Patent ID: 8095438

Claim:
A method for assigning an interchange rate to a financial transaction using at least one input device in communication with an interchange computer, the interchange computer in communication with an interchange database, the financial transaction initiated by a cardholder using a financial transaction card over an interchange network, the card issued by an issuer bank, said method comprising the steps of: storing issuer data within the interchange database, the issuer data including a plurality of transaction types processed by the interchange computer for the issuer, a bank identification number (BIN) assigned to the financial transaction card, and an interchange rate associated with p the BIN for each of the transaction types, wherein the plurality of transaction types include at least a point-of-sale (POS) transaction type and an automated teller machine (ATM) transaction type; receiving, at the interchange computer, transaction data from the input device, wherein the transaction data includes a first identifier indicating the transaction type initiated by the cardholder, and a second identifier that includes the BIN assigned to the financial transaction card; accessing the interchange database; automatically determining, using the interchange computer, an applicable interchange rate for the transaction by comparing the first identifier and the second identifier to the issuer data stored within the interchange database; and processing the transaction using the applicable interchange rate, wherein the applicable interchange rate is configured to credit the issuer bank when the transaction is the POS transaction type and debit the issuer bank when the transaction is the ATM transaction type.