Method of controlling payment of debts

• US 6,298,335 B1
• Filed: 11/18/1998
• Issued: 10/02/2001
• Est. Priority Date: 01/06/1995
• Status: Expired due to Term

• Current Assignee: Hanger Solutions, LLC (IP Investments Group LLC)
• Original Assignee: Robert Bernstein
• Inventors: Bernstein, Robert
• Primary Examiner(s): Millin, Vincent
• Assistant Examiner(s): ROSEN, NICHOLAS D
• Application Number:
  US09/195,467
• Time in Patent Office: 1,049 Days
• Field of Search: 705/1, 705/35, 705/34, 705/39, 705/40, 705/53, 705/78, 705/42, 235/380
• US Class Current: 705/40
• CPC Class Codes: G06Q 20/04 Payment circuits
• CPC Class Codes: G06Q 20/0855 involving a third party
• 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 20/108 Remote banking, e.g. home banking
• CPC Class Codes: G06Q 30/04 Billing or invoicing

Abstract

A method and apparatus are provided for executing payment of a debt by a person to a payee. The method includes the steps of negotiating payment terms with the payee and entering the negotiated payment terms into a payment scheduler. The method further includes the steps of determining by the scheduler that the payment is due on the debt in accordance with the payment terms, electronically instructing a third party to pay the debt due and electronically transferring a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.

Claims

1. A method of executing payment of a debt owed by a person to a payee, such method comprising the steps of:

negotiating payment terms between the person and the payee;

entering the negotiated payment terms into a payment scheduler;

determining by the scheduler that the payment is due on the debt in accordance with the payment terms;

electronically instructing a third party through a public access communication system to pay the debt due from an account of the person; and

electronically transferring a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.

2. A method of executing payment of a debt owed by a person to a payee, such method comprising:

coupling an automatic portable account controller to a payment scheduler;

negotiating payment terms between the person and the payee;

entering the negotiated payment terms by the person into the payment scheduler;

determining by the scheduler that the payment is due on the debt in accordance with the payment terms;

electronically instructing a third party through a public access communication system to pay the debt due from an account of the person; and

electronically transferring a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.

3. The method of executing payment as in claim 2 further comprising transferring a value in an amount of the debt from an account of the person to an account of the payee.

4. The method of executing payment as in claim 2 wherein the step of electronically instructing the third party further comprises transferring a transaction summary to the third party.

5. The method of executing payment as in claim 4 further comprising matching the transaction summary of the person with a transaction summary of the payee.

6. The method of executing payment as in claim 4 wherein the step of transferring a transaction summary to the third party further comprises including an account number of the payee in the transaction summary.

7. The method of executing payment as in claim 6 wherein the step of including an account number the payee in the transaction summary further comprises defining the account number as a wire transfer destination number.

8. The method of executing payment as in claim 2 wherein the step of negotiating payment further comprises accessing a website of a vendor and offering to make a purchase from the vendor.

9. The method of executing payment as in claim 8 wherein the step of offering to make a purchase from the vendor further comprises offering a first mode of payment to the vendor for the purchase.

10. The method of executing payment as in claim 2 wherein the step of negotiating payment further comprises accepting a vendor'"'"'s standard payment terms and entering a payment date into the payment scheduler based upon the standard terms and receipt of a bill from the vendor.

11. The method of executing payment as in claim 2 wherein the step of negotiating payment terms with a payee further comprises closing a purchase transaction and transferring an electronic receipt from payee to the person, to the third party and to an archive of the person.

12. Apparatus for executing payment of a debt owed by a person to a payee, such apparatus comprising:

means for negotiating payment terms between the person and the payee;

means for entering the negotiated payment terms into a payment scheduler;

means for determining by the scheduler that the payment is due on the debt in accordance with the payment terms;

means for electronically instructing a third party through a public access communication system to pay the debt due from an account of the person; and

means for electronically transferring a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.

13. Apparatus for executing payment of a debt owed by a person to a payee, the apparatus comprising:

means for coupling an automatic portable account controller to a payment scheduler;

means for negotiating payment terms between the person and the payee;

means for entering the negotiated payment terms into the payment scheduler;

means for determining by the scheduler that the payment is due on the debt in accordance with the payment terms;

means for electronically instructing a third party through a public access communication system to pay the debt due from an account of the person; and

means for electronically transferring a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.

14. The apparatus for executing payment as in claim 13 further comprising means for transferring a value in an amount of the debt from an account of the person to an account of the payee.

15. The apparatus for executing payment as in claim 13 wherein the means for electronically instructing the third party further comprises means for transferring a transaction summary to the third party.

16. The apparatus for executing payment as in claim 15 further comprising means for matching the transaction summary of the person with a transaction summary of the payee.

17. The apparatus for executing payment as in claim 15 wherein the means for transferring a transaction summary to the third party further comprises means for including an account number of the payee in the transaction summary.

18. The apparatus for executing payment as in claim 17 wherein the means for including an account number the payee in the transaction summary further comprises means for defining the account number as a wire transfer destination number.

19. The apparatus for executing payment as in claim 13 wherein the means for negotiating payment further comprises means for accessing a website of a vendor and offering to make a purchase from the vendor.

20. The method of executing payment as in claim 19 wherein the step of offering to make a purchase from the vendor further comprises offering a first mode of payment to the vendor for the purchase.

21. The apparatus for executing payment as in claim 13 wherein the means for negotiating payment further comprises means for accepting a vendor'"'"'s standard payment terms and entering a payment date into the payment scheduler based upon the standard terms and receipt of a bill from the vendor.

22. The apparatus for executing payment as in claim 21 wherein the means for entering the payment terms further comprises an automatic portable account controller.

23. Apparatus for executing payment of a debt owed by a person to a payee, such apparatus comprising:

means for negotiating payment terms between the person and the payee;

a data input device adapted to enter the negotiated payment terms into a payment scheduler of the person;

a schedule comparator adapted to determine that the payment is due on the debt in accordance with the payment terms;

a payment processor adapted to electronically instruct a third party through a public access communication system to pay the debt due from an account of the person; and

a receipt processor adapted to electronically transfer a receipt of the payment to the person and payee and to a database of the person in a secure location, remote from the person.