Electronic Bill Payment System Using Scanning and Data Processing

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Solution Overview

Problem

The existing bill payment process is time-consuming and prone to errors due to the multiple pieces of paper involved, making it inefficient for consumers, billers, and check processing systems.

Innovation Solution

The system simplifies bill payments by enabling electronic delivery and processing of bill payments, eliminating the need for checks and remittance stubs through a network connection between consumers, billers, delivery service providers, and financial institutions, using advanced scanning and data processing technologies to digitize and automate the payment process.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Ease of operation

If traditional paper-based bill payment process is used with checks and remittance stubs, then consumers can physically submit payments, but the process becomes time-consuming and error-prone due to multiple pieces of paper

Engineering Contradiction:

Improveease of payment processVSAvoidtime for payment processing

Core Design Contradiction:

Ease of operationVSLoss of time

Solution Approach 1:

The patent replaces physical checks and remittance stubs with electronic images/copies of these documents. The scanning system creates digital replicas of the original paper documents, allowing automated processing without handling multiple physical pieces of paper, thereby reducing time and errors while maintaining the essential payment information

Inventive Principle:

Principle #26Copying

Solution Approach 2:

The patent substitutes the manual mechanical process of physically handling, sorting, and processing paper checks and remittance stubs with an automated optical scanning and image processing system. This replaces the mechanical paper-based workflow with an electronic digital workflow, eliminating the time-consuming manual operations

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

2Reliability

If multiple pieces of paper (check, remittance stub, envelope) are used for payment, then payment information can be conveyed, but the complexity of processing increases and errors occur

Engineering Contradiction:

Improveaccuracy of payment processingVSAvoidcomplexity of payment system

Core Design Contradiction:

ReliabilityVSDevice complexity

Solution Approach 1:

The patent merges the separate functions of the check, remittance stub, and envelope into a single integrated electronic image. Instead of processing multiple separate paper documents through complex sorting and routing systems, the scanned image contains all necessary payment information in one unified digital format, reducing system complexity and improving reliability

Inventive Principle:

Principle #5Merging (Combining)

Solution Approach 2:

The scanned electronic image serves multiple functions simultaneously: it acts as the payment instrument, contains remittance information, provides routing data, and serves as the official record. This multi-functional electronic document replaces several specialized paper forms, simplifying the overall system while maintaining reliability

Inventive Principle:

Principle #6Universality (Multi-functionality)

3Productivity

If manual processing of paper payments is used, then consumers can submit payments physically, but efficiency and speed of payment processing decrease

Engineering Contradiction:

Improvespeed of payment processingVSAvoidlevel of automated processing

Core Design Contradiction:

ProductivityVSExtent of automation

Solution Approach 1:

The patent performs preliminary scanning and image capture of the payment documents before they enter the main processing workflow. By converting paper to electronic images upfront, the system prepares the payment data in advance for automated processing, enabling faster subsequent handling and increasing overall productivity

Inventive Principle:

Principle #10Preliminary action

Solution Approach 2:

The patent replaces manual mechanical processing of paper payments with automated optical scanning and electronic image processing systems. This substitution enables high-speed automated handling, sorting, and routing of payment information, dramatically increasing processing speed and productivity while establishing a foundation for further automation

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

Data Source

PatentUS8195567B2Methods and systems for providing scanned mail delivery channel and automatic payment of reply mail

Publication Date: 2012.06.05 US POSTAL SERVICE

AI summary

Exemplary systems and methods eliminate a check or a remittance stub from a bill payment process, which may simplify the bill payment process for consumers, providers, and check processing systems. A delivery service provider receives a delivery item at a delivery processing center. It is determined that an account associated with the delivery item is designated for electronic payment. Contents of the delivery item are scanned, and converted into electronic data, which is made available to a biller.