Patent ID: 7962409

Claim:
A computer-implemented method for effectuating an electronic payment between a transferor and a transferee using an electronic funds transfer (EFT) network, the transferor having a transferor account at a transferor institution and the transferee having a transferee account at a transferee institution, the method comprising the steps of: receiving an incoming payment request from the transferor at a payment administration processor hosted by a host server at a host institution, the payment request containing payment information including an identification of the transferor institution, the transferor account, the transferee institution, and quantity of funds to be transferred; generating a payment order using a payment application program stored in a memory of the host server, the payment application program executed by the payment administration processor, the processing conducted based on the incoming payment request; storing loyalty program information for the transferor and providing a mechanism for updating the stored loyalty program information-based on the payment information; and sending the payment order over as communication network from the payment administration processor in order to facilitate payment to the transferee institution to enable the transferor institution to credit the transferee account with the quantity of funds, whereby funds are electronically transferred from the transferor institution to the transferee institution.