EXTENDING TEMPORARY CREDIT BASED ON RISK FACTORS

• US 20150287138A1
• Filed: 04/08/2014
• Published: 10/08/2015
• Est. Priority Date: 04/08/2014
• Status: Abandoned Application

• Current Assignee: PayPal, Inc. (PayPal Holdings, Inc.)
• Original Assignee: eBay Inc.
• Inventors: Granbery, John Hastings
• Application Number:
  US14/248,241
• Publication Number:
  US 20150287138A1
• Time in Patent Office: Days
• US Class Current: 1/1
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

Systems and methods are provided for extending short term credit to a user when a user enters a location or checks in to a location. The credit may be extended based on a risk score determined based on risk factors associated with the user. The risk factors used to determine the risk score may include a purchase history, a payment history, past amounts paid, a first number of credit cards associated with the user, and past credit extended to the user. Credit information from a credit server may also be used to determine the risk score. The determined risk score may be compared to one or more thresholds to determine if credit should be extended to the user and, if credit is to be extended, the amount of credit to be extended.

Claims

1. A system for determining a risk in extending credit to a user, comprising:

one or more processors configured to;

receive an indication that a user is at a location;

receive risk factors from account information of the user, the risk factors including at least a purchase history, a payment history, past amounts paid, a first number of credit cards associated with the user, and past credit extended to the user; and

determine a risk score based on the received risk factors;

determine when the risk score is greater than a threshold; and

extend credit to the user when the risk score is greater than the threshold; and

a memory coupled to the one or more processors and configured to store the account information of the user including the risk factors.

2. The system of claim 1, further comprising:

a network interface component configured to receive credit information associated with the user, the credit information including at least one of a credit score, a second number of credit cards associated with the user, and a number of other sources of credit extended to the user.

3. The system of claim 2, wherein the one or more processors are further configured to determine the risk score based on the received risk factors and the received credit information.

4. The system of claim 1, wherein the one or more processors are further configured to determine an amount of credit to extend to the user when the risk score is greater than the threshold.

5. The system of claim 4, wherein the wherein the one or more processors are configured to determine an amount of credit to extend to the user based on the risk score.

6. The system of claim 5, wherein the threshold comprises a plurality of increasing threshold levels, wherein each threshold level corresponds to an increasing amount of credit to extend to the user.

7. The system of claim 4, wherein the one or more processors are configured to determine the amount of credit to extend to the user based on determining when the user authenticates with the system using a credential.

8. The system of claim 7, wherein the one or more processors are configured to extend a larger amount of credit to the user when the user authenticates with the system using a credential than when the user does not authenticate with the system.

9. The system of claim 7, wherein the one or more processors are configured to extend a larger amount of credit to the user when the user authenticates with the system with a more secure credential than when the user authenticates with the system with a less secure credential.

10. The system of claim 1, wherein the one or more processors are configured to determine to receive the indication that the user is at the location by receiving a request to check in the user at the location.

11. The system of claim 1, wherein extended credit is temporary.

12. A computer-readable medium including instructions that, when executed by one or more processors, cause the one or more processors to perform a method for extending credit to a user, the method comprising:

receiving an indication that a user is at a location;

receiving risk factors from account information of the user, the risk factors including at least a purchase history, a payment history, past amounts paid, a first number of credit cards associated with the user, and past credit extended to the user;

determining a risk score based on the received risk factors;

determining when the risk score is greater than a threshold; and

extending credit to the user when the risk score is greater than the threshold.

13. The computer-readable medium of claim 12, further comprising:

receiving credit information associated with the user, the credit information including at least one of a credit score, a second number of credit cards associated with the user, and a number of other sources of credit extended to the user.

14. The computer-readable medium of claim 13, wherein determining the risk score comprises determining the risk score based on the received risk factors and the received credit information.

15. The computer-readable medium of claim 12, further comprising determining an amount of credit to extend to the user when the risk score is greater than the threshold.

16. The computer-readable medium of claim 15, wherein determining an amount of credit to extent to the user comprises determining an amount of credit to extend to the user based on the risk score.

17. The computer-readable medium of claim 16, wherein the threshold comprises a plurality of increasing threshold levels, wherein each threshold level corresponds to an increasing amount of credit to extent to the user.

18. The computer-readable medium of claim 15, wherein determining the amount of credit to extend to the user comprises determining when the user authenticates with the system using a credential.

20. The computer-readable medium of claim 18, wherein determining the amount of credit to extend to the user comprises extending a larger amount of credit to the user when the user authenticates with the system using a credential than when the user does not authenticate with the system.

21. The computer-readable medium of claim 18, wherein determining the amount of credit to extend to the user comprises extending a larger amount of credit to the user when the user authenticates with the system with a more secure credential than when the user authenticates with the system with a less secure credential.

22. The computer-readable medium of claim 12, wherein receiving an indication that the user is at the location comprises receiving a check in request from the user.

23. The computer-readable medium of claim 12, wherein extending credit to the user comprises extending temporary credit to the user.

24. A method for extending credit to a user, comprising:

receiving, by one or more processors of a payment processing server, a request to check the user into a location;

receiving, by the one or more processors, risk factors from account information of the user associated with the payment processing server stored in a memory of the payment processing server, the risk factors including at least a purchase history, a payment history, past amounts paid, a first number of credit cards associated with the user, and past credit extended to the user;

determining, by the one or more processors, a risk score based on the received risk factors;

determining, by the one or more processors, when the risk score is greater than a threshold;

extending, by the one or more processors, an initial amount of credit to the user when the risk score is greater than the threshold, the credit being specific to the location and having an expiration time;

determining, by the one or more processors, when the user authenticates with the payment processing server; and

extending, by the one or more processors, a second amount of credit to the user that is larger than the initial amount of credit when the user authenticates with the payment processing server.

25. The method of claim 24, wherein determining when the user authenticates with the payment processing server comprises determining, by the one or more processors, when the user authenticates with the payment processing server using a secure credential.