Transaction Payables Processing System and Approach

• US 20080086397A1
• Filed: 10/04/2007
• Published: 04/10/2008
• Est. Priority Date: 10/06/2006
• Status: Active Grant

• Current Assignee: Syncada LLC (US Bancorp)
• Original Assignee: Syncada LLC (US Bancorp)
• Inventors: Hahn-Carlson, Dean
• Granted Patent: US 7,725,372 B2
• Time in Patent Office: Days
• US Class Current: 705/34
• CPC Class Codes: G06Q 20/102 Bill distribution or payments
• CPC Class Codes: G06Q 30/04 Billing or invoicing
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/12 Accounting

Abstract

Transaction management for financial institution-based transactions is facilitated. According to an example embodiment of the present invention, a transaction management approach involves the processing of financial aspects of transactions for a plurality of buyers using transaction rules associated with each buyer for automatically auditing each transaction (for each buyer) and any associated invoices. When a transaction or series of transactions are approved for payment for a particular buyer, the payment is automatically facilitated on behalf of the particular buyer. A fee is then assessed for each transaction or series of transactions, to one or more of the particular buyer, involved seller (or sellers), and a sponsor of the buyer that sponsors the buyer'"'"'s participation.

Claims

1. An automated transaction processing system for electronically processing transactions involving buyers and sellers using, for each transaction, electronic profile data that is appropriate to each buyer/seller pairing and a contract data set defined as a function of the buyer and a predefined business relationship between the buyer and at least one seller, the system comprising:

a transaction processor arrangement to process electronic transactions according to the stored contract data sets and profile data, the transaction processor arrangement comprising

a computer-implemented auditing engine to, for each transaction involving a buyer and at least one seller,

audit transaction data using a stored contract data set for the transaction, and

generate computer-readable audit data characterizing the audit,

a computer-implemented payment processor to finance and process electronic payment to a seller financial institution in response to generated audit data indicating that payment to the seller is appropriate for at least one transaction involving the seller and a buyer, and

a computer-implemented fee assessment engine to assess a transaction processing fee, for each seller to which electronic payment is made, by generating computer-readable fee data that associates the fee and a fee amount with a seller for which the fee data is generated.

2. The system of claim 1, wherein

the auditing engine audits transaction data including electronic invoice data by authenticating the electronic invoice data in response to an electronic data communication from the buyer indicating that an amount in the invoice is payable, and generating computer-readable audit data indicating the authentication, and

the payment processor finances and processes payment to a seller financial institution for a seller specified in the invoice data in response to the generated computer-readable audit data indicating the authentication.

3. The system of claim 1, wherein the auditing engine audits the transaction data using stored computer-readable profile data for the at least one seller, the profile data indicating information that can be processed by the auditing engine to generate the computer-readable audit data.

4. The system of claim 1, wherein

the transaction processor arrangement further includes a computer-implemented underwriting engine to underwrite the extension of credit to buyers using credit data in profile information for the buyers and to generate computer-readable approval data for extending credit to a buyer for each underwritten transaction, and

wherein the payment processor finances and processes electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data, and reflects the payment to the seller in a credit account for the buyer.

5. The system of claim 4, wherein the fee assessment engine assesses a fee against a seller receiving electronic credit-based payment in response to the generated approval data by generating computer-readable fee data that associates the fee and the fee amount with the seller.

6. The system of claim 1, wherein

the transaction processor arrangement further includes a computer-implemented underwriting engine to

underwrite the extension of credit to buyers for electronic payment made to a seller'"'"'s financial institution using credit data in profile information for the buyers specifying a sponsoring financier underwriting payments made on behalf of the buyers, and

generate computer-readable approval data for extending credit to a buyer for each underwritten transaction,

the payment processor finances and processes electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data, and reflects the payment to the seller in a credit account for the buyer, and

the fee assessment engine assesses a fee to the seller on behalf of a sponsoring financier underwriting the payment by generating computer-readable fee data that associates the fee and a fee amount with the seller for which the fee data is generated.

7. The system of claim 1, wherein

the transaction processor arrangement further includes a computer-implemented underwriting engine to

underwrite the extension of credit to sellers for electronic payment made to the seller'"'"'s financial institution using credit data in profile information for the buyers, and

generate computer-readable approval data for extending credit to a seller for each underwritten transaction,

the payment processor finances and processes electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data, and reflects the payment to the seller in a credit account for the seller, and

the fee assessment engine assesses a fee to the seller for the underwriting by generating computer-readable fee data that associates the fee and a fee amount with the seller for which the fee data is generated.

8. The system of claim 1, wherein the auditing engine audits the transaction data by comparing the transaction data to stored contract data to determine whether payment is appropriate.

9. The system of claim 1, wherein the fee assessment engine assesses a transaction processing fee by generating transaction processing fee data in accordance with computer-readable contract data for a contract between a seller receiving payment and an operator of the transaction processor arrangement.

10. The system of claim 1, wherein the payment processor finances and processes payment by providing an electronic payment to the seller financial institution for an amount owed by the buyer to the seller, less a transaction processing fee assessed against the seller by the fee assessment engine.

11. The system of claim 1, wherein

the auditing engine audits transaction data including seller invoice data by processing the invoice data using stored contract data for the transaction, and

the payment processor finances and processes electronic payment to a seller financial institution for a seller specified in the invoice data in response to the audit data indicating that payment is appropriate for the seller invoice data.

12. The system of claim 10, wherein the auditing engine audits transaction data including seller invoice data for an invoice that is pre-approved for payment by a buyer to which the invoice applies by generating computer-readable audit data, for the payment processor, indicating that payment is pre-approved.

13. The system of claim 1, wherein the payment processor facilitate electronic settlement to collect funds from a buyer to cover payments made to sellers on behalf of the buyer.

14. The system of claim 1, wherein the payment processor

electronically acquires data specifying a right to collect funds from buyers for transactions for which the payment processor finances and processes electronic payment to sellers, and

facilitates electronic settlement to collect funds from a buyers to cover payments made to sellers on behalf of the buyers.

15. The system of claim 1, wherein the fee assessment engine generates the computer-readable fee data by generating data that includes information for providing at least a portion of the assessed fee to a buyer involved in the transaction for which the fee is assessed.

16. The system of claim 1, further including a computer-implemented receivables processor to

interact with the payment processor to facilitate payment to sellers in accordance with transaction data and profile information for the seller, and

track each payment against accounts receivable information for the seller to which the payment is made.

17. A method for electronically processing transactions involving buyers and sellers using, for each transaction, electronic profile data that is appropriate to each buyer/seller pairing and a contract data set defined as a function of the buyer and a predefined business relationship between the buyer and at least one seller, the method comprising:

processing electronic transactions according to the stored contract data sets and profile data, by

for each transaction involving a buyer and at least one seller, auditing transaction data using a stored contract data set for the transaction, and generating computer-readable audit data characterizing the audit,

financing and processing electronic payment to a seller financial institution in response to generated audit data indicating that payment to the seller is appropriate for at least one transaction involving the seller and a buyer, and

assessing a transaction processing fee, for each seller to which electronic payment is made, by generating computer-readable fee data that associates the fee and a fee amount with a seller for which the fee data is generated.

18. The method of claim 17, wherein

the step of auditing includes auditing electronic invoice data by authenticating the electronic invoice data in response to an electronic data communication from the buyer indicating that an amount in the invoice is payable, and generating computer-readable audit data indicating the authentication, and

the step of financing and processing electronic payment includes generating an electronic payment to a seller financial institution for a seller specified in the invoice data in response to the generated computer-readable audit data indicating the authentication.

19. The method of claim 17,

further including underwriting the extension of credit to buyers using credit data in profile information for the buyers and generating computer-readable approval data for extending credit to a buyer for each underwritten transaction, and

wherein the step of financing and processing electronic payment includes financing and processing electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data for extending credit to a buyer, and reflecting the payment to the seller in a credit account for the buyer.

20. The method of claim 17,

further including underwriting the extension of credit to buyers for electronic payments made to seller financial institutions using credit data in profile information for the buyers that specifies a sponsoring financier for underwriting payments made on behalf of the buyers, and generating computer-readable approval data for extending credit to each buyer for which a transaction is underwritten,

wherein the step of financing and processing electronic payment includes financing and processing electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data, and reflecting the payment to the seller in a credit account for the buyer, and

wherein the step of assessing a transaction processing fee includes assessing a fee to the seller on behalf of a sponsoring financier underwriting the payment by generating computer-readable fee data that associates the fee and a fee amount with the seller for which the fee data is generated.

21. The method of claim 17,

further including underwriting the extension of credit to sellers for electronic payment made to the sellers'"'"' financial institutions using credit data in profile information for buyers on behalf of which the payment is based, and generating computer-readable approval data for extending credit to each seller for each underwritten transaction for the seller,

wherein the step of financing and processing electronic payment includes financing and processing electronic credit-based payment to a seller financial institution in response to the generated audit data and the generated approval data, and reflecting the payment to the seller in a credit account for the seller, and

wherein the step of assessing a transaction processing fee includes assessing a fee to the seller for the underwriting by generating computer-readable fee data that associates the fee and a fee amount with the seller for which the fee data is generated.

22. A transaction-based computer processing arrangement for processing payable funds for transactions between buyers and sellers, wherein at least one of a buyer and seller in each transaction transacts with a system administrator to process a payment account for the at least one of a buyer and seller, the computer processing arrangement being independent from the buyers and sellers and configured and arranged to:

for each of a plurality of seller invoice data sets,

associate the seller invoice data set with a transaction involving a buyer and seller using predefined contract data for a contract between the buyer and the seller,

audit the associated invoice data set using the predefined contract data and audit data specified by the buyer in the transaction, and

generate computer-readable audit data characterizing the audit;

for each buyer, process electronic payment to sellers'"'"' financial institutions in response to generated audit data indicating that payment to a seller is appropriate for at least one invoice data set for the seller; and

assess a transaction processing fee for each processed electronic payment by generating computer-readable fee data that associates the assessed fee and fee amount with a seller for which the electronic payment is generated.

23. The arrangement of claim 22, wherein the transaction processing fee is assessed in an amount that is a percentage of the processed electronic payment.

24. The arrangement of claim 22, wherein the transaction processing fee includes a fee assessed against the buyer and the seller for each payment.

25. The arrangement of claim 22, wherein the electronic payment is processed in accordance with contract data between an operator of the processor arrangement and at least one of the buyer and seller involved the each transaction for which payment is processed.