods for assessing the risk of a financial transaction using reconciliation information
First Claim
1. A method of scoring risk associated with cashing a check, the method comprising:
- receiving information about a check presented to an entity for cashing;
accessing stored positive pay information about issued checks wherein said positive pay information indicates whether a check issuer is willing to honor the presented check; and
determining a risk score associated with cashing the presented check based at least in part on the positive pay information.
3 Assignments
0 Petitions
Accused Products
Abstract
Systems and methods are described for better assessing risk associated with cashing second-party checks and other negotiable instruments using positive pay or other reconciliation information about a check presented for cashing. Positive pay information, which may be made available by a check issuer, provides a list of checks that have been, for example, issued and not yet cashed, already cashed, voided, stolen, and the like, thus providing an indication of whether the check issuer is willing to honor the checks. In various embodiments, positive pay information about a check may be expressed as a gradated positive pay risk score. In various embodiments, the positive pay risk score may be combined with risk scores that are descriptive of other aspects of the check cashing transaction to calculate a risk score for the transaction as a whole. In some embodiments, the risk scores may be used to generate an accept/decline recommendation for the transaction as a whole.
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Citations
26 Claims
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1. A method of scoring risk associated with cashing a check, the method comprising:
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receiving information about a check presented to an entity for cashing;
accessing stored positive pay information about issued checks wherein said positive pay information indicates whether a check issuer is willing to honor the presented check; and
determining a risk score associated with cashing the presented check based at least in part on the positive pay information. - View Dependent Claims (2, 3, 4, 5, 6, 7)
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8. A computerized method for determining whether to authorize payment of a second-party check presented to an entity for processing, the method comprising:
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obtaining with a point of sale device installed in an entity location data comprising at least one of;
an account identifier, a check number, a check issue date, and an amount associated with a second-party check presented for processing;
transmitting the data to a check authorization system;
identifying at the check authorization system which of a plurality of positive pay databases is associated with the second-party check;
accessing the identified positive pay database associated with the second-party check and comparing the transmitted data and information stored in the positive pay database;
determining a risk score based at least in part on the comparison;
determining based at least in part on the risk score whether to authorize payment of the second-party check; and
transmitting a recommendation indicative of the authorization determination to the entity. - View Dependent Claims (9, 10, 11)
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12. A computerized system that determines whether to recommend the payment of a second-party check presented to an entity for processing, the system comprising:
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a point of sale device installed at an entity location, wherein the point of sale device is configured to receive data comprising at least one of;
an account identifier, a check number, a check issue date, and an amount associated with a second-party check presented for processing, the point of sale device further configured to transfer the data to a check authorization system;
a computer-accessible storage medium comprising information that associates a plurality of records in a positive pay database with various issued checks; and
a computer processor configured to determine a risk score based at least in part on whether the data associated with the second-party check and received by the point of sale device match a record in the positive pay database, the computer processor further configured to determine based at least in part on the risk score whether to recommend to the entity payment of the second-party check.
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13. An apparatus that scores risk associated with accepting a check, the apparatus comprising:
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a database that stores positive pay information about checks issued by check writers to payees wherein said positive pay information indicates issued checks that check writers are willing to honor; and
a computer processor configured to receive input about a check presented to an entity by a check presenter claiming to be a payee, the computer processor further configured to use the input to access positive pay information from the database that is associated with the check, the computer processor further configured to determine a risk score associated with accepting the check based at least in part on the positive pay information. - View Dependent Claims (14, 15, 16)
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17. An apparatus that scores risk associated with a financial transaction, the apparatus comprising:
a computer processor configured to receive information about a financial transaction associated with an obligation, the computer processor further configured to determine a risk score associated with the financial transaction that is based at least in part on stored information obtained from a payor associated with the obligation. - View Dependent Claims (18)
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19. A method that scores risk associated with a financial transaction, the method comprising:
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receiving information about a financial transaction associated with a second-party obligation; and
determining a risk score associated with the financial transaction based at least in part on stored information obtained from a payor associated with the second-party obligation.
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20. A computerized device that indicates to an entity whether to accept a second-party check, the device comprising:
a computer processor configured to receive information about a financial transaction associated with a presentment of a second-party check to an entity, the computer processor further configured to determine a risk score associated with the financial transaction based at least in part on positive pay information about the second-party check, the computer processor further configured to indicate to the entity whether to accept the second-party check based at least in part on the risk score. - View Dependent Claims (21, 22)
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23. A computerized method that indicates to an entity whether to accept a second-party check, the method comprising:
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receiving information about a financial transaction associated with a presentment of a second-party check to an entity;
determining a risk score associated with the financial transaction based at least in part on positive pay information about the second-party check; and
indicating to the entity whether to accept the second-party check based at least in part on the risk score. - View Dependent Claims (24, 25)
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26. A system for scoring risk associated with processing a check, the system comprising:
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means for receiving information about a check presented to a check cashing entity for cashing;
means for accessing stored positive pay information about issued checks wherein said positive pay information indicates whether a check issuer is willing to honor the presented check; and
means for determining a risk score associated with processing the presented check based at least in part on the positive pay information.
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Specification