Method and apparatus for mapping sources and uses of consumer funds

Abstract

A bill-paying system includes a customer deposit account which receives periodic payroll deposits of an individual or a couple. A bill-paying service enrolls the individual or couple for a fee, and is authorized to transfer money from the deposit account to the accounts of various creditors. An originating depository financial institution, such as a bank, handles the transfers of money, and such transfers are preferably done electronically. The automated clearing house (ACH) network supports such electronic money transfers. The various bills and debts of the individual or couple come due at times that are asynchronous to their income structure. The bill-paying service is authorized to debit the deposit account for more than the basic minimums due the creditors each month. Such excess is used to accelerate the repayment of various loans and debts according to what particular application at that time will have the greatest long-term beneficial effect.

1 . A bill-paying system, comprising:
 a designated deposit account and savings account (DDA) belonging to a debtor that is periodically credited with a payroll income on a first regular schedule;   a custody account belonging to a service provider that is credited with debits to the DDA by an originating depository financial institution (ODFI);   a plurality of creditor accounts each belonging to a particular independent creditor of said debtor that is credited on a periodic basis with a payment debit to the custody account on a corresponding plurality of second regular schedules; and   a first mechanism for determining an amount and date that said ODFI is instructed to transfer funds between the DDA, custody account, and each of the plurality of creditor account; and at least one of:
 a trust finder mechanism; 
 a campaign product; 
 a subscription transaction table; 
 one or more account policies, each account policy having one or more disbursement schedules; and 
 one or more subscriptions to which a debtor may subscribe. 
   
   
   
       2 . The bill-paying system of  claim 1 , further comprising:
 an ACH-file for providing funds transfer instructions to said ODFI that is generated by the first mechanism on a cyclic basis.   
   
   
       3 . The bill-paying system of  claim 1 , wherein:
 the DDA receives said payroll income over time that is in excess of a particular debt owed by said debtor to said creditor; and   the first mechanism further provides for a computation of an accelerated payment of said debt and an inclusion of an excess payment to said creditor account for providing a reduction in a total finance charge earned by said creditor and costed to said debtor.   
   
   
       4 . The bill-paying system of  claim 1 , further comprising:
 a service fee account for receiving a service fee from the DDA in payment of a contract between service provider and said debtor, wherein said service provider operates the mechanism.   
   
   
       5 . The bill-paying system of  claim 4 , further comprising:
 a curtailment process for providing a computation of any funds that may be available in the custody account after each respective creditor account would be credited with said payment debit, and for providing a transfer of said service fee to said service fee account.   
   
   
       6 . The bill-paying system of  claim 1 , wherein:
 the DDA receives said payroll income over time that is in excess of a particular debt owed by a corresponding debtor to a corresponding creditor; and   the first mechanism further provides for a computation of an accelerated payment of said debt and an inclusion of an excess payment to said creditor account for providing a reduction in a total finance charge earned by said creditor and costed to said debtor.   
   
   
       7 . The bill-paying system of  claim 3 , further comprising a second mechanism configured to enroll a subscriber who is a debtor to a creditor and who has authorized debits to be taken from the DDA that is periodically credited with the payroll income on the first regular schedule, and to periodically debit said DDA through a transmission of an ACH-file to an originating depository financial institution (ODFI) and using any funds obtained to credit the custody account. 
   
   
       8 . The bill-paying system of  claim 7 , wherein the second mechanism is further configured to charge a service fee to said subscriber by debiting said custody account, and to pay said creditor on behalf of said debtor in an amount calculated for an accelerated repayment of a debt. 
   
   
       9 . The bill-paying system of  claim 8 , wherein the second mechanism is further configured to collect an enrollment fee from said debtor for an on-going service that includes the operation of paying said creditor. 
   
   
       10 . The bill-paying system of  claim 9 , wherein the periodically debiting of said DDA coincides with said first regular schedule. 
   
   
       11 . The bill-paying system of  claim 10 , wherein the paying of said creditor coincides with said second regular schedule that differs from said first regular schedule, and such a difference in said first and second regular schedules provides for said accelerated repayment. 
   
   
       12 . The bill-paying system of  claim 11 , wherein the periodically debiting, the charging said service fee, and the paying of said creditor each are implemented by a series of transmissions of ACH-files to the ODFI that has access to said DDA, service fee account, and custody account, and that can forward funds to said creditor. 
   
   
       13 . The bill paying system of  claim 1 , wherein said DDA is periodically credited with a second credit on a second regular credit schedule. 
   
   
       14 . The bill paying system of  claim 13 , wherein at least one of said credits comprises a direct deposit of a debtor paycheck. 
   
   
       15 . The bill paying system of  claim 1 , wherein said mechanism is further adapted to be coupled to a second creditor account belonging to a second creditor of said debtor, said mechanism further adapted for determining a second amount and date that funds from said custody account are to be transferred to said second creditor account to pay a second debt owed said second creditor by said debtor. 
   
   
       16 . The bill paying system of  claim 15 , wherein said debt comprises an interest-bearing debt and said second debt comprises a non-interest-bearing debt. 
   
   
       17 . The bill paying system of  claim 1 , further comprising a reporting mechanism adapted to report to said debtor the transfer of funds from said custody account to said plurality of creditor accounts, and to report to said debtor an adjusted credit term. 
   
   
       18 . The bill paying system of  claim 1 , wherein said mechanism further comprises a trust finder mechanism. 
   
   
       19 . The bill paying system of  claim 1 , wherein said mechanism further comprises a campaign product. 
   
   
       20 . The bill paying system of  claim 1 , wherein the DDA receives credits over time that are in excess of a particular debt owed by said debtor.