Systems and methods for managing client accounts

• US 20050228733A1
• Filed: 06/10/2005
• Published: 10/13/2005
• Est. Priority Date: 10/21/1998
• Status: Active Grant

• Current Assignee: Island Intellectual Property LLC (Double Rock Corporation)
• Original Assignee: Reserve Management Corporation
• Inventors: Bent, Bruce, Bent, Bruce II
• Granted Patent: US 7,672,886 B2
• Time in Patent Office: Days
• US Class Current: 705/35
• 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 20/102 Bill distribution or payments
• CPC Class Codes: G06Q 20/108 Remote banking, e.g. home banking
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

Providing interest to clients'"'"' deposited funds without limitation on the number of demand withdrawals from deposit accounts is accomplished by an administration system that keeps all of the records for the clients'"'"' deposits and withdrawals, calculates the total of the deposits and witndrawals for all clients, and uses the calculation to determine whether funds are deposited to or withdrawn from one or more deposit accounts in which all clients'"'"' deposit funds are kept. Clients can make unlimited withdrawals, such as by check, credit card, debit card, or electronic transfer, through the administrator. By placing the administrator as the holder of the deposit account(s), exemptions to the limitation on earning interest in demand accounts is facilitated; additionally, dispersing the deposit account funds among multiple banks allows the client to obtain FDIC insurance for all of the deposited funds, which may amount to insurance in excess of the statutory maximum allowed (presently $100,000.00).

Claims

1. A computer system for managing a plurality of client demand accounts for one or more clients, said system comprising:

a database comprising information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more FDIC-insured and interest-bearing deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of

administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client demand accounts;

determining on a regular basis one or more net transactions as sums of said client deposits and/or transfers to and withdrawals and/or transfers from said client demand accounts;

determining from said net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more FDIC-insured and interest-bearing deposit accounts, wherein a manner of making transfers to and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from said at least one of said FDIC-insured and interest-bearing deposit accounts actually made during a period; and

updating the database with each client'"'"'s deposits and/or transfers to and withdrawals and/or transfers from said each client demand account.

2. The computer system of claim 1, wherein the deposit accounts are not NOW accounts.

3. The computer system of claim 1, wherein at least one of the deposit accounts is a NOW account.

4. The computer system of claim 1, wherein the client demand account funds for one of the client demand accounts are greater than the maximum FDIC insurance coverage amount allowed for each depositor in an FDIC-insured banking institution and are held in a plurality of different FDIC-insured and interest-bearing deposit accounts among a fixed plurality of FDIC-insured banking institutions.

5. The computer system of claim 1, wherein the client demand account funds for one of the client demand accounts are greater than the maximum FDIC insurance coverage amount allowed for each depositor in an FDIC-insured banking institution and are held in a plurality of different FDIC-insured and interest-bearing deposit accounts among a plurality of FDIC-insured banking institutions.

6. The computer system of claim 1, wherein the clients'"'"' withdrawals and/or transfers from their demand accounts are by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, and combinations thereof.

7. The computer system of claim 1, wherein the clients'"'"' deposits and/or transfers to their demand accounts are by at least one method selected from the group consisting of drafts or checks, sweeps, wire or electronic transfers, ACH credits, third party credits, and combinations thereof.

8. The computer system of claim 1, further programmed for

determining whether each client'"'"'s funds at a banking institution are more than a specified amount, and

distributing any amounts over said specified amount into at least one other FDIC-insured and interest-bearing deposit account at least one other banking institution.

9. The computer system of claim 1, further programmed for authorizing or rejecting payments requested from at least one client'"'"'s demand account.

10. The computer system of claim 1, further programmed for distributing interest earned on at least one of said FDIC-insured and interest-bearing deposit accounts among the clients'"'"' demand accounts.

11. The computer system of claim 1, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in the FDIC-insured and interest-bearing deposit accounts.

12. The computer system of claim 1, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested in person.

13. The computer system of claim 1, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by mail.

14. The computer system of claim 1, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by messenger.

15. The computer system of claim 1, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

16. The computer system of claim 1, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by automated teller machine.

17. The system of claim 1, wherein the manner of making transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

18. The system of claim 1, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client demand account funds are held.

19. A computer system for managing a plurality of client demand accounts, said system comprising:

a database comprising information for each of the plurality of client demand accounts, wherein funds for said client demand accounts are held in one or more insured and interest-bearing deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a computer system programmed to be capable of performing the steps of

administering client deposit, withdrawal, and transfer transactions by crediting or debiting client funds in the insured and interest-bearing deposit accounts so that each client'"'"'s funds held in each banking institution do not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the credited and debited client transactions;

on a regular basis, sending a signal identifying funds to be deposited and/or transferred to or withdrawn and/or transferred from the insured and interest-bearing deposit accounts at said banking institutions in dependence on the determined one or more net transactions, wherein the manner of making transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from said at least one of said insured and interest-bearing deposit account actually made during a period; and

updating the database for each client demand account with the received transactions against the said each client'"'"'s demand account.

20. The computer system of claim 19, wherein the deposit accounts are not NOW accounts.

21. The computer system of claim 19, wherein at least one of the deposit accounts is a NOW account.

22. The computer system of claim 19, wherein the administering step comprises administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client demand accounts step among a plurality of banks wherein the plurality if fixed.

23. The computer system of claim 19, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested in person.

24. The computer system of claim 19, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by mail.

25. The computer system of claim 19, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by messenger.

26. The computer system of claim 19, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

27. The computer system of claim 19, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by automated teller machine.

28. The system of claim 19, wherein the manner of making transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

29. A computer system for managing a plurality of client demand accounts for one or more clients, said system comprising:

a database comprising information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more FDIC-insured and interest-bearing deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of

administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the said client deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts;

determining from the one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more FDIC-insured and interest-bearing deposit accounts, wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said FDIC-insured and interest-bearing deposit accounts; and

updating said database with each client'"'"'s said deposits and/or transfers to and said withdrawals and/or transfers from said each client'"'"'s demand account.

30. The computer system of claim 29, wherein the deposit accounts are not NOW accounts.

31. The computer system of claim 29, wherein at least one of the deposit accounts is a NOW account.

32. The computer system of claim 29, wherein clients'"'"' funds are withdrawn and/or transferred from said client demand accounts by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

33. The computer system of claim 29, wherein clients'"'"' funds are deposited and/or transferred into said client demand accounts by at least one method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from another account.

34. The computer system of claim 29, further programmed for

determining whether each client'"'"'s funds in said FDIC-insured and interest-bearing deposit accounts at a banking institution are more than a specified amount, and

distributing any amounts over said specified amount into at least one other FDIC-insured and interest-bearing deposit account at least one other banking institution.

35. The computer system of claim 29, further programmed for authorizing or rejecting payments requested from at least one client'"'"'s demand account.

36. The computer system of claim 29, further programmed for distributing interest earned on at least one of said FDIC-insured and interest-bearing deposit accounts among said client demand accounts.

37. The computer system of claim 29, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in said FDIC-insured and interest-bearing deposit accounts.

38. The computer system of claim 29, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested in person.

39. The computer system of claim 29, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by mail.

40. The computer system of claim 29, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by messenger.

41. The computer system of claim 29, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

42. The computer system of claim 29, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by automated teller machine.

43. The computer system of claim 29, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client demand account funds are held.

44. The computer system of claim 29, wherein the manner of making transfers and/or withdrawals from at least one of said FDIC insured and interest-bearing deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

45. A computer system for managing a plurality of client demand accounts, said system comprising:

a database comprising information for each client demand account, wherein funds for said client demand accounts are held in one or more insured and interest-bearing deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a computer programmed to be capable of performing the steps of

administering client deposit, withdrawal, and transfer transactions by crediting or debiting client funds in said insured and interest-bearing deposit accounts so that each client'"'"'s funds held in each banking institution do not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the credited and debited transactions;

on a regular basis, causing funds to be deposited and/or transferred to or withdrawn and/or transferred from said insured and interest-bearing deposit accounts at said banking institutions in dependence on the pre-determined one or more net transactions, wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said insured and interest-bearing deposit accounts; and

updating said database comprising client information for each client demand account with said transactions received against the said each client'"'"'s demand account.

46. The computer system of claim 45, wherein the deposit accounts are not NOW accounts.

47. The computer system of claim 45, wherein at least one of the deposit accounts is a NOW account.

48. The computer system of claim 45, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested in person.

49. The computer system of claim 45, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by mail.

50. The computer system of claim 45, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by messenger.

51. The computer system of claim 45, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

52. The computer system of claim 45, wherein one or more of the transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts are requested by automated teller machine.

53. The computer system of claim 45, wherein the manner of making transfers and/or withdrawals from at least one of said insured and interest-bearing deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

54. A system for managing a plurality of client demand accounts for one or more clients, said system comprising:

a database comprising client information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more insured money market deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a device for administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

a device for authorizing or rejecting the use of funds in a particular client'"'"'s demand account for each payment requested from that client'"'"'s demand account;

a device for determining on a regular basis one or more net transactions aggregated across all of said clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts;

a device for determining from said one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured money market deposit accounts;

a device for processing deposits and/or transfers of said funds to or withdrawals and/or transfers of said funds from said one or more insured money market deposit accounts based on said one or more net transactions, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from at least one of said insured money market deposit accounts actually made during a month;

a device for distributing interest earned on at least one of said insured money market deposit accounts to said client demand accounts; and

a device for updating said database with each client'"'"'s deposits and authorized payments.

55. The computer system of claim 54, wherein the deposit accounts are not NOW accounts.

56. The computer system of claim 54, wherein at least one of the deposit accounts is a NOW account.

57. The system of claim 54, wherein at least one withdrawal or transfer from at least one client demand account is made by a method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

58. The system of claim 54, wherein at least one deposit or transfer into at least one client demand account is made by a method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from one of the client'"'"'s other accounts another account.

59. The system of claim 54, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested in person.

60. The system of claim 54, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by mail.

61. The system of claim 54, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by messenger.

62. The system of claim 54, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by telephone and distributed by mail.

63. The system of claim 54, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by automated teller machine.

64. The system of claim 54, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

65. A system for managing a plurality of client transaction accounts for one or more clients, the system comprising:

a database comprising client information for each client transaction account wherein client transaction funds for these transaction accounts are held in interest-bearing non-demand deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a device for administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client transaction accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

a device for authorizing or rejecting the use of funds in a particular client'"'"'s transaction account for each payment requested from that client'"'"'s transaction account;

a device for determining on a regular basis one or more net transactions aggregated across all of said clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client transaction accounts;

a device for determining from the one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured interest-bearing non-demand deposit accounts;

a device for processing deposits and/or transfers of said funds to or withdrawals and/or transfers of said funds from said one or more insured interest-bearing non-demand deposit accounts based on said one or more net transactions, wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts actually made during a month;

a device for distributing interest earned on at least one of said insured interest-bearing non-demand deposit accounts to said clients'"'"' transaction accounts; and

a device for updating said database with each client'"'"'s deposits and authorized payments.

66. The computer system of claim 65, wherein the deposit accounts are not NOW accounts.

67. The computer system of claim 65, wherein at least one of the deposit accounts is a NOW account.

68. The system of claim 65, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested in person.

69. The system of claim 65, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by mail.

70. The system of claim 65, wherein one or more of the transfers and/or withdrawals from at least one of said interest-bearing non-demand deposit accounts are requested by messenger.

71. The system of claim 65, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by telephone and distributed by mail.

72. The system of claim 65, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by automated teller machine.

73. The system of claim 65, wherein at least one withdrawal or transfer from at least one client transaction account is made by a draft or check.

74. The system of claim 65, wherein at least one withdrawal or transfer from at least one client transaction account is made by credit or debit card.

75. The system of claim 65, wherein at least one withdrawal or transfer from at least one client transaction account is made by an ACH debit or credit.

76. The system of claim 65, wherein at least one withdrawal or transfer from at least one client transaction account is made by a sweep.

77. The system of claim 65, wherein at least one withdrawal or transfer from at least one client transaction account is made by a wire or electronic transfer.

78. The system of claim 65, wherein at least one deposit or transfer to at least one client transaction account is made by a draft or check.

79. The system of claim 65, wherein at least one deposit or transfer to at least one client transaction account is made by sweep or by third party credit.

80. The system of claim 65, wherein at least one deposit or transfer to at least one client transaction account is made by wire or electronic or ACH transfer.

81. The system of claim 65, wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

82. A system for managing a plurality of client demand accounts for one or more clients, the system comprising:

a database comprising client information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more insured money market deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a device for administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

a device for authorizing or rejecting the use of funds in a particular client'"'"'s demand account for each payment requested from that client'"'"'s demand account;

a device for determining on a regular basis one or more net transactions aggregated across all of said clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts;

a device for determining from said one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured money market deposit accounts;

a device for processing deposits and/or transfers of said funds to or withdrawals and/or transfers of said funds from said one or more insured money market deposit accounts based on said one or more net transactions, wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said insured money market deposit accounts;

a device for distributing interest earned on at least one of said insured money market deposit accounts to said clients'"'"' demand accounts; and

a device for updating said database with each client'"'"'s deposits and authorized payments.

83. The computer system of claim 82, wherein the deposit accounts are not NOW accounts.

84. The computer system of claim 82, wherein at least one of the deposit accounts is a NOW account.

85. The system of claim 82, wherein at least one withdrawal or transfer from at least one client demand account is made by a method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

86. The system of claim 82, wherein at least one deposit or transfer into at least one client demand account is made by a method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from one of the client'"'"'s other accounts another account.

87. The system of claim 82, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested in person.

88. The system of claim 82, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by mail.

89. The system of claim 82, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by messenger.

90. The system of claim 82, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by telephone and distributed by mail.

91. The system of claim 82, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by automated teller machine.

92. The system of claim 82, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

93. A system for managing a plurality of client transaction accounts for one or more clients, the system comprising:

a database comprising client information for each client transaction account, wherein client transaction account funds for the client transaction accounts are held in one or more insured interest-bearing non-demand deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts;

a device for administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client transaction accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

a device for authorizing or rejecting the use of funds in a particular client transaction account for each payment requested from that client'"'"'s transaction account;

a device for determining on a regular basis one or more net transactions aggregated across all of said clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client transaction accounts;

a device for determining from the one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured interest-bearing non-demand deposit accounts;

a device for processing deposits and/or transfers of said funds to or withdrawals and/or transfers of said funds from said one or more insured interest-bearing non-demand deposit accounts based on said one or more net transactions, wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said insured interest-bearing non-demand deposit accounts;

a device for distributing interest earned on at least one of said insured interest-bearing non-demand deposit accounts to said clients'"'"' transaction accounts; and

a device for updating said database with each client'"'"'s deposits and authorized payments.

94. The computer system of claim 93, wherein the deposit accounts are not NOW accounts.

95. The computer system of claim 93, wherein at least one of the deposit accounts is a NOW account.

96. The system of claim 93, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested in person.

97. The system of claim 93, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by mail.

98. The system of claim 93, wherein one or more of the transfers and/or withdrawals from at least one of said interest-bearing non-demand deposit accounts are requested by messenger.

99. The system of claim 93, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by telephone and distributed by mail.

100. The system of claim 93, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by automated teller machine.

101. The system of claim 93, wherein at least one withdrawal or transfer from at least one client transaction account is made by a draft or check.

102. The system of claim 93, wherein at least one withdrawal or transfer from at least one client transaction account is made by credit or debit card.

103. The system of claim 93, wherein at least one withdrawal or transfer from at least one client transaction account is made by an ACH debit or credit.

104. The system of claim 93, wherein at least one withdrawal or transfer from at least one client transaction account is made by a sweep.

105. The system of claim 93, wherein at least one withdrawal or transfer from at least one client transaction account is made by wire or electronic transfer.

106. The system of claim 93, wherein at least one deposit or transfer to at least one client transaction account is made by a draft or check.

107. The system of claim 93, wherein at least one deposit or transfer to at least one client transaction account is made by a sweep or by third party credit.

108. The system of claim 93, wherein at least one deposit or transfer to at least one client transaction account is made by wire or electronic or ACH transfer.

109. The system of claim 93, wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

110. A system for managing a plurality of client transaction accounts for one or more clients, said system comprising:

a database comprising information for each of the plurality of client transaction accounts, wherein funds for said client transaction accounts are held in one or more FDIC insured and interest bearing deposit accounts, wherein the deposit accounts are held in up to a fixed plurality of banking institutions, and wherein the information for each of the client transaction accounts includes information on each client'"'"'s funds held in said insured and interest bearing deposit accounts;

a device for administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

a device for authorizing or rejecting the use of funds in a particular client'"'"'s demand account for each payment requested from that client'"'"'s demand account;

a device for determining on a regular basis one or more net transactions aggregated across all of said clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from their client demand accounts;

a device for determining from said one or more net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured and interest bearing deposit accounts;

a device for processing deposits and/or transfers of said funds to or withdrawals and/or transfers of said funds from said one or more insured and interest bearing deposit accounts held in up to the fixed plurality of said banking institutions based on said one or more net transactions; and

a device for distributing interest earned on at least one of said insured and interest bearing deposit accounts to said client demand accounts; and

a device for updating said database with each client'"'"'s deposits and authorized payments including updating the information on each client'"'"'s funds in said one or more insured and interest bearing deposit accounts held in the up to the fixed plurality of banking institutions.

111. The system of claim 110, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested in person.

112. The system of claim 110, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by mail.

113. The system of claim 110, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by messenger.

114. The system of claim 110, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

115. The system of claim 110, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by automated teller machine.

116. The system of claim 110, wherein at least one of the deposit accounts is a money market deposit account.

117. The system of claim 110, wherein at least one of the deposit accounts is a non-demand deposit account that is not a NOW account.

118. The system of claim 110, wherein at least one of the deposit accounts is a non-demand deposit account that is a NOW account.

119. A computer system for managing a plurality of client demand accounts for one or more clients, said computer system comprising:

a database comprising information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more insured interest-bearing non-demand deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of the client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the aggregated client deposits and/or transfers to and aggregated client withdrawals and/or transfers from their client demand accounts;

determining from the net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured interest-bearing non-demand deposit accounts, and wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts actually made during a month; and

updating said database with each client'"'"'s deposits and/or transfers to and withdrawals and/or transfers from the said each client'"'"'s demand account.

120. The computer system of claim 119, wherein the deposit accounts are not NOW accounts.

121. The computer system of claim 119, wherein at least one of the deposit accounts is a NOW account.

122. The computer system of claim 119, further programmed for:

determining whether each client'"'"'s funds held in a banking institution are more than a specified amount; and

distributing any amounts over said specified amount into at least one other insured interest-bearing non-demand deposit account at least one other banking institution, so that FDIC insurance coverage greater than the maximum FDIC insurance coverage allowed for each depositor in a FDIC-insured banking institution is effectively provided for each client.

123. The computer system of claim 122, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client demand account funds are held.

124. The computer system of claim 119, further programmed for distributing interest earned on at least one of said insured interest-bearing non-demand deposit accounts among said client demand accounts.

125. The computer system of claim 119, wherein at least one net transaction is determined for each of said one or more banking institutions.

126. The computer system of claim 119, wherein clients'"'"' funds are deposited and/or transferred into said client demand accounts by at least one method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from another account.

127. The computer system of claim 119, wherein clients'"'"' funds are withdrawn and/or transferred from said client demand accounts by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

128. The computer system of claim 119, further programmed for determining a client'"'"'s preferences for the amount of funds to be held in each of said insured interest-bearing non-demand deposit accounts, and wherein funds are deposited and/or transferred to or withdrawn and/or transferred from said insured interest-bearing non-demand deposit accounts in dependence on the pre-determined client preferences.

129. The computer system of claim 119, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in said insured interest-bearing non-demand deposit accounts and the in said banking institutions.

130. The computer system of claim 119, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested in person.

131. The computer system of claim 119, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by mail.

132. The computer system of claim 119, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by messenger.

133. The computer system of claim 119, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by telephone and distributed by mail.

134. The computer system of claim 119, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by automated teller machine.

135. The computer system of claim 119, wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

136. A computer system for managing a plurality of client demand accounts for one or more clients, said system comprising:

a database comprising information for each client demand account, wherein client demand account funds for the client demand accounts are held in one or more insured interest-bearing non-demand deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of

administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client demand accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the aggregated client deposits and/or transfers to and aggregated client withdrawals and/or transfers from their client demand accounts;

determining from the net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured interest-bearing non-demand deposit accounts, and wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said insured interest-bearing non-demand deposit accounts; and

updating said database with each client'"'"'s deposits and/or transfers to and withdrawals and/or transfers from the said each client'"'"'s demand account.

137. The computer system of claim 136, wherein the deposit accounts are not NOW accounts.

138. The computer system of claim 136, wherein at least one of the deposit accounts is a NOW account.

139. The computer system of claim 136, further programmed for:

determining whether each client'"'"'s funds held in a banking institution are more than a specified amount; and

distributing any amounts over said specified amount into at least one other insured interest-bearing non-demand deposit account in at least one other banking institution, so that FDIC insurance coverage greater than the maximum FDIC insurance coverage allowed for each depositor in a FDIC-insured banking institution is effectively provided for each client.

140. The computer system of claim 139, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client demand account funds are held.

141. The computer system of claim 136, further programmed for distributing interest earned on at least one of said insured interest-bearing non-demand deposit accounts among said client demand accounts.

142. The system of claim 138, wherein at least one net transaction is determined for each of said one or more banking institutions.

143. The system of claim 136, wherein clients'"'"' funds are deposited and/or transferred into said client demand accounts by at least one method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from another account.

144. The system of claim 136, wherein clients'"'"' funds are withdrawn and/or transferred from said client demand accounts by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

145. The computer system of claim 136, further programmed for determining a client'"'"'s preferences for the amount of funds to be held in each of said insured interest-bearing non-demand deposit accounts, and wherein funds are deposited and/or transferred to or withdrawn and/or transferred from said insured interest-bearing non-demand deposit accounts in dependence on the pre-determined client preferences.

146. The computer system of claim 136, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in the insured interest-bearing non-demand deposit accounts in said banking institutions.

147. The computer system of claim 136, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested in person.

148. The computer system of claim 136, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by mail.

149. The computer system of claim 136, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by messenger.

150. The computer system of claim 136, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by telephone and distributed by mail.

151. The computer system of claim 136, wherein one or more of the transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts are requested by automated teller machine.

152. The computer system of claim 136, wherein the manner of making transfers and/or withdrawals from at least one of said insured interest-bearing non-demand deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

153. A computer system for managing a plurality of client transaction accounts for one or more clients, said system comprising:

a database comprising information for each client account, wherein client transaction account funds for the client transaction accounts are held in one or more insured money market deposit accounts, wherein the deposit accounts are held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of

administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client transaction accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the aggregated client deposits and/or transfers to and aggregated client withdrawals and/or transfers from their client transaction accounts;

determining from the net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured money market deposit accounts, and wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts preserves that account'"'"'s interest-bearing status regardless of the number of said transfers and/or withdrawals from at least one of said insured money market deposit account actually made during a month; and

updating said database with each client'"'"'s deposits and/or transfers to and withdrawals and/or transfers from the said each client'"'"'s transaction account.

154. The computer system of claim 153, wherein the deposit accounts are not NOW accounts.

155. The computer system of claim 153, wherein at least one of the deposit accounts is a NOW account.

156. The computer system of claim 153, further programmed for:

determining whether each client'"'"'s funds held in a banking institution are more than a specified amount; and

distributing any amounts over said specified amount into at least one other insured money market deposit account at least one other banking institution, so that FDIC insurance coverage greater than the maximum FDIC insurance coverage allowed for each depositor in a FDIC-insured banking institution is effectively provided for each client.

157. The computer system of claim 156, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client transaction account funds are held.

158. The computer system of claim 153, further programmed for distributing interest earned on at least one of said insured money market deposit accounts among said client transaction accounts.

159. The computer system of claim 153, wherein at least one net transaction is determined for each of said one or more banking institutions.

160. The computer system of claim 153, wherein clients'"'"' funds are deposited and/or transferred into said client transaction accounts by at least one method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from another account.

161. The computer system of claim 153, wherein clients'"'"' funds are withdrawn and/or transferred from said client transaction accounts by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

162. The computer system of claim 153, further programmed for determining a client'"'"'s preferences for the amount of funds to be held in each of said insured money market deposit accounts, and wherein funds are deposited and/or transferred to or withdrawn and/or transferred from said insured money market deposit accounts in dependence on the pre-determined client preferences.

163. The computer system of claim 153, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in the insured money market deposit accounts and in said banking institutions.

164. The computer system of claim 153, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested in person.

165. The computer system of claim 153, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by mail.

166. The computer system of claim 153, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by messenger.

167. The computer system of claim 153, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by telephone and distributed by mail.

168. The computer system of claim 153, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by automated teller machine.

169. The computer system of claim 153, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

170. A computer system for managing a plurality of client transaction accounts, said system comprising

a database comprising information for each of the plurality of client transaction accounts, wherein funds for said client transaction accounts are held in one or more FDIC insured and interest bearing deposit accounts, wherein the deposit accounts are held in up to a fixed plurality of banking institutions, and wherein the information for each of the client transaction accounts includes information on each client'"'"'s funds held in said insured and interest bearing deposit accounts;

a computer system programmed to be capable of performing the steps of

administering client deposit, withdrawal, and transfer transactions by crediting or debiting client funds in the one or more insured deposit accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the credited and debited client transactions;

determining funds to be deposited and/or transferred to or withdrawn and/or transferred from the one or more insured deposit accounts held in up to the fixed plurality of said banking institutions in dependence on the determined one or more net transactions; and

updating the database for each client transaction account with the received transactions against the transaction client accounts including updating the information on each client'"'"'s funds in said one or more insured deposit accounts held in the up to the fixed plurality of banking institutions.

171. The computer system of claim 170, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested in person.

172. The computer system of claim 170, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by mail.

173. The computer system of claim 170, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by messenger.

174. The computer system of claim 170, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by telephone and distributed by mail.

175. The computer system of claim 170, wherein one or more of the transfers and/or withdrawals from at least one of said FDIC-insured and interest-bearing deposit accounts are requested by automated teller machine.

176. The computer system of claim 170, wherein at least one of the deposit accounts is a money market deposit account.

177. The computer system of claim 170, wherein at least one of the deposit accounts is a non-demand deposit account that is not a NOW account.

178. The computer system of claim 172, wherein at least one of the deposit accounts is a non-demand deposit account that is a NOW account.

179. A computer system for managing a plurality of client transaction accounts for one or more clients, said system comprising:

a database comprising information for each client transaction account, wherein client transaction account funds for the client transaction accounts are held in one or more insured money market deposit accounts held at one or more banking institutions, and wherein the information for each of the client demand accounts includes information on each client'"'"'s funds held in said insured and interest-bearing deposit accounts; and

a computer programmed to be capable of performing the steps of

administering clients'"'"' deposits and/or transfers to and withdrawals and/or transfers from each of said client transaction accounts so that each client'"'"'s funds held in each banking institution does not exceed a specified amount;

determining on a regular basis one or more net transactions as sums of the aggregated client deposits and/or transfers to and aggregated client withdrawals and/or transfers from their client transaction accounts;

determining from the net transactions whether to deposit and/or transfer funds to or withdraw and/or transfer funds from said one or more insured money market deposit accounts, and wherein more than six (6) transfers and/or withdrawals are made during a month from at least one of said insured money market deposit accounts; and

updating said database with each client'"'"'s deposits and/or transfers to and withdrawals and/or transfers from the said each client'"'"'s transaction account.

180. The computer system of claim 179, wherein the deposit accounts are not NOW accounts.

181. The computer system of claim 179, wherein at least one of the deposit accounts is a NOW account.

182. The system of claim 179, further programmed for:

determining whether each client'"'"'s funds held in a banking institution are more than a specified amount; and

distributing any amounts over said specified amount into at least one other insured money market deposit account at least one other banking institution, so that FDIC insurance coverage greater than the maximum FDIC insurance coverage allowed for each depositor in a FDIC-insured banking institution is effectively provided for each client.

183. The computer system of claim 179, further programmed for distributing interest earned on at least one of said insured money market deposit accounts among said client transaction accounts.

184. The computer system of claim 179, wherein at least one net transaction is determined for each of said one or more banking institutions.

185. The computer system of claim 179, wherein clients'"'"' funds are deposited and/or transferred into said client transaction accounts by at least one method selected from the group consisting of check or draft, wire or electronic transfer, ACH credit, third party credits, and a sweep from another account.

186. The computer system of claim 179, wherein clients'"'"' funds are withdrawn and/or transferred from said client transaction accounts by at least one method selected from the group consisting of drafts or checks, credit card, debit card, sweeps, wire or electronic transfers, ACH debits, and combinations thereof.

187. The computer system of claim 179, further programmed for determining a client'"'"'s preferences for the amount of funds to be held in each of said insured money market deposit accounts, and wherein funds are deposited and/or transferred to or withdrawn and/or transferred from said insured money market deposit accounts in dependence on the pre-determined client preferences.

188. The computer system of claim 179, wherein said database comprises, for each client, information concerning the amount of that client'"'"'s funds held in said insured money market deposit accounts and in said banking institutions.

189. The computer system of claim 179, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested in person.

190. The computer system of claim 179, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by mail.

191. The computer system of claim 179, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by messenger.

192. The computer system of claim 179, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by telephone and distributed by mail.

193. The computer system of claim 179, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by automated teller machine.

194. The computer system of claim 193, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client transaction account funds are held.

195. The computer system of claim 179, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.

196. The system of claim 183, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by telephone and distributed by mail.

197. The system of claim 183, wherein one or more of the transfers and/or withdrawals from at least one of said insured money market deposit accounts are requested by automated teller machine.

198. The system of claim 197, wherein said maximum FDIC insurance coverage is $100,000 for each category of legal account ownership for each banking institution in which specific client transaction account funds are held.

199. The system of claim 183, wherein the manner of making transfers and/or withdrawals from at least one of said insured money market deposit accounts satisfies requirements of federal statute and regulation for preserving the interest-bearing status of deposit accounts other than NOW accounts.