Patent ID: 7624068
Filing Date: 2009-11-24
Classification: G06Q

Abstract:
1. An automated computer implemented method for dynamically adjusting discount rates for a card transaction, wherein the method is executed by a programmed computer processor, the computer implemented method comprising the steps of: identifying credit worthiness of at least one consumer, at an issuing module using the programmed computer processor; assigning a first credit level to a line of credit associated with a credit product for the at least one consumer, at the issuing module using the programmed computer processor, wherein the credit product is accepted at an identified one or more merchants, wherein at least one of the identified one or more merchants is within a closed loop network; assigning a second credit level to a second line of credit associated with the credit product, at the issuing module using the programmed computer processor, wherein the second line of credit is for general use within a card association network; assigning a first financing charge to the first line of credit; assigning a second financing charge to the second line of credit, at the issuing module using the programmed computer processor, wherein the first financing charge is different from the second financing charge; determining a discount rate for at least one transaction based at least in part on the credit worthiness of the at least one consumer and based at least in part on merchant-related data, using the programmed computer processor; and applying the discount rate when at least one transaction is made with the credit product at the identified one or more merchants within the closed loop network, at the rate determining module using the programmed computer processor wherein the discount rate is paid by the identified one or more merchants; wherein the discount rate is dynamically adjusted as the credit worthiness of the at least one consumer changes.