Abstract:
A system and method for processing account receivable related to at least one check and a banking integration system based thereon, wherein each check contains customer identification, including an accounting database containing customer data including balance information; a remote deposit access scanner capable scanning the checks to locate customer identification on each check; a program capable of automatically matching the customer identification to the customer data; a program capable of posting the customer identification to a Customer Account Information; and a program capable of modifying the balance information.

Description:
CROSS REFERENCE TO RELATED APPLICATIONS 
       [0001]    Not applicable. 
       STATEMENT REGARDING FEDERALLY SPONSORED RESEARCH OR DEVELOPMENT 
       [0002]    Not applicable. 
       REFERENCE TO APPENDIX 
       [0003]    Not applicable. 
       BACKGROUND OF THE INVENTION 
       [0004]    1. Field of the Invention 
         [0005]    This disclosure relates generally to a processing checks, and more particularly to the processing of checks for accounts receivable purposes. 
         [0006]    2. Description of the Related Art 
         [0007]    In order to process a check for accounts receivable purposes, the following occurs as illustrated in  FIG. 1  (Prior Art). The checks are received in Step  1  and deposited. There are several ways to deposit the checks. First, a deposit slip is manually prepared for deposit in Step  2  and checks are deposited at the physical branch/location in Step  3 . 
         [0008]    In the alternative, a tape is manually prepared and attached to a deposit slip in Step  4 , which is in turn deposited at the bank&#39;s physical location in Step  3 . Or the received checks of Step  1  are scanned into Remote Deposit Access hardware in Step  5 . This feature creates an image of the check, stores the check data and creates a cash letter that is transferred to the bank in Step  6 . The received checks of Step  1  are also scanned into some other hardware acceptable or used by the Depository Institution for the Automated Clearing House (ACH) and/or the creation of a Cash Letter in Step  7 . This Cash Letter or Depository Institution for the ACH is transmitted to the bank in Step  8 . The bank credits funds to a checking account in Step  9 . 
         [0009]    After Step  3 ,  5  or  7 , the checks are then entered into the accounting software used by the User in Step  10 . The User is typically a customer of the bank. The deposit is then posted to the User&#39;s appropriate customer and trial balance accounts in Step  11 . Once the deposit information is in the accounting system, the User reconciles the checks posted to open invoices in the customer account in Step  12 . 
         [0010]    The current process is very time consuming for those organizations that receive hundreds of checks on a daily basis, including mortgage servicers, distributors, manufacturers and similar entities. Therefore, a need exists to reduce the time associated with processing accounts receivable and for allowing for more efficient and effective work to be preformed, such as reconciliation of customer accounts and similar activities. 
       BRIEF SUMMARY OF THE INVENTION 
       [0011]    Therefore, a need exists to reduce the time needed for these organizations that receive hundreds of checks on a daily basis to reduce the time associated with processing accounts receivable and for allowing for more efficient and effective work to be preformed. The present invention provides a system and method to process these accounts receivable and aid in banking integration. 
         [0012]    A system and method for processing account receivable related to at least one check and a banking integration system based thereon, wherein each check contains customer identification, including an accounting database containing customer data including balance information; Remote Deposit Access software and hardware or other a remote deposit access scanner, which is a scanner capable of scanning the checks to locate customer identification on each check; a program capable of automatically matching the customer identification to the customer data; a program capable of posting the customer identification to a Customer Account Information; and a program capable of modifying the balance information. The system and method preferably include an input module capable of allowing a user to manually input a Customer Account Number or a Customer Name, invoice, purchase order, sales order, or delivery shipment order. Customer identification may include ABA Routing Number, Checking Account Number, account number, customer name, or any other information that identifies the customer to the check, such as Customer Account Number or a Customer Name, invoice, purchase order, sales order, or delivery shipment order. The system and method use preferably include the Remote Deposit Access scanner or another scanner capable of generating an image of the check, preferably wherein each check is received and processed to create a Cash Letter and/or each check is received and processed through an Automated Clearing House transaction. 
     
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
         [0013]      FIG. 1  is a flow diagram that illustrates a prior art version of the processing of the accounts receivable. 
           [0014]      FIG. 2  is a flow diagram that illustrates one embodiment of the present invention. 
           [0015]      FIG. 3  is a flow diagram that illustrates one embodiment of the present invention. 
       
    
    
       [0016]    While the inventions disclosed herein are susceptible to various modifications and alternative forms, only a few specific embodiments have been shown by way of example in the drawings and are described in detail below. The figures and detailed descriptions of these specific embodiments are not intended to limit the breadth or scope of the inventive concepts or the appended claims in any manner. Rather, the figures and detailed written descriptions are provided to illustrate the inventive concepts to a person of ordinary skill in the art and to enable such person to make and use the inventive concepts. 
       DETAILED DESCRIPTION 
       [0017]    One or more illustrative embodiments incorporating the invention disclosed herein are presented below. Not all features of an actual implementation are described or shown in this application for the sake of clarity. It is understood that in the development of an actual embodiment incorporating the present invention, numerous implementation-specific decisions must be made to achieve the developer&#39;s goals, such as compliance with system-related, business-related, government-related and other constraints, which vary by implementation and from time to time. While a developer&#39;s efforts might be complex and time-consuming, such efforts would be, nevertheless, a routine undertaking for those of ordinary skill the art having benefit of this disclosure. 
         [0018]    The present invention provides for a system and method of its use containing a software component program to interface between the Remote Deposit Access software and database or other databases that transmit an ACH or Cash Letter to the respective bank and information to the Users Accounting System. In this scenario the User is defined as a customer of the bank using the Remote Deposit Access system or other check scanning hardware that transmits an ACH or Cash Letter to the respective bank. 
         [0019]    In order to process a check for accounts receivable purposes one of the following needs to occur. 
       1. The checks are received and processed through a Remote Deposit Access feature which then creates a cash letter that is transferred to the bank. 
     2. The checks are processed through an ACH transaction. 
     3. The checks are processed through any other check scanning hardware that transmits an ACH or Cash Letter. 
       [0020]    As a replacement for the manual data entry that currently occurs, the Program may match the ABA Routing Number and the Checking Account Number stored in the database to the ABA Routing Number and Checking Account Number located in the Customers Account information in the Users Accounting System. 
         [0021]    Once the Program confirms the ABA and Account Number match, the Program will automatically post the check, including amount and check number, to the Customers Account and the Trial Balance, such as Income and Accounts Receivable accounts. The information is then removed from the Program database. 
         [0022]    If the Program cannot confirm the ABA and Account Number, the information remains in the database. The User is required to do one of the following: 
         [0000]    1. Upload the Customer Account information into the database. Once the information is uploaded the User selects the account.
 
2. The User inputs the Customer Account Number, the Customer Name, or any other information recognized by the Program. The Program will match the additional information to the Customers Account information in the Users Accounting System.
 
         [0023]    The check posts to the account, the ABA and Account Number are auto posted to the appropriate fields in the Customer Account Information and the information is removed from the database. 
         [0024]    If the Program cannot confirm the additional information, the information remains in the database. The User is required to perform the existing application. 
         [0025]    In a preferred embodiment, the present invention requires than the Users use a Remote Deposit Access, ACH or any other type of system that transmits an ACH or Cash Letter to the respective bank and stores the information to a database. This embodiment preferably requires that the Users Accounting System must provide a minimum of two fields in the Customer Account Information in order to input the Customers ABA and Checking Account Number. 
         [0026]      FIG. 2  shows this embodiment. As shown, checks are received in Step  20 . The received checks of Step  20  are scanned into the Remote Deposit Access hardware of Step  21 . The receive checks of Step  20  may also be scanned into some other hardware accepted or used by the Depository Institution for ACH and/or the creation of a Cash Letter in Step  22 . 
         [0027]    The scanned checks of Step  21  are created into a Cash Letter in Step  23 . Respectively, the Cash Letter/ACH from Step  22  is transmitted to the bank in Step  24 . The Cash Letter of Step  23  and/or the Cash Letter/ACH of Step  24  are used by the bank to credit funds to the checking account in Step  25 . 
         [0028]    The scanned checks of Step  21  data that is stored in the Remote Deposit Access database or some other database in Step  26 . A program in Step  27  reads this data stored in the database and searches the accounting database. 
         [0029]    The Cash Letter of Step  22  may also be stored as data in some other database in Step  28 . Similarly, the program in Step  27  reads this data stored in the database and searches the accounting database. 
         [0030]    The Program matches the customer American Bankers Association (ABA) number and account number to the information in the database in Step  29 . If this information is verified in Step  30 , the check is posted to the appropriate customer and trial balance accounts in Step  31 . From there, the information is removed from the database in Step  32 . 
         [0031]    If this information is not verified in Step  33 , the information remains in the database in Step  34 . The Program informs the user that it needs more information to attach the check to the customer account in Step  35 . 
         [0032]    At this point three steps may occur. The User inputs the customer account number in Step  36 . The User inputs the customer name in Step  37 . The User inputs any other information to recognize the customer in Step  38 . 
         [0033]    If the User inputs the customer account number in Step  36 , inputs the customer name in Step  37 , or inputs any other information to recognize the customer in Step  38 , the Program matches the additional information to the Customer Account in Step  39 . If this information is verified in Step  40 , the ABA and account number are auto posted to the customer&#39;s account in Step  41 . The check is posted to the appropriate customer and trial balance accounts in Step  31  and removed from the database in Step  32 . 
         [0034]    If the information is not verified in Step  42 , the Customer Account information is uploaded from the accounting database to the database in Step  43 . 
         [0035]    The User views the check and selects the customer from the uploaded data in Step  44 . This check is sent posted as described in Step  31 , removed from the database in Step  32  and the account info is posted as described in Step  41 . 
         [0036]    If the information does not exist in Step  45 , the check is posted to an Unapplied Customer Suspense Account in Step  46 . From this step, an image of the check is saved in an Unapplied Suspense Account folder located on the Users network in Step  47 , the User gets a copy of the check in Step  48 , or the User gets the physical check in Step  49 . 
         [0037]    From the image of the check saved in an Unapplied Suspense Account folder located on the Users network in Step  47 , the User accesses the scanned copy of the check in Step  50 . Then, the User takes the check information and appropriately posts the check to correct customer and trial balance accounts in Step  51 . From this point, the information is manually removed from the database as shown in Step  52 . 
         [0038]    In an alternative embodiment, software component Program to interface between the Remote Deposit Access database or other databases that transmit an ACH or Cash Letter to the respective bank and the Users Accounting System. In this scenario the User is defined as a customer of the bank using the Remote Deposit Access system or other check scanning hardware that transmits an ACH or Cash Letter to the respective bank. 
         [0039]    In order to process a check for accounts receivable purposes, one of the following needs to occur. 
       1. The checks are received and processed through a Remote Deposit Access feature which then creates a cash letter that is transferred to the bank. 
     2. The checks are processed through an ACH transaction. 
     3. The checks are processed through any other check scanning hardware that transmits an ACH or Cash Letter. 
       [0040]    As an alternative for the above, the Program, will upload the Customer Account Information to the database. As the checks are scanned the User selects the Customer Account. The check posts to the account and the information is removed from the database. 
         [0041]    It is preferred that the Users use a Remote Deposit Access, ACH or any other type of system that transmits an ACH or Cash Letter to the respective bank and stores the information to a database. Additionally, it is recommended that the Users Accounting System must provide a minimum of two fields in the Customer Account Information in order to input the Customers ABA and Checking Account Number. 
         [0042]    As illustrated in  FIG. 3 , checks are received in Step  60 . The checks may be scanned into the Remote Deposit Access hardware in Step  61 . Data is stored in the Remote Deposit Access or other database in step  62  and a Cash Letter is transmitted to the bank in Step  63 . 
         [0043]    The checks may be scanned into some other hardware acceptable or used by the Depository Institution for ACH and/or creation of a Cash Letter in Step  64 . The data is stored in some other database on Step  65  and a Cash Letter/ACH is transmitted to the bank in Step  66 . 
         [0044]    When the bank receives the Cash Letter or Cash Letter/ACH from Steps  63  or  66 , respectively, the bank credits finds to a checking account in Step  67 . Next, the Customer Account information and invoices are uploaded to the database in Step  68 . The User views the check and selects the customer from the uploaded data in Step  69 . 
         [0045]    The User selects the invoices to reconcile the check with the customer&#39;s account in Step  70 . The check is posted to the appropriate customer and trial balance accounts in Step  71 . Finally, information is removed from the database in Step  72 . 
         [0046]    The invention has been described in the context of preferred and other embodiments and not every embodiment of the invention has been described. Obvious modifications and alterations to the described embodiments are available to those of ordinary skill in the art. The disclosed and undisclosed embodiments are not intended to limit or restrict the scope or applicability of the invention conceived of by the Applicants, but rather, in conformity with the patent laws, Applicants intends to protect all such modifications and improvements to the full extent that such falls within the scope or range of equivalent of the following claims.