Abstract:
This invention relates to a specific method and process of payment and settlement of goods and services purchased through an INTERNET network platform. The method enables seamless connectivity between INTERNET purchaser/buyer savings, checking, money market, certificate of deposit and cash management account and merchant/seller savings, checking, money market and cash management account for payment and settlement of goods or services purchased over the INTERNET platform.

Description:
FIELD OF INVENTION  
       [0001]     This invention relates to a specific method and process of payment and settlement of goods and services purchased through an INTERNET network platform. This invention is a continuation of a provisional application No. 60\168,888 filed on Dec. 3, 1999 and non-provisional application No. 09\727,050 filed on Nov. 30, 2000. The method enables seamless connectivity between INTERNET purchaser/buyer savings, checking, money market, certificate of deposit and cash management account and merchant/seller savings, checking, money market and cash management account for payment and settlement of goods or services purchased over the INTERNET platform.  
     
    
     BACKGROUND OF INVENTION  
       [0002]     Despite the present use of traditional currency, credit cards, debit/smart cards and hybrid Internet payment systems developed by DigiCash and CyberCash, the current market lacks direct seamless connectivity between the various internet devices and demand deposit accounts. Predominately, most on-line vendors require customers to enter financial data such as credit card and mailing information for transaction payment, settlement and delivery. The vendor then stores this information to be used in later transactions with the same customer. In normal transactions, the time it takes for a customer to enter this information inhibits the efficient use of e-commerce opportunities. Though INTERNET credit card clearing facilities exist, many consumers are reluctant to transmit financial information (including credit card, banking, residence, etc.) electronically without the verification that it is secure.  
         [0003]     Additionally, eWallets have been developed to provide third party data storage allowing access to personal information by merchants and other consumers. We have composed a system that enables seamless online commercial/investment bank account access by means of a universal DDA/CMA account connectivity/interface, called CyberMoney™ where customers would utilize the CyberMoney™ interface for accessing established checking, savings, or cash management accounts to pay for goods and services purchased, viewed or delivered via the INTERNET. Furthermore, as this system becomes accepted in the marketplace, clients will seek to utilize currency exchange/conversion exclusively via a cyber-exchange functionality which, allow customers to convert world currency account values dynamically.  
       BRIEF SUMMARY OF INVENTION  
       [0004]     The present invention is to a business method for Internet transaction payments. A solution for direct and seamless Demand Deposit Account (DDA)/Cash Management Account (CMA) connectivity interface for Business-to-Business (B2B), Business-to-Consumer (B2C) or Business-to-Exchange (B2E) purchases via the INTERNET. We prescribe a new standard of “INTERNET Payment Solutions”, enabling the global transfer and exchange of stored forms of value. This network system will not be predicated on credit nor debit card clearing. This system of seamless integration will allow private branding, differentiation of services, cooperation and standardization of payment between financial institutional syndicate members and INTERNET merchants. The syndicate of financial channel members shall share in saving substantial operational cost by foregoing the cost of deploying various proprietary and non-standardized payment facilities. Accordingly the total aggregate cost to generate and reconcile a typical off-line payment invoice amounts to $75 as opposed to the cost of generating online payment solutions at $0.50 to $0.90 per transaction. By lowering financial channel partners and merchant transaction costs, CyberMoney payment solutions will encourage the continued growth and development of the global INTERNET economy.  
         [0005]     Other features and advantages of the present invention will be apparent from the following description in which the preferred embodiments have been set forth in conjunction with the accompanying drawings.  
     
    
     BRIEF DESCRIPTION OF VIEWS OF DRAWINGS  
       [0006]     In describing the preferred embodiments of the invention reference will be made to the series of figures and drawings briefly described below.  
         [0007]      FIG. 1  shows a flowchart of the consumer/merchant enrollment method.  
         [0008]      FIG. 2  illustrates the network payment and settlement process.  
         [0009]      FIG. 3  illustrates the network architecture and server topology.  
         [0010]      FIG. 4  illustrates the methods interaction between the various accounts.  
         [0011]      FIG. 5  illustrates the various INTERNET connectivity mediums.  
         [0012]      FIG. 6  illustrates the methods interaction between the hardware components of the variouis financial systems.  
         [0013]      FIG. 7  illustrates the methods interaction between the financial channel market members. 
     
    
       [0014]     There may be additional structures described in the foregoing application which are not depicted on one of the described drawings. In the event such a structure is described but not depicted in a drawing, the absence of such a drawing should not be considered as an omission of such design from the specification.  
       DETAILED DESCRIPTION OF THE INVENTION  
       [0015]     The present invention is to a business method for Internet transaction payments. A solution for direct and seamless Demand Deposit Account (DDA)/Cash Management Account (CMA) connectivity interface for Business-to-Business (B2B), Business-to-Consumer (B2C) or Business-to-Exchange (B2E) purchases via the INTERNET.  
         [0016]     Referring to  FIG. 2 , is the network provides an agnostic universal front-end and connectivity interface for commercial and investment bank accounts. A typical network customer is enrolled in the Cybermoney network. In a typical transaction, the customer  2 C, is empowered with an established commercial bank checking or savings account  2 A, or commercial bank/investment bank cash management account  2 B. The customer  2 C connects to INTERNET via wireless device or an INTERNET SERVICE PROVIDER (ISP)  2 D, the user proceeds to purchase goods or services from an eBusiness  2 F. Additionally, the customer  2 C may select goods and services from a brick and mortar merchant. Once a selection is made by the customer  2 C, the customer  2 C using the wireless device initiates the Cybermoney network connectivity. In both instances, an authorization  2 E and authentication query  2 G, is made to the network secure server  2 H. If the customer identity is authenticated  2 G and customer account  2 J, balance is sufficient, successful transaction authorization  2 E, is transmitted to customer  2 C and merchant  2 F.  
         [0017]     According to back-office settlement procedures, customer  2 C account reconciliation and settlement occurs whereby customer Bank and money market accounts  2 J is debited and merchant accounts  2 L is credited. Examples of various web merchants or exchange markets are automobile  2 M, gasoline  2 N, hotel and hospitality  2 O, travel  2 P, and dining  2 Q.  
         [0018]     As shown in  FIG. 1 , the method of enrollment is comprised of web site interaction logic for consumer and network users. These can be defined as individual consumers, merchant consumers, institutional consumer, and merchant vendors. The consumers or merchant vendor users accesses the internet at  1 A, and begins the process by which a user comes to the web site for direct interaction with network services. Upon viewing the initial user menu  1 B, the user has the option of selecting service as a new user either consumer or merchant vendor  1 C. If the user is new merchant or consumer, user is directed to learning Cybermoney network  1 D through  1 M. The new user then begins the subscription process  1 Q,  1 R,  1 V,  1 W,  11 A,  11 B,  11 E, and  11 F. Upon completion the user is directed to customer authentication  11 F. The user is then directed to the cybermoney network and product overview  11 C via the secure server  11 D.  
         [0019]     Dependent upon the user access to products and services flows through the secure server at  1 H,  1 L,  1 P, and  1 U. Then allows the user to begin the cybermoney network subscription services as shown at  2 H. The customer also has an initial option of viewing current currency exchange rates  1 X. Otherwise, the user has the option to select help for navigating the site  11 C and can be granted access to a list of product, services, banks and merchants members of the network  11 D.  
         [0020]     The primary focus and function of the network is to provide an agnostic universal front-end and connectivity interface for commercial and investment bank accounts. This process is illustrated by an overview of the payment and settlement data flow as follows.  
         [0021]     As shown in  FIG. 3 , the network architecture and topology are central to the implementation of this invention, specific network integration components give clarity to connectivity architecture. As the network customer  2 C connects to the INTERNET via an ISP server  2 D and engages in a INTERNET transaction  3 A, for the purchase of goods or services from a web merchant via the merchant server  3 B, the merchant server  3 B communicates to the seamless network web server  2 H and evokes transaction authorization and customer authentication. The seamless network web server facilitates connection to the network mainframe host computer  3 D after analysis of transaction security parameters via a intranet firewall  3 C.  
         [0022]     The network security server  3 P sends a query to customer  2 C for customer identification. Based upon customer response, network security server  3 P checks for customer membership demographics and authentication methodology such as biometric or password authentication processing. The network security server  3 P sends the customer a request for the necessary authentication method entry.  
         [0023]     If authentication is successful, the merchant account server  3 S or the consumer account server  3 T is checked for the adequacy of account balance to cover transaction purchase. If authentication is not successful, a message is sent to customer  2 C, requesting verification and re-entry. This is done no more than two or three times, based upon security parameters. Predicated on account balance and dynamic credit analysis procedures stored in member bank servers  3 U, providing the funding of commercial bank account  2 A or investment bank account  2 B, successful transaction authorization is sent to customer  2 C and merchant server  3 B. The transaction is then logged in the transaction record server  3 R database. Merchant account server  3 S, consumer account server  3 T and member bank account server  3 U do not store account values due to strict federal banking regulations. They only contain bank account access protocols based upon the INTERNET enabled device initiating transaction.  
         [0024]     The settlement and reconciliation process involves the back-office processing procedures whereby member bank servers  3 T contains member bank reconciliation and settlement process procedures. If for any reason a verified and credit-worthy bank/merchant customer  2 C is involved in a transaction without an active network commercial bank  2 A or investment bank  2 B account, reconciliation and settlement will be made through strict processing procedures contained in the non-member bank escrow account server  3 V.  
         [0025]     Daily updates to member bank account server  3 U data and account information is processed through an exclusive firewall protected  3 E, virtual private network (VPN) interface to a network of commercial bank web servers  3 F, merchant bank web servers  3 H, investment bank web servers  3 J, foreign commercial bank web servers  3 L and collective bank clearinghouse web servers  3 N.  
         [0026]      FIG. 4  provides detail illustration of the internal interaction between the various bank accounts and the seamless network account interface of Cybermoney. With respect to an INTERNET transaction  3 A, the seamless network server  2 H provides a universal front-end for empowering an investment bank  3   k , or member bank cash management network account transactions  4 A-D.  
         [0027]      FIG. 5  illustrates the various INTERNET connectivity mediums in which the network can be accessed. This seamless network platform  2 H and all of its application programming interface constructs are device agnostic. As a result, the network enables multiple INTERNET connectivity mediums such as: web-enabled desktop systems  5 A; pocket organizers  5 B; personal communication systems devices (PCS)  5 C; personal digital assistants (PDAs)  5 D; cellular and microwave based devices  5 E; wireless devices  5 F; digital phones  5 G; laptop computers  5 H and satellite based communication devices  5 I.  
         [0028]      FIG. 6  denotes the application architecture of the network application programming interface components. The network applications interface embraces open-end architecture for robust network compatibility across a broad spectrum of different computer systems and hardware. The front-end web site graphical user interface incorporates the latest convention of hypertext markup language called “Extended Markup Language,” or XML meta-data tags  6 B. This enables compatibility with commercial and investment bank computer systems that have existing enterprise resource planning (ERP) and bill presentment system solutions  6 A.  
         [0029]     In an effort to ensure compatibility with all commercially available eWallet  6 E constructs and systems, the network adheres to universal standards for wallets and merchant web sites set forth in a format know as Electronic Commerce Modeling Language (ECML) tags  6 D. ECML uses a set of uniform field names that streamlines the process by which merchants collect electronic data for shipping, billing and payment. Our seamless network architecture includes an agnostic eWallet interface for universal wallet compatibility, providing seamless INTERNET connectivity integration.  
         [0030]     The seamless network topology enhances the customer experience within business-to-business transactions between merchant supply chains  6 G and web merchants  2 F, as well as business-to-consumer transactions between web merchants  2 F and consumers  6 H.  
         [0031]      FIG. 7  represents the global member banking syndication method for distributing network connectivity. The comprehensive strategy and unique focus of seamless network connectivity is best implemented through a truly global architecture as illustrated by  FIG. 7 . Optimum initial network server market venues are graphically depicted. These include: German banking market  7 A, the Japanese banking market  7 B, the U.S. banking market  7 C, the global investment banking/brokerage market  7 D, the United Kingdom banking markets  7 E, the Swiss banking markets  7 F, the Dutch/European banking markets  7 G and the French banking markets  7 H. The methodology of global INTERNET bank account syndication  7 I, culminates into an efficient exchange of global and seamless INTERNET financial payment and settlement.  
         [0032]     Further modification and variation can be made to the disclosed embodiments without departing from the subject and spirit of the invention as defined in the following claims. Such modifications and variations, as included within the scope of these claims, are meant to be considered part of the invention as described.