System and method for funding a collective account by use of an electronic tag

• US 7,051,925 B2
• Filed: 09/09/2004
• Issued: 05/30/2006
• Est. Priority Date: 08/13/2001
• Status: Expired due to Term

• Current Assignee: Bank One Delaware National Association (JP Morgan Chase & Co)
• Original Assignee: Bank One Delaware NA (JP Morgan Chase & Co)
• Inventors: Schwarz, Charles E. Jr.
• Primary Examiner(s): Paik, Steven S.
• Application Number:
  US10/937,655
• Publication Number:
  US 20050040221A1
• Time in Patent Office: 628 Days
• Field of Search: 235/375, 235/380, 235/382, 235/383, 235/384, 235/487, 235/492, 705/1, 705/13, 705/14, 705/17, 340/870.17
• US Class Current: 235/375
• CPC Class Codes: G06Q 10/08 Logistics, e.g. warehousing, loading or distribution; Inventory or stock management
• CPC Class Codes: G06Q 30/00 Commerce
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0215 Including financial accounts
• CPC Class Codes: G06Q 30/0226 Incentive systems for frequent usage, e.g. frequent flyer miles programs or point systems
• CPC Class Codes: G06Q 30/0234 Rebates after completed purchase
• CPC Class Codes: G06Q 30/0236 Incentive or reward received by requiring registration or ID from user
• CPC Class Codes: G06Q 30/0238 at point-of-sale [POS]
• CPC Class Codes: G06Q 30/0239 Online discounts or incentives
• CPC Class Codes: G06Q 30/0279 Fundraising management
• CPC Class Codes: G07B 15/063 using wireless information transmission between the vehicle and a fixed station identification of vehicles G08G

Abstract

A system and method for funding a collective account via aggregating usage of electronic tags is disclosed. The system and method promotes the use of electronic tags, and the funding of collective accounts that may be associated with charitable or other philanthropic causes. Further benefits may be realized by replenishing the prefunded account that serves as the source of funds for the electronic tag to an affinity account that also benefits the charitable or other philanthropic cause.

Claims

1. A method for distributing a reward, comprising:

associating an RFID tag with an individual account, a financial institution and at least one organization, wherein the tagholder is the holder of the individual account, wherein further the financial institution comprises one or more host computers, wherein further the host computer aggregates RFID tag usage and calculates a first reward based on aggregate RFID tag usage, wherein RFID tag usage comprises aggregating purchase amounts for purchases of at least one of goods or services from a plurality of merchants when the RFID tag is presented to the merchant at time of purchase;

attributing the first reward to the individual account;

attributing a second reward to a collective account associated with the at least one organization, wherein the organization comprises a business organization, a trade organization, a political party, a religious organization, an athletic organization, a professional society, an educational organization, a charitable organization, a fund-raising organization, or a governmental organization, or combinations thereof; and

distributing the first reward to the tagholder.

2. The method of claim 1, wherein the business organization comprises a retail organization, a wholesale sales club, an airline or a political organization.

3. The method of claim 2, wherein the political organization has income that is exempt from taxation in part or in whole by one or more of a federal, state or local governmental body.

4. The method of claim 1, wherein the trade organization comprises a labor union.

5. The method of claim 1, wherein the religious organization comprises a church or a Jewish congregation.

6. The method of claim 1, wherein the athletic association comprises a professional sports association, a professional sports team, a collegiate sports association, a collegiate sports team, an amateur sports association, an amateur sports team, an international sports competition or a sports association or team associated with one or both of the United States Olympic Committee®

or the International Olympic Committee®

.

7. The method of claim 6, wherein the athletic association further comprises a team or league for the sport of one of baseball, soccer, hockey, football, basketball, golf, volleyball, swimming, diving, bowling, wrestling, boxing, martial arts, softball, gymnastics, ice skating, car racing, truck racing, motorcycle racing, snow skiing, snow boarding, water skiing, wakeboarding, horse racing, rowing, bicycling, archery, runmng, weight lifting, jai alai, lacrosse, rugby, cricket or billiards.

8. The method of claim 1, wherein the professional society comprises a professional licensing entity.

9. The method of claim 1, wherein the educational organization comprises a university, a community college, a junior college, a high school, a middle school, an adult education organization, a college, an institute, an academy or an alumni association.

10. The method of claim 1, wherein the charitable organization comprises a not-for-profit charitable organization whose income is exempt from taxation in part or in whole by one or more of a federal, state or local governmental body.

11. The method of claim 1, wherein the governmental organization comprises an agency or department of a state, a commonwealth, a precinct, a township, a county, a city, a parish, a borough or a federal government.

12. The method of claim 1, wherein the financial institution comprises a national banking association, a savings and loan association, a savings society, a credit union, a building society, a savings club, a mutual fund, a brokerage house or an equities fund.

13. The method of claim 1, wherein the goods comprise vehicles, clothing, concert tickets, airline tickets, sports event tickets, play tickets, groceries, sundries, pharmaceutical products, machinery, tools, building products, hardware, fuel or any combination thereof.

14. The method of claim 1, wherein the services comprise spa services, vehicle repair services, home repair services, construction services, restaurant services, home maintenance services, vehicle maintenance services, grooming services, medical services, pet care services, transportation services or any combination thereof.

15. The method of claim 1, further comprising:

associating the RFID tag with at least one prefunded account, wherein the prefunded account has a balance;

maintaining at least one of the prefunded accounts; and

debiting the balance of at least one of the prefunded accounts in an amount related to RFID tag usage.

16. The method of claim 15, further comprising replenishing the prefunded account balance with funds from the individual account associated with the RFID tag upon fulfillment of some predetermined condition.

17. The method of claim 15, wherein the individual account is associated with at least one loyalty program, wherein further the tagholder earns a third reward based on the tagholder'"'"'s participation in the loyalty program.

18. The method of claim 1, wherein the second reward is calculated based on aggregate RFID tag usage.

19. The method of claim 1, wherein the RFID tag is branded with a symbol, name, colors or combinations thereof generally associated with the at least one organization.

20. The method of claim 19, wherein the symbol comprises a logo, a trademark, a service mark, a trade name, a mascot, an emblem, an insignia, a monogram, initials or combinations thereof.

21. The method of claim 19, wherein the symbol, name, colors or combinations thereof are displayed upon satisfaction of a predetermined condition.

22. The method of claim 21, wherein the predetermined condition comprises a purchase amount, a purchase location, frequency of purchases or cumulative amount of purchases.

23. The method of claim 19, wherein the symbol, name, colors or combinations thereof comprise a media event.

24. The method of claim 23, wherein the media event comprises a visual media event, an audio media event, a physical media event or combinations thereof.

25. The method of claim 24, wherein the physical media event comprises vibration.

26. The method of claim 24, wherein the visual media event is selected in advance by the RFID tagholder.

27. The method of claim 1, wherein the RFID tag comprises a sound generating device.

28. The method of claim 27, wherein the sound generating device generates a programmed sound generally associated with the organization.

29. The method of claim 28, wherein the programmed sound comprises a fight song, a tagline or a signature song.

30. The method of claim 1, wherein one or both of the first and second rewards comprise cash, airline miles, reward points, services, goods, rebates, up front payments, statement credit, discounts, interest or combinations thereof.

31. The method of claim 1, wherein the tagholder selects the organization.

32. The method of claim 1, wherein the tagholder earns a fourth reward from the issuer of the individual account based on individual account usage.

33. The method of claim 1, wherein the RFID tag comprises an LED controllable via the tagholder.

34. The method of claim 33, wherein the LED comprises a display responsive to temperature.

35. The method of claim 33, wherein the LED comprises a media event.

36. The method of claim 35, wherein the media event comprises a visual media event, an audio media event, a physical media event or combinations thereof.

37. The method of claim 36, wherein the physical media event comprises vibration.

38. The method of claim 36, wherein the visual media event is selected in advance by the RFID tagholder.

39. The method of claim 33, wherein the LED display comprises a barcode.

40. The method of claim 1, wherein the RFID tag comprises an LCD controllable via the tagholder.

41. The method of claim 40, wherein the LCD comprises a display responsive to temperature.

42. The method of claim 40, wherein the LCD comprises a media event.

43. The method of claim 42, wherein the media event comprises a visual media event, an audio media event, a physical media event or combinations thereof.

44. The method of claim 43, wherein the physical media event comprises vibration.

45. The method of claim 43, wherein the visual media event is selected in advance by the RFID tagholder.

46. The method of claim 40, wherein the LCD display comprises a barcode.

47. The method of claim 1, wherein the RFID tag comprises at least one communication port allowing the tag to communicate with other devices.

48. The method of claim 1, wherein the RFID tag comprises a microprocessor.

49. The method of claim 1, wherein the RFID tag comprises a transmitter.

50. The method of claim 1, wherein the RFID tag further comprises at least one of a smart card, a plastic card, a bar coded sticker, a transponder readable by a reader/antenna, or combinations thereof.

51. The method of claim 50, wherein the RFID tag operates in half duplex mode.

52. The method of claim 51, wherein the RFID tag operates in full duplex mode.

53. The method of claim 1, wherein the individual account comprises a credit account, a debit account, a stored value account, a home equity line of credit account, a mutual fund account, a money market account, a savings account, a checking account, a nonchecking deposit account, a telephone card account, a rewards account, a special premises account for use by employees of an entity or a margin account.

54. The method of claim 1, wherein the first reward is distributed substantially contemporaneously at the time of purchase.

55. The method of claim 1, wherein the first reward is distributed upon demand by the tagholder to the financial institution.

56. The method of claim 55, wherein the tagholder makes the demand substantially upon association of the RFID tag with the individual account.

57. The method of claim 56, wherein the demand comprises automatic distribution of the first reward to the individual account substantially upon RFID tag usage.

58. The method of claim 56, wherein the demand comprises automatic periodical distribution of the first reward to the individual account.

59. The method of claim 1, wherein the RFID tag is embedded in a key, a fob, a token, a pager, a watch, a PDA, a cellular phone, clothing or a plastic card.

60. The method of claim 59, wherein the token or fob is attached to a keychain.

61. The method of claim 1, wherein the merchant comprises a retailer, a grocer, a restaurateur, a service provider or any combination thereof.

62. The method of claim 1, wherein the RFID tag is physically presented to the merchant at a point of sale device.

63. The method of claim 1, wherein the RFID tag is presented to the merchant over a network.

64. The method of claim 63, wherein the network comprises a LAN, a WAN or Ethernet.

65. The method of claim 1, wherein the RFID tag is presented to the merchant over a telephone connection.

66. An automated, computer-based method for distributing rewards to an individual account and a collective account comprising:

maintaining a prefunded first account that is associated with an RFID tag, wherein the prefunded first account has an account balance, wherein further the RFID tag is associated with the tagholder, a financial institution and at least one organization, wherein further the financial institution comprises one or more host computers, wherein further the host computer aggregates RFID tag usage and calculates a first reward based on aggregate RFID tag usage, wherein RFID tag usage comprises funding purchases for at least one of goods or services from a plurality of merchants with the prefunded account when the RFID tag is presented to the merchant at time of payment for the purchases;

associating the prefunded first account with a second account;

attributing the first reward to the second account;

attributing a second reward to a collective account associated with the at least one organization, wherein the organization comprises a business organization, a trade organization, a political party, a religious organization, an athletic organization, a professional society, an educational organization, a charitable organization, a fund-raising organization, or a governmental organization, or combinations thereof; and

distributing the first reward to the tagholder.

67. The method of claim 66, wherein the second reward is calculated based on aggregate RFID tag usage.

68. The method of claim 66, wherein the RFID tag is branded with a symbol, name and/or colors generally associated with the at least one organization.

69. The method of claim 66, wherein the RFID tag comprises a sound generating device.

70. The method of claim 69, wherein the sound generating device generates a programmed sound generally associated with the organization.

71. The method of claim 66, wherein one or both of the first and second rewards comprise cash, airline miles, reward points, services, goods, rebates, up front payments, statement credit, discounts or combinations thereof.

72. The method of claim 66, wherein the tagholder selects the organization.

73. The method of claim 66, wherein the tagholder earns a third reward from the issuer of the second account based on second account usage.

74. The method of claim 66, wherein the RFID tag comprises an LED controllable via the tagholder.

75. The method of claim 66, wherein the RFID tag comprises an LCD controllable via the tagholder.

76. The method of claim 66, wherein the tag comprises at least one communication port allowing the RFID tag to communicate with other devices.

77. The method of claim 66, wherein the RFID tag comprises a microprocessor.

78. The method of claim 66, wherein the RFID tag comprises a transmitter.

79. The method of claim 66, wherein the RFID tag further comprises at least one of a smart card, a plastic card, a bar coded sticker, a transponder readable by a reader/antenna, or combinations thereof.

80. The method of claim 79, wherein the RFID tag operates in half duplex mode.

81. The method of claim 79, wherein the RFID tag operates in full duplex mode.