Risk evaluation method and system using ACH data

• US 20060229961A1
• Filed: 04/08/2005
• Published: 10/12/2006
• Est. Priority Date: 04/08/2005
• Status: Abandoned Application

• Current Assignee: Efunds Corporation (Fidelity National Information Services Incorporated)
• Original Assignee: Efunds Corporation (Fidelity National Information Services Incorporated)
• Inventors: Lyftogt, Rick B., Evans, Robert
• Application Number:
  US11/102,391
• Publication Number:
  US 20060229961A1
• Time in Patent Office: Days
• US Class Current: 705/35
• 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 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

A method and system of managing risk associated with a financial transaction. In one embodiment, the method comprises receiving data associated with a plurality of past transactions. The received data includes Automated Clearing House (ACH) data and other payment-related data. The method further comprises storing the received data in a database; receiving a risk management request in connection with a new transaction; analyzing the stored data based at least in part on the risk management request; and generating a risk management indication.

Claims

1. A method of managing risk associated with a financial transaction, the method comprising the acts of:

receiving data associated with a plurality of past transactions, the received data including Automated Clearing House (ACH) data and other payment-related data;

storing the received data in a database;

receiving a risk management request in connection with a new transaction, the risk management request including account or accountholder information;

analyzing the stored data based at least in part on the risk management request; and

generating a risk management indication.

2. The method of claim 1, wherein the ACH data comprises routing &

transit numbers and account numbers.

3. The method of claim 1, wherein the payment-related data comprises raw MICR information.

4. The method of claim 1, wherein the payment-related data comprises accountholder names and accountholder addresses.

5. The method of claim 1, wherein the payment-related data comprises historical payment information for accounts or accountholders.

6. The method of claim 5, wherein the historical payment information relates to forward items or return items.

7. The method of claim 1, further comprising the act of sending the risk management indication to a third party.

8. The method of claim 7, further comprising the act of charging the third party for the risk management indication.

9. The method of claim 1, wherein the indication comprises a score.

10. The method of claim 9, wherein the score comprises a probability.

11. The method of claim 1, wherein the indication is associated with a user validation process.

12. The method of claim 1, wherein the received data is sent by a third party.

13. The method of claim 12, wherein the third party is a remittance processor.

14. The method of claim 1, wherein the new transaction is originated over the Internet.

15. The method of claim 1, wherein the new transaction relates to a recurring payment.

16. The method of claim 1, wherein the risk management request is received in a batch mode.

17. The method of claim 1, wherein the risk management request is received in real time.

18. The method of claim 1, wherein the act of analyzing the stored data comprises determining recent payment history of an account.

19. The method of claim 1, wherein the act of analyzing the stored data comprises accessing at least one of account closed information, check payment or NSF (non-sufficient fund) history information, or deceased accountholder information.

20. The method of claim 1, wherein the data is received in a standard file format.

21. The method of claim 1, wherein the new transaction is originated by telephone.

22. A system of managing risk associated with a financial transaction, the system comprising:

a data acquisition application configured to receive data associated with a plurality of past transactions and to store the received data in a database, the received data including Automated Clearing House (ACH) data and other payment-related data; and

a data analysis application configured to analyze the stored data based at least in part on a risk management request, the risk management request being received in connection with a new transaction and including account or accountholder information, the data analysis application being further configured to generate a risk management indication.

23. The system of claim 22, further comprising the database.

24. A computer-readable medium encoded with a plurality of processor-executable instructions for:

receiving data associated with a plurality of past transactions, the received data including Automated Clearing House (ACH) data and other payment-related data;

storing the received data in a database;

receiving a risk management request in connection with a new transaction, the risk management request including account or accountholder information;

analyzing the stored data based at least in part on the risk management request; and

generating a risk management indication.

25. A system of managing risk associated with a financial transaction, the system comprising:

means for receiving data associated with a plurality of past transactions, the received data including Automated Clearing House (ACH) data and other payment-related data;

means for storing the received data in a database;

means for receiving a risk management request in connection with a new transaction, the risk management request including account or accountholder information;

means for analyzing the stored data based at least in part on the risk management request; and

means for generating a risk management indication.