Financial management system

• US 20060064368A1
• Filed: 09/19/2005
• Published: 03/23/2006
• Est. Priority Date: 08/24/2000
• Status: Active Grant

• Current Assignee: Kioba Processing, LLC (IP Investments Group LLC)
• Original Assignee: Patrick Forte
• Inventors: Forte, Patrick
• Granted Patent: US 7,219,082 B2
• Time in Patent Office: Days
• US Class Current: 705/35
• 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 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/108 Remote banking, e.g. home banking
• CPC Class Codes: G06Q 20/1085 involving automatic teller machines [ATMs]
• CPC Class Codes: G06Q 20/382 insuring higher security of transaction
• 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

Abstract

A financial transaction network includes a customer network serviced by a host processor. The financial transaction network provides customers with a plurality of diverse and interchangeable financial products and financial services that customers may utilize to directly manage their financial assets. The host processor acts as a communications switch validating incoming transaction requests and routing them to specialized subsystems. The host processor maintains central records that can be accessed by network participants. The financial transaction network enables customers to continually interchange account values relating to any financial product, or financial service within the network. With its accessibility, speed and finality of settlement, the network permits these interchanges to be accomplished with maximum efficiency.

Claims

1. A financial transaction network for facilitating direct management of financial assets for customers in individual program accounts, comprising:

a plurality of devices by which a customer can access his individual program account (“

IPA”

) The IPA is an individual customers account representing an array of activities that have been individually selected by the customer from the totality of the activities in the PA. A host processor for executing transaction instructions and maintaining individual program account information, said host processor including a database for maintaining individual program account transactions and records, means for establishing and maintaining a plurality of customer individual program accounts, and means to support of a customers'"'"' transactional interchange of individual program account debits and credits and to settle said transactions.

2. The financial transaction network of claim 1 further comprising means to support a plurality of stored value accounts maintained by a merchant for a plurality of customers each having an IPA.

3. The financial transaction network of claim 1 further comprising means to support a plurality of demand deposit accounts maintained by a plurality customers in a federally-insured banks as a component of an IPA.

4. The financial transaction network of claim 2 further comprising means to support, at a merchant locations, a plurality of point of sale terminals by which a customer may convert the value of a negotiable instrument to a customer'"'"'s SVA.

5. The financial transaction network of claim 1 further comprising means to support an array of mechanisms by which customers may convert value from one account in their IPA to another account in said IPA.

6. The financial transaction network of claim 4 further comprising means enabling said merchant to utilize point of sale terminals to access services to verify a check presented by a customer to the merchant.

7. The financial transaction network of claim 1 further comprising means for establishing a merchant DDA account and providing said merchant access to the merchant DDA.

8. The financial transaction network of claim 4 further comprising means enabling said merchant to credit to a customer'"'"'s SVA an amount based on the value of a negotiable instrument presented to the merchant by the customer.

9. The financial transaction network of claim 2 further comprising means enabling a customer to access their SVA to credit or debit other accounts in their IPA.

10. The financial transaction network of claim 2 further comprising means enabling a customer to utilize the value in the customer'"'"'s SVA and instruct the merchant to credit the customer'"'"'s DDA at a bank with funds from said merchant'"'"'s DDA.

11. A method of consumer transaction comprising the steps of:

establishing a customer IPA,

establishing a customer DDA,

establishing a merchant SVA, and

a transaction between said consumer and said merchant affecting the account balances in said customer SVA, said customer DDA and said merchant accounts.

12. The method of claim 11 further comprising the step of establishing a customer SVA.

13. The method of claim 11 further comprising the step of establishing within said IPA.

14. The method of claim 11 wherein said transaction comprising the presentation of a negotiable instrument at a point of sale at said merchant, to credit or debit account balances.

15. The method of claim 11 further comprising the step of providing customer access to the customer DDA and said customer IPA accounts to convert balances from one account to another account.

16. The method of claim 11 further comprising the step of providing merchant access to the merchant SVA to convert a balance to said customer DDA.

17. The method of claim 11 further comprising the step of establishing a merchant DDA.

19. The method of claim 12 further comprising a transaction wherein said customer presents a negotiable instrument at a point of sale at said merchant, said transaction including the acceptance of the negotiable instrument by the merchant, a corresponding value corresponding to the negotiable instrument credited to the customer SVA and payment for the purchase of goods from said merchant.

18. The method of claim 18 further comprising the steps of a transaction of converting a balance from the merchant DDA to said customer DDA.