Method, apparatus, and program for customizing credit accounts

• US 8,001,043 B1
• Filed: 09/01/2000
• Issued: 08/16/2011
• Est. Priority Date: 03/12/1997
• Status: Expired due to Term

• Current Assignee: PayPal, Inc. (PayPal Holdings, Inc.)
• Original Assignee: Walker Digital LLC (Walker Innovation Inc. (f/k/a Patent Properties, Inc.))
• Inventors: Walker, Jay S., Jorasch, James A.
• Primary Examiner(s): Colbert, Ella
• Application Number:
  US09/654,933
• Time in Patent Office: 4,001 Days
• Field of Search: 705/35, 705/38, 705/39, 705/14, 705/1, 705/20, 705/26, 705/30, 705/1.1, 705/34, 345/326, 345/327, 345/329, 345/335, 345/352
• US Class Current: 705/39
• 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 20/18 involving self-service terminals [SST], vending machines, kiosks or multimedia terminals
• CPC Class Codes: G06Q 20/204 comprising interface for record bearing medium or carrier for electronic funds transfer or payment credit
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G07F 19/20 Automatic teller machines [ATMs]

Abstract

An apparatus, method, and program for customizing credit accounts and calculating an appropriate price for this customization. Customers with existing credit accounts and customers applying for new accounts can customize various parameters of their accounts, in exchange for a fee to be collected by the credit issuer. The fee may depend on the particular set of parameters selected by the customer.

Claims

1. A method, comprising:

determining, by a central controller, a first value for a parameter of a credit account;

determining, by the central controller, a second value for the parameter of the credit account;

calculating, by the central controller, a payment, wherein the payment is based on a modification of the parameter from the first value to the second value; and

providing an offer to a customer associated with the credit account, wherein the offer comprises an offer to provide the payment to the customer in exchange for the customer agreeing to the modification of the parameter from the first value to the second value,

wherein the second value is selected based on information associated with the customer associated with the credit account.

2. The method of claim 1, further comprising:

receiving a customer acceptance of the offer.

3. The method of claim 2, further comprising:

providing the payment to the customer; and

modifying the account parameter from the first value to the second value.

4. The method of claim 3, wherein an indication of the first value of the parameter of the credit account associated with the customer is stored in a record of a parameter database and where the step of modifying the parameter comprises:

substituting the second value for the first value in the record of the parameter database.

5. The method of claim 4, wherein the value of the parameter as stored in the record of the parameter database is used to calculate an amount owed by the customer for activity on the credit account.

6. The method of claim 1, wherein the account parameter comprises one of an interest rate, a time period of the interest rate, a monthly minimum payment, a credit limit, a grace period, a payment amnesty, and a late fee.

7. The method of claim 1, wherein the customer information comprises a customer rating.

8. The method of claim 7, wherein the customer rating is based on at least one of a past payment history for the credit account, information obtained from a credit reporting agency, and an income of the customer.

9. The method of claim 1, wherein the second value of the parameter is more favorable to a credit account issuer associated with the credit account.

10. The method of claim 1, wherein the second value of the parameter is more profitable to a credit account issuer associated with the credit account.

11. An apparatus, comprising:

a storage device; and

a processor in communication with the storage device,

the storage device storing a program for controlling the processor; and

the processor operative with the program to;

determine a first value for a parameter of a credit account;

determine a second value for the parameter of the credit account;

calculate a payment, wherein the payment is based on a modification of the parameter from the first value to the second value; and

provide an offer to a customer associated with the credit account, wherein the offer comprises an offer to provide the payment to the customer in exchange for the customer agreeing to the modification of the parameter from the first value to the second value,

wherein the second value is selected based on information associated with the customer associated with the credit account.

12. A non-transitory medium encoded with a program for implementing a method, said program for directing a device to perform the steps of:

determining, by a central controller, a first value for a parameter of a credit account;

determining, by the central controller, a second value for the parameter of the credit account;

calculating, by the central controller, a payment, wherein the payment is based on a modification of the parameter from the first value to the second value; and

providing an offer to a customer associated with the credit account, wherein the offer comprises an offer to provide the payment to the customer in exchange for the customer agreeing to the modification of the parameter from the first value to the second value,

wherein the second value is selected based on information associated with the customer associated with the credit account.

13. A method, comprising:

determining, by a central controller, a current value for a parameter of an existing credit account,

in which the existing credit account is associated with a customer;

determining, by the central controller, a value for the parameter of the existing credit account that is not the same as the current value,

wherein the value that is not the same as the current value is selected based on information associated with the customer associated with the existing credit account;

calculating, by the central controller, a payment;

providing an offer to the customer,

in which the offer comprises an offer to provide the payment to the customer in exchange for the customer agreeing to the modification of the parameter from the current value to the value that is not the same as the current value;

receiving an indication that the customer agrees to the modification; and

providing the payment to the customer after receiving the indication.