SYSTEM AND METHOD FOR LINKED ACCOUNT HAVING SWEEP FEATURE

摘要

A computer-implemented method for facilitating electronic funds transactions is disclosed. According to one embodiment, the method may comprise the steps of: issuing a transaction card to a cardholder by associating the transaction card with a demand deposit account from which the cardholder is authorized to electronically disburse funds; receiving an authorization request for an attempted transaction between a merchant and the cardholder, the authorization request containing information associated with the transaction card and the attempted transaction; processing the authorization request based on one or more predetermined business rules; authorizing the transaction without immediately settling the transaction against the demand deposit account of the cardholder; and settling the transaction, at a time subsequent to the execution of the transaction, through automated clearing house (ACH) from funds retained within the demand deposit account of the cardholder.

主权项

1. A computer-implemented method for processing and settling payment transactions, the method comprising:
issuing a linked account instrument to a cardholder, the linked account instrument being associated with a cash account and a credit account providing overdraft protection to the cash account; receiving, at an authorization server and via a payment network, an authorization request from a merchant system for a transaction initiated with the linked account instrument, the merchant system comprising a point-of-sale (POS) terminal or an Internet site; processing, by the authorization server, the authorization request based on at least one business rule and/or financial rule; providing, via the payment network, an instantaneous authorization decision to the merchant system to approve or deny the authorization request based on the step of processing; settling a payment amount of the authorization request, if it is approved, with the merchant or the merchant's sponsoring bank; sweeping, at the end of a predetermined period of time, the cash account via an automated clearing house to determine whether adequate funds exist to cover the payment amount; and
if the cash account has adequate funds, withdrawing at least part of the payment amount from the cash account, orif the cash account has insufficient funds, drawing from available credit on the credit account to cover some or all of the payment amount.