Browse Prior Art Database

Bill Payment Transfer System

IP.com Disclosure Number: IPCOM000086796D
Original Publication Date: 1976-Oct-01
Included in the Prior Art Database: 2005-Mar-03
Document File: 3 page(s) / 49K

Publishing Venue

IBM

Related People

Earley, CF: AUTHOR [+3]

Abstract

This is a system for implementing the payment of bills through self-service consumer transaction facilities, eliminating the return to merchants of bill stubs and checks from individual bill payers by providing machine-readable bills and electronic transfer of funds from the customer's to the merchant's account.

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Bill Payment Transfer System

This is a system for implementing the payment of bills through self-service consumer transaction facilities, eliminating the return to merchants of bill stubs and checks from individual bill payers by providing machine-readable bills and electronic transfer of funds from the customer's to the merchant's account.

Referring to the figure, machine-readable bills 1 are provided to the customer by the merchant either at the time of purchase by POS terminal 9, or later, e.g., on a monthly basis. Data encoded on bill 1 by the merchant or biller system 9 includes the following: a. Identification and routing of the biller's bank.

b. Biller's account number (within biller's bank).

c. Payer's account number (as assigned by biller).

d. Due date.

e. Amount of bill.

In addition, the biller may desire to encode the following on bill 1: f. Optional partial or minimum payment amount (however, the

terminal key entry having priority).

g. Optional last acceptance date.

h. Optional biller identification for direct printing on

acknowledgement receipt 2 or payer's monthly banking statement

3 from his own bank.

i. Optional data fields to support other financial counseling

services by payer's bank. The above data may be encoded in magnetic stripe, MICR, or OCR (A or B font in a single line or two lines of OCR,) depending upon the reader provided at the self service terminal.

Payer's identification (ID) card 4 is provided by payer's bank 5 to holders of accounts with bank 5, and includes data identifying payer's bank 5 and the payer's account with bank 5, also in machine-readable form.

At his convenience, the payer takes one or more pre-encoded bills 1 (from one or more billers) to self-service terminal 6 to initiate electronic transfer of funds from his, the payer's account, at payer's bank 5 to biller's bank 6. At terminal 6, the payer inserts ID card 4 into an ID card reader, where payer identifying data is read into terminal 6. This may be combined with a keyboard entered secret number or other forms of personal ID verification, such as palm or finger line or voice analysis. The payer bank and account to be debited are established by card 4 as it is read by terminal 6, together with keyboard data entered by the payer, such as may be required for selecting from one of a plurality of accounts.

The payer then enters bill statements 1 into the bill statement reader of terminal 6, to identify biller's bank 7 into...