Abstract:
A method of providing checkless disbursement of cash due as a funding from a financial transaction includes receiving at an input terminal on a networked system a request for checkless disbursement of cash due as a funding from a financial transaction, the request including information identifying a customer requesting the cash due. A processing subsystem on the networked system determines whether the disbursement request includes valid information and if the disbursement request includes valid information, making the cash due available for disbursement by an cash dispensing terminal on the networked system.

Description:
FIELD OF INVENTION  
       [0001]     The present invention relates to methods, systems and computer program products for providing checkless cash disbursement services related to any disbursement previously performed by check such as a loan or benefit. More particularly, the present invention relates to methods, systems and computer program products for disbursing funds made available from a Refund Anticipation Loan (RAL) and/or Refund Transfer (RT).  
       BACKGROUND OF INVENTION  
       [0002]     The issuing of checks are common transactions for today&#39;s financial institutions, such as entities that originate loans or funds transfers such as tax related Refund Anticipation Loans (RALs) and Refund Transfers (RTs). For example, RALs and RTs have become common transactions that occur during tax season. Typically, RALs and RTs are bank products offered to individuals whose tax returns indicate that they are owed a refund from the federal and/or a state government. A RAL is a loan collateralized by an entity based on an anticipated tax refund. A RT is the transfer of an IRS tax refund less any applicable fees to a taxpayer. An individual interested in receiving a RAL or a RT is merely required to inform the tax preparer that he or she wishes to execute a RAL application or RT request. The executed RAL application or the RT request is forwarded by the tax preparer to a financial institution. Upon approval of a RAL application or a RT request the tax preparer arranges for the issuing of a RAL or RT in the amount of the individual&#39;s anticipated refund (less any fees). The RAL or RT is typically issued on a cashier&#39;s check located at the tax preparer&#39;s office. Once the RAL or RT check is issued, it is given to the taxpayer.  
         [0003]     One problem with receiving a RAL or RT check is negotiating such check in exchange for cash dollars. Financial institutions are not required to honor checks that are not issued by their institution. Accordingly, an individual with a RAL or RT check has to either find a location of the financial institution that issued the RAL or RT check or another financial institution that is willing to honor the check. This can be a time consuming and frustrating experience when financial institutions have limited locations coupled with long bank teller lines.  
         [0004]     Another problem is that when an individual does find a financial institution willing to honor a RAL or RT check, the customer may be required to deposit the check and then wait several days for the check to clear before they can actually receive cash dollars. This is due to the RAL or RT check having to go to the federal reserve and then back to the financial institution that issued the check for verification that the check is authentic and for the correct amount. This can defeat the purpose of a RAL or RT check, where the individual needs the funds to satisfy an immediate financial need.  
         [0005]     Thus, there is a need for methods of providing cash disbursement services, and in particular for methods to fund a RAL or a RT disbursed by a financial institution to a customer in cash dollars. Such methods should immediately provide the RAL or RT recipient with cash in lieu of a check. Additionally, these methods should allow for the verification of the identity of the customer to prevent fraudulent disbursement of the proceeds of a RAL or RT, as well as for settling to the provider of cash after the funds associated with the RAL or RT have been disbursed.  
       SUMMARY OF INVENTION  
       [0006]     The principles of the present invention are embodied in methods and systems which allow cash funds due from a financial transaction to be disbursed without the need for a check or similar instrument. According to one representative embodiment, a method is disclosed for providing checkless disbursement of cash due as funding from a financial transaction and includes receiving at an input terminal on a networked system a request for checkless disbursement of cash due as funding from a financial transaction, the request including information identifying a customer requesting the cash due. A processing subsystem on the networked system determines whether the disbursement request includes valid information and if the disbursement request includes valid information, making the cash due available for disbursement by a cash dispensing terminal on the networked system.  
         [0007]     According to embodiments of the present invention, methods, frameworks, and computer program products are disclosed which provide for an interface for disbursing funds made available for a RAL or RT. These principles are particularly suited for implementing a system that allows for the receipt of cash dollars at a disbursement location from proceeds of a RAL or RT originated by a financial institution. A subsystem at a tax preparation site receives checkless cash disbursement information including, but not limited to, customer information and a bank product disbursement method. The first sub-system transmits the checkless transaction request including, but not limited to, an executed RAL application, RT information and checkless cash disbursement information to a subsystem of a financial institution. Funds are disbursed at a disbursement location based on the type of the checkless transaction request. The financial institution originating the RAL or RT is notified upon disbursement of funds. The need to issue a check for the disbursement of a RAL and RT is completely eliminated. 
     
    
     BRIEF DESCRIPTION OF DRAWINGS  
       [0008]     For a more complete understanding of the present invention, and the advantages thereof, reference is now made to the following descriptions taken in conjunction with the accompanying drawings, in which:  
         [0009]      FIG. 1  depicts an exemplary checkless funds distribution system according to the principles of the present invention;  
         [0010]      FIG. 2  depicts an exemplary block diagram of a representative point of sale (POS) subsystem suitable for use in the system of  FIG. 1 ;  
         [0011]      FIG. 3  depicts an exemplary block diagram of a representative cash dispenser, ATM or other cash dispensing mechanism subsystem suitable for use in the system of  FIG. 1 ;  
         [0012]      FIG. 4  depicts an exemplary block diagram of a service provider (SP) subsystem suitable for use in the system of  FIG. 1 ;  
         [0013]      FIG. 5  depicts an exemplary block diagram of a subsystem of  FIG. 1  which can find application according to an embodiment of the present invention;  
         [0014]      FIG. 6  depicts an exemplary flow diagram of a method of providing an interface for cashing checks according to an embodiment of the present invention; and  
         [0015]      FIG. 7  depicts an exemplary flow diagram of a method of providing for ATM funds disbursement according to an embodiment of the present invention.  
     
    
     DETAILED DESCRIPTION OF THE INVENTION  
       [0016]     The principles of the present invention and their advantages are best understood by referring to the illustrated embodiment depicted in  FIGS. 1-7  of the drawings, in which like numbers designate like parts.  
         [0017]      FIG. 1  is an exemplary block diagram of a representative checkless fund disbursement system  100  embodying the principles of the present invention. In particular, in the illustrative embodiment of  FIG. 1 , system  100  provides an interface for Checkless Fund Disbursement according to the inventive principles. Generally, system  100  supports exchanges of any combination of voice, video and/or data between point of sale (POS) subsystems  102   a - 102   n , cash dispensing subsystems  104   a - 104   n , service provider (SP) subsystems  108   a - 108   n , and financial institution (FI) subsystems  110   a - 110   n  over a network  106 . Network  106  can be any communications medium over which any combination of voice video and/or data can be transmitted, such as a Wide Area Network (WAN), a Local Area Network (LAN) and/or the Internet.  
         [0018]     In the illustrated embodiment of system  100 , each subsystem  102  is a Point of Sale (POS) system that includes, for example, a display, input/output device such as a scanner, bar code reader, biometric reader, keypad and/or a receipt printer. POS Subsystems  102 , which communicates with SP subsystems  108   a - 108   n  and FI subsystems  110   a - 110   n , can receive customer identification information, transmit customer identification information, receive a validation response through network  106 , and generate funds disbursement notifications. A given subsystem  102  may be provided, for example, at a tax preparation location or other facility where a loan or transfer may be requested. The point of sale system may be integrated into an existing software and/or hardware solution located at the tax preparation or loan facility.  
         [0019]     Each Cash Dispensing subsystem  104  in the illustrated embodiment is a Cash Dispensing Mechanism that includes, for example, a display, input/output device, such as a keypad, biometric reader, a receipt printer and/or a cash dispenser. Cash Dispensing Subsystems  104 , which also communicates with SP subsystems  108   a - 108   n  and FI subsystems  110   a - 110   n , can transmit a funds disbursement request and receive funds disbursement notifications and dispense cash dollars. A Cash Dispensing subsystem  104  may be paired with a single or multiple POS subsystem  102  within the vicinity of a Disbursement Location site or similar facility where funds may be disbursed as a service.  
         [0020]     In the illustrative embodiment of system  100 , the type of interface provided between each SP subsystem  108  and each FI subsystem  110  includes, but is not limited to, Active Server Page (ASP) and File Transfer Protocol (FTP) models. Network  106  can also include, for example, a Virtual Private Network (VPN) or Frame circuit which provides a direct link between a given SP subsystem  108  and a given FI subsystem  110 . SP subsystem  108  and FI subsystem  110  preferably communicate employing an Active Server Page (ASP) model.  
         [0021]     Each SP subsystem  108  in illustrative system  100  can receive checkless disbursement information, disbursement requests, verification responses, including, but not limited to, a verification request, a verification code, time data and date data, process the disbursement transaction information and verification responses, transmit verification requests including, but not limited to, loan or transfer information, customer identification information, and originating clerk identification information, status notification information, funds disbursement notifications and settlement notifications.  
         [0022]     In illustrative system  100 , each FI subsystem  110  can receive verification requests and settlement notifications, process verification requests, including but not limited to, verifying a segment of transaction information as provided by an SP subsystem  108 , flagging the segment of the transaction information as verified, transmit a verification response, and create a settlement file. An FI subsystem  110  may be provided, for example, at a respective location of a financial institution, as well as provided by various financial institutions at a location outside of the financial institutions themselves.  
         [0023]     An exemplary block diagram of a representative POS subsystem  102  suitable for use in system  100  of  FIG. 1  is shown in  FIG. 2 . In the illustrative embodiment of  FIG. 2 , POS subsystem  102  includes input/output device interface and display interface  204 , network adapter  206 , subsystem memory  208 , and CPU  202 . CPU  202  is connected by a bus  212  or other suitable interface means to subsystem memory  208 , input/output device-display interface  204  and network adapter  206 . CPU  202  executes program instructions in order to carry out the functions of the present invention.  
         [0024]     Input/output device and display-interface  204  provides the capability to input data to, or output data from POS subsystem  102 . For example, input/output device-display interface  204  includes, but is not limited to, input devices such as a readers, keypad, biometric reader, mice, touchpads, trackballs, output devices such as video, monitors, printers, and input/output devices such as dialer/modems. Input/output device and display interface  204  enables input of disbursement method information, customer identification information, and clerk identification information, as well as output of receipts having an disbursement authorization code imprinted thereon. Network adapter  206  interfaces subsystem  102  with network  106 .  
         [0025]     Subsystem memory  208  stores program instructions that are executed by, and data that are used and processed by, CPU  202  to perform the functions of subsystem  102 . Subsystem memory  208  can include electronic memory devices, such as random-access memory (RAM), read-only memory (ROM), programmable read-only memory (PROM), electrically erasable programmable read-only memory (EEPROM), flash memory, and electro-mechanical memory, such as magnetic disk drives, tape drives, optical disk drives, which can use an integrated drive electronics (IDE) interface, or a variation or enhancement thereof, such as enhanced IDE (EIDE) or ultra direct memory access (UDMA), or a small computer subsystem interface (SCSI) based interface, or a variation or enhancement thereof, such as fast-SCSI, wide-SCSI, fast and wide-SCSI, or a fiber channel-arbitrated loop (FC-AL) interface.  
         [0026]     In  FIG. 2 , representative subsystem memory  208  includes operating subsystem  214 , data  216  and software  218 . Operating subsystem  214  provides overall subsystem functionality. Data  216  can include disbursement information, customer identification information, clerk identification information and disbursement authorization codes. Software  218  provides the functionality for receiving and transmitting information as well as generating receipts. Software  218  may be integrated with other software used in the loan origination or tax preparation process.  
         [0027]      FIG. 3  is an exemplary block diagram of a representative Cash Dispensing subsystem  104  suitable for use in exemplary system  100  of  FIG. 1 . In  FIG. 3 , representative ATM subsystem  104  includes input/output device interface, and display interface  304  and network adapter  306 , subsystem memory  308  and CPU  302 . CPU  302  is connected by a bus  312  or other suitable interface means to subsystem memory  308 , input/output device and display interface  304 , and network adapter  306 . CPU  302  executes program instructions in order to carry out the functions of the present invention.  
         [0028]     Input/output device and display interface  304  provides the capability to input data to, or output data from Cash Dispensing subsystem  104 . For example, input/output device interface  204  includes, but is not limited to, input devices such as a card readers, biometric readers, keypads, mice, touchpads, trackballs, output devices such as video, monitors, printers, cash dispenser, and input/output devices such as dialer/modems, and the like. Input/output device and display interface  304  enables input of customer identification information and check authorization codes and dispensing of cash. Network adapter  306  interfaces Cash Dispensing subsystem  104  with network  106 .  
         [0029]     Subsystem memory  308  stores program instructions that are executed by, and data that are used and processed by, CPU  302  to perform the functions of Cash Dispensing subsystem  104 . Subsystem memory  308  can include electronic memory devices, such as random-access memory (RAM), read-only memory (ROM), programmable read-only memory (PROM), electrically erasable programmable read-only memory (EEPROM), flash memory, and electro-mechanical memory, such as magnetic disk drives, tape drives, optical disk drives, which can use an integrated drive electronics (IDE) interface, or a variation or enhancement thereof, such as enhanced IDE (EIDE) or ultra direct memory access (UDMA), or a small computer subsystem interface (SCSI) based interface, or a variation or enhancement thereof, such as fast-SCSI, wide-SCSI, fast and wide-SCSI, etc, or a fiber channel-arbitrated loop (FC-AL) interface.  
         [0030]     In the illustrative embodiment of Cash Dispensing subsystem  104 , subsystem memory  308  includes operating subsystem  314 , data  316  and software  318 . Operating subsystem  314  provides overall subsystem functionality. Data  316  can include customer identification information and a disbursement authorization code. Software  318  provides the functionality for receive customer identification information and an check authorization code, transmit a disbursement request including, but not limited to, the customer identification information and an authorization code employing network  106 , receive cash disbursement notification and dispense cash.  
         [0031]     An exemplary block diagram of a representative SP subsystem  108  of  FIG. 1  is provided in  FIG. 4 . In the illustrative embodiment of  FIG. 4 , SP subsystem  108  includes input/output device and display interface  404 , network adapter  406 , subsystem memory  408  and CPU  202 . CPU  402  is connected by a bus  412  or other suitable interface means to subsystem memory  408 , input/output device and display interface  404  and network adapter  406 . CPU  402  executes program instructions in order to carry out the functions of the present invention.  
         [0032]     Input/output device interface  404  provides the capability to input data to, or output data from subsystem  108 . For example, input/output device and display interface  404  includes, but is not limited to, input devices such as a readers, biometric readers, keyboards, mice, touchpads, trackballs, output devices such as video, monitors, printers, and input/output devices such as dialer/modems, and the like. Input/output device and display interface  404  enables input of transaction information, verification requests, verification codes, time data and date data. Network adapter  206  interfaces subsystem  108  with network  102 .  
         [0033]     Subsystem memory  408  stores program instructions that are executed by, and data that are used and processed by, CPU  402  to perform the functions of subsystem  108 . Subsystem memory  408  can include electronic memory devices, such as random-access memory (RAM), read-only memory (ROM), programmable read-only memory (PROM), electrically erasable programmable read-only memory (EEPROM), flash memory, and electro-mechanical memory, such as magnetic disk drives, tape drives, optical disk drives, which can use an integrated drive electronics (IDE) interface, or a variation or enhancement thereof, such as enhanced IDE (EIDE) or ultra direct memory access (UDMA), or a small computer subsystem interface (SCSI) based interface, or a variation or enhancement thereof, such as fast-SCSI, wide-SCSI, fast and wide-SCSI, etc, or a fiber channel-arbitrated loop (FC-AL) interface.  
         [0034]     Illustrative subsystem memory  408  includes operating subsystem  414 , data  416  and software  418 . Operating subsystem  414  provides overall subsystem functionality. Data  416  can includes disbursement information, customer identification information, clerk identification information, a verification code, time data and date data. Software  418  provides the functionality for receiving disbursement transaction information, verification response, disbursement requests, processing the transaction information, verification responses and disbursement requests, transmitting verification request, funds disbursement notification and settlement notifications.  
         [0035]      FIG. 5  is a block diagram of an illustrative embodiment of FI subsystem  110  of  FIG. 1 . In the  FIG. 5 , illustrative subsystem  110  includes input/output device interface and display interface  504 , network adapter  506 , subsystem memory  508  and CPU  202 . CPU  502  is connected by a bus  512  or other suitable interface means to subsystem memory  508 , input/output device and display interface  504  and network adapter  506 . CPU  502  executes program instructions in order to carry out the functions of the present invention.  
         [0036]     Input/output device and display interface  504  provides the capability to input data to, or output data from FI subsystem  110 . For example, input/output device-display interface  504  includes, but is not limited to, input devices such as a readers, keyboards, mice, touchpads, trackballs, output devices such as video, monitors, printers, and input/output devices such as dialer/modems and the like. Input/output device and display interface  504  enables receipt of verification requests and settlement notification as well as transmission of verification responses. Network adapter  506  interfaces subsystem  110  with network  106 .  
         [0037]     Subsystem memory  508  stores program instructions that are executed by, and data that are used and processed by, CPU  502  to perform the functions of subsystem  110 . Subsystem memory  508  can include electronic memory devices, such as random-access memory (RAM), read-only memory (ROM), programmable read-only memory (PROM), electrically erasable programmable read-only memory (EEPROM), flash memory, and electro-mechanical memory, such as magnetic disk drives, tape drives, optical disk drives, etc., which can use an integrated drive electronics (IDE) interface, or a variation or enhancement thereof, such as enhanced IDE (EIDE) or ultra direct memory access (UDMA), or a small computer subsystem interface (SCSI) based interface, or a variation or enhancement thereof, such as fast-SCSI, wide-SCSI, fast and wide-SCSI, or a fiber channel-arbitrated loop (FC-AL) interface.  
         [0038]     Subsystem memory  508  includes operating subsystem  514 , data  516  and software  518 . Operating subsystem  514  provides overall subsystem functionality. The data  516  can include information related to funds available for disbursement, customer identification information, settlement files, and disbursement status information. Software  518  provides the functionality for receiving disbursement requests and settlement notifications, processing disbursement requests, including but not limited to, flagging information associated a disbursement as complete, transmitting verification responses, and creating a settlement files.  
         [0039]     An exemplary flow diagram for a method of providing an interface for checkless cash disbursement according to the principles of present invention is shown in  FIG. 6 . In the  FIG. 6  embodiment, the process begins with step  600 . In step  600 , checkless disbursement information is received by POS subsystem  102 . In the  FIG. 6  embodiment of the present invention, POS subsystem  102  is located, for example, at the site of a tax preparer&#39;s office offering real time loan origination or transfer request. The customer selects checkless disbursement over other method of funds disbursement. The checkless disbursement information includes, but is not limited to, a clerk PIN number and customer identification information. The customer identification information can include a PIN number selected by the customer, the customer&#39;s Social Security number, biometric data and challenge/champion information. At step  602 , the transaction information is transmitted from the given POS subsystem  102  to a corresponding SP subsystem  108 . Acceptance of a fee may be required prior to the transmission of the checkless transaction information to SP subsystem  108  to cover the cost of providing the service. The checkless transaction information is transmitted over the network  106 .  
         [0040]     At step  604 , the checkless transaction information is received by corresponding SP subsystem  108  from POS subsystem  102 . At step  606 , the checkless transaction information is processed by SP subsystem  108 . At step  608 , a disbursement method notification request and collected customer information are transmitted to a corresponding FI subsystem  110  from SP subsystem  108 . The particular FI subsystem  110  is the subsystem of the financial institution that may fund the loan or transfer the funds when available. The notification can be provided as a Universal Resource Locator (URL) applicable with an Active Server Page (ASP) model. SP Subsystem  108  and FI subsystem  110  are preferably directly linked through network  106 .  
         [0041]     At step  610 , FI subsystem  110  verifies whether a segment of the notification information corresponds with customer information stored in the given FI subsystem  110 . The segment of notification information includes, but is not limited to, customer&#39;s SSN.  
         [0042]     At step  612 , a verification response is transmitted to the corresponding SP subsystem  108  from the given FI subsystem  110 . The verification response can be provided as an XML transaction message. The types of verification responses include, but are not limited to, successful notification, customer not found, name mismatch, invalid transaction, already settled, and try again later host unavailable.  
         [0043]     At step  614 , the verification response is received by SP subsystem  108  from FI subsystem  110 . At step  616 , it is determined whether the response specifies the notification as accepted. If the transaction is determined to be unauthorized the process proceeds to step  618 .  
         [0044]     At step  618 , status notification information is transmitted from the SP subsystem  108  to the FI subsystem  102 . The status notification indicates that the checkless disbursement has not been established and thus not negotiable using Cash Dispensing subsystem  104 . If the transaction is determined to be authorized the process proceeds to step  620 .  
         [0045]     At step  620 , upon approval of the loan or funding of the transfer, a balance is created by the financial institution. At step  622 , the balance transmitted to SP subsystem  108  and is linked to the customer information. [At step  624 , a status notification information is transmitted from the SP subsystem  108  to the POS subsystem  102 .] The status notification indicates that funds are available, and thus, negotiable using a corresponding Cash Dispensing subsystem  104 . At step  628 , the given Cash Dispensing subsystem  104  funds disbursement transaction is performed.  
         [0046]     An exemplary flow diagram for a method of providing an interface for a given Cash Dispensing subsystem  104  funds disbursement transaction according to an embodiment of the present invention is shown in  FIG. 7 . In the illustrated embodiment of  FIG. 7 , the process begins with step  700 . At step  700 , customer information, including, but not limited to, biometric data, challenge/champion data and SSN is received by Cash Dispensing subsystem  104 . The given Cash Dispensing subsystem  104  may be, for example, one that may be related to multiple POS subsystems  102 . At step  702 , a disbursement request is transmitted to an associated SP subsystem  108  from Cash Dispensing subsystem  104 . The disbursement request includes, but is not limited to, the authorization code and customer identification information.  
         [0047]     At step  704 , the disbursement request is received by the SP subsystem  108  from the Cash Dispensing subsystem  104 . At step  706 , the disbursement request is processed by the SP subsystem  108 . Processing the disbursement request includes, but is not limited to, determining whether there is a balance available to execute the request. If a balance is not determined to be available the process proceeds to step  708 .  
         [0048]     At step  708 , a funds disbursement notification is transmitted from the SP subsystem  108  to the Cash Dispensing subsystem  104 . The funds disbursement notification indicates that a balance is not available. At step  710 , the disbursement transaction is declined. If a balance is determined to be available the process proceeds to step  712 .  
         [0049]     At step  712 , a funds disbursement notification is transmitted from the SP subsystem  108  to the Cash Dispensing subsystem  104 . The funds disbursement notification indicates the balance that is available in the virtual account to which the authorization code and customer information are linked. At step  714 , cash dollars are dispensed from subsystem  104 . At step  716 , a disbursement transaction settlement notification is transmitted from SP subsystem  108  to FI subsystem  110 . The transaction settlement notification includes, but is not limited to, the routing number and account number for a settlement account. At step  718 , a settlement file is created for the transaction by FI subsystem  110  and transmitted to SP subsystem  108 . It should be noted that, while the exemplary embodiments were discussed above with respect to RAL and RT transactions, the principles of the present invention are applicable to a wide range of financial transactions resulting in the availability of funds for distribution. One further example is the distribution of excess funds from an escrow account.  
         [0050]     Although the invention has been described with reference to specific embodiments, these descriptions are not meant to be construed in a limiting sense. Various modifications of the disclosed embodiments, as well as alternative embodiments of the invention, will become apparent to persons skilled in the art upon reference to the description of the invention. It should be appreciated by those skilled in the art that the conception and the specific embodiment disclosed might be readily utilized as a basis for modifying or designing other structures for carrying out the same purposes of the present invention. It should also be realized by those skilled in the art that such equivalent constructions do not depart from the spirit and scope of the invention as set forth in the appended claims.  
         [0051]     It is therefore contemplated that the claims will cover any such modifications or embodiments that fall within the true scope of the invention.