Automated interactive bill payment system using debit cards

• US 5,870,456 A
• Filed: 10/07/1997
• Issued: 02/09/1999
• Est. Priority Date: 01/22/1997
• Status: Expired

• Current Assignee: BMC Resources Inc. (Fiserv Incorporated)
• Original Assignee: Telepay, Inc. (Fiserv Incorporated)
• Inventors: Rogers, Catherine R.
• Primary Examiner(s): Chan, Wing F.
• Application Number:
  US08/946,272
• Time in Patent Office: 490 Days
• Field of Search: 379/91.01, 379/91.02, 379/93.02, 379/93.01, 379/93.12, 379/93.13, 379/93.26, 379/93.28, 379/143, 379/144, 235/375, 235/379, 235/380, 705/39, 705/40
• US Class Current: 379/91.01
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/0652 e-cash with decreasing value according to a parameter, e.g. time
• 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 20/14 specially adapted for billing systems
• CPC Class Codes: G06Q 20/24 Credit schemes, i.e. "pay after"
• CPC Class Codes: G06Q 20/26 Debit schemes, e.g. "pay now"
• CPC Class Codes: G06Q 20/305 using wired telephone networks
• CPC Class Codes: G07F 7/08 by coded identity card or credit card or other personal identification means without personal verification means G07F7/02

Abstract

Method and apparatus for processing payment transactions using debit card numbers without the requirement of a personal identification number (PIN) is disclosed. A telepay system of the present invention provides an interface between a standard touchtone telephone and at least one debit card network such that real-time bill payment transactions may be effected using a keypad of the telephone. The telepay system includes an interactive voice response unit for prompting a payor to enter an access code, account number, debit card number and payment amount and for informing the user of the status of the transaction. Real-time processing of transactions is provided through use of debit card networks, rather than the Automated Clearing House. The telepay system is also capable of performing settlement functions and processing inquiries by payees of the system regarding previously processed transactions.

Claims

1. A method of paying bills using a telecommunications line connectable to at least one remote payment card network via a payee'"'"'s agent'"'"'s system, wherein a caller begins session using a telecommunications line to initiate a spontaneous payment transaction to a payee, the method comprising the steps of:

prompting the caller to enter an account number identifying an account of a payor with the payee in connection with the payment transaction;

prompting the caller to enter a payment number selected from one or more choices of credit or debit forms of payment;

prompting the caller to enter a payment amount for the payment transaction;

upon a payment amount being entered and during the session, accessing a remote payment network associated with the entered payment number, the accessed remote payment network determining, during the session, whether sufficient available credit or funds exist in an account associated with the entered payment number to complete the payment transaction, and responsive to a determination that sufficient available credit or funds exist in the associated account, charging the entered payment amount against the account associated with the entered payment number, adding the entered payment amount to an account associated with the entered account number, informing the caller that the payment transaction has been authorized, and storing the account number, payment number and payment amount in a transaction log file of the system.

2. The method of claim 1 wherein said payment number is a PIN-less credit or debit card number.

3. The method of claim 1 wherein said payment number is a debit card number or debit payment in the form of an electronic check.

4. The method of claim 1 further comprising the steps of prompting the caller to select a credit or debit option, prompting the caller to enter a payment amount, and prompting the caller to acknowledge a transaction fee to the payee'"'"'s agent'"'"'s system.

5. The method of claim 1 further comprising the step of prompting the caller to indicate the type of payment, said payment being at least one of deposit, regular payment, or reconnect fee.

6. A method of paying bills using a telecommunications network line connectable to at least one remote payment card network via a payee'"'"'s agent'"'"'s system, wherein a caller begins session using a telecommunications network line to initiate a spontaneous payment transaction to a payee, the method comprising the steps of:

prompting the caller to enter a payment number selected from one or more choices of credit or debit forms of payment;

prompting the caller to enter a payment amount for the payment transaction;

accessing a remote payment network associated with the entered payment number, the accessed remote payment network determining, during the session, whether sufficient available credit or funds exist in an account associated with the entered payment number to complete the payment transaction, and upon a determination that sufficient available credit or funds exist in the associated account, charging the entered payment amount against the account associated with the entered payment number, adding the entered payment amount to an account associated with the entered account number, and storing the account number, payment number and payment amount in a transaction file of the system.

7. The method of claim 6 wherein said payment number is a PIN-less credit or debit card number.

8. The method of claim 6 further comprising the steps of prompting the caller to select a credit or debit option, prompting the caller to enter a payment amount, and prompting the caller to acknowledge a transaction fee to the payee'"'"'s agent'"'"'s system.