Consolidated payment account system and method

• US 7,783,566 B2
• Filed: 06/21/2002
• Issued: 08/24/2010
• Est. Priority Date: 06/27/2001
• Status: Active Grant

• Current Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Original Assignee: American Express Travel Related Services Company, Inc. (American Express Company)
• Inventors: Glazer, Elliott, Mitchell, Margaret C., Hussain, Sohail, Bishop, Fred, White, Dirk, Sweet, Leah M., Armes, David, Fehlhaber, Jeff, Neeman, Trey, Zoob, Jessica, Fitzgerald, Gabriella P., Breck, Lydia C.
• Primary Examiner(s): MEINECKE DIAZ, SUSANNA M
• Application Number:
  US10/176,729
• Publication Number:
  US 20030023549A1
• Time in Patent Office: 2,986 Days
• Field of Search: 705/35, 705/39, 705/40, 705/41
• US Class Current: 705/40
• 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 20/10 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 20/227 characterised in that multiple accounts are available, e.g. to the payer
• CPC Class Codes: G06Q 20/40 Authorisation, e.g. identification of payer or payee, verification of customer or shop credentials; Review and approval of payers, e.g. check credit lines or negative lists
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions

Abstract

The present invention provides a system and method for providing and/or facilitating complete on-line payment services while protecting the privacy of the transaction participants. The comprehensive payment service is based upon a consolidated account used to store value acquired through on-line transactions. The invention provides private payment numbers for protecting the identities of the participants and includes processes for authenticating participants, authorizing transactions, and settling payments. Thus, the present invention enables merchants to effectively accept non-standard forms of payment without changing their current payment infrastructures and enables the provision of value for purchases at any network merchant using any source of value.

Claims

1. A method comprising:

funding, by a computer-based system for providing a payment for an on-line transaction, a consolidated account substantially simultaneously from a plurality of different funding sources, wherein at least one of an acquisition order is determined according to a user-defined funding profile and a proportion of the value from each of the plurality of different funding sources is determined according to a user-defined funding profile, and wherein the consolidated account stores a value funded from the plurality of different funding sources;

setting, by the computer-based system, a predetermined usage restriction in a database, wherein the predetermined usage restriction is associated with at least one of the plurality of different funding sources;

performing, by the computer-based system and after the funding, a predetermined enforcement policy on at least part of the funds in the consolidated account, wherein the predetermined enforcement policy is based at least in part on the setting; and

paying, by the computer-based system, a payee with at least part of the funded value.

2. The method of claim 1 further comprising the step of communicating a request for value to the plurality of different funding sources.

3. The method of claim 2, said step of communicating performed according to a predetermined schedule.

4. The method of claim 2, said step of communicating performed in response to an occurrence of a triggering event.

5. The method of claim 4, said triggering event comprising an anticipated overdraft of the consolidated account.

6. The method of claim 2, said step of communicating performed in accordance with a predefined rule.

7. The method of claim 6, said rule depending upon one or more interest rates of said plurality of different funding sources.

8. The method of claim 6, said rule defined by a user.

9. The method of claim 6, said rule defined by an issuer.

10. The method of claim 1 further comprising the step of providing a statement indicating a quantity of funds stored in the consolidated account.

11. The method of claim 1 further comprising the step of providing a statement indicating payments made from the consolidated account.

12. The method of claim 1 further comprising the step of communicating an offer to a consumer to provide said consolidated account.

13. The method of claim 1 further comprising the step of receiving from a consumer a request for said consolidated account.

14. The method of claim 1 further comprising the step of collecting authentication information from a consumer.

15. The method of claim 14 further comprising the step of verifying the consumer'"'"'s identity.

16. The method of claim 14, said information including demographic information concerning the consumer.

17. The method of claim 1 further comprising the step of identifying a designated plurality of funding sources of a consumer.

18. The method of claim 1, said plurality of different funding sources comprising one or more charge accounts.

19. The method of claim 1, said plurality of different funding sources comprising one or more debit accounts.

20. The method of claim 1, said plurality of different funding sources comprising one or more gift accounts.

21. The method of claim 1, said plurality of different funding sources comprising one or more stored value accounts.

22. The method of claim 1, said plurality of different funding sources comprising one or more telephone accounts.

23. The method of claim 1, said plurality of different funding sources comprising one or more loyalty devices.

24. The method of claim 1, wherein said consolidated account is further configured to disable itself at a non-approved merchant.

25. A system for providing a payment for an on-line transaction, the system comprising:

an account administrator in communication with a transaction administrator and one or more value sources, the transaction administrator configured to perform the steps of;

funding a consolidated account substantially simultaneously from a plurality of different funding sources, wherein at least one of an acquisition order is determined according to a user-defined funding profile and a proportion of the value from each of the plurality of different funding sources is determined according to a user-defined funding profile, and storing in the consolidated account a value funded from the plurality of different funding sources;

setting a predetermined usage restriction in a database, wherein the predetermined usage restriction is associated with at least one of the plurality of different funding sources;

performing, after the funding, a predetermined enforcement policy on at least part of the funds in the consolidated account, wherein the predetermined enforcement policy is based at least in part on the setting; and

paying a payee with at least part of the funded value.

26. The system of claim 25, the account administrator configured to perform the step of communicating a request for value to the plurality of different funding sources.

27. The system of claim 26, said communicating performed according to a predetermined schedule.

28. The system of claim 26, said communicating performed in response to an occurrence of a triggering event.

29. The system of claim 25, said account administrator configured to perform the step of providing a statement indicating a quantity of funds stored in the consolidated account.

30. The system of claim 25, said account administrator configured to perform the step of providing a statement indicating payments made from the consolidated account.

31. The system of claim 25, the transaction administrator configured to perform the step of communicating an offer to a consumer to provide said consolidated account.

32. The system of claim 25, the transaction administrator configured to perform the step of receiving from a consumer a request for said consolidated account.

33. The system of claim 25, further comprising an authentication engine in communication with the transaction administrator, the authentication engine configured to perform the step of collecting authentication information from a consumer.

34. The system of claim 33, the authentication engine configured to perform the step of verifying the consumer'"'"'s identity.

35. The system of claim 33, said information including demographic information concerning the consumer.

36. The system of claim 25, the transaction administrator configured to perform the step of identifying a designated plurality of different funding sources of a consumer.

37. The system of claim 25, said plurality of different funding sources comprising one or more charge accounts.

38. The system of claim 25, said plurality of different funding sources comprising one or more debit accounts.

39. The system of claim 25, said plurality of different funding sources comprising one or more gift accounts.

40. The system of claim 25, said plurality of different funding sources comprising one or more stored value accounts.

41. The system of claim 25, said plurality of different funding sources comprising one or more telephone accounts.

42. The system of claim 25, said plurality of different funding sources comprising one or more loyalty accounts.

43. The system of claim 25, the account administrator configured to perform the step of communicating a request for value to said plurality of different funding sources in accordance with a predefined rule.

44. The system of claim 43, said rule depending upon one or more interest rates of said plurality of different funding sources.

45. The system of claim 43, said rule defined by a user.

46. The system of claim 43, said rule defined by an issuer.

47. The system of claim 25, said payment comprising value having a form defined by a user.

48. The system of claim 25, said payment comprising value having a form defined by the payee.

49. The system of claim 25, wherein said consolidated account is further configured to disable itself at a non-approved merchant.