Method and system for facilitating financial transactions between consumers over the internet

US7177836B1 · kind B1 · utility

Assignee

• FIRST DATA CORPORATION · US

Inventors

• Dan A. German · Woodinville, US
• Dominic Morea · Marietta, US
• Henry T. Tsuei · Omaha, US
• John Duncan · Kendall, US
• Matt F. Golub · Atlanta, US

Key dates

• Filing date: Dec 30, 1999
• Grant date: Feb 13, 2007
• Expiry date: Dec 30, 2019

Classification

• Technology area (CPC G): Physics
• CPC primary: G06Q40/12
• WIPO field: IT methods for management
• WIPO sector: Electrical engineering

Abstract

A method for enabling two individual consumers to complete a transaction that includes payment from one consumer (the payor, or buyer) to another consumer (the payee, or seller). An intermediary typically operates the service over a computer network of nodes, such as the Internet. The buyer has the convenience of paying through a variety of different payment instruments. Likewise, the seller has the convenience of receiving payment through a variety of different disbursement instruments. For a fee, the intermediary collects the payment from the buyer and pays the seller. Although the intermediary may receive payment from the buyer before the intermediary transfers the payment to the seller, the intermediary may choose to pay the seller before receiving payment from the buyer. In this case, the intermediary assumes the risk of nonpayment by the buyer. Alternatively, the intermediary may pay a third party that specializes in processing transactions for the payment instrument chosen by the buyer to assume the risk of nonpayment by the buyer. In this case, the intermediary receives a promise of payment from the third party before the intermediary pays the seller. Such a promise of paym…