Pre-paid card transaction computer to load a loan on a pre-paid card

• US 8,175,972 B2
• Filed: 05/14/2009
• Issued: 05/08/2012
• Est. Priority Date: 05/14/2008
• Status: Active Grant

• Current Assignee: Pathward National Association
• Original Assignee: MetaBank (Meta Financial Group Incorporated)
• Inventors: Galit, Scott H., Sorbe, Trent
• Primary Examiner(s): Kalinowski, Alexander
• Assistant Examiner(s): Vyas, Abhishek
• Application Number:
  US12/465,803
• Publication Number:
  US 20090287605A1
• Time in Patent Office: 1,090 Days
• Field of Search: 705 35- 41
• US Class Current: 705/41
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/28 Pre-payment schemes, e.g. "pay before"
• CPC Class Codes: G06Q 20/351 Virtual cards
• 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 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03

Abstract

A loan transaction for a pre-paid card is approved for a borrower so that release of the loan proceeds is pending an activation of a pre-paid card. A pre-paid card transaction computer activates a pre-paid card responsive to an activation request on behalf of the borrower. The pre-paid card transaction computer indicates the activated pre-paid card is to be used with a loan transaction pending the activation of the pre-paid card. The pre-paid card transaction computer loads the pending loan proceeds to the pre-paid card so that the loan proceeds are released to the approved borrower and are immediately available to thereby convert the pre-paid card into a loan delivery apparatus.

Claims

1. A computer associated with a bank defining a bank computer to facilitate activating a plurality of prepaid card accounts and to release a plurality of loan proceeds to the plurality of prepaid card accounts, the bank computer comprising:

a processor positioned to facilitate activating a plurality of prepaid card accounts positioned remote from a bank computer and to facilitate releasing loan proceeds to the plurality of prepaid card accounts, the plurality of prepaid card accounts being associated with a plurality of prepaid card processors each having a different preselected loan processing format;

non-transitory computer-readable medium encoded with computer program and operable on the bank computer, the computer program including;

a prepaid card processor taxonomy module to determine the plurality of prepaid card processors to be associated with loan data received from a second computer associated with a lending institution defining a lending institution computer, the prepaid card taxonomy module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operations of;

processing a plurality of loan authorizations for a plurality of approved loans each pending activation of one or more of the plurality of prepaid card accounts responsive to receiving loan data from the lending institution computer in a first preselected loan processing format, the lending institution computer configured to approve a plurality of borrowers for the plurality of loans each pending activation of one or more of the plurality of prepaid card accounts, and

determining one or more of the plurality of prepaid card processors to be associated with one or more of the plurality of loans responsive to receiving loan data from the lending institution computer, the one or more of the plurality of prepaid card processors each having a preselected processing format different than the first preselected loan processing format and being different from each other, a format translator module to format the loan data to be compatible with each of the one or more of the plurality of prepaid card processors, the format translator module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operation of;

converting the loan data received in the first preselected loan processing format into a second preselected loan processing format to thereby be compatible with the one or more of the plurality of prepaid card processors responsive to the first preselected loan processing format being determined to be different with the one or more of the plurality of prepaid card processors, a loan manager module to manage the plurality of loans pending activation of one or more of the plurality of prepaid card accounts, the loan manager module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operations of;

communicating the loan data in a compatible format to the one or more of the plurality of prepaid card processors to thereby request activation of one or more of the plurality of prepaid card accounts at each of the one or more of the plurality of prepaid card processors on behalf of one or more corresponding borrowers, each of the one or more of the plurality of prepaid card accounts configured to have an associated prepaid card, and

releasing loan proceeds of one or more of the plurality of loans pending activation of the one or more of the plurality of prepaid card accounts to the one or more of prepaid card processors so that the loan proceeds are available to the corresponding borrower and each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts are converted into a loan delivery apparatus, the releasing being responsive to receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated.

2. A bank computer as defined in claim 1, wherein the loan proceeds are available for use through each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts after a delay of one-half of one second to one minute after receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated, and wherein the loan manager module further causes the bank computer to perform the operation of:

notifying the lending institution computer of the release of the loan proceeds to the one or more of the plurality of prepaid card processors.

3. A bank computer as defined in claim 1, wherein one or more of the plurality of borrowers purchases the prepaid card at a retailer, and wherein the loan proceeds are immediately available through the prepaid card so that the one or more of the plurality of borrowers can use the prepaid card at a point-of-sale for a purchase of one or more goods or services.

4. A bank computer as defined in claim 1, wherein one or more of the plurality of loan authorizations are responsive to one or more of the plurality of borrowers not having an existing prepaid card account.

5. A bank computer as defined in claim 1, wherein the computer program further includes:

a reconciliation module to reconcile data associated with each of the one or more of the plurality of approved loans, the reconciliation module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operation of;

comparing loan data received from the lending institution computer with loan data from the one or more of the plurality of prepaid card processors to thereby check for processing errors to identify potential reconciliation being desired.

6. A bank computer as defined in claim 1, wherein the loan manager module further causes the bank computer to perform the operation of:

generating fees for the bank for each of the plurality of loans for releasing the loan proceeds to the one or more of the plurality of prepaid card processors to thereby manage the one or more of the plurality of loans.

7. Non-transitory computer-readable medium encoded with computer program to facilitate activating a plurality of prepaid card accounts and to release a plurality of loan proceeds to the plurality of prepaid card accounts, the computer program operable on a computer associated with a bank defining bank computer and including:

a prepaid card processor taxonomy module to determine a plurality of prepaid card processors to be associated with loan data received from a second computer associated with a lending institution defining a lending institution computer, the prepaid card taxonomy module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operations of;

processing a plurality of loan authorizations for a plurality of approved loans each pending activation of one or more of a plurality of prepaid card accounts responsive to receiving loan data from the lending institution computer in a first preselected loan processing format, the lending institution computer configured to approve a plurality of borrowers for the plurality of loans each pending activation of one or more of the plurality of prepaid card accounts, and

determining one or more of the plurality of prepaid card processors to be associated with one or more of the plurality of loans responsive to receiving loan data from the lending institution computer, the one or more of the plurality of prepaid card processors each having a preselected processing format different than the first preselected processing format and being different from each other, a format translator module to format the loan data to be compatible with each of the one or more of the plurality of prepaid card processors, the format translator module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operation of;

converting the loan data received in the first preselected loan processing format into a second preselected loan processing format to thereby be compatible with the one or more of the plurality of prepaid card processors responsive to the first preselected loan processing format being determined to be different and incompatible with the one or more of the plurality of prepaid card processors,

a loan manager module to manage the plurality of loans pending activation of one or more of the plurality of prepaid card accounts, the loan manager module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operations of;

communicating the loan data in a compatible format to the one or more of the plurality of prepaid card processors to thereby request activation of one or more of the plurality of prepaid card accounts at each of the one or more of the plurality of prepaid card processors on behalf of one or more corresponding borrowers, each of the one or more of the plurality of prepaid card accounts configured to have an associated prepaid card, and

releasing loan proceeds of one or more of the plurality of loans pending activation of the one or more of the plurality of prepaid card accounts to the one or more of prepaid card processors so that the loan proceeds are available to the corresponding borrower and each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts are converted into a loan delivery apparatus, the releasing being responsive to receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated.

8. Non-transitory computer medium as defined in claim 7, wherein the loan proceeds are available for use through each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts after a delay of one-half of one second to one minute after receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated, and wherein the loan manager module further causes the bank computer to perform the operation of:

notifying the lending institution computer of the release of the loan proceeds to the one or more of the plurality of prepaid card processors.

9. Non-transitory computer medium as defined in claim 7, wherein one or more of the plurality of borrowers purchases the prepaid card at a retailer, wherein the loan proceeds are immediately available through the prepaid card so that the one or more of the plurality of borrowers can use the prepaid card at a point-of-sale for a purchase of one or more goods or services, and wherein the bank is a federally-chartered bank subject to federal banking laws and regulations and not subject to state banking laws and regulations.

10. Non-transitory computer medium as defined in claim 7, wherein one or more of the plurality of loan authorizations are responsive to one or more of the plurality of borrowers not having an existing prepaid card account.

11. Non-transitory computer medium as defined in claim 7, wherein the computer program further includes:

a reconciliation module to reconcile data associated with each of the one or more of the plurality of approved loans, the reconciliation module comprising a set of instructions that, when executed by the bank computer, cause the bank computer to perform the operation of;

comparing loan data received from the lending institution computer with loan data from the one or more of the plurality of prepaid card processors to thereby check for processing errors to identify potential reconciliation being desired.

12. Non-transitory computer medium as defined in claim 7, wherein the loan manager module further causes the bank computer to perform the operation of:

generating fees for the bank for each of the plurality of loans for releasing the loan proceeds to the one or more of the plurality of prepaid card processors to thereby manage the one or more of the plurality of loans.

13. A computer-implemented method to facilitate activating a plurality of prepaid card accounts and to release a plurality of loan proceeds to the plurality of prepaid card accounts, the computer implemented method comprising the steps of:

processing, by a first computer associated with a bank defining a bank computer, a plurality of loan authorizations for a plurality of approved loans each pending activation of one or more of a plurality of prepaid card accounts responsive to receiving loan data from a second computer associated with a lender defining a lending institution computer in a first preselected loan processing format, the lending institution computer configured to approve a plurality of borrowers for the plurality of loans each pending activation of one or more of the plurality of prepaid card accounts,

determining, by the bank computer, one or more of the plurality of prepaid card processors to be associated with one or more of the plurality of loans responsive to receiving loan data from the lending institution computer, the one or more of the plurality of prepaid card processors each having a preselected processing format different than the first preselected loan processing format and different from each other,

converting, by the bank computer, the loan data received in the first preselected loan processing format into a second preselected loan processing format to thereby be compatible with the one or more of the plurality of prepaid card processors responsive to the first preselected loan processing format being determined to be different and incompatible with the one or more of the plurality of prepaid card processors,

communicating, by the bank computer, the loan data in a compatible format to the one or more of the plurality of prepaid card processors to thereby request activation of one or more of the plurality of prepaid card accounts at each of the one or more of the plurality of prepaid card processors on behalf of one or more corresponding borrowers, each of the one or more of the plurality of prepaid card accounts configured to have an associated prepaid card, and

releasing, by the bank computer, loan proceeds of one or more of the plurality of loans pending activation of the one or more of the plurality of prepaid card accounts to the one or more of prepaid card processors so that the loan proceeds are available to the corresponding borrower and each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts are converted into a loan delivery apparatus, the releasing being responsive to receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated.

14. A computer-implemented method as defined in claim 13, wherein the loan proceeds are available for use through each of the prepaid cards associated with the one or more of the plurality of prepaid card accounts after a delay of one-half of one second to one minute after receiving notification from the one or more of the plurality of prepaid card processors that the one or more of the plurality of prepaid card accounts have been activated, and wherein the computer-implemented method further comprises the step of:

notifying, by the bank computer, the lending institution computer of the release of the loan proceeds to the one or more of the plurality of prepaid card processors.

15. A computer-implemented method as defined in claim 13, wherein one or more of the plurality of borrowers purchases the prepaid card at a retailer, wherein the loan proceeds are immediately available through the prepaid card so that the one or more of the plurality of borrowers can use the prepaid card at a point-of-sale for a purchase of one or more goods or services, and wherein the bank is a federally-chartered bank subject to federal banking laws and regulations and not subject to state banking laws and regulations.

16. A computer-implemented method as defined in claim 13, wherein one or more of the plurality of loan authorizations are responsive to one or more of the plurality of borrowers not having an existing prepaid card account.

17. A computer-implemented method as defined in claim 13, wherein the computer-implemented method further comprising the step of:

comparing, by the bank computer, loan data received from the lending institution computer with loan data from the one or more of the plurality of prepaid card processors to thereby check for processing errors to identify potential reconciliation being desired.

18. A computer-implemented method as defined in claim 13, wherein the computer-implemented method further comprising the step of:

generating fees for the bank for each of the plurality of loans for releasing the loan proceeds to the one or more of the plurality of prepaid card processors to thereby manage the one or more of the plurality of loans.

19. A computer-implemented method as defined in claim 13, wherein the computer-implemented method further comprising the steps of:

receiving, by the bank computer, loan data in flat files from the lending institution computer and from the at least one of the plurality of prepaid card processors;

converting the flat file data into structured database files; and

producing error reports responsive to a comparison of the structured database files and the converted loan data.

20. A computer-implemented method as defined in claim 13, wherein the computer-implemented method further comprising the steps of:

invoking, by the bank computer, one or more of the plurality of prepaid card processors for one or more of a of a plurality of prepaid card processor-specific instructions prior to converting the loan data; and

wherein the loan data in the compatible format being compatible with the one or more of the prepaid card processor-specific instructions.