System and method for funding a collective account

• US 7,809,641 B2
• Filed: 07/15/2002
• Issued: 10/05/2010
• Est. Priority Date: 07/26/2001
• 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: Bowers, Theodore, Sanders, Shelley F.
• Primary Examiner(s): Kazimi; Hani
• Assistant Examiner(s): MADAMBA, CLIFFORD B
• Application Number:
  US10/193,923
• Publication Number:
  US 20030028483A1
• Time in Patent Office: 3,004 Days
• Field of Search: 705 35- 45
• 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 20/102 Bill distribution or payments
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 30/00 Commerce
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0207 Discounts or incentives, e.g. coupons or rebates
• CPC Class Codes: G06Q 30/0215 Including financial accounts
• CPC Class Codes: G06Q 30/0224 based on user history
• CPC Class Codes: G06Q 30/0279 Fundraising management
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03

Abstract

A system and method for funding a collective account such as a charitable account includes issuing a plurality of financial instruments, linking the financial instruments to the collective account, aggregating individual financial instrument usage, calculating a bonus or other reward based on the aggregate financial instrument usage and funding or distributing the reward to the collective account. According to the invention, members of a civic, charitable, political or other entity may generate collective rewards or other benefits which may be attributed to the designated organization.

Claims

1. A computer-implemented method for processing a collective account said method comprising:

issuing financial transaction cards associated with a plurality of non-linked separate and independent financial instrument accounts to a plurality of account holders, the non-linked separate and independent financial instrument accounts adapted to be linked to collective accounts;

providing a plurality of fundable collective accounts linkable with the plurality of separate and independent financial instrument accounts;

receiving from at least one of the plurality of account holders, an indication of at least one fundable collective account to link with at least one separate and independent financial instrument account,

linking the at least one fundable collective account and the at least one separate and independent financial instrument account;

aggregating usage of financial transaction cards corresponding to separate and independent financial instrument accounts linked with the at least one fundable collective account;

calculating a first reward based on the aggregate financial transaction card usage;

funding the at least one collective account with the first reward such that the first reward is divisible among one or more sub accounts according to a provided reward allocation; and

providing an option to add or remove a linked collective account and adjust the provided reward allocation,

wherein the providing, receiving, linking, aggregating, calculating and funding steps are performed by a computer comprising a processor and a memory.

2. The computer-implemented method for processing a collective account according to claim 1, further comprising funding at least one donee account with at least part of the first reward that is funding the collective account.

3. The computer-implemented method of claim 2, wherein the donee account is held by an organization selected from a group comprising families, business organizations, trade organizations, political parties, religious organizations, athletic organizations, professional societies, research organizations, educational organizations, and social services organizations.

4. The computer-implemented method of claim 2, wherein the donee account is held by an organization selected from a group comprising lobbying groups, Political Action Committees (PACs) and consortiums of smaller interested groups.

5. The computer-implemented method of claim 2, wherein the at least one recipient is selected after the first reward is accumulated in the at least one collective account.

6. The computer-implemented method of claim 5, wherein the first reward is further based on the time period during which balances are accrued by each financial instrument holder.

7. The computer-implemented method of claim 1, further comprising distributing the first reward from the at least one collective account to at least one recipient in accordance with a purpose of the at least one collective account.

8. The computer-implemented method of claim 7, wherein each financial transaction card is selected from a group comprising credit cards, ATM banking cards, debit cards, gift cards, smart cards, proximity type devices, and checks, or combinations of these.

9. The computer-implemented method of claim 1, further comprising providing the at least one account holder with an option to change the indication to a different collective account or change a respective reward allocation pledged to the at least one collective account.

10. The computer-implemented method of claim 1, wherein providing a plurality of collective accounts further comprises providing an interface, the interface selectably presenting one or more collective accounts established to benefit at least one charitable organization.

11. The computer-implemented method of claim 1, wherein the at least one collective account comprises a charitable account.

12. The computer-implemented method of claim 1, wherein the linking, aggregating, calculating, and funding steps are done electronically in substantially real time.

13. The computer-implemented method of claim 1, further comprising issuing a statement to each of the plurality of account holders reporting the first reward amount contributed to the at least one collective account by each respective financial instrument holder.

14. The computer-implemented method of claim 13, wherein issuing the statement occurs on a periodic basis.

15. The computer-implemented method of claim 1, wherein the at least one financial instrument comprises one or more integrated circuits and a communication port for communicating with conventional card readers.

16. The computer-implemented method of claim 1, wherein the first reward is based on a percentage of the balances accrued by each account holder associated with the at least one collective account.

17. The computer-implemented method of claim 1, wherein the first reward is based on the account balance maintained by each financial instrument holder associated with the at least one collective account.

18. The computer implemented method according to claim 1, further comprising funding the at least one collective account with an additional contribution initiated by a financial instrument holder of a financial instrument account linked with the at least one collective account.

19. The computer implemented method according to claim 1, further comprising:

calculating a second reward based on the aggregate financial instrument usage; and

funding the at least one collective account with the second reward,

wherein the first reward is calculated and funded by a first vendor and the second reward is calculated and funded by a second vendor that is independent from the first vendor.

20. The computer-implemented method according to claim 1, wherein funding the at least one donee account occurs on a periodic basis.

21. The computer-implemented method according to claim 1, wherein the non-linked separate and independent financial instrument accounts is selected from a group comprising demand deposit accounts, brokerage accounts, mutual fund accounts, money market accounts, telephone card accounts, wireless telephone accounts, frequent flier accounts, or combinations of these.

22. The computer-implemented method according to claim 1, wherein the first reward is selected from a group comprising reward points, frequent flier miles, credits, and money, or combinations of these.

23. A system for linking financial instruments to one or more selectable collective accounts associated with charitable organizations and funding the one or more selectable collective accounts, the system comprising:

a plurality of electronically readable financial financial transaction cards corresponding to non-linked separate and independent financial instrument accounts, at least one of the electronically readable financial transaction cards associated with an individual account holder;

a central computer comprising a processor and a memory operable to perform the following steps;

providing a plurality of fundable collective accounts linkable to the plurality of separate and independent financial instrument accounts;

receiving, from at least one of the plurality of account holders, an indication of at least one fundable collective account to link with at least one separate and independent financial instrument account,

linking the at least one fundable collective account to the at least one separate and independent financial instrument account;

aggregating, by a processor, usage of financial transaction card corresponding to separate and independent financial instrument accounts linked with the at least one fundable collective account;

calculating, by the processor, a first reward based on the aggregate financial transaction card usage;

funding the at least one collective account with the first reward such that the first reward is divisible among one or more sub accounts according to a provided reward allocation; and

providing an option to add or remove a linked collective account and adjust the provided reward allocation.

24. The system for linking financial instruments to one or more selectable collective accounts associated with charitable organizations and funding the one or more selectable collective accounts according to claim 23, the system further comprising funding at least one donee account with at least part of the first reward that is funding the at least one collective account.