Smart POS selection and routing system

Abstract

The present invention relates to a system (1) for minimizing costs by routing payment transactions to the bank with the most favorable commission rate.

Description

[0001] SMART POS SELECTION AND ROUTING SYSTEM Technical Field

[0002] The present invention relates to a system for minimizing costs by routing payment transactions to the bank with the most favorable commission rate.

[0003] Background of the Invention

[0004] Today, in addition to the functions of purchasing goods or services within a certain limit and paying in installments with credit cards, different payment methods such as cash, debit card or check are also used. By using various payment instruments, users aim to choose the most suitable option for their financial situation. However, during payment, users may experience dissatisfaction due to the limited payment methods offered depending on the contracts of the stores. The need for different and flexible payment options increases, especially in cases of high expenditures, such as hospital payments. Existing systems fail to provide cost advantages to payment institutions and support only certain payment methods with limited integration possibilities. This situation results in deficiencies in offering improvements to increase transaction success rates and solutions that reduce error rates.

[0005] For this reason, considering the studies and deficiencies included in the current technique, it is understood that there is a need for a system for reducing costs by selecting the most optimal and long-term profit-maximizing bank from among multiple POS devices during payment.

[0006] The Korean patent document no. KR20190029555 A, another application included in the state of the art, discloses a system which enables commission and discountrates to be adjusted by selectively using various payment methods such as credit card, check card and cash payment. The system included in the said invention provides an interface which enables a check card with a lower commission rate than a credit card to be selected and the discount rate to be adjusted. The system provides screens showing payment progress through a web-based user interface (UI) and the user performs payment steps through the terminal. When credit card is selected as the payment method, it comprises processes such as determining the installment period, calculating the fee and sending a payment request to VAN / PG servers. The smart payment system comprises components such as a payment processing unit which carries out payment transactions, a database which stores transaction data, a payment cancellation unit which cancels payments, and a payment management unit which manages detailed transaction information. The payment processing unit manages various payment methods through modules such as card payment processing, cash payment, manual payment, SMS payment and compound payment. The system facilitates transactions by connecting to user terminals in connected stores, enables users to track daily, weekly and monthly transaction data and makes expense management practical.

[0007] Summary of the Invention

[0008] An object of the present invention is to realize a system for routing customer payments to the suitable bank terminal by providing the most optimal and profitmaximizing flexible infrastructure through POS (Point of Sale) devices used in payment transactions.

[0009] Detailed Description of the Invention

[0010] “Smart Pos Selection and Routing System” realized to fulfil the objective of the present invention is shown in the figure attached, in which:

[0011] Figure l is a schematic view of the inventive system.The components illustrated in the figure are individually numbered, where the numbers refer to the following:

[0012] 1. System

[0013] 2. Terminal device

[0014] 3. Database

[0015] 4. Server

[0016] An inventive system (1) for minimizing costs by routing payment transactions to the bank with the most favorable commission rate comprises;

[0017] at least one terminal device (2) which can carry out at least one payment transaction thereon and establish communication with remote servers by using any remote communication protocol;

[0018] at least one database (3) which is configured to enable data on the type of user card, transaction amount, date and time of the transaction, and the bank information to which the terminal device (2) is connected to be recorded; and

[0019] at least one server (4) which is configured to check the terminal device (2) with the banks that will provide payment services; to assess templates for installment transactions based on sales type; to provide transaction routing by using bank identification number, card type and prioritization data in order to select the suitable terminal device (2); to route the transaction according to the matching status by checking the bank information matching; or to carry out the payment transaction by selecting the terminal with the most favorable commission rate.

[0020] The terminal device (2) included in the inventive system (1) is configured to establish communication and exchange data with the server (4) by using any communication protocol. The terminal device (2) is configured to be managed by the server (4). The terminal device (2) is configured to enable the user cardfeatures, the Bank Identification Number (BIN), and the type of cash or installment payment to be routed to the bank terminal.

[0021] The database (3) included in the inventive system (1) is configured to establish communication and exchange data with the server (4) by using any communication protocol. The database (3) is configured to be managed by the server (4). The database (3) is configured to enable the type of user card, transaction amount, date and time of the transaction, bank information to which the terminal device (2) is connected, integration information with the suitable banks with which the terminal device (2) can carry out transactions, and the commission rates suitable for the payment to be recorded. The database (3) is configured to provide the user with at least one interface for viewing transaction details, comparing commission rates of suitable banks and providing payment routing options.

[0022] The server (4) included in the inventive system (1) is configured to establish communication and exchange data with the database (2) by using any communication protocol. The server (4) is configured to generate basic parameters by collecting merchant, bank-side terminal, revenue sharing and authorization information. The server (4) is configured to continuously check the status of banks suitable to provide payment services and the terminal device (2). The server (4) is configured to decide through which bank and terminal the payments are to be made by assessing the information of the terminal device (2) suitable for the payment service. The server (4) is configured to enable the transactions of the sales type to be classified as cash or installment by optimizing the decision mechanism in the payment flow based on the sales type. The server (4) is configured to enable a template to be generated that determines the most suitable bank terminal, comprising the bank identification number, individual prioritization, card type and terminal prioritization ranking data in order to enable the terminal device (2) selection in the transaction flow and perform transaction routing. The server (4) is configured to select the suitable terminal device (2) bychecking the templates defined for installment transactions. The server (4) is configured to select the terminal device (2) based on the default template in case there is no defined template. The server (4) is configured to enable the bank identification number definition to be checked via the template if there is no turnover target. The server (4) is configured to assess the card type definition by checking whether there is a suitable terminal device (2) if there is a bank identification number definition, and to check the prioritization order for the terminal device (2) if there is no bank identification number definition. The server (4) is configured to check the ON-US (issuing bank is the same as the bank receiving payment from the card) bank information match. The server (4) is configured to route the transaction through the ON-US bank if the ON-US bank information for the transaction matches, and to route the payment transaction through the ON-US bank if the ON-US bank match is not found by determining the terminal device (2) with the most favorable commission rate.

[0023] Industrial Application of the Invention

[0024] By means of the inventive system (1), transactions errors are minimized, revenue optimization is enabled, and high efficiency and financial cost advantages are created for businesses that work with many banks by providing businesses with an optimal and profit-maximizing flexible infrastructure in payment processes.

[0025] Within these basic concepts; it is possible to develop various embodiments of the inventive “Smart Pos Selection and Routing System (1)”; the invention cannot be limited to examples disclosed herein and it is essentially according to claims.

Claims

CLAIMS1. A system (1) for minimizing costs by routing payment transactions to the bank with the most favorable commission rate; comprisingat least one terminal device (2) which can carry out at least one payment transaction thereon and establish communication with remote servers by using any remote communication protocol;at least one database (3) which is configured to enable data on the type of user card, transaction amount, date and time of the transaction, and the bank information to which the terminal device (2) is connected to be recorded; and characterized byat least one server (4) which is configured to check the terminal device (2) with the banks that will provide payment services; to assess templates for installment transactions based on sales type; to provide transaction routing by using bank identification number, card type and prioritization data in order to select the suitable terminal device (2); to route the transaction according to the matching status by checking the bank information matching; or to carry out the payment transaction by selecting the terminal with the most favorable commission rate.

2. A system (1) according to Claim 1; characterized by the terminal device (2) which is configured to establish communication and exchange data with the server (4) by using any communication protocol.

3. A system (1) according to Claim 1 or 2; characterized by the terminal device (2) which is configured to be managed by the server (4).

4. A system (1) according to any one of the preceding claims; characterized by the terminal device (2) which is configured to enable the user card features, the Bank Identification Number, and the type of cash or installment payment to be routed to the bank terminal.

5. A system (1) according to any one of the preceding claims; characterized by the database (3) which is configured to establish communication and exchange data with the server (4) by using any communication protocol.

6. A system (1) according to any one of the preceding claims; characterized by the database (3) which is configured to be managed by the server (4).

7. A system (1) according to any one of the preceding claims; characterized by the database (3) which is configured to enable the type of user card, transaction amount, date and time of the transaction, bank information to which the terminal device (2) is connected, integration information with the suitable banks with which the terminal device (2) can carry out transactions, and the commission rates suitable for the payment to be recorded.

8. A system (1) according to any one of the preceding claims; characterized by the database (3) which is configured to provide the user with at least one interface for viewing transaction details, comparing commission rates of suitable banks and providing payment routing options.

9. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to establish communication and exchange data with the database (2) by using any communication protocol.

10. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to generate basic parameters by collecting merchant, bank-side terminal, revenue sharing and authorization information.

11. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to continuously check the status of banks suitable to provide payment services and the terminal device (2).

12. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to decide through which bank and terminal the payments are to be made by assessing the information of the terminal device (2) suitable for the payment service.

13. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to enable the transactions of the sales type to be classified as cash or installment by optimizing the decision mechanism in the payment flow based on the sales type.

14. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to enable a template to be generated that determines the most suitable bank terminal, comprising the bank identification number, individual prioritization, card type and terminal prioritization ranking data in order to enable the terminal device (2) selection in the transaction flow and perform transaction routing.

15. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to select the suitable terminal device (2) by checking the templates defined for installment transactions.

16. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to select the terminal device (2) based on the default template in case there is no defined template.

17. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to enable the bank identification number definition to be checked via the template if there is no turnover target.

18. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to assess the card type definition by checking whether there is a suitable terminal device (2) if there is a bank identification number definition, and to check the prioritization order for the terminal device (2) if there is no bank identification number definition.

19. A system (1) according to any one of the preceding claims; characterized by the server (4) which is configured to check the ON-US bank information match.

20. A system (1) according Claim 20; characterized by the server (4) which is configured to route the transaction through the ON-US bank if the ON-US bank information for the transaction matches, and to route the payment transaction through the ON-US bank if the ON-US bank match is not found by determining the terminal device (2) with the most favorable commission rate.

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