Patent Publication Number: US-2003225688-A1

Title: Financial account transfer apparatus and method

Description:
BACKGROUND OF THE INVENTION  
       [0001] The present invention relates to the financial arts. It is especially applicable to the maintenance and transfer of financial accounts such as personal or small business bank accounts, and will be described with particular reference thereto. However, the invention will also find application in other financial transactions which involve transferring accounts between financial institutions.  
       [0002] In the competitive banking industry, significant effort is expended by individual banks attempting to induce account-holders to switch or transfer accounts from other banks. Enterprising banks typically offer financial incentives, free gifts, favorable interest rates, free checking, and the like to attract account-holders at other banks.  
       [0003] Research indicates that a primary reason why account-holders do not switch banks is inconvenience. Many modern bank accounts have associated automatic electronic money transfer arrangements with one or more creditors or debitors. For example, an employee account-holder can have a direct-deposit arrangement with his or her employer in which the employee&#39;s weekly, bi-weekly, or monthly pay is automatically electronically deposited into the employee&#39;s bank account. Similarly, automatic electronic withdrawals by landlords, utility companies, mortgage-holders, and other entities to which the account-holder owes regular periodic payments are becoming increasingly prevalent. Automatic electronic money transfer arrangements are convenient and benefit the consumer account-holder by reducing the number of written checks, saving on mailing postage, and minimizing the likelihood of forgetting to pay a bill on time and thus incurring late payment penalties, credit rating problems, and the like.  
       [0004] However, each electronic money transfer arrangement is also one more entanglement which the account-holder will have to confront in the process of switching or transferring the account to another bank. A modern bank account transfer can be quite complex, for example including: setting up the new account; updating direct-depositing of a weekly or monthly pay; updating automatic withdrawal by electric, natural gas, and telephone utility companies; updating automatic withdrawal by other regular billing entities such as cable television and Internet service provider (ISP) companies; and closing out the old bank account. These inconveniences deter many account-holders from taking advantage of favorable interest rates, free checking, low minimum balances, free gifts, and other incentives offered by banks to entice the account-holder to switch.  
       [0005] A related reason why account-holders may hesitate to switch banks is the risk of inadvertently disrupting automatic money transfer arrangements. For example, if the consumer account-holder neglects to update an automatic withdrawal arrangement prior to closing out the old account or fails to leave enough money in the old account to cover the automated withdrawals prior to switchover, the automatic withdrawal process will fail and the consumer can incur penalties, adverse credit reports, and even shut-off of the service or product associated with the disrupted payment. Furthermore, even if the account-holder attempts to updates an automatic money transfer arrangement, the attempt can fail through an error by the account-holder or the associated entity or contact (e.g., employer, utility company, or the like) resulting in a disruption in the arrangement.  
       [0006] The present invention contemplates an improved apparatus and method that overcomes the above-mentioned limitations and others.  
       BRIEF SUMMARY OF THE INVENTION  
       [0007] In accordance with one embodiment of the present invention, a software-based apparatus is disclosed that coordinates transferring an old account at an old financial institution to a new account at a new financial institution. A personal profiles database stores an updatable profile of a user entered using a graphical user interface. The user profile includes at least information identifying the user, the old and new accounts, and an entity or contact such as an employer or utility company that performs automatic money transfers into or out of the old account. A financial institution&#39;s database transfers stored information about the old financial institution into the user profile. An entities database transfers stored information about the entity or contact into the user profile. A scheduling processor coordinates communications with the entity, the old financial institution, and the user to switch the money transfers, close the old account, provide user reminders, and the like. A notice forms processor prepares personalized communications using information in the personal profiles database. The communications are sent via an electronic mail server, or printed out on a printer for mailing.  
       [0008] In accordance with another embodiment of the present invention, a storage medium stores a computer program executable on one or more computers. The computer program effectuates a method for transferring an old account at a first financial institution to a new account at a second financial institution, wherein the old and new accounts belong to a user. A user profile is constructed, including at least information on the user and the accounts, and a security password. A contacts list is constructed that includes information on an associated entity that conducts automatic transactions including one of debiting and crediting the old account. An entities database containing information on a plurality of entities that regularly conduct electronic transactions, and a financial institutions database containing information on a plurality of financial institutions, are referenced in constructing the user profile and the contacts list. Communications are constructed based on the user profile and the contacts list that instruct the entity to conduct automatic transactions using the new account subsequent to a first date, and that instruct the first financial institution to close the old account at a second date. The entity and the first financial institution are contacted and the communications are forwarded thereto.  
       [0009] Numerous advantages and benefits of the present invention will become apparent to those of ordinary skill in the art upon reading and understanding the following detailed description.  
     
    
    
     BRIEF DESCRIPTION OF THE DRAWINGS  
     [0010] The invention may take form in various components and arrangements of components, and in various steps and arrangements of steps. The drawings are only for purposes of illustrating preferred embodiments and are not to be construed as limiting the invention.  
     [0011]FIG. 1 depicts an account transfer system in accordance with an embodiment of the present invention;  
     [0012]FIG. 2 shows a flow chart illustrating operational steps in accordance with an embodiment of the present invention;  
     [0013]FIG. 3 shows an exemplary graphical use interface (GUI) window which provides the user with an introduction description of the account transfer system;  
     [0014]FIG. 4 shows an exemplary GUI window which provides a user with the minimum information required for operation of the system;  
     [0015] FIGS.  5 A- 5 C are GUI input displays through which user information is entered into the system;  
     [0016]FIG. 6 shows an exemplary GUI confirmation display confirming completion of the profile setup;  
     [0017]FIG. 7 shows an exemplary GUI dialog window through which a user logs into the system;  
     [0018]FIG. 8 shows an exemplary GUI dialog window for the inputting of entity or contact information;  
     [0019] FIGS.  9 A- 9 B show exemplary GUI dialog windows which permit the printing of correspondence based upon information stored in a users profile;  
     [0020]FIG. 10 shows an exemplary GUI display window depicting correspondence generated by the system;  
     [0021]FIGS. 11A and 11B show exemplary GUI dialog windows which record communications in a personal records archive;  
     [0022]FIG. 12 shows selected feedback and/or reminders about events; and  
     [0023]FIG. 13 shows the interconnections of an account transfer system according to the present invention and associated communication pathways. 
    
    
     DETAILED DESCRIPTION OF THE INVENTION  
     [0024] With reference to FIG. 1, a software-based account transfer system  10  is described for assisting a user in switching or transferring an old bank account at a first financial institution  12  (also designated herein as the “old financial institution” or the like) to a new bank account  14  (also designated herein as the “COB account” or the like) at a second financial institution (also designated herein as the “new financial institution” and/or as “COB” or the like). The switching or transferring includes updating automatic money transfers associated with the old bank account. In the exemplary FIG. 1, these automatic money transfers include a monthly automatic withdrawal (debit) by a mortgage company  16 , and an automatic payroll deposit (credit) by an employer  18 .  
     [0025] The account transfer system  10  includes or has access to one or more non-volatile storage media which embody one or more databases, such as a financial institutions database  20  that contains information corresponding to the old and new financial institutions, an entities database  22  that contains information corresponding to companies or other entities frequently involved with electronic money transfers, and a personal profiles database  24  that contains information about particular accounts of the account transfer system  10 . The account transfer system  10  further preferably includes or has access to: at least one printer  30  for printing personalized communications; an electronic mail (email) server  32  by which the account transfer system  10  can send communications to users, financial institutions, companies, and the like; and one or more user interface terminals  34  such as personal computers, bank computer terminals, or the like, which are capable of supporting a user interface (preferably graphical) generated by the account transfer system  10 . Interface terminals may also be a personal data assistant (PDA), cell phone or other data transmission device.  
     [0026] In one suitable embodiment, the account transfer system  10  and peripherals (e.g., printers, user terminals, and the like) are associated with the new financial institution at which the new account  14  is being established. Optionally, selected peripherals such as the electronic mail (email) server  32  are associated with an Internet service provider or other outside agency or organization. In one preferred embodiment, at least some of the user interface terminals  34  are personal computers associated with users rather than with the new financial institution. These user-associated terminals communicate with the account transfer system  10  via the Internet, and the account transfer system  10  is accessible by the user at a selected Internet uniform resource location (URL).  
     [0027] Regardless of how the user interface terminal  34  communicates with the account transfer system  10 , the user interacts with the user interface terminal  34 , preferably via a graphical user interface (GUI), to create a personal profile including name, address, phone number, email, or other personal identifying and/or contact information, which is stored in the personal profiles database  24 . In other embodiments the user interface may be accomplished via voice prompting and voice entry systems.  
     [0028] The account transfer system  10  also stores information on entities conducting automatic money transfers (e.g., the mortgage company  16  and employer  18  in FIG. 1) in the personal profile. A scheduling processor  40  coordinates correspondence with the entities  16 ,  18  and communicates with a notice forms processor  42  to construct personalized letters, emails, and other communications addressed to selected entities to effectuate updating of the automatic money transfer arrangements to the new account  14 . Records of the communications produced by the notice forms processor  42  are preferably stored in a personal records archive  44  to assist in tracking the correspondence. Optionally, the user is sent reminders or other notices at a personal communication device  46  such as a personal data assistant (PDA), cellular telephone (cellphone), voice mail box, or the like.  
     [0029] With continuing reference to FIG. 1, and with further reference to FIGS. 2 and 3, a suitable method  60  implemented by the account transfer system  10  is described. In an information receiving step  62 , the system receives information about the user and the old and new accounts via the user interface  34 . Preferably, a welcoming GUI display  100  (see FIG. 3) provides the user with an introduction description  102  of the account transfer system  10 . Suitably, the GUI display also includes user options which can be selected by the user via the GUI, such as a start (“get started”) selection  104 , a “return to session” selection  106  that enables the user to return to or update an existing session or account, a “test drive” selection  108  that provides the new user with training or a preview of the account transfer system  10 , and the like. A “tell a friend” selection  109  permits a user to print or email special promotional coupons. Direct links to various features (“get started”, “get your $25 One Switch Bonus”) may also be provided within the text on the pages of the application.  
     [0030] With reference to FIGS.  1 - 4 , responsive to the user selecting the start selection  104 , the GUI preferably brings up a preparatory display  120  (see FIG. 4) that informs the user of the minimum information an information receiving step  62  (FIG. 2) will require to establish a new user profile. In the exemplary display  120 , a minimum set of information  122  includes the user&#39;s name, address, and telephone number, the account number and a routing transit number for the old financial institution  12  (FIG. 1), an account number for the new account  14 , and if being performed via the Internet, an electronic mail (email) address. Additional or different minimum information can be requested which is sufficient to identify the user and the old and new accounts. The user selects a continuation selection  124  once the information on the preparatory display  120  is read.  
     [0031] With continuing reference to FIGS. 1 and 2 and with further reference to FIGS. 5A, 5B, and  5 C, the GUI next presents the user with one or more input displays through which the account transfer system  10  receives the new user profile information in the information receiving step  62 . An input window  130  (see FIG. 5A) entitled “About You” receives information from the user about the user&#39;s name, address, and other personal information. An input window  132  (see FIG. 5B) entitled “About Your Old Bank” receives information from the user about the old financial institution  12  and the associated old account including information about any joint accountholders. In particular, the input window  132  asks for the old account number and an identifying number for the old financial institution  12 , such as an American Bank Association (ABA) tracking number. Preferably, the financial institutions database  20  (see FIG. 1) is optionally electronically accessed by the user through the input window  132  to obtain information about the old financial institution  12 , such as address and routing number, without typing the information in. Particularly, in one embodiment, the user may click on “show me where it is”, and be taken to a screen (not shown) generated by the financial institution&#39;s database  20 . This screen contains a listing of each financial institution within the United States or a selected area. The user may access the specific information regarding their old financial institution. Once selected, by an import operation, the appropriate information which is available is inputted into the data areas set forth in the input window  132 .  
     [0032] An input window  134  (see FIG. 5C) entitled “Your New Account Information” receives information from the new account  14  including the new account number. Preferably, an input window  136  (see FIG. 5C) receives a security password or other information that allows user identity verification in the event that the user returns to the session, e.g. via the return to session selection  106 . In a preferred embodiment, the account transfer system may be designed.  
     [0033] With continuing reference to FIGS. 1 and 2, and with further reference to FIG. 6, once the information receiving step  62  is complete, the account transfer system  10  sets up a new user profile in the personal profiles database  24  for the user in a profile setup step  64 . Preferably, the user receives a confirmation display  150  (see FIG. 6) after the profile setup step  64  is complete, which confirms that a new personal profile for the user has been created.  
     [0034] With continuing reference to FIGS. 1, 2, and  6 , and with further reference to FIG. 7, the confirmation display  150  (FIG. 6) also preferably provides the user with instructions for interacting with the GUI to supply information about entities or contacts conducting automatic money transfers. As specified in the exemplary confirmation display  150 , this information includes the entity or contact name, address, and an entity account number. The confirmation display  150  also preferably provides a user menu  152  that includes an update profile selection  154 , a log out selection  156 , and a contact list select  158 . Typically, however, the user may not have this information immediately available. In this case, the user optionally exits the account transfer system  10 , e.g. using the log out selection  156 , and returns to the session later using the return selection  106  of the system entry display  100  (see FIG. 3). This brings up a return to session security password display  170  (FIG. 7) where the user identity is verified by receiving the security password or other information that was initially supplied by the user in the input window  136  (see FIG. 5C). Once logged back in, the user is presented with the user menu  152  (see FIG. 6) and selects the contact list selection  158 .  
     [0035] With continuing reference to FIGS. 1 and 2, and with further reference to FIG. 8, the account transfer system  10  requests information in an information request step  66  (see FIG. 2) through an input window  180  (see FIG. 8) about the entity or contact involved in an automatic money transfer arrangement. In the exemplary input window  180 , this information includes the type of money transfer (e.g., credit or debit), the name of the company or other entity, address information for same, a merchant account number or other identifier, and the debit or credit amount. Since certain entities are commonly involved in automatic money transfer arrangements (e.g., organizations such as utility companies, Internet service providers, major employers, and the like), the user preferably has the option of electronically accessing information on such entities from the entities database  22  (see FIG. 1) through a drop-down selection box  182  or other convenient GUI input. Automatic accessing of the entity information by the drop-down selection box  182  causes the address and other information to be automatically filled in with information contained in the entities database  22 . By electronically accessing the entities database  22  and retrieving information therefrom, the user advantageously does not need to know and physically enter this information into the input window  180 .  
     [0036] The information requested in the input window  180  is exemplary only. Additional or different information can be requested. For example, if the automated money transfer does not involve a fixed amount (e.g., a utility bill which varies from month to month) the debit or credit amount can be replaced by a time window in each month during which the transfer is expected to occur. Preferably, the information requested in the input window  180  is not all required. In the input window  180 , for example, only highlighted information (debit or credit selection, and company name) is required. However, entry of the additional information will help ensure that the resulting correspondence to that entity generated by the notice forms processor  42  (see FIG. 1) is sufficiently complete to effectuate transferal of the automatic money transfer to the new account  14 .  
     [0037] With continuing reference to FIGS. 1, 2, and  8 , once the entity information is received in the information request step  66  via the input window  180 , the user&#39;s personal profile is updated with the entity information in an update entities step  68 . The user can select to have the account transfer system  10  construct correspondence to one or more entities or contacts in the personal profile in a construct correspondence step  70  as described next.  
     [0038] With continuing reference to FIGS. 1, 2, and  8  and with further reference to FIGS. 9A and 9B, the user selects to print correspondence based upon the information stored in the user&#39;s personal profile, for example using the “print lefters” hyperlink of the user menu  152  (see, e.g., FIG. 6 or FIG. 9A). The account transfer system  10  generates a display  200 A,  200 B (see FIGS. 9A and 9B) through which the user can: (1) review a list  202  of entities or contacts whose information has been supplied (e.g. via the input window  180 ) along with relevant information such as the account type and the target date for switching, corresponding selection boxes  204  through which the user can select to have correspondence prepared and printed or otherwise communicated, and the like.  
     [0039] The entities list  202  also includes notes  206  (see FIG. 9A) which are explained in a notes definitions table  208  (see FIG. 9B). The notes  206  indicate whether any information to be included in the correspondence is missing from the user&#39;s profile in the personal profiles database  24 . For example, the notes for the entity “Ameritech” indicate a missing merchant account number (note 2) and a missing zip code (note 6). Preferably, the list  202  is hyperlinked such that the user can click on or otherwise select an entity using the GUI and bring up the input display  180  (see FIG. 8) to update information on the entity. In the exemplary embodiment shown in FIG. 9B, the correspondence is printed in Portable Document Format (PDF); of course, other formats can be employed. Selection of a print selection  210  (see FIG. 9B) by the user via the GUI initiates printing of the correspondence indicated by the selection boxes  204 .  
     [0040]FIG. 10 shows an exemplary display window  220  depicting correspondence generated in step  70  (see FIG. 2) by the notice forms processor  42  (see FIG. 1). The correspondence is generated using standard verbiage which is populated with information from the user&#39;s personal profiles including the user&#39;s name and address, the entity&#39;s name and address, and other information. In the event that an information item, e.g. the merchant account number, which was optional in the input window  180  is called for in the standard verbiage, that item is left blank  222  in the generated correspondence  220 .  
     [0041] Although a personalized correspondence is preferably generated by the notice forms processor  42  in the step  70 , in some instances this may be disadvantageous. For example, electronic social security deposit arrangements are updatable only telephonically. In this case, the correspondence construction step  70  preferably produces instructions for the user to follow in performing the telephonic social security deposit arrangement updating.  
     [0042] With continuing reference to FIGS. 1, 2, and  10 , the correspondence generated by the notice forms processor  42  in the step  70  (FIG. 2) is communicated to the entities in a step  72 . In one suitable method, correspondence such as that shown in the display window  220  is printed on the printer  30  and mailed to the entity by the user. In another suitable method, the correspondence is sent to the entity by electronic mail using the email server  32 . For example, in FIG. 1 emailed correspondence directed to the mortgage company  16  and the employer  18  is indicated. Similarly, the notice forms processor  42  generates account close instructions which are sent to the old financial institution  12  by regular mail or electronic mail. It is also contemplated to communicate (step  72 ) the correspondence in other ways, such as by sending a facsimile (preferably electronically generated by the notice forms processor  42  and forwarded to a networked facsimile machine (not shown)).  
     [0043] Since many electronic money transfer arrangements require signed correspondence in order to effectuate an updating, such correspondence is preferably printed by the printer  30  so that the user can sign and mail the signed copy. However, it is also contemplated to communicate such correspondence electronically using a secure electronic signature if such electronically secured correspondence is accepted by the entity.  
     [0044] With continuing reference to FIGS. 1 and 2, and with further reference to FIGS. 11A and 11B, each item of correspondence that is printed, sent out by electronic mail, or otherwise communicated in the step  72  is recorded in the personal records archive  44  (see FIG. 1) in a step  74  (see FIG. 2). Preferably, the user receives a printed correspondence summary generated in a step  76  based on the contents of the personal records archive  44 . An exemplary summary  240 A,  240 B is shown in FIGS. 11A and 11B. The automated records archiving step  74  ensures that the user can document money transfer arrangement change requests and related correspondence in the event that the updating is mishandled or otherwise defectively performed.  
     [0045] With continuing reference to FIGS. 1 and 2, and with further reference to FIG. 12, the new account is monitored in a step  80  (see FIG. 2). The monitoring provides the user with selected feedback and/or reminders about events which should occur during the transition from the old financial institution  12  to the new account  14  at the new financial institution. In a step  84 , the monitoring detects a selected elapsed time, e.g. sixty days, and sends a reminder notice  250  (see FIG. 12) to the user via the email server  32  in a step  86 . The exemplary reminder notice  250  reminds the user to verify that the identified automatic money transfer arrangements are properly communicating with the new account  14 . Of course, the text of the reminder notice  250  is exemplary only, and can be suitably modified to address particular situations. Furthermore, multiple reminders are preferably sent, for example at forty-five days and at sixty days. If the user does not have convenient electronic mail access, it is also contemplated to send facsimile reminders, telephonic reminders, and/or the like. Preferably, a telephonic reminder transmits a computer-generated message.  
     [0046] It will be appreciated that the reminders  86  greatly reduce the likelihood that the user will be adversely affected by a defective updating of a money transfer arrangement (e.g., defective due to an error by the user or the associated entity) that results in disruption of the automated money transfer arrangement. Optionally, the reminders are also stored in the personal records archive  44 . This recording benefits the new financial institution by documenting its communications with the user.  
     [0047] In addition to the automatic reminders sent in the step  86 , the account transfer system  10  also preferably receives electronic communications from the new account  14  when selected transactions occur, such as one of the automatic money transfers. If such an automatic money transfer is detected in a step  90 , the notice forms processor  42  prepares and communicates an alert  92  to the user indicating the transfer has occurred. The alert  92  is transmitted by the email server  32 , by a PDA or cellphone  46 , or the like. Multiple alert pathways can also be utilized. A suitable exemplary telephonic message that is computer generated reads:  
     [0048] Good morning. This is Charter One Bank. We&#39;re calling to notify you that on Apr., 20th, 2002 an automatic account debit for $22.22 from American Express posted to your Charter One checking account ending in 200039. Thank you and have a good day.  
     [0049] Of course, those skilled in the art can generate other suitable messages that are targeted toward particular users or situations. The detection and alert steps  90 ,  92  beneficially notify the user when an automatic money transfer arrangement accesses the new account  14 , so that the user does not have to repetitively check the account status to verify that the automatic money transfer arrangement has properly switched over to using the new account  14 .  
     [0050] With continuing reference to FIG. 1, and with further reference to FIG. 13, a suitable embodiment  300  of the account transfer system  10  with respect to communication pathways and a distributed organization of the new financial institution is described. As is known to those skilled in the art, a typical financial institution such as the exemplary second institution has a main headquarters  302  and a plurality of branch locations, exemplary represented in FIG. 13 by a local bank  304 . The main headquarters  302  and the local branches  304  communicate electronically, for example via dedicated lines  306 , the Internet  308 , wireless communication links  310 , or other or additional pathways. The main headquarters  302  includes a centralized computing system  320  including a non-volatile electronic storage medium  322  such as a magnetic or optical disk or array of disks, on which the account transfer system  10  resides, typically along with account data such as account data for the new account  14 . The centralized computing system  320  also optionally includes the email server  32 . The main headquarters  302  preferably also includes one or more user terminals  324  (preferably graphical) through which the GUI of the account transfer system  10  can be accessed, and printers  326  and through which correspondence can be printed.  
     [0051] In a typical embodiment, the account transfer system  10  is embodied as a computer program stored on the non-volatile electronic storage medium  322 , such as an electronic diskette, optical storage medium, electronic memory, or the like. The computer program is executable on one or more computers of the centralized computing system  320  to effectuate method steps such as the method  60  that assist the user in navigating the account transfer process.  
     [0052] However, the main headquarters  302  is typically inaccessible to many (and often most) of the bank&#39;s customers. Hence, the local branch locations  304  also include GUI user terminals  330  and printers  332  through which the user can access and manipulate the account transfer system  10  via one of the electronic communication pathways  306 ,  308 ,  310 , optionally with the assistance of a bank employee.  
     [0053] Even the branch locations  304  can be inconvenient for users, however. For example, the user may want to access the account transfer system  10  when the branch  304  is closed, or the bank may have a line of waiting customers. If the user does not need assistance from a branch employee, the user can optionally access the account transfer system  10  via the Internet using a home personal computer (pc)  340  to interact with the GUI as a web-based application, and a connected printer  342  to print out the generates correspondence. Optionally, the user can also interact with the account transfer system  10  by a cellular telephone  344  or other data communication device employing wireline or wireless communication pathway  346 , for example to receive the reminders  86  and the alerts  92  shown in FIG. 2.  
     [0054] The invention has been described with reference to the preferred embodiments. Obviously, modifications and alterations will occur to others upon reading and understanding the preceding detailed description. It is intended that the invention be construed as including all such modifications and alterations.