Method and system for transaction decision making

• US 8,396,279 B1
• Filed: 03/21/2012
• Issued: 03/12/2013
• Est. Priority Date: 06/24/2004
• Status: Active Grant

• Current Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Original Assignee: JP Morgan Chase Bank, N.A. (JP Morgan Chase & Co)
• Inventors: Ferris, Laura M., Norman, Richard L., Gerevics, Anthony B.
• Primary Examiner(s): Fitzpatrick, Atiba O
• Application Number:
  US13/425,966
• Time in Patent Office: 356 Days
• Field of Search: 382/137, 382/138, 382/139, 382/140, 705/1, 705/35, 705/39, 705/45
• US Class Current: 382/137
• CPC Class Codes: G06Q 20/042 characterized in that the payment protocol involves at least one cheque
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes

Abstract

According to one embodiment, the present invention relates to a method and a system for transaction decision making. According to an exemplary embodiment, a method and system for processing payment items involve receiving a payment item at a sorter device; extracting electronic data from the payment item from an electronic readable line of the payment item; imaging the payment item to obtain image data of the payment item; comparing the electronic data and the image data to verify payment data associated with the payment item; and determining an optimal settlement path for the payment item, at the sorter device.

Claims

1. A computer implemented method for processing payment items, the computer implemented method comprising the steps of:

receiving, at a sorter, a payment item comprising a paper check;

extracting electronic data from the payment item from an electronic MICR readable line of the payment item;

imaging the payment item to obtain image data of the payment item;

verifying that the image data associated with the payment item matches the electronic data;

determining automatically, using a transaction decision making module, an optimal settlement path from a plurality of possible settlement paths for the payment item wherein the optimal settlement path represents clearing and final settlement of the payment item;

determining automatically, using the transaction decision making module, that the paper check can be destroyed if the image data matches the electronic data; and

routing the paper check to be destroyed.

2. The method of claim 1, wherein the image data is converted to electronic image data by optical character recognition where the electronic data and the electronic image data are compared.

3. The method of claim 1, wherein the step of verifying further comprises the step of:

comparing one or more of a payee name, a date, an amount and a signature associated with the payment item.

4. The method of claim 1, wherein the step of verifying further comprises the step of:

accessing one or more databases to identify potentially fraudulent activity.

5. The method of claim 1, wherein the step of verifying further comprises the step of:

determining instructions to modify data associated with the payment item.

6. The method of claim 1, wherein the step of imaging is performed at a front-end device.

7. The method of claim 6, wherein the front-end device comprises one or more of an ATM device and a branch location.

8. The method of claim 1, further comprising the step of:

destroying the paper check.

9. The method of claim 1, further comprising the step of:

extracting data from the payment item, and

sending an electronic offer electronically via an electronic transmission directly to one or more potential customers based at least in part on the extracted data.

18. At least one non-transitory processor readable carrier for storing a computer program of instructions configured to be readable by at least one processor for instructing the at least one processor to execute a computer process for performing the method as recited in claim 1.

20. The method of claim 1, wherein the step of verifying that the image data associated with the payment item matches the electronic data comprises verifying that the entire image data for the paper check matches the electronic data for that paper check.

21. The method of claim 1, comprising:

rejecting the image data if the image data does not match the electronic data.

22. The method of claim 1, wherein the plurality of possible settlement paths includes ACH, wire transfer, and one or more of IRD, ARC, ECP, posting to a consumer account, and data archive.

10. A computer implemented system for processing payment items, the computer implemented system comprising:

a receiving module for receiving a payment item comprising a paper check;

an extracting module for extracting electronic data from the payment item from an electronic MICR readable line of the payment item;

an imaging module for imaging the payment item to obtain image data of the payment item;

a matching module verifying that the image data associated with the payment item matches the electronic data;

a decisioning module for automatically determining an optimal settlement path from a plurality of possible settlement paths for the payment item wherein the optimal settlement path represents clearing and final settlement of the payment item and for automatically determining that the paper check can be destroyed if the image data matches the electronic data; and

a routing module for routing the paper check to be destroyed.

11. The system of claim 10, wherein the image data is converted to electronic image data by optical character recognition where the electronic data and the electronic image data are compared.

12. The system of claim 10, wherein the matching module compares one or more of a payee name, a date, an amount and a signature associated with the payment item.

13. The system of claim 10, wherein the matching module accesses one or more databases to identify potentially fraudulent activity.

14. The system of claim 10, wherein the matching module determines instructions to modify data associated with the payment item.

15. The system of claim 10, wherein the imaging module is located at a front-end device.

16. The system of claim 15, wherein the front-end device comprises one or more of an ATM device and a branch location.

17. The system of claim 10, further comprising a module for destroying the paper check.

19. A computer implemented method for processing payment items, the computer implemented method comprising the steps of:

receiving, at a sorter, a payment item comprising a paper check;

extracting electronic data from the payment item from an electronic MICR readable line of the payment item;

imaging the payment item to obtain image data of the payment item;

verifying that the image data associated with-the payment item matches the electronic data, wherein the payment data comprises one or more of a payee name and a date, amount and signature associated with the payment item;

accessing one or more databases to identify potentially fraudulent activity;

accessing account data to identify positive and negative account data;

determining special instructions associated with the payment item, wherein the special instructions comprise one or more of stop payment orders, do not pay items, and illegitimate account data;

extracting data from the payment item for targeting one or more potential customers;

determining automatically, using a transaction decision making module, an optimal settlement path from a plurality of possible settlement paths for the payment item, wherein the plurality of possible settlement paths includes ACH, wire transfer, and one or more of IRD, ARC, ECP, posting to a consumer account, and data archive;

determining automatically, using the transaction decision making module, that the paper check can be destroyed if the image data matches the electronic data; and

routing the paper check to be destroyed.

23. A computer implemented method for paperlessly processing payment items comprising the steps of:

receiving, from an electronic device, an electronic image of a check to be presented for payment;

receiving, from the electronic device, an entered payment amount for the check;

generating, using at least one of a plurality of computer processors, electronic data from the electronic image, the electronic data comprising an imaged payment amount, imaged routing data, imaged account data, and an imaged check number;

validating, using at least one of the plurality of computer processors, the entered payment amount by determining that the entered payment amount and the imaged payment amount are the same; and

presenting, based on the electronic data, the electronic image of the check for payment.

24. The method of claim 23, further comprising:

using at least one of the plurality of computer processors, determining that the imaged routing data, imaged account data, and imaged check number are not fraudulent.

25. The method of claim 23, further comprising:

crediting a customer'"'"'s account with the entered payment amount for the check.

26. The method of claim 23, further comprising:

using at least one of the plurality of computer processors, determining an optimal settlement path from a plurality of possible settlement paths for the check, wherein the plurality of possible settlement paths includes ACH, wire transfer, and one or more of IRD, ARC, ECP, posting to a consumer account, and data archive.