System and method a risk based purchase of goods

US6785661B1 · kind B1 · utility

Assignee

• CITIBANK, N.A. · US

Inventors

• Maria M. Mandler · Wilmette, US
• Ann P. McLaughlin · River Forest, US
• Robert R. Battenfelder · Darien, US
• James E. Rouen · New York, US
• Levi Yitzchak Orbach · Jerusalem, IL
• Carol Benson · Ashland, US
• Marjorie Engber · New York, US
• James E. Nevens · Colleyville, US
• William Joseph Krajewski · Thornton, US
• Carol A. Baldwin Moody · Brooklyn, US
• John P. Figliozzi · McLeansboro, US
• Keith W. Luke · New Canaan, US
• Cornelia Blemings · Newark, US
• Kathleen M. Dixon · Chicago, US

Key dates

• Filing date: Mar 17, 1998
• Grant date: Aug 31, 2004
• Expiry date: Mar 17, 2018

Classification

• Technology area (CPC G): Physics
• CPC primary: G07F17/0014
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

A system and method provides for enabling on-line transactional services among sellers and buyers having no previous relationship with each other. The system includes a financial clearinghouse for receiving a request for goods or services from a buyer and making a real-time determination of a risk classification of the buyer utilizing an on-line repository of credit information. The financial clearinghouse determines a risk-based discount fee as a function of the buyer's risk classification in order to establish a payment amount to the seller from the clearinghouse. If the transaction is authorized by the financial clearinghouse, the financial clearinghouse transmits the payment amount to the seller and transmits an invoice to the buyer for the purchase price of the transaction. The system can also include a broker coupled to the financial clearinghouse for providing an on-line order acceptance and processing capability between the buyers and sellers.