NZ335926A - Point of sale system allowing consumers to save or donate when a transaction takes place - Google Patents

Abstract

A system (see Figure 1 for structural system, Figures 4 and 5 for system of business operation) and its use for consumer payors to save and donate whenever they use cash at a point of sale terminal (Figure 1, RTI through RTN), write a check, use an ATM machine, or use a credit or debit card. The POS system is a network composed of subscriber/payors, neutral merchant/collectors, a central clearinghouse, and provider accounts. The rounder system is a network composed of subscriber/payors, payees, account managers, and provider services. The systems together provide subscriber/payors with a seamless way to save/donate every time they spend.

Description

335926 NEW ZEALAND PATENTS ACT, 1953 No: Divided out of NZ 307379 Date: Dated 25 April 1996 COMPLETE SPECIFICATION SYSTEM AND ITS METHOD OF USE FOR ACCEPTING FINANCIAL OVERPAYMENTS We, EVERY PENNY COUNTS, INC., of 227 East Bergen Place, Red Bank, New Jersey 07701, United States of America, do hereby declare the invention for which we pray that a patent may be granted to us, and the method by which it is to be performed, to be particularly described in and by the following statement: PCT/CS96/M055 la HELD OF THE INVENTION This invention relates generally to methods and systems for distributing funds. In one aspect it relates to conveniently and frequently donating to qualified charitics ia small amounts, and particularly to an organized collection and recording system. In another aspect it relates to operating an open consumer purchasing system by updating the gift certificate or 10 pre-purchasing concept. In yet another aspect ix involves creating excess funds from traditional consumer spending transactions using cash, checks, credit or debit card. The excess funds created are then put aside in special accounts for future spending, BACKGROUND OF THE INVENTION Present methods and systems of creating excess funds from spending transactions have a number of limitations. For example, now consumers can create excess funds for future spending by making excess payments and having the excess amount assigned for future spending under very limited circumstances. Effectively consumers can tender an excess payment to a payee that they have 20 an existing account with (e.g. utility and gas companies) and allow the excess funds to stay with the payee for the payment of future services or direct the payee to distribute the excess funds onto an outside provider, such as a charity. Under this "closed" process the payee provides an active role as to account management and selection/distribution of the excess funds for internal purposes. 25 as well as to outside providers. Within this current arrangement the consumer has very limited opportunities to create excessive funds, as well as to determine 2 the application of said funds, since the existing state of the art is a "closed" system essentially operated fay payees with whom they have existing account relationship. Also, consumers can now only create excess funds when the face amount paid to a payee is in excess of the purchase price. In addition to the 5 requirement for an excess payment, there is also the need for the payee to process the transaction by subtracting the amount of the purchase price from the amount tendered. Therefore, the payee is now actively involved in managing and/or distributing the consumers' excess funds.

Moreover consumers can now only pre-pay for future purchasing under 10 very limited circumstances. Effectively consumers can tender a pre-payments to a merchant payee that they open an account with or have an existing account •with and allow the pre-dedicated funds to stay with the payee for the payment of future services. Under this "closcd" process the payee provides an activc role as to account management and sclcction/distribution of the pre-paid funds for IS internal purposes only. Within this current arrangement the consumer has very limited opportunities to pre-pay, as well as to choose a different application of said funds, since the existing state of the art is a "closed" system essentially operated by merchant payees with whom they have existing account relationship.

Moreover, in current shopping situations a clerk inputs the price 20 of all items in a cash register and the latter totals the price. The consumer offers either the exact amount of cash or a sum exceeding the price, and the clerk enters that amount. The cash register then subtracts the price from the cash.

The excess cash offers the customer an opportunity to save small 25 amounts of money painlessly. It also affords the consumer to donate small amounts of money to charity. In fact, establishments sometimes display advertisement with receptacles for deposit of small change to be donated to charities. However these systems do not give the consumer an opportunity to save and donate his or her money consistently with respect to a favourite charity and fail to keep adequate records if the amounts grow enough to make it worthwhile to consider the tax implications of the contribution.

SUMMARY OF THE INVENTION In one aspect the present invention may be said to consist in a method of accumulating credits in payor surplus accounts from financial transactions between a payor who is to pay and a payee who is to receive payment, comprising: entering a demanded amount due the payee into a station of a network controlled by the payee; entering an additional amount offered by the payor into a station of a network controlled by the payee; and transmitting data of the additional amount to a separate station forming part of a network controlled by other than the payee, and within the separate station, apportioning the data of at least a part of the additional amount a into one or more of the payor surplus accounts determined by the payor.

In another aspect the present invention may be said to consist in a system for accumulating credits in surplus accounts from financial transactions between payor who is to pay and a payee who is to receive payment, comprising: a network; an entry receiving device in the network for receiving entries of an amount due the payee and an additional amount offered by the payor; and an additional-amount depositing station in the network, containing one of said surplus accounts, and coupled to the entry receiving device for depositing the additional amount in the one of the payor surplus account; said entry device being controlled by entities j35£>26 which include the payee, and said depositing device being controlled by entities other than the payee.

In another aspect the present invention may be said to consist in a system, comprising: a cash register; entry means in the cash register for entering an amount corresponding to a price of a product into the cash register and for entering an amount corresponding to cash being paid; calculating means in the cash register for determining existence of an excess cash payment; card identifier entering means for entering a card identifier, said card identifier identifying one or a plurality of predetermined accounts; apportioning means responsive to said register and said card identifier entering means for apportioning at least a part of the excess cash payment among a number of predetermined accounts identified with said card; and said accounts being identified independent of data in the register.

In another aspect the present invention may be said to consist in an apportionment system, comprising: deducting means for deducting a cost of an item from a payment received to determine an excess; charity storage means for storing the names of a plurality of qualified charities; bank storage means for storing the names of a number of banks; account storage means for storing numbers of client accounts; entry means for entering names of charities and banks so as to define an entered name for each entry of a name; comparison means responsive to each of said storage means for comparing the entered names with the stored names to determine if the entered name matches a stored name; assignment means responsive to said comparison means for assigning a charity or a bank to an account when a client has selected the charity or the bank; recording means for responsive to each of said account storage 33 5 9 2 6 3b means recording money entries into said accounts; and allocating means responsive to said deducting means and said account storage means for registering an allocation of parts of the excess, after deduction of the cost, among the charities and banks entered for that account; each of said storage means, entry means, comparison means, assignment means, and recording means, being independent of said deducting means.

In another aspect the present invention may be said to consist in a point of sale operating method, comprising: entering an amount corresponding to a price of a product into a cash register; entering an amount corresponding to cash being paid: determining any excess payment; entering a card number; transmitting data of the excess payment to a separate station and in said separate station apportioning at least a part of the amounts of excess cash payment to one or more predetermined accounts selected on the basis of the card number and controlled by other than the payee; crediting the excess paid to the selected accounts to the card number.

In another aspect the present invention may be said to consist in a system, comprising: a remote input; entry means in the remote input for entering an amount corresponding to a sum being offered in a transaction; identifier entering means for entering an identifier that identifies a transactor in the transaction; calculating means in the remote input for recording an excess from amounts in the transaction; apportioning means responsive to said remote input and said identifier entering means for apportioning at least a part of the excess to an account selected from a plurality of predetermined accounts on the basis of said identifier; and said accounts being identified independent of data in the remote input.

INTELLECTUAL PROPERTY OFFICE OF N.Z. 1 8 DEC 2000 RECEIVED ■535926 3c In another aspect the present invention may be said to consist in a point of sale operating method comprising: entering an amount corresponding to a price of a product into a remote input; entering an amount corresponding to cash being paid; determining any excess cash payment; entering a card identifier; apportioning at least a part of the excess cash payment among one or more accounts selected from a plurality of predetermined accounts as determined by the card identifier; and crediting the excess paid to the accounts to the card identifier; the predetermined accounts being identified with said card identifier independent of said remote input.

BRIEF DESCRIPTION OF THE DRAWINGS Fig. 1 is a block diagram of a system embodying features of the INTELLECTUAL PROPERTY OFFICE OF N.Z. 1 8 DEC 2000 RECEIVED PCT7US96/06O55 invention.

Figs. 2 and 3 are views of credit cards forming part of die embodiment in Fig. 1.

Figs. 4A &. 4B (generally referred to as Fig. 4) and Figs. 5A. 5B. 5 & 5C (Fie. S> are flow diagram!? of the steps that take place in Fig. 1.

Figs. 6A, 6B. 6C. and 6D (generally referred to as Fig. 6) are (low diagrams of steps that take place in a computer in Fig. 1.

Fig. 7.1 is a block diagram of the system embodying features of the invention.

Fig. 7.2 is a blork diagram of system hardware in Fie. 7.1.

Fig. 7J is a view of an intelligent card forming part of the embodiment in Fig. 7.1.

Fig. 7.4 are flow diagrams of the steps that take place in a computer issuing credits in Fig. 1.

Fig. 7.5 is a flow diagram of steps that take piace in a computer decrementing credits in Fig. 7.1.

Fig. 7.6 is a flow diagram of steps thai take place in a computer determining net value and transferring said value to clearinghouse in Fie. 7.1.

Fig. 7 7 is a flow diagram of steps that take placc in a computer from the 20 central clearinghouse to each neutral payee reporting account settlement ift-Fie. 7. J.

RECTIFIED SHEET (RULE 91) S Fig. is a flow diagram of steps that lake place in the IC computer and a PC that will provide a print out of the activity of the subscriber payor's records in Fig. 7.3.

Fig. S.1A is a block diagram of the POS system embodying features of the 5 invention.

Fig. 8.1B&C are block diagrams of the Clearinghouse Managed System embodying features of the invention.

Fig. 8.1D&.E are block diagrams of the Provider Managed System embodying features of the invention.

Fig. 8. IF is a block diagram of the Data, and Funds Transfer used in both P OS systems embodying features of the invention.

Fie 8.2 is a block diagram of POS system hardware in Fig. 8.1.

Figs S.3are views of transaction cards forming part of the embodiment m Fie. 8.J.

Figs. 8.4A&JB&C&D (Fig. 8.4) are flow diagrams of steps in Fig. SIR Fig, 8.5A&B (generally referred to as Fig. 8.5) are How diagrams of steps chat take place in a computer in Fig. 8.1C.

Fia S 6A&B&C (generally Fig. 8.6> are flow diagrams of enrollment steps that take place in a computer in Fig 8 1B&C.

Fig. S.7 is a biock diagram of the rounder system embodying fracures of the invention.

RECTIFIED SHEET {RULE WO 96/J4358 PCTrtJS%/0«)55 6 Fig. 8.8 is a flow chart of the steps that take place to enroll subscriber s in the rounder system shown in Fig. 8.7.

Fig. 8.9A-E is a Sow chart of the data processing methodology used in the terminals and central computers operated by banks to process rounder 5 transactions in Fig. 8.7 A&B.

Fig. 8.10A-E is a flow chart of the data processing methodology used in the terminals and central computers operated by banks and credit institutions to process rounder transactions in Fig. 8.7A&B.

DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS In Fig. 1, a system embodying the invention includes a central computer CC containing a central processor CPU and a targe data storage DS. A communications system CS that may include telephone lines, satellites, or cables connects the central computer CC to q number of cash registers CRx (where x = 1, ... M, ... N) in retail outlets, such as shops, supermarkets, IS gasoline stations, department stores, etc. af location* remote from the central computer. Throughout this specification, the term x, when appended to the end of a reference character, is equal to 1,... M,... N.

The cash registers CRx connect to respective keypads KPx and card readers CDx. Each cash register CR. keypad KPx, and card reader CDx 20 connected to each other represents a remote terminal RTx. For each cash register CRx there is a sponsor terminal STx that connects to the register and the centra) computer CC. Money is collected at the cash registers CRx for crediting to the consumers' ledgers in the accounts of various charities and other institutions such as banks, debit card issuers, credit card issuers, etc. The data 2 5 storage DS contains individual sioragei for charily accounts CA and other accounts OA, such as for banks etc.. ail with ledgers for individual consumers.

W09C/34358 PCT/USW/06055 7 The communications system CS also connects the central computer CC to charity computers CHy and other computer OCz, where y - l...k, and z = l...j such as bank computers BKx and various charities such as debit account holders, credit card issuers, etc. These charities and other institutions are the ultimate 5 receivers of the donations and deposits moneys collected at the cash registers CRx. The computer CC also includes a default account DA with consumer ledgers to hold moneys not otherwise allocated.

The cash register CRx includes a change display for exhibiting cash transactions, credit cards, or check purchases. The display automatically operates 10 to show numbers in question. A card reader CDx with a keypad KPx allows the donor or clerk to enter the donation directly. The keypad KPx permits the donor to change the allocation for this transaction alone of permanently. The keypad KPx also allows the donor to reduce the amount donated so that he can receive cash change. The terminal RTx reports the donation directly to the 15 central computer CC via the communication system CS. The central computer CC prints out periodic reports for interested parties on a need-to-know basis.

According to the invention, a consumer in a shop, supermarket, gasoline station, department store, etc. selects the desired merchandise and bring 20 them to a clerk. The clerk inputs the price of all items in a cash register CRx by way of a register keyboard or a bar code reader and the register totals the price. The consumer then offers the clerk either the exact amount of cash or a sum exceeding the price, and the clerk enters that cash and the amount into the cash register. The cash register CRx then subtracts the price frnm the cash.

If the consumer gives the clerk the exact price nothing more need happen. However, if the money offered the clerk exceeds the price, the consumer may, if be or she wishes, choose to receive the change or to donate or save all or a portion of the change. Tu do the tatter, he or she enters a donor card number into the keypad KPx or enters the donor card itself into the card WO 96/34358 PCT/US96A)6055 6 reader CDx. The loner reads the number from a bar code or magnetic stripe on the card. The consumer can also enler into the keypad the bow much of the total change he or she is to receive should be credited to various predetermined accounts in the central computer CC. The register CRx reads the numbers 5 entered into the keyboard or the number entered by way of the card reader CDx.

A donor card DC1 according to the invention appears in Fig. 2 with a magnetic stripe MS carrying the donor's number. A card DC2 in Fig. 3 includes the number in the form of a bar code BA.

After receiving the data, the register CRx accesses the central 10 computer CC. The latter allocates the change, or portion of the change selected by die consumer, among various charity accounts CA and other accounts OA in the computer CC according to the preprogrammed commands which the consumer has previously entered into the central computer. The ennsumer receives a printout of all donor transactions as well as the just-completed 15 commercial transaction.

If desired, the consumer can choose to donate only a fraction of the difference between the cash presented and the price. The consumer then enters the amount to be donated and receives the appropriate cash change.

According to an embodiment of the invention, with every 20 transaction, the computer CC electronically transfers ail amounts allocated to each charity CH, immediately or as soon as the computer can access the charity computer, fn this way the donor is always assured that the contribution takes effect immediately. Deposits in the other accnunLs OA may he sent immediately or held with a sufficient amount is accumulated in be acceptable by other 25 institutions.

PCmJS9«fl6055 9 An example of ihe operation of a cash register CRx, keypad KPx, and card reader CDx appears in the flow chart of Figs. 4 and 5. Here, it is assumed that the customer is purchasing merchandise that may cany bar codes. However, the invention is also applicable for purchase of services, rentals, or 5 other valuables.

In step 104 of Fig. 4, the derk enters the prices of the various pieces of merchandise, either by way of a keyboard (oot shown) or a bar code reader BCRx, into the cash register CRx. In step 307. the cash register determines the total price. The customer then gives the clerk the cash to cover 10 or exceed the total price. While this example refers to cash, the invention is also applicable to payment by credit card. That is, the customer may wish to have an amount charged to the credit card in excess of the price in order to make dooations or distributions according to the invention. For purposes of this description the word cash is used also to embrace credit C'^rd payments.

In step 110, the clerk then enters the amount of the cash payment into the cash register. Under normal circumstances, the cash payment will equal or exceed the total price. However, the invention allows the donor to withdraw moneys from a credit balance in one of the accounts recorded in the central computer CC. While unlikely, this may also occur with a credit card sale. Thus, 20 in some situations, the amount of cash may fall short of the total price. In step 114 the cash register determines in the amount of cash exceeds the total price.

If the answer is yes, the cash exceeds the sale price, the register CRx determines the amount of change by subtracting the price from the cash in step 117. If the answer is no, the cash does not exceed the sale price the register 25 determines the amount due in step 120. In step 124. the cash register CRx asks whether the customer has and wishes to use a donor card. The clerk or customer may respond by keyboard, or directly by entering the donor card into the card reader CDx.

PCT/CIS96/06055 If the customer does not have or does not wish to use a donor card in response to step 124, the cash register CRx prints the transaction in step 127 and .in step 130, prompts the clerk to make change or collect more cash. If the customer does oot offer any needed cash the clerk must abort or otherwise 5 correct the transaction.

If the customer wishes to use a donor card, the clerk may enters this information into the register's keyboard, or the customer may enter the card into the card reader CDx. In step 134, the register communicates with the central computer, and the two read the donor card. In step 337, the computer 10 CC determines whether the card is valid. If not, the register CRx returns to step 127.

If die card is valid, the cash register CRx again asks if the cash offered exceeds the total price in step 140. If not, in step 144, the computer CC and the cash register CRx prompts the cash register CRx display DI to ask if the 15 cash register should debit the deficient amount from one of the donor cardholder's accounts. If not, the process returns to step 127.

If the answer to step 144 is yes, the computer CC, in step 145, asks the customer to enter his or ber personal identification (PIN) number. In step 146. the computer CC determines if the PIN number matches the card number. 20 If not the computer returns to step 127. If yes, it determines if the card contains a suftlcient balance to cover the amount due. If not. the process again returns to step 127. If yes, in step 150, the computer withdraws the money from the donor account and credits it to the account of the establishment or the sponsor SPx as pre-programmed. In step 150, the cash register CRx also prints out the 2 5 transaction.

If the answer to step 140, namely to ihe question whether there is more cash than the price, is yes, step 154 causes the cash register CRx fn display WO 96/34J58 PCT/TJS96/06G55 11 a message asking whether the customer wishes to retain some of the change due. If yes, the cash register CRx and the computer CC prompt the customer to enter in the keypad KPx how much he or she wish to retain or donate. In step 154, the cash register CRx indicates to the clerk to give the appropriate net change S and shows the net donor amount The process now goes to A in Fig. 5. If the answer to step 154 is no, the process also continues at point A in Fig. 5.

At A, step 204, in Fig. 5, the computer CC searches the records to find the pre-programmed payout amounts for the particular donor card. The io payout amounts are entered as shown in Fig. 6. In step 207 of Fig. 5, the computer CC starts apportioning the payout amounts in the pre-programmed proportions or priorities and amounts. In steps 210 to 227 it enters the selected amounts in the accounts of various charities, banks, deh't card, and vouchers. Normally there should be no remaining amount. However such an amount may 15 exist. Thus in stp 230 the computer CC asks if there remains any outstanding amount, if yes, step 234 enters it into a default account selected by the donor at an earlier time. In step 237, the computer CC updates the accounts both in its own data banks and in the computers CHy and OTz. The computers CHv, and OTz confirm the transactions.

In a preferred embodiment, the computer CC transfers and credits charity donations to a charity account or to the charities CHy with each transaction. Hence the donation takes effect with each transaction.

If the answer to step 230 is no, there are outstanding amounts, the process goes to step 237 directly. In step 240, the cash register CRx prints out 25 the amounts donated, entered into various accounts, the prices, the change, etc.

The computer CC and the cash register CRx then prompt the VCTJVS96M0SS 12 customer to ask if he or she wishes to change the programming of the various donations in the computer CC If yes, the card reader CDx displays the apportionment and the amounts, including balances in step 247, the consumer then enters the desired changes in step 250, and the computer CC makes the 5 changes in step 254. This ends the transaction in step 257. If the answer to step 244 is no, the process goes directly to step 257.

In one embodiment of tbe invention, the consumer carries out steps 244 to 254 at a separate time in a separate card readei CDx and keypad KPx. This prevents the consumer from using these machines while the cierk 10 serves another customer. In fact, the establishment may furnish a separate terminal RTx just for this purpose.

Fig. 6 is a flow chart which illustrates the steps which the computer CC takes, through the keypad KPx, to open or revise donor account or credit account data in a new or existing card account. A display DSx on the keypad 15 KPx or the cash register CRx allows the computer CC to ask the consumer to perform certain acts. After the party has accessed the computer CC the computer, in step 304, asks whether the consumer has a donor card. If not, in step 307, the computer CC asks the consumer to enter his or her name or address. In step 308, the computer CC determines if all information has been 20 entered. If not, it returns to step 307 to ask again for the desired information. If yes, the computer CC proceeds to step 310 to ask the consumer to choose a personal identification (PIN) number. In step 314, the computer determines if the PIN number is acceptable. If not it returns to step 310 for another number. If yes, the computer advances to step 317 to assign a new card number.

If the answer in step 304 yes, that the consumer has a card, the computer CC proceeds to step 320 to have the customer enter the card. In step 324, it asks the consumer to enter his or her preselected PIN number. In step 327 it determines whether the entered PIN number matches the preselected PIN PCT/US9drtk»055 13 number. If not, it returns to step 324 for a corrected number. The computer allows this procedure between steps 324 and 327 recur only three times, thereafter it aborts the program.

If Hie PIN number is correct and thereby qualified, the computer 5 CC in step 330 lists all existing donees and amounts donated during any specific time period, such as the calendar year. The consumer may request any time period. In step 334, it also lists all credit accounts with balances. In step 337 it asks the consumer to list all donee accounts to be eliminated, if any. In step 340 it asks the consumer to list all credit accounts to be eliminated if any. The 10 computer then proceeds to step 344. Step 344 also receives a prompt from stem 317 if the card number is new.

Id step 344, the computer asks the consumer to enter any new donee account or credit account. In step 347, it determines if the donee, in the form of a charity, or credit institution, is in the list of charities or institutions that 15 have been accepted by the system. If the answer is no, the computer, in step 348 asks if the consumer wishes to have a temporary account set up for that donee or credit institution pending investigation. If yes to step 348, the computer, in step 349, sets up a temporary account, and lists it as qualified pending investigation. If the answer to 348 is no, the computer CC goes back to step 347.

Once the computer CC has qualified a donee or credit institution, it goes to step 350 to ask if this is the last donee account or credit account the consumer wishes to add. If not the process goes back to step 344. If yes, the computer cancels all prior allocations in step 354 anti, in step 357, sequentially lists all remaining and new donee account and credit accounts showing the old 25 allocations where applicable. In step 36ft, it asks the consumer to enter a new percentage allocation for each account. As a check, in step 364, the computer PCT/US96/0<H>SS 14 asks if the total percentages exceed 100%. If yes, it returns to step 360 for a new entry. If not. it proceeds to step 367 to ask if this is the last account. If not it goes to step 370 to ask the consumer to go to the next account and returns to step 360. If yes, the computer CC goes to step 374 where it asks if the total 5 percentage is 100%. If not, the computer CC places the remaining percentage in a consumer's personal default account asks the consumer to select an account and change to allocations in step 377. The computer, in step 380, ends the process and has the keypad prim out the results.

According to an embodiment of the invention, the computer CC 10 demands a PIN number each time the card is used. In another embodiment, the computer may permit others to donate in behalf of the card owner, such as a parent contributing for a child. In that ease step 124 permits entry only of the card number without the card.

In some instances, when the amount of cash is less than the price, 15 the sales establishment or customer may want to abort the sale. Then, at step 117, the cash register CRx asks whether to abort. If yes, the process must start again at step 104.

The invention contrasts with present day situations in which a clerk inputs the price of all items in the cash register and the iattcr totals the price. 20 The consumer offers either the exact amount of cash or a sum exceeding the price, and the clerk enters that amount. The cash register then subtracts the price from the cash.

According to the invention, the clerk also inputs the price of all items in the cash register and the latter tow's the price. The consumer still 25 offers either the exact amount of cash or a sum exceeding the price, and the clerk enters that amount. The cash register then subtracts the price from the cash. However, then the consumer enters the dunor card number with its bar PCT/U59fi/iWi055 code or magnetic stripe. The register then contacts the remote processing unit and the latter allocates the change according to the preprogrammed commands which the consumer has previously entered. The consumer receives a printout of all donor transactions as well as the just-completed commercial transaction.

If desired, the consumer can choose to donate only a fraction of the difference between the cash presented and the pricc. The consumer then enters the amount io be donated and receives the appropriate cash change.

Prior to listing in the central processor, the invention qualifies each charity for their tax exempt status, operations, management activities, litigation, and other pertinent legal and financial information. The charity must certify to the facts. If the reported information meets the requirement, the charity qualifies. The computer initiates a checking and updating of the qualification facts on a regular basis. The central processor the keeps the qualified charities on an ongoing basis.

The register furnishes the donor a printed receipt of each donor transaction for tax purposes and authentication that the charity will receive the money. The receipt shows the serial number, amount donated, date, total donated by the donor, and the current financial results of any specific campaigns or project received by the charity overall.

One embodiment of the invention furnishes other Tewards to the donor. For example, the terminal may play a tune, such as "It's a Small World" in response to donation to the United Nations children's fund. Alternatively the donor may receive a message that the last ten cent donation has closed another St00 units in donations to this charity and provide a special discount coupon.

As another example the donor may receive a message that the donor's contribution is being matched by a sponsor with a bonus donation.

W09£/J4358 PCT/U59&I06055 16 The invention supervises, implement, and coordinates charitable contributions to benefit ail participants in the giving cycle, including the donors, sponsors, charitable organizations. Internal Revenue Service, and end recipients. It allows remote receiving and sending stations, connected to a central processing 5 station, to accept any denomination of giving from a single penny to unlimited dollars. Regardless of the size of the donation, it effectively warrants that all participants that the designated charity has received the donated funds. It thus supports the authenticity of each donation. It can offer unlimited access to the donors concerning their contributions to charities and savings accounts, the 10 intended use of the funds, and feedback concerning the total received by the funds.

The invention effectively leverages the power of mere pennies into substantial dollars chat in turn become available to charities on a shon term collection basis. It rewards and encourages philanthropic giving and savings to 15 all individuals on an every day basis.

The present application relates to improved methods and systems to operate an open consumer purchasing system using a network composed of consumer payors using an intelligent card, neutral merchants receiving and issuing open purchasing credits, neutral merchants providing selective 2 0 clearinghouse functions and transferring net open purchasing credits, to a central clearinghouse that only manages a singular pool of purchasing credits and does not sell purchasing credits to consumers nor manage consumers' accounts. By consumers being able to buy open purchasing credits in advance from a variety of participating neutral merchants, consumers will then have convenience in 25 setting aside money and the flexibility of using the credits in a variety of merchant circumstances.

In Fig. 7.1. an "open" network embodies a three leve! purchasing system PCT/CS96/060S5 17 comprised of Level 1 CP (consumcr/payors), Level 2 MP (multiple neutral merchant payees) who will in 2A initialize intelligent cards and in 2B sell purchasing credits in the form of electronic purchasing credits on the intelligent cards (IC). The MP's point of sale terminals equipped with EEPROM 5 programming abilities will write the purchasing credits on the IC. In Level 2C the MP decrements electronic purchasing credits in exchange for merchandise or services sold to the CP. The MP's terminal will then use the EEPROM software capabilities in their POS terminals to update the IC balance. In Level 2C the MP's POS terminal will balance the net difference in electronic purchasing credits and debits stored in memory over the day's transactions and report only the net value to Level 3, the central clearinghouse (CC1). The CC1 manages a singular pool of purchasing credits and accepts and distributes funds to MP's according to the reporting of cach respective neutral MPs terminal net value.

In Fig. 7.2, a system embodying the invention includes a clearinghouse central computer (CCl) containing a central processor CPU and a large data storage DS. A communications system CS that may include telephone lines, satellites, or cables connects the CCl to a number of ICRx readers in POS terminals, personal computers, electronic cash registers (ECRx) (where x = 1.

... M,... N") referred to as RTx remote terminals (RT) found in retail shops, supermarkets, gasoline stations, department stores, vending machines, highway toll booths, health clinics, pay telephones, etc. at locations remote from the central computer. Throughout this specification, the term x. when appended to the end of 3 reference character, is equal to 1, . .. M,. .. N.

The RTx are connected in respective keypads KPx and along with other components together they constitute a remote terminal that is conncctcd to the CCl.

The RTx in the embodiment of a ECRx includes a change display for WO 9&343S8 PCT/lIS«i/0f.ftS5 18 exhibiting cash transactions, credit cards, or check purchases. The display automatically operates to show numbers in question. A card reader ICRx with a keypad KPx allows the CP or clerk to enter the amount of funds deposited or decremented directly. The keypad KPx permits the CP to change the allocation 5 for this transaction alone or permanently. The keypad KPx also allows the CP to reduce the amount deposited or decremented so that the CP can receive cash change. The RTx or ECRx reports the total net value of the deposits and decrements directly to the CCl via the communication system CS. The CCl prints out periodic reports for interested parties on a need-to-know basis.

According to the invention, a consumer in a shop, supermarket, gasoline station, department store, etc. purchases a generic IC and makes a deposit with the neutral merchant. The MP's ECR uses the ICR to write on to the IC the amount of purchasing credits deposited into the network. Hie actual funds received by the MP will be later forwarded to the CCl after the ne; value of the 15 day's network receipts are determined by the RTx.

After the consumer has put electronic purchasing credits on their IC the y may then pay for their purchases using the IC in a decrementing fashion. This is accomplished by the CP inserting the IC into the ICR connected to the ECR that will take oft electronic purchasing credits as payment and re-write the JC 20 reflecting the new balance. l"he IC card according to the invention appears in Fig. 7.3. In another use of the invention the IC technology may be incorporated in the design of a car windshield or car window to allow the invention to be accessed under a variety-circumstances. i.e.. drive through window, toll booth, etc.

In step 7100 of Fig. 7.4, the terminal is activated and scrolling.

In step 7102 IC is inserted into the terminal and the terminal asks is this WO 96/34J58 PCT/US96A16055 19 a valid card? If (be answer is no, in step 7104 the card is initialed and goes to step 7106.

If the answer is yes. in step 7106 the clerk enters the amount of funds t hat 5 will be deposited onto the IC and the computer chip in the IC updates the card balance with purchasing credits.

In step 7108 the remote terminal asks the IC if there are any processing fees due? If the answer is no, in step 7112 the ICs balance remains as programmed 10 and the terminal records in memory the deposited amount and computes balance.

If the answer is yes, in step 7110 the RT decrements any processing fees from the balance on the iC and goes to step 7112.

In step 7114 the depositing transaction is printed out and displayed.

In step 7116 tbe amount of funds accepted into the system and the fees deducted are recorded in the terminal's memory and the net balance of purchasing credits issued and fees paid are updated.

In step 71 IS the proccss ends and the computer goes back to step 7100.

In step 7200 of Fig. 7.5, the terminal is activated and scrolling.

In step 7202 the clerk enters the total purchase price due the payee.

In step 7204 the payor provides the IC to be decremented for payment.

In step 7206 the computer asks if there is sufficieot electronic purchasing credits to cover the charges? If no to step 7206, the terminal returns to step 7200.

If yes, in step 7208 the RT decrements the exact amount and the IC reflects the new balance on the IC.

In step 7210 the amount of purchasing credits deducted from the IC are recorded in the terminal's memory and the net balance of credits due the payee are updated.

In step 7212 the terminal displays and prints receipt.

In step 7214 the transaction ends and the terminal returns to step 7200.

In step 7300 in Fig. 7.6, upon command from the CCl the terminal searches for the net value between the issuing of purchasing credits onto the ICx and the decrementing of purchasing credits into the terminal by searching tor the is last system balancing entry, step 7136 or step 7230, and se»d.% only the caJculated net value omo the central clearinghouse operated in Level 3.

In step 7400 in Fig. 7.7, the central computer located at Level 3 enters in to memory the reporting of each payee's terminal net value.

In step 7402 in the CCl. the terminals that have issued more purchasing 20 credits onto ICx then they have received from ICx sends funds to the CCl as payment for the purchasing credits issued.

PCT/11596/06055 21 In step 7404 in the CCl, the terminals that hove received more purchasing credits from ICx then they have issued umo ICx receives funds from the CCl as payment for the sale of goods and services.

In step 7406 the CCl records its final daily balance and prints out report s.

In step 7500 in Fig. 7.8, the IC is inserted into a PC so that activity recorded on the IC can be analyzed and printed out per the software used in the PC.

The invention provides an open network for neutral merchants and 10 consumers that works with the fewest number of computer account entries and yet provides the most available privacy for the consumer payors and the neutral merchant payees. The consumers can maintain their anonymity. The merchants can maintain control of their proprietary information on sales since they only report net figures to the central clearinghouse versus reporting ail of their sales is figures.

Figs. 8.1 A to 8.10E illustrate several embodiments including: (1.) In Fig. 8.1 A, an "open" POS network embodies a four level spending /saving system comprised of Level I SP (multiple subscriber/payors), who tender excess payments or deposit excess funds to Level 2 MC (multiple 20 merchant/collectors), who in turn make computer entry of data and funds for electronic transfer to Level 3 CCC (a singular managed clearinghouse central computer), who in turn transfers data and funds to Level 4 (multiple provider accounts), for the final purchase of products or services.

In Fig. 8.1 A the excess funds are created at point of sale counters (POS) 2 5 by the merchant/ collectors (MC) who "front end" process the subscriber/payor PCT/USM/06055 22 (SP) spending transactions tu determine the excess difference between the purchase price of goods or services and the amount of payment rendered.

After the amount of excess funds is determined by die MC's electronic ca sh register (ECR), the SP makes a deposit into a clearinghouse central computer 5 (CCC) by providing a transaction card or an account r.umber to the MC. The MC then swipes the card or enters the account number through an ECR or a draft capture remote terminal to record the time, the terminal location, the amount of funds entered, and the account number used. The terminal or cash register then prints out a receipt of the depositing transaction and the MC 10 returns the card and the receipt to the SP.

The depositing of individual transactions into the MC remote terminal ca n be completed in an "off-line" or "on-line" or a combination of both modes. At the completion of a specified period or amount, e.g. day, week, $50.00, the total off line transaction file stored in the MC terminal is then batched "on line" to the 15 CCC (clearinghouse's central computer). The ability to process individual depositing transactions in an off line mode is made possible due to the fact that the system does not require on line authorization, as in credit and debit card processing.

Each terminal location follows the same reporting procedure so that the 20 CCC will have a record of all transactions made into the system, regardless of the location of the terminals. "Hie files transferred to the CCC contain delails of each deposited transaction by the identification of the account, the amount of the deposit, the date, and the terminal that accepted the deposit. The actual transfer of cash into the system starts when the MC deposit the cash received from the 25 SP into their bank for EFT transfer to the clearinghouse's bank account and concludes with the CCC EFT transferring funds to each listed PC (provider account) per the transaction records received from the merchant terminals. The transfer of cash from one account to the next is accomplished by the usual and WO 96/34358 PCI7US96/06055 23 customary bank EFT transferring through thz ACH (Automatic Clearing House) or via EDI (Electronic Data Interchange).

Effectively, the system allows each SP the ability to make multiple deposits, in varied cross country locations, into terminals operated by unrelated 5 parties, depositing as little as a penny io any one transaction, and often on a 24 hour demand basis.

The MC that operate the ECR terminals are at the time of depositing both neutral and passive as to the selection of the consumer's provider(s), as well as not directing the distribution of funds to the consumer's provider(s). Only in this system are SP able to deposit their excess change created when dealing with multiple and diverse payees. The money is deposited into an "open" network that will pool and then transfer the once fragmented funds onto PA selected by the SP. In this system as compared to the existing state of art. the PA who will receive the deposited funds from the network need not also be the original collector of the deposits. Therefore, we have a "open* system that allows for a mix and match of diverse collectors and providers.

Under the system it is possible for one entity to provide both a collect or and provider role, but under different and autonomous points in the network cycle. For example. Sears may enroil a subscriber consumer in a Sears store 20 account allowing the consumer to use their Sears issued mag stripe card to identify them when they deposit excess change into any merchant/collector terminal. In this capacity Sears is piaying the role of a distinct provider in the network. The card may then be used to deposit excess funds at fast food restaurants, convenience stores, other department stores, etc. Also the SP could 25 go into any Sears store and deposit excess funds into a Scars terminal for transfer to the network. On these occasions Sears would be playing a distinct role as a participating MC, within the network, and follow the same procedures as any other MC. as well as also being a PA at the end of the network chain.

PCTYUS96/O6055 24 In Figs, 8.1B&C, the Clearinghouse Managed System (CMS) starts with Level 1, the subscribcr/payors, tendering an excess financial payment to I .eveI 2, merchant/collectors. They in turn enter the amount of the excess payment into an electronic cash register/remote terminals which then sends the funds and data 5 on-line per transaction, or along with other deposits hi a batched format, by a communication system to Level 3, clearinghouse central computer. Level 3 assigns the funds to an account previously opened by Level 1 SP through services provided by Level 3. The funds are then forwarded, when they reach pre-seiected thresholds, by EDI (Electronic Data Interface) transfer to Level 4, the provider 10 accounts, selected by Level 1 SP.

The Clearinghouse Managed System (CMS), has the network providing a more active role by the system's central computer enrolling the SP in accounts and then assuming the role of an account manager. Under this arrangement the network will direct the overall operation of the system, issue transaction cards 15 (bar code, mag stripe and/or "smart" cards or devices), operate the system's central computer, provide both on-line and ufT-Iine communications between the POS terminals and the central computer, accept funds, assume fiscal responsibility for the SP funds on deposit, maintain ait account records, provide ail outside payments to parties selected by the SP, and even allow the SP the 20 ability to access their accounts for the purpose of receiving credit at the time of POS purchase to pay the MC. Under the CMS, in addition to the network serving as an account manager, it will also appoint banks, credit card institutions, and merchant/collectors to assume additional fiduciary responsibilities.

In Figs. 8.1D&.E, the Provider Managed System (PMS) starts with Level 25 1. the subscriber/payors. tendering an excess financial payment to Level 2, merchant/collectors. They in turn enter the amount of the excess payment into an elections cash register/remote terminals which then preferably send the funds and data, along with other deposits in a batched format, by a communication system to Level 3. clearinghouse central computer. Level 3 then WO 9W34J58 PCT/US9<!/fl605S segregates the transactions per provider accounts. The data and funds are then forwarded, when they reach pre-selected thresholds, by EDI (Electronic Data Interface) transfer to the Level 4 providers for account management and final distribution. Level 1 SP initially joio the network by enrolling in accounts with 5 Level ♦ providers.

The Provider Managed System (PMS), is an "open" system that creates a network whereupon SP will directly enroll in accounts managed by PA, receive mag stripe cards issued by the PA. and deposit their excess change at POS locations to be transferred by the MC to a neutral network clearinghouse (CCC). 10 Under the PMS, the CCC will accept and process the transaction data and funds and forward both to the PA according to the card identification. The PA will then manage the accounts per the SP instructions.

In the PMS scenario both the merchant/clearinghouse are passive as to the opening of accounts and the SP selections of the final distribution of the funds. 15 Here both the payees and the clearinghouse only accept deposits and transfer both the cash and transaction records onto the end PA Also under the PMS embodiment, once the funds are received by the PA, who can be banks, insurance companies, security firms, merchandisers, travel agencies, charitable institutions, etc., the SP will determine how to spend the 20 savings for services and/or products.

In Fig. 8.IF, ia both the Clearinghouse Managed System or Provider Managed System the data transfer is sent via a proprietary network from Level 2 MC to Level 3. After processing by Level 3 selected data is sent via a proprietary network to Level 4. On the funds transfer side Ixvel 1 deposits the 25 funds at Level 2 outlets. Level 2 deposits the funds into the MC's bank account and by EDI the funds are traasferred to Level 3's bank account for final EDI to Level 4's bank account.

PCT/DS96/06«53 26 In Fig. 8.2, a system embodying the POS invention includes a clearinghouse central computer (CCC) containing a central processor CPU and a large data storage DS. A communications system CS that may include telephone lines, satellites, or cables connects the CCC to a number of electronic 5 cash registers (ECRx) (where x ~ 1, ... M, ... N") in retail outlets, such as shops, supermarkets, gasoline stations, department stores, etc. at locations remote from the central computer. Throughout this specification, the term x, when appended to the end of a reference character, is equal to 1,... M,... K, The ECRx cash registers are connected to respective keypads KPx and 10 card readers CDx. Along with other components together they constitute a remote terminal RT that is connected to a variety of central computers.

In the CMS embodiment of the invention accounts are managed in the CCC. Money is collected at the ECRx for crediting to the consumers' ledgers in the accounts of various charities and other institutions such as banks, debit card 15 issuers, credit card issuers, etc. The data storage DS contains individual storage for charity accounts CA and other accounts OA, such as for banks etc., all with ledgers for individual consumers.

In the PMS embodiment of the invention the CCC acts as a clearinghouse a nd transfers all data and funds onto the respective PA for account management 20 and final distribution.

The CCC communications system CS also connects the CCC to charity computers CHy and nther computer OCz, where y « l...k, and z = l...j such as bank computers, merchandise computers, debit account holders, credit card issuers, etc. These charities and other institutions are the ultimate receivers of 25 the donations and deposits collected at the electronic cash registers ECRx. The CCC also includes a default account DA with consumer ledgers to hold moneys not otherwise allocated.

WOW/34358 PCT/l5S96rtM05S 27 The ECRx includes a change display for exhibiting cash transactions, credit cards, or check purchases. The display automatically operates to show numbers in question. A card reader CDx with a keypad KPx allows tbe SP or clerk to enter tbe deposit directly. The keypad KPx permits the SP to change the 5 allocation for this transaction alone or permanently. The keypad KPx also allows the SP to reduce the amount deposited so that he can receive cash change. The terminal RTx or ECRx reports the deposit directly to the CCC via the communication system CS. The CCC prints out periodic reports for interested parties on a need-to-know basis.

According to the invention, a consumer in a shop, supermarket, gasoline station, department store, etc. selects tbe desired merchandise and brings them to a clerk. The clerk inputs the price of all items in a ECRx by way of a register keyboard or a bar code reader and the register totals the price. The consumer offers the clerk cither the exact amount of cash or a sum exceeding the price. 15 Then the clerk enters thai cash and the amount into the cash register. The ECR subtracts the price from the cash.

If the consumer gives tbe clerk tiie exact price nothing more need happen . However, if the money offered the clerk exceed"; the price, the consumer may. if he or she wishes, choose to receive the change or to donate or deposit all or 20 a portion of the change. To do the latter, he or she enters a card number into the keypad KPx or enters the card itself into the card reader CDx. The latter reads the number from a bar code or magnetic stripe on the card. The consumer can also enter into the keypad how much of the total change, he or she is to receive, should be credited to various predetermined accounts in tbe CCC. The 2S register ECRx reads the numbers entered into the keyboard or the number entered by way of the card reader CDx.

In addition if SP wish to make a direct deposit of funds into the network, (rather than make a purchase and tender excess funds), all that is necessary is PCT/CS96.K60S5 26 to enter the amount deposited into tbe ECRx and the funds will be transferred to the CCC.

A transaction card DCl according to tbe invention appears in Fig. 8.3 with a magnetic stripe MS carrying the donor's number. A card DC2 in Fig. 8.3 5 includes the number in the form of a bar code BC In another embodiment of the invention the card may be a smart card. Also in regard to the use of bar codes, the codes may be incorporated in the design of a key chain device or displayed on windshields or car windows to allow the invention to be accessed under a variety circumstances, i.e., drive through window, toll booth, etc.

After receiving the data, the ECR acccsses the CCC The latter allocates the change, a portion of the change, or the amount of a direct deposit provided by the SP among various charity accounts CA and other accounts OA in the CCC. The distributions to various accounts are preprogrammed commands which the consumer has previously instructed the CCC to complete. For each deposit 15 or donation made, the SP receives a printed receipt of the transaction from the ECRx or RTx. ff desired, the consumer can choose to deposit only a fraction of the difference between the cash presented and the price. The consumer then enters the amount to be deposited and receives the appropriate cash change.

According to an embodiment of the invention, with every transaction, the computer electronically transfers all amounts allocated to each charity CHy immediately, as sown as the computer can access the charity computer, or when there is a sufficient amount of money. In this way the donor is always assured that the contribution takes effect Deposits in the other accounts OA may be sent 25 immediately or held until a sufficient amount is accumulated to be acceptable by the other institutions.

PCT/BS96/06IKS 29 An example of the operation uf the CMS embodiment appears in the flow ch art of Figs. 8.4A&B. This flow chart depicts an on-line version of the CMS embodiment. The CMS, however, could also be operated in an off-line mode and the transactions that are processed by Level 2 MC would then be stored in 5 memory and transferred in a batched format 10 Level 3 CCC at periodic intervals. In Fig. 8.4A&B it is assumed that the customer is purchasing merchandise that may carry bar codes. However, the invention is also applicable for purchase of services, rentals, or other valuables.

In step 8104 of Fig. 8.4A, tbe clerk enters the prices of the various piece 10 s of merchandise, either by way of a keyboard (not shown) or a bar code reader BCRx, into the cash register ECR. In step 8107, the cash register determines the tola! price. The customer then gives the clerk the cash to cover or exceed the total price. While this example refers to cash, the invention is also applicable to payment by check, credit or debit card. That is, tbe customer may wish to have 15 an amount charged to tbe checking account, credit or debit card in excess of the price in order to make donations or distributions according to the invention. For purposes of this description tbe word cash is used also to embrace check, credit or debit card payments.

In step 8110, the cierk then enters the amount, of the cash payment into 20 t he ECRx. Under normal circumstances, the cash payment will equal or exceed the total spending price unless there is deposit of cash into the system without a purchase. However, the invention allows the SP to withdraw moneys from a credit balance in one of the accounts recorded in the CCC. While unlikely, this may also occur with a credit or debit card sale. Thus, in some situations, the 25 amount of cash may fall short of the total price. In step 8114 the cash register determines if the amount of cash exceeds the total price.

If the answer is yes, the cash exceeds the sale price, the ECRx determines the amount of change by subtracting the price from the cash in step 8117. If the WO 96/34358 PCT/D 596/06(155 answer is no. Use cadi does not exceed the sale price, the register determines the amount due in step 8120. in step 8124, the cash register ECRx asks whether the customer has and wishes to use a network card. The clerk or customer may respond by keyboard, or directly by entering the card into tbe card reader CDx.

If the customer does not have or does not wish to use a network card in response to step 8124, the cash register ECRx prints the transaction in step 8127 and in step 8130. prompts the clerk to make change or collect more cash. If the customer does not offer any needed cash the clerk most abort or otherwise correct the transaction.

If the customer wishes to use a network card, the clerk may enter this information into the register's keyboard, or the customer may enter the card into the card reader CDx. In step 8134, the ECRx reads tbe network card. In step 8137, the ECRx determines whether the card is valid. If not, the register ECRx returns to step 8127.

If the card is valid, tbe ECR again asks if the cash offered exceeds tbe total price in step 8140. If not, in step 8144, the ECR prompts the cash register CR display DS to ask if the cash register should debit the deficient amount from one of the SP cardholder's accounts. If not, the process returns to step 8127.

If the answer to step 8144 is yes, the computer CCC, in step 8145, asks for 20 the customer to enter his or tier personal identification (PIN) number. In step 8146. the CCC determines if the PIN number matches the card number. If not, the computer returns to step 8127. If yes, it determines if the card contains a sufficient balance to cover the amount due. If not, the process again returns to step 8127. If yes in step 8150, the computer withdraws the money from the card 25 account and credits it to the account of the establishment or ihe sponsor SPx as pre-programmed. In step 8150 the cash register ECRx also prints out the transaction.

PCI7US96/06055 31 If the answer to step 8140, namely to the question whether There is more cash than the price, is yes, step 8154 causes the ECR to display a message asking whether the customer wishes to retain some of the change due. If yes, the ECR prompts the customer to enter into the keypad KPx how much he or she wishes 5 to retain or deposit. In step 8157, the cash register ECR indicates to the clerk to give the appropriate net change aod shows the net deposit amount.

The process now goes to A in Fig. 8.4B. If the answer to step 8154 is no, the process also continues at point A in Fig. 8.4B.

At A, step 8204, in Fig. 8.4B tbe CCC searches the records to find the 10 pre-programmed pay out amounts for the particular network card. The pay out amounts are entered as shown io Fig. 8.6. In step 8207 of Fig. 8.4B, the CCC starts apportioning the pay out amounts in the pre-programmed proportions by priorities and amounts. In steps 8210 to 8227 it enters the selected amounts in the accounts of various charities, banks, debit card, and vouchers. Normally there is should be no remaining amount. However, such an amount may exist. Thus in step 8230 the CCC asks if there remains any outstanding amount. If yes. step 8234 enters it into a default account selected by the SP at art earlier time. In step 8237, the CCC updates the accounts both in its own data banks and in the computers CHy and OCz. The computers CHy and OCz confirm the 20 transactions.

If the answer to step 8230 is no, there are outstanding amounts, the process goes to step 8237 directly. In step 8240 the ECRx prims out the amounts deposited, entered into various accounts, the prices, the change, etc.

The CCC and the ECRx then prompt the customer in step 8244 co ask if 25 he o r she wishes to change the programming of the various accounts in the CCC. If yes, the card reader CDx or the CCC displays the apportionment and the amounts, including balances in step 8247, the consumer then enters the WO 96/34358 PCT/US96/0605S 32 desired changes in step 8250, and the CCC or the card reader makes the changes in step 8254. This ends the transaction in step 8257. If the answer to step 8244 is no, the proccss goes directly to step 8257.

In one embodiment of the invention, the consumer carries out steps 8244 5 to 8254 at a separate time in a separate card reader CDx and keypad KPx. This prevents the consumer from using these machines whfle the clerk serves another customer. In fact, the establishment may furnish a separate terminal RTx just for this purpose.

Prior to listing in the CCC, the invention qualifies each charily for their 10 tax exempt status, operations, management activities, litigation, and other pertinent legal and financial information. The charity must certify to the facts. If the reported information meets the requirement, the charity qualifies. The CCC initiates a checking and updating of the qualification facts on a regular basis. Tbe CCC keeps the qualified charities current on an ongoing basis.

The register furnishes the SP with a printed receipt of each donation for tax purposes and authentication that the charity will recetv? the money. In an on line mode the receipt can show tbe date, outlet location, serial number, amount donated, total donated to date, and the current financial results of any specific campaigns or projects received by the charity overall.

One embodiment of the invention furnishes other rewards to the donor.

For example, tbe terminal may play a tune, such as "It's a Small World" in response to a donation to the United Nations children's fund. Alternatively, the donor may receivc a message that the last ten cent donation has closed another $100 unit in donations to this charity and provide a special discount coupon. As 25 another example the donor may receive a message that the donor's contribution is being matched by an independent sponsor with a bonus donation.

PCI7US96/06A55 33 The invention supervises, implements, and coordinates charitable contributions to benefit all participants id the giving cycle, including the donors, sponsors, charitable organizatioas, Internal Revenue Service, and end recipients. It allows remote receiving and sending stations, connected to a centra! processing 5 station, to accept any denomination of giving from a single penny to unlimited dollars. Regardless of the size of the donation, it effectively warrants to all participants that the designated charity has received the donated funds. It thus supports the authenticity of each donation. It can offer unlimited access to the donors concerning their contributions to charities and savings accounts, the 10 intended use of the funds, and feedback concerning the total received by the funds.

The invention effectively leverages the power of mere pennies into substantial dollars that in turn become available to charities on a short term collection basis. It rewards and encourages philanthropic giving and savings to is all individuals on an everyday basis An example of the operation of the PMS embodiment appears in the flow ch an of Fig. 8.5A&B. In the PMS embodiment, the opening and closing of accounts is assumed by PA central computers. This flow chart depicts an off line version of the PMS embodiment in which transactions are processed at Level 2 20 MC and then stored in memory and transferred via a batched format to Level 3 CCC at periodic intervals. Level 3 would then sort the transactions according to Level 4 account origination and forward said transactions to Level 4. The PMS, however, could also be operated in an on line mode and the transactions would then be processed by a smart card or on line with a central computer 25 located at Level 3 or 4.

Referring now to Fig. 8.5A&B, there is a flow chart which illustrates the steps which the PMS processes transactions made through ECRx at Level 2 MC.

TTT/lJSW/06055 34 Beginning at the top, in step 8300, tbe remote terminal at tbe POS counter stands ready to receive input and is also scrolling information messages on how to use the system.

In step 8302, tbe clerk inputs tbe price of each item into ECR* by a bar 5 code reader or by keypad.

In step 8304, the terminal computer totals the price of all of the items.

In step 8306, the clerk enters the amount of payment, on most occasions c ash, into the terminal computer. However, if a check, debit or credit card is tendered by the SP, any excess payment effectively becomes cash and is therefore 10 eligible for deposit In step 8308, the terminal computer asks if the amount tendered is more than the total purchase price. if no and the number is zero, the terminal computer goes to step 8310 and a receipt is printed out. In step 8312 the transaction would end and the terminal 15 computer returns to step 8300 for new transactions.

If yes, in step 8314 the terminal computer calculates the difference and displays the value and goes to step 8316. In step 8316 the terminal computer asks if the cunsumer wishes to use the system.

If the answer is no, in step 8318 a receipt is printed out, and in step 8320 20 the transaction is ended and the terminal computer returns to step 8300.

If the answer to step 8316 is yes, in step 8322 the terminal computer asks if you are a subscriber? PCIYGS96i06055 If the answer is no, step 8324 allows a non-subscriber to use the system by asking the clerk to enter in a generic access code. On these occasions, most likely, the non-subscriber will be malting a donation for charitable purposes. At this time in step 8326, tbe non-subscriber will pick from a list of approved 5 charities and the clerk will key in the selection. In step 8328 a receipt will be printed showing evidence of the contribution. This same receipt will also provide an audit trail for individuals and or organizations to confirm that the charitable institutions received the donation. In step 8330 the transaction would end and the terminal computer returns to step 8300.

Referring now to Fig. &5B if the answer is yes, in step 8332 the subscriber or the clcrk enters the subscriber's card into the terminal. The terminal computer reads the card and automatically records all of the cents in the POS change as a deposit or contribution. If the subscriber wishes to add in all of the change (coins and bills) 8332A is entered into the computer. !f the subscriber 15 wishes to add in a specified portion of the change, 8332B is prompted into the keypad along with tbe specified amount, for example SI.54 out of $2.54 in available change.

In step 8334, tbe terminal computer asks if the subscriber wishes to bypass their default instructions for charities and select a special charity for this 20 transaction.

In step 8336 if the answer is no. the terminal computer advances to step 8340.

If yes in 8334, in step 8338 tbe bypass charity account number is entered 2 5 into the terminal computer through ilie keypad.

In step 8340 tbe subscriber will receive a receipt showing their donor PCT7US96rt>6055 36 contribution.

In step 8342 tbe terminal computer writes the transaction into memory.

In step 8344 the transaction would end and the terminal computer returns to step 8300.

In step 8346, on a programmed time basis, the terminal computer forwards, by modem, the batch transactions held in memory to Level 3 CCC.

In order to enroll in the CMS embodiment, SP would sign up for accounts with Level 3 CCC, lo order to enroll in the PMS embodiment, SP would sign up for accounts with Level 4 PA Fig. 8.f> is a flow chart that illustrates the enrollment steps for a CMS o r PMS account which a central computer takes, through the keypad KPx, to open or revise an SP account. A display DSx on the keypad KPx or the ECRx allows a central computer to ask tbe consumer to perform certain acts. After the party-has accessed the computer, in step 8404, it asks whether the consumer has a 15 network card. If no in step 8407, the computer asks the consumer to enter his or her name or address. In step 8408 the computer determines if all information has been entered. If not, it returns to step 8407 to ask again for the desired information. If yes, the computer proceeds to step 8410 to ask the consumer to choose a personal identification (PIN) number. In step S4I4 the computer 20 determines if the PIN number is acccptable. If not, it rstnrns to step 8410 for another number. If yes, the computer advances to step 8417 to assign a new card number.

If the answer in step 8404 is yes, that the consumer has a card, the computer proceeds to step 8420 to have the customer enter the card. In step 2 5 8424 it asks the. consumer to enter his or her pre-selected PIN number. In step 8427 it determines whether the entered PIN number matches the pre-selected PCT7CS96/M0S5 37 PIN number. If not, it returns to step 8424 for a corrected number. Tbe computer allows this procedure between steps 8424 and 8427 to occur only three times, thereafter it aborts the program.

If the PIN number is correct and thereby qualified, the computer in step 5 8430 lists all existing accounts and amounts deposited during any specific time period, such as the calendar year. The consumer may request any time period. Li step 8434 it also lists all accounts with balances. In step 8437 it asks the consumer to list all accounts to be eliminated, if any. In step 8440 it asks the consumer to approve any accounts to be eliminated if any. The computer then 10 proceeds to step 8444 to list all new accounts. Step 8444 also receives a prompt from step 8417 if the card number is new. lit step 8447 it determines if tbe account, in the form of a charity, merchant, or institution, is in the list of charities or institutions that have been accepted by the system. If the answer is no, the computer in step 8448 asks if the 15 consumer wishes to have a temporary account set up for that donee or institution pending investigation. If yes to step 8448, the computer in step 8449 sets up a temporary account, and lists it as qualified pending investigation. If the answer to 8448 is no, the computer goes back to step 8447.

Once the computer has qualified a donee or institution, it goes to step 2 0 8450 to ask if this is tbe last account the consumer wishes to add. If not, the process goes back to step 8444. If yes, the computer cancels all prior allocations in step 8454 and in step 8457 sequentially lists all remaining and new accounts showing the old allocations where applicable. In step 8460 it asks the consumer to enter a new percentage allocation for each account. A- a check, in step 8464, 25 the computer asks if the total percentages cxceed 100%. If yes, it returns to step 8460 for a new entry. If not, it proceeds to step 8467 to ask if this is the last account. If not, it goes to step 8470 to ask the consumer to go to the next account and returns to step 8460. If yes, the computer goes to step 8474 where WO 96734358 PCTTOXWflKiOSS 38 it asks if tbe total percentage is 100%. If not, the computer places the remaining percentage in a consumer's personal default account and asks the consumer to select accounts and change allocations in step 8477. The computer in step 8480 ends the process and prints out the results. (2.) Referring now to calculating the additional amount by predetermined data, referred to as the rounder system, Fig. 8.7A is a block design that describes the invention's four level rounder system that will allow consumers to create excess funds when they make exact payments for services or goods using checks, credit, or debit drafts.

In Fig, 8.7 Level 1 a subscriber (SP) makes an exact payment using a check, credit or debit card and tenders the draft to a payee cm Level 2 who in turn deposits the draft for customary authorization, approval, and payment by Level 3 Account Managers (AM) (as in banks or credit institutions). Under the provisions of the invention Level 3 AM will oow also add or subtract a 15 predetermined calculation to the face amount of the draft or the account entry itself for the purpose of creating an excess payment. The amount of excess payment called a rounder amount is then added to the face amount of the draft and the total number is then debited (as in withdrawals or account fees) or added (as in deposits or interest payments) to the account balance- Level 3 AM 20 will then manage the funds and make distributions to Provider Services (PS) Level 4 (as in mutual funds, annuities, etc.).

The rounder system embodiment of the invention creates excess funds from exact payments and without the cooperation or even awareness of the payee who accepts payments for the purchase of services or goods. The system 25 Ls based on the ability to create excess funds by applying a determinant to the face amount or number of account entries, e.g. checks, ATM withdrawals, credit and debit drafts.

PCT/IJS96J06055 39 The rounder system versus the POS system occurs in a different environment and ai a different point in the commercial purchasing cycJe. The processing of transactions occurs at the "back end" of the commercial cyde when check and credit drafts are debited against their existing account balances.

Effectively, the invention adds (as in withdrawals or account fees) or subtracts (as in deposits/payments or interest dividends) an amount of excess funds, e.g. $1, $214, $5.01, $10, $0.28, etc., to the face amount nr number of entries and then adjusts the account balance accordingly. The amount of excess funds are then displayed in the account and periodically transferred to accounts for 10 provider services, i.e., mutual funds, annuities, merchandise, charities, etc.

Under this system the SP opens up a new account or updates an existing account, e.g. checking, credit, or debit account, and instructs the bank or credit card issuer to add or subtract a determinant to each transaction after they are returned to the bank or credit issuer for final debiting against the consumer's 15 account.

The excess funds that are created by the rounder system can be held internally by the bank or credit institution or assigned to other providers fur the purchase of mutual funds, annuities, bonds, travel services, merchandise, etc.

When consumers use the above described improved methods to create 20 excess funds from spending transactions in a combined form, they will have achieved the ability to save every time they spend, regardless of whether they use cash, write a check, use an ATM machinc, use a credit or debit card.

Referring now to Fig. 8.8, there is a flow chart which illustrates the steps which central computers take, through a keypad and display, to open or revise 25 a rounder account. The subscriber/subscriber's account instructions will then be applied by the institutions' central computers (CC) to create the excess funds.

PCT/US96/W035 40 lo step 8500 the CC asks the consumer if you have a rounder account.

If no, in step 8502 the CC asks the consumer to enter his or her name, address, social security number, select a pin number, as well as arty other vital 5 information needed to open an account.

In step 8504 the CC determines if aU the needed information has been entered. If not. it returns to step 8502 to ask again for tbe desired information.

If yes, the CC proceeds to step 8506 to input the consumer's PIN number o r code name. In step 8508 the CC determines if the PIN number is acceptable. 10 If not, it returns to step 8506 for another number.

If yes, the CC advances to step 8510 to assign a rounder account number. The computer then goes to step 8522 to create new accounts.

If the answer in step 8500 is yes, that the consumer is already a subscriber, tbe CC proceeds to step 8512 to have the subscriber enter their rounder acuount 15 number. In step 8514 it asks the subscriber to enter his or her pre-selected PIN number. In step 8516 it determines whether the entered PIN number matches tbe pre-selected PIN number for the subscriber iminbei entered. If not, it returns tn step 8512 in correct tbe subscriber number and/or PIN number. The CC allows this procedure between steps 512 and 516 to recur only three times. 20 thereafter it aborts the program.

If the PIN number is correct and thereby qualified, the CC in step 8518 lists the rounder number or percentage that is applied to each account entry (SI, S3,2%, etc.), stop orders {when to stop processing rounder transactions), the vehicles used for processing and depositing, e.g., chcckinc accounts & ATM FCTAIS96W6055 41 terminals, debit card use, and credit card use. names and addresses of ali sub-accounts (savings, investing, and charitable choices), and the percentage of the rounder transaction assigned to each sub-account fur a cumulative total of 100%. . In step 8520 it asks the subscriber io list all accounts to be 5 eliminated or modified, if any.

In step 8522 the CC asks the subscriber if there are any new accounts to add.

If the answer is no, the computer goes to step 8526 to write an updated rounder account file.. If yes, the CC tben proceeds to step 8524, 10 and asks the subscriber to enter any new accounts according to the rounder number or percentage that is applied to each account entry ($1, S3, 2%, etc.). stop orders (when to stop future processing), the vehicles used fur processing and depositing, (e.g., checking accounts & ATM terminals, debit card use, and credit card use), names and addresses of all sub-accounts (savings, investing, and/or 15 three charitable choices), and the percentage of the rounder transaction assigned to each sub-account for a cumulative total of 100%.

In step 8526 the computer writes a file, called the rounder account file, containing the new or revised subscribers identification information and account instructions.

In step 8528 the process ends and the computer returns to step 8500.

The following information will provide clarity for the steps that will b e detailed in Fig, 8.9A-E and Fig. 8.3GA-E.

The face or entcy amount means the actual amount of the check/ATM withdrawal or credil/debit card charges prior to any rounder activity.

PCT/US96/060S5 42 The rounder transaction is the numerical function applied against the face amount or tbe entry itself, i.c., $1.00, S3.00, 2%, or a specific number $1.50 to create excess funds. In tbe preferred embodiment this will be a whole dollar amount such as $1.00, $5.00, $10.00, etc. added to the entiy.

The coin amount is the presence of coins in the face amount, i.e. check for $10.14.

The rounder amount is the amount of excess funds produced by applying the rounder transaction to the entry minus the coin amount, i.e. $10.14 using a $1.00 rounder will produce $0.86 as the rounder amount of excess funds.

The total withdrawal will be the rounder amount plus the entry amount which will be debited against the checking account or credit card balance to determine the new account balance.

Referring now to Fig. 8.9A-E, there is a flow chart which illustrates tbe steps which bank ccntraJ computers take, through a keypad and display, to 15 collect funds, manage funds internally and to disburse funds.

Beginning at tbe top of Fig. 8.9A the bank first transmits to the CC. assigned to the clearing and reconciling of checking accounts, all transactional information and directions for ruunder account processing.

In step 8600 the checking account transaction is read. The transaction ca 20 n be a check draft, an ATM withdrawal, checking account fee, an interest payment, etc.

In step 8605 the computer gets the checking account balance.

In step 8610 the computer asks, Is this account a rounder account WO V6/34358 PCT/IJS9fi/06055 43 subscriber? If tbe answer is yes, in step 8620 the transactions are processed according to rounder transaction instructions.

If the answer is no, in step 8740 the transactions are processed without S the rounder transaction instructions (See Fig. 8.4E). in step 8747 basic account balances are updated.

In step 8750 the computer writes processed transactions to file.

In step 8755 the computer reads next checking transaction.

In step 8760 the computer asks, Is tbis the end of the file? If the answer 10 is yes, computer goes to step 8765. If the answer is no, computer goes to step 8600.

In step 8765 the computer sorts aJJ transactions.

In step 8770 the computer apportions rounder account contributions per account instructions contained in step 8526, ihe rounder account file.

In step 8775 tbe computer transfers out the charity contributions, saving s, investments, and other accounts.

The computer processing required to create rounder account contributions is detailed in Fig. 8.9B. Starting at the top, in step 8622 the computer asks. Js this transaction a debit or withdrawal? 2 0 If the answer is no, computer goes to step 8634. If the answer PCT/t;S9fi/(WG55 44 is yes, computer asks in step 8624, In the transaction are the cents greater than zero cents? The following will assume the application of a $1.00 rounder transaction S If the answer is no, in step 8628 the rounder transaction would equal tbe rounder amount. For example if the rounder transaction is $1.00, to be added to the entry amount of a $10.00 withdrawal, the rounder amount of $1.00 will be created as excess funds for the rounder account and the total withdrawal will be $11.00.

If tbe answer is yes, in step 8626 the cents in the purchase price will b e subtracted from the rounder transaction and the net difference will becomc the rounder amount which will then be deposited into the rounder account. For example if the purchase price was $10.14 cents and $1.00 was the rounder transaction $0.14 would be subtracted from the $1.00 and the net of $0.86 would IS be the rounder amount which would then be deposited into (he rounder account. The total withdrawal would still be $11.00 In step 8630 the rounder amount and the entry amount are added together i o determine the totaf withdrawal.

In step 8632 the total withdrawal is then subtracted from the existing 20 balance, to determine the new balance.

The detailed computer processing required to create rounder account contributions is continued in Fig. 8.9C in regard to deposits or fee income.

In the processing of deposits or interest into accounts we reverse the process and decrement the amount of money going into the checking account so 25 that we can create excess funds. Therefore, we can apply similar rules, as WO 9604358 PCT/US96/060SS 45 previously discussed, when the invention dealt with account withdrawals, but only io a decrementing fashion.

In the preferred embodiment we will decrement deposits and interest payments only to eliminate coin amounts.

Starting at the top, in step 8634 the computer asks, Is this transaction a deposit or interest fee? If the answer is no, the computer goes to step 8648.

If the answer is yes, the computer asks in step 8638. In the transaction are the cents greater than zero cents? If the answer is no, in step 8640 the rounder account contribution equals zero since there are no coins in the entry amount of the deposit. The program then goes to step 8644.

If the answer is yes, in step 8642 the cents are subtracted from the face amount and the coins become rounder contributions. For example, if tbe deposit 15 was for $10.14 the rounder would take off the $0.14 and the net deposit would be for 510.00.

In step 8644 the rounder amount is subtracted from the face amount to determine the total deposit.

In step 8646 the total deposit is then added to the existing balancc to 20 determine the new balance.

The ability for the invention to remove coins from checking account deposits will allow for easier balancing of checking accounts.

PCT/DS96/0tffl35 46 The detailed computer processing required to create rounder amounts is continued in Fig. 8.9D when the transaction is a fee.

The rules applied here are the same as in processing withdrawals. But again for tbe preferred embodiment, which will follow, the process will only be 5 applied to the presence of coin amounts in fee charges.

Starting at the top, in step 8648 the computer asks, Is this a fee? If the answer is no, the computer goes to step 8662. If the answer is yes, the computer asks in step 8650, In the transaction are the cents greater than zero cents? If the answer is no, in step 8652 the rounder account contribution equals zero since there are no coins in the face amount of the fee. The program then goes to step 8656.

If the answer is yes, in step 8654 the cents are added to the face amount and the coins become the rounder amount. For example, if the fee was for IS $10.14 a one dollar rounder add another $0.86 and the net withdrawal would be for SI 1.00.

In step 8656 the rounder amount is added to the face amount to determine the total withdrawal.

In step 8660 the total withdrawal is then subtracted from the existing 20 balance to determine the new balance.

The ability for the invention to remove coins from checking account fees will allow for easier balancing of checking accounts.

WOW34358 PCT/USWW6055 47 The computer steps required to process non-rounder account transactions are detailed in Fig. 8.9E. Starting at the top, in step 8741 the computer asks, Is this transaction a debit, withdrawal, or fee? If the aoswer is yes, in step 8742, the checking account balance is 5 determined by subtracting the transaction amount from the account balance.

If the answer is no, computer goes to step 8743 and asks. Is this transaction a deposit or interest? If the answer is yes, in step 8744 the checking account balance is determined by subtracting the transaction amount from the account balance.

If the answer is no, the computer in step 8745 displays error message.

Referring now to Fig. 8.10A-E, there is a flow chart which illustrates the steps which card issuers centra] computers take, through a keypad and display, to collect funds, manage funds internally and to disburse funds.

Beginning at the top of Fig. 8.10A. the card issuers first transmit to the 15 CC used in clearing and reconciling debit and credit card accounts all transactional information of the subscribers who round up or down their debit/credit card transactions. This information has been obtained, see Fig. 8.8, through the enrollment process.

In step 8800 the debit/credit account transaction is read. The transactio 20 n can be a debit/credit charge processed through a POS terminal, filled in by hand, called in over the telephone, etc.

In step 8805 the computer gets the cardholder's account bafance.

PCT/US96/0S055 48 In step 8810 the computer asks, Is (his account a rounder account subscriber? If the answer is yes, in step 8820 the transactions are processed according to rounder instructions.

If the answer is no, in step 8920 the transactions are processed without the rounder instructions.

In step 8930 the account balances are updated.

In step 8940 the computer writes processed transaction to file.

In step 8950 the computer reads next debit/credit tare transaction.

In step 8960 the computer asks, Is this the end of the fde? If the answer is yes, computer goes to step 8970. If the answer is no, computer goes to step 8800.

In step 8970 the computer sorts aii transactions.

In step 8980 the computer apportions rounder account contributions per account instructions contained in step 8526 of the rounder account file.

In step 8990 the computer transfers out tbe charity contributions, saving s. investments, and other accounts.

The computer processing required to create rounder transaction contributions is detailed in Fig. 8.JOB. Starting at the top, in step 8822 the computer asks. Is this transaction a debit or credit can! charge? 50 In the preferred embodiment, tbe invention will only decrement payments when coins are present Starting at the top, in step 8834 tbe computer asks, Is this transaction a payment or interest dividend? If the answer is no, computer goes to step 8848. If the answer is yes, computer asks in step 8838, In the transaction are the cents greater than zero cents? If the answer is no, in step 8840 the rounder account contribution equals zero since there are not any coins in the entry amount of the deposit. The computer then goes to step 8844.

If the answer is yes, in step 8842 tiic cents are subtracted from the entry amount and the coins become rounder contributions. For example if tbe payment was for $500.34, the rounder would take off the $0.34 and the net deposit would be for S500.00.

In step 8844 the rounder amount is subtracted from the entry amount to 15 determine the total payment In step 8846 the total withdrawal is then subtracted from the existing balance to determine the new balance.

The detailed computer processing required to create rounder amounts is continued in Fig. 8.10D when the transaction is a fee.

The rules applied here arc the same as in processing withdrawals. But 20 again for the preferred embodiment, which will follow, tbe process will only be applied to the presence of coin amounts in fee charges.

Starting at the top, in step 8848 the computer asks, Is this a fee? If the answer is no, computer goes to step 8860.

If the answer WO 96/3-1353 51 is yes, computer asks in step 8850, In tbe transaction are the cents greater than zero cents? If the answer is no, in step 8852 the rounder account contribution equals zero since there are not any coins in the face amount of the fee. The computer S then goes to step 8856.

If the answer is yes, in step 8854 tbe cents are added to the entry amount and the coins become the rounder amount. For example if the fee was for $10.14 and a one dollar rounder, add another $0.86 and the net withdrawal would be for $11.00.

In step 8856 the rounder amount is added to the entry amount to determine the total withdrawal.

In step 8858 the total withdrawal is then subtracted from the existing balance to determine the new balance.

The computer steps required to process non-rounder account transactions 15 arc detailed in Fig. 8.10E. Starring at the top, in step 892J the computer asks. Is this transaction a charge or fee? If the answer is yes, in step 8922, the credit balance is determined by subtracting the transaction amount from the account balance.

If the answer is no, the computer goes to step 8923 and asks, Is this 20 transaction a payment or interest dividend? If the answer is yes, in step 8924 the credit accouat balance is determined by subtracting the transaction amount from the account balance.

WO 9A34358 PCT/US96/06U55 52 If the answer is no, tbe computer in step 8925 displays error message.

The invention provides a unique and presently unavailable way for consumers to save every time they spend, regardless of whether they use cash, write a check, use an ATM machine, use a credit or debit card.

S The invention provides an "open" POS system whereupon consumers can make excess payments at poini of sale counters and have the excess funds be put in special account1;. The "open" system for making excess payments will comprise a four level network utilized in combinaiion with consumers referred to as subscriber/ subscribers (SP), payees referred to as merchant/collectors (MC), a 10 central computer/clearinghouse/ network (CCC), ana provider accounts (PA). The POS system will allow SP the ability to create excess funds from the overpayment of spending transactions using cash, check, credit, or debit card, at POS counters and have said excess overpayments be transferred through a CCC onto provider accounts selected by said subscriber/subscribers (SP).

The invention also provides a four level rounder system (RS) for subscriber/subscribers to create excess funds from account entries connected with transactions paid for by check, ATM machinc, crcdit. or debit card (which can occur at a variety of commercial points: POS counters, on a person to person basis, by mail, by wire transfer, by telephone, by computer, etc.). The rounder 2 0 system would apply a computerized rounder amount to create excess funds in which the active cooperation of the payee is not needed and when the face amount of the payment being tendered is not in excess of the actual purchase price as the required means to establish the excess funds.

While embodiments of the invention have been described in detail, it will 26 be evident to those skilled in the art that the Invention may be embodied otherwise without departing from its spirit and scope. Therefore, the following daims are meant to encompass all alternatives and modifications within the scope and spirit of the present invention.

WO 96t34iS8 PCTVUS96/W055 53 The invention furnishes an improved systems to store purchasing credits on an intelligent card by buying credits from neutral merchants and redeeming the credits at participating merchants for goods and services in the future. Tbe system is a network composed of consumers, neutral participating merchants, and 5 a central clearinghouse. By consumers being able to buy open purchasing credits in advance from a variety of participating neutral merchants, consumers will then bave convenience in setting aside money and the flexibility of using the credits to a variety of merchant circumstances.

The invention also provides an automatic donation system for a 10 sales establishment includes an entry arrangement for entering the price of a product into a cash register and for entering the amount of cash being paid and a calculator for determining the excess cash payment. A card reader keypad receives a card number for accessing data including charity accounts concerning the card, and a computer apportions at least a part of the excess cash payment 15 among said accounts, and then prints out the amounts entered. ^35gpQ Vr

Claims (79)

WHAT WE CLAIM IS:

1. A method of accumulating credits in payor surplus accounts from financial transactions between a payor who is to pay and a payee who is to receive payment, comprising: entering a demanded amount due the payee into a station of a network controlled by the payee; entering an additional amount offered by the payor into a station of a network controlled by the payee; and transmitting data of the additional amount to a separate station forming part of a network controlled by other than the payee, and within the separate station, apportioning the data of at least a part of the additional amount into one or more of the payor surplus accounts determined by the payor.

2. A method as in claim 1, wherein the. step of transmitting the data of the additional amount includes the step of the payee crediting the additional amount to the one or more of the payor surplus accounts in the separate station of the network, wherein the separate station is in the hands of a central clearing entity, so that the payee remains neutral to the additional amounts.

3. A method as in claim 1, wherein said step of entering an additional amount includes calculating the additional amount from predetermined data associated with the one or more of the payor surplus accounts.

4. A method as in claim 2, further comprising the step of printing out the status of said surplus accounts. c, - 55 -

5. A method as in claim 2, wherein said one or more of said other payor surplus account includes sub accounts identifying a plurality of charities, bank, and other sub accounts and the step of transmitting data of the additional amount includes assigning predetermined portions of the one or more of said payor surplus accounts to said sub accounts.

6. A method as in claim 3, further comprising the step of printing out the status of said surplus account.

7. A method as in claim 3, wherein said one or more of the payor surplus accounts includes sub accounts identifying a plurality of charities, banks, and other sub accounts and the step of transmitting the additional amount includes assigning predetermined portions of the one or more of said surplus accounts to said sub accounts.

8. A system for accumulating credits in surplus accounts from financial transactions between payor who is to pay and a payee who is to receive payment, comprising: a network; an entry receiving device in the network for receiving entries of an amount due the payee and an additional amount offered by the payor; and an additional-amount depositing station in the network, containing one of said surplus accounts, and coupled to the entry receiving device for depositing the additional amount in the one of the payor surplus account; ^3592 - 56 - said entry device being controlled by entities which include the payee, and said depositing device being controlled by entities other than the payee.

9. A system as in claim 8, wherein the depositing station includes payee crediting means for the payee crediting the additional amount to the one of the payor surplus account in the hands of a central clearing entity, so that the payee remains neutral to the additional amounts.

10. A system as in claim 8, wherein said entry device includes calculating means for calculating the additional amount from predetermined data associated with the surplus account.

11. A system as in claim 9, further comprising a status printer responsive to the status of said surplus account.

12. A system as in claim 9, wherein said surplus account includes sub accounts identifying a plurality of charities, bank, and other financial institutions and the depositing station assigns predetermined portions of said surplus account to said sub accounts.

13. A system as in claim 10, further comprising a status printer responsive to the status of said surplus account.

14. A system as in Claim 10, wherein said surplus account includes sub accounts identifying a plurality of charities, banks, and other financial institutions and said the - 57 - depositing station assigns predetermined portions of said surplus account to said sub accounts.

15. A system, comprising: a cash register; entry means in the cash register for entering an amount corresponding to a price of a product into the cash register and for entering an amount corresponding to cash being paid; calculating means in the cash register for determining existence of an excess cash payment; card identifier entering means for entering a card identifier, said card identifier identifying one or a plurality of predetermined accounts; apportioning means responsive to said register and said card identifier entering means for apportioning at least a part of the excess cash payment among a number of predetermined accounts identified with said card; and said accounts being identified independent of data in the register.

16. A system as in claim 15, wherein said cash register includes change making means for returning remains from an excess payment, after apportionment, as cash.

17. A system as in claim 16, wherein said cash register includes a display for displaying the excess cash and the remains.

18. A system as in claim 16, wherein said printout means prints out the status of each of the accounts. c. 335 926 - 58 -

19. A system as in claim 15, wherein said card identifier entering means includes means for entering changes in the apportioning.

20. A system as in claim 15, wherein said apportioning means includes means for allocating a portion of the excess to charity donee accounts with each apportioning.

21. A system as in claim 15, wherein said apportioning means includes means for transferring the portion of the excess for the charity donee account directly to the charity donee with each apportioning.

22. A system as in claim 20, wherein said apportioning means includes: charity storage means for storing names of a plurality of qualified charities; bank storage means for storing names of a number of banks; account storage means for storing numbers of client accounts; entry means for entering the names of charities and banks so as to establish and entered name for each entry of a name ; comparison means responsive to said storage means and said entry means for comparing each entered name with a stored name to determine if the entered name matches a stored name; assignment means responsive to said comparison means for assigning a charity or a bank to an account when the charity or the bank has been entered; J - 59 - recording means responsive to said account storage means for recording money entries into said accounts; and allocating means responsive to said account storage means for registering an allocation of parts of monies recorded into accounts among the charities and banks entered for that account.

23. An apportionment system, comprising: deducting means for deducting a cost of an item from a payment received to determine an excess; charity storage means for storing the names of a plurality of qualified charities; bank storage means for storing the names of a number of banks; account storage means for storing numbers of client accounts; entry means for entering names of charities and banks so as to define an entered name for each entry of a name; comparison means responsive to each of said storage means for comparing the entered names with the stored names to determine if the entered name matches a stored name; assignment means responsive to said comparison means for assigning a charity or a bank to an account when a client has selected the charity or the bank; recording means for responsive to each of said account storage means recording money entries into said accounts; and allocating means responsive to said deducting means and said account storage means for registering an allocation of parts of the excess, after deduction of the cost, among the charities and banks entered for that account; - 60 - each of said storage means, entry means, comparison means, assignment means, and recording means, being independent of said deducting means.

24. A point of sale operating method, comprising: entering an amount corresponding to a price of a product into a cash register; entering an amount corresponding to cash being paid: determining any excess payment; entering a card number; transmitting data of the excess payment to a separate station and in said separate station apportioning at least a part of the amounts of excess cash payment to one or more predetermined accounts selected on the basis of the card number and controlled by other than the payee; crediting the excess paid to the selected accounts to the card number.

25. A method as in claim 24, wherein said apportioning step includes making change for returning any remains from the excess payment, after apportionment, as cash.

26. A method in claim 25, further comprising printout means coupled to said register, said card entering means, and said apportioning means for printing out the amounts entered and apportioned, and wherein said printing step includes displaying the excess cash and the remains.

27. A method as in claim 26, wherein said printout step includes printing out the status of each of the accounts. .J - 61 -

28. A method as in claim 24, wherein said step of apportioning includes entering changes in the apportionment.

29. A method as in claim 24, wherein said step of apportioning includes allocating a portion of the excess to accounts with each apportionment.

30. A method as in claim 29, wherein said apportioning step includes transferring a portion of the excess for the charity donee account directly to the charity donee with each apportionment.

31. A method as in claim 24, wherein said apportionment step includes: storing of a plurality of qualified charities; storing names of a number of banks; storing number of other accounts; entering the names of one of charities, banks, and other accounts so as to define an entered name for each entry of a name, comparing each entered with a stored name to determine if the entered name matches the stored name; assigning one of said accounts to an account when a charity, bank, or other account has been entered; recording money entries into set accounts; registering an allocation of parts of monies recorded into accounts among charities, banks, or other accounts entered for that account. - 62 -

32. A system as in claim 15, wherein said apportioning means includes a central processor remote from the register for receiving the data from the card identifier entering means.

33. A system as in claim 15, wherein said card identifier entering means includes receiving means for receiving a card having the number and data including the accounts and instructions for apportioning, and said apportioning means further includes means for receiving the data from the card.

34. A system as in claim 33, wherein said apportioning means includes a central processor remote from the register for receiving the data from the card number entering means on a batch processing basis.

35. A system as in claim 32, wherein central processor remote from the register serves for receiving the data from the card identifier entering means on a real time basis.

36. A system as in claim 15, further comprising printout means coupled to said register, said card entering means, and said apportioning means for printing out the amounts entered and apportioned.

37. A system as in claim 15, wherein the card identifies the relationship of apportioning among accounts independent of the of data in the cash register.

38. A method as in claim 15, wherein the relationship of apportionment among accounts is identified by the card identifier independent of data in the cash register. 335926 - 63 -

39. A method as in claim 24, wherein further comprising the step of receiving the data from the card identifier entering means in a central processor remote from the register.

40. A method as in claim 24, wherein the step of entering includes receiving a card having the card identifier and data including the accounts and instructions for apportioning, and said apportioning step further includes receiving the data from the card.

41. A method as in claim 40, wherein said apportioning step includes receiving in a central processor remote from the register data entered from the card on a batch processing basis.

42. A method as in claim 41, wherein the step of receiving data from in the central processor remote from the register includes receiving the data from the card number entering means on a real time basis.

43. A method as in claim 30, further comprising the step of printing out the amounts entered and apportioned.

44. A method as in claim 40, wherein the card identifies the relationship of apportioning among accounts independent of data in the cash register. INTELLECTUAL PROPERTY OFFICE OF N.Z. - 8 JAN 2001 RECEIVED 53592

45. A system, comprising: a remote input; entry means in the remote input for entering an amount corresponding to a sum being offered in a transaction; identifier entering means for entering an identifier that identifies a transactor in the transaction; calculating means in the remote input for recording an excess from amounts in the transaction; apportioning means responsive to said remote input and said identifier entering means for apportioning at least a part of the excess to an account selected from a plurality of predetermined accounts on the basis of said identifier; and said accounts being identified independent of data in the remote input.

46. A system as in claim 45, wherein the sum is in the form of cash offered by the transactor and the calculating means records the excess cash.

47. A system as in claim 46, wherein said remote input includes change making means for returning remains from an excess payment, after apportionment, as cash.

48. A system as in claim 47, wherein a cash register in the entry means includes a display for displaying the excess cash and the remains.

49. accounts.

50. A system as in claim 47, wherein said printout means prints out the status of each of the 65 means for entering changes in the apportionment.

51. A system as in claim 45 or 46, wherein said apportioning means includes means for allocating a portion of the excess to charity donee accounts with each apportionment.

52. A system as in claim 51, wherein said apportioning means includes means for transferring the portion of the excess for the charity donee account directly to the charity donee with each apportionment.

53. A system as in claim 46, wherein said apportionment means includes: charity storage means for storing names of a plurality of qualified charities; bank storage means for storing names of a number of banks; account storage means for storing numbers of client accounts; entry means for entering the names of charities and banks so as to establish and entered name for each entry of a name; comparison means responsive to said storage means and said entry means for comparing each entered name with a stored name to determine if the entered name matches a stored name; assignment means responsive to said comparison means for assigning a charity or a bank to an account when the charity or the bank has been entered; recording means responsive to said account storage means for recording money entries into said accounts; and allocating means responsive to said account storage means of parts of monies recorded into accounts among the charities and banks enterec INTELLECTUAL PROPE for tto®xoi*ntN.z. - 8 JAN 2001 66

54. A point of sale operating method comprising: entering an amount corresponding to a price of a product into a remote input; entering an amount corresponding to cash being paid; determining any excess cash payment; entering a card identifier; apportioning at least a part of the excess cash payment among one or more accounts selected from a plurality of predetermined accounts as determined by the card identifier; crediting the excess paid to the accounts to the card identifier; and the predetermined accounts being identified with said card identifier independent of said remote input.

55. A method as in claim 54, wherein said apportioning step includes making change for returning any remains from the excess payment, after apportionment, as cash.

56. A method as in claim 55, wherein said printing step includes displaying the excess cash and the remains.

57. A method as in claim 54, wherein said printout step includes printing out the status of each of the accounts.

58. A method as in claim 54, wherein said step of apportioning includes entering changes in the apportionment.

59. A method as in claim 54, wherein said step of apportioning includes zlioca^pg^p^(^2^lY - 8 JAM 2001 RECEIVED 67 of the excess to charity donee accounts with each apportionment.

60. A method as in claim 59, wherein said apportioning step includes transferring a portion of the excess for the charity donee account directly to the charity donee with each apportionment.

61. A method as in claim 54, wherein said apportionment step includes: storing names of a plurality of qualified charities; storing number of client accounts; storing names of a number of banks; entering the names of charities and banks so as to define an entered name for each entry of a name; comparing each entered with a stored name to determine if the entered name matches the stored name; assigning a charity or bank to an account when a charity or bank has been entered; recording money entries into set accounts; registering an allocation of parts of monies recorded into accounts among charities and banks entered for that account.

62. A system as in claim 45 or 46, wherein said apportioning means includes a central processor remote from the entry means for receiving the data from the card identifier entering means.

63. A system as in claim 45 or 46, wherein said identifier entering mean 3 iindudea receiving:: r r y OFFICE OF N.Z. - 8 JAN 2001 RECEIVED 68 means for receiving a card having the number and data including the accounts and instructions for apportioning, and said apportioning means further includes means for receiving the data from the card.

64. A system as in claim 63, wherein said apportioning means includes a central processor remote from the entry means for receiving the data from the card number entering means on a batch processing basis.

65. A system as in claim 62, wherein central processor remote from the entry means serves for receiving the data from the card identifier entering means on a real time basis.

66. A system as in claim 45 or 46, further comprising printout means coupled to said entry means, said card entering means, and said apportioning means for printing out the amounts entered and apportioned.

67. A system as in claim 45 or 46, wherein the card identifies the relationship of apportioning among accounts independent of the of data in the entry means.

68. A method as in claim 54, wherein the apportioning among accounts is identified by the card identifier independent of data in the remote input.

69. A method as in claim 54, further comprising the step of receiving data from the card identifier entering step in a central processor remote from the remote input.

70. A method as in claim 54, wherein the step of entering a card identifier includes receiving a card having the card identifier and data including the accounts and instructions for apportioning, and said apportioning step further includes receiving the data from the card.

71. A method as in claim 70, wherein said apportioning step includes receiving data in a central processor remote from the card identifier entered from the card on a bat - 8 JAN 2001 69 o

72. A method as in claim 70, wherein the apportioning step includes receiving data in a central processor remote from the card identifier entered from the card on a real time basis.

73. A method as in claim 68, further comprising the step of printing out the amounts entered and apportioned.

74. A method as in claim 68, wherein the card identifies the relationship of apportioning among accounts independent of data in a cash register.

75. A method of accumulating credits substantially as hereinbefore described with reference to the accompanying drawings.

76. A system for accumulating credits substantially as hereinbefore described with reference to the accompanying drawings.

77. A system according to any one of claims 15, 22, 45 and 53 substantially as hereinbefore described with reference to the accompanying drawings.

78. An apportionment system substantially as hereinbefore described with reference to the accompanying drawings.

79. A point of sale operating method substantially as hereinbefore described with reference to the accompanying drawings. By the authorised agents A. J. PARK Per ■Mc. IINTELLECTUAL PROPERTY OFFICE OF N.Z. n 8 JAN 2001 ECEIVE