Patent ID: 7539646
Filing Date: 2009-05-26
Classification: G06Q

Abstract:
1. A paperless check method, comprising: (a) presenting a payor with a set of warranties and indemnities applicable to banks of first deposit and clearing banks, wherein the set of warranties and indemnities enable a check to be created, exchanged, and cleared electronically between the payor and a payee and through the banks of first deposit and clearing banks; (b) creating a digitally originated check; (c) receiving an acceptance from the payor of the set of warranties and indemnities; (d) receiving a payment instruction from the payor to the payee, wherein the payment instruction is subject to the set of warranties and indemnities; (e) capturing metadata associated with the digitally originated check, wherein the metadata comprises the payment instruction, a globally unique identifier, tracking information, and security information; (f) performing one or more of immediately notifying the payee of the digitally originated check and notifying the payee of the digitally originated check at a later time; and (g) verifying the digitally originated check responsive to the globally unique identifier and the security information prior to depositing or cashing the digitally originated check; wherein an output from the metadata is interoperable with both paper and electronic clearing methods associated with check clearing systems; wherein the digitally originated check is a check comprising the warranties and indemnities created by the payor without an original paper check when the payee accepts the warranties and indemnities thereby enabling electronic presentment from the payor to the payee; wherein the warranties and indemnities, the globally unique identifier, and the security information provide risk transference mechanisms for the digitally originated check between the payor, the payee, and the banks of first deposit and clearing banks; and wherein steps (a) through (g) are executed on a electronic payment computer system connected to a network.