Merchant Payment Vehicle Linking for Real-Time Fund Verification

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Solution Overview

Problem

Existing merchant-issued payment vehicles are typically linked to dedicated financial accounts or ACH-decoupled debit cards, lacking the ability to check for non-sufficient funds before authorization and incurring processing fees.

Innovation Solution

A system that links a merchant-issued payment vehicle to a customer's preexisting financial account, enabling real-time fund availability checks and integrating with customer loyalty programs, using a unique identification number and a payment processor to manage transactions.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Adaptability or versatility

If a merchant issues a payment vehicle linked to a dedicated financial account, then the merchant can establish credit lines and manage payments independently, but the system complexity increases and processing fees are incurred

Engineering Contradiction:

Improvemerchant payment independenceVSAvoidsystem complexity

Core Design Contradiction:

Adaptability or versatilityVSDevice complexity

Solution Approach 1:

The patent introduces an intermediary system that links the merchant-issued payment vehicle to the customer's existing financial account through a unique identification number. This mediator enables the merchant to independently issue and manage payment vehicles without creating dedicated financial accounts, thereby reducing system complexity while maintaining merchant payment independence.

Inventive Principle:

Principle #24Intermediary (Mediator)

2Ease of operation

If a merchant issues a decoupled debit card settled through ACH, then the customer can use existing financial accounts, but real-time fund availability cannot be verified and processing fees apply

Engineering Contradiction:

Improvecustomer convenienceVSAvoidfund availability verification

Core Design Contradiction:

Ease of operationVSReliability

Solution Approach 1:

The patent enables preliminary verification of fund availability by checking the customer's existing financial account balance before authorizing the transaction. The system performs this check in real-time through the linking mechanism, ensuring sufficient funds exist before the merchant completes the payment, thereby eliminating the risk of non-sufficient funds while maintaining customer convenience.

Inventive Principle:

Principle #10Preliminary action

3Loss of energy

If a payment vehicle is linked to a preexisting financial account, then processing fees are reduced and real-time verification is enabled, but the system must manage account linking and updates

Engineering Contradiction:

Improveprocessing feesVSAvoidaccount management complexity

Core Design Contradiction:

Loss of energyVSDevice complexity

Solution Approach 1:

The patent implements a self-service mechanism where the customer's existing financial account automatically provides fund verification and transaction processing capabilities. The system leverages the account holder's own financial infrastructure, eliminating the need for the merchant to maintain separate account management systems while reducing processing fees through direct account access.

Inventive Principle:

Principle #25Self-service

Data Source

PatentUS20250342523A1Merchant issued payment vehicles linked to preexisting financial accounts

Publication Date: 2025.11.06 WORLDPAY LLC

AI summary

Systems and methods are provided for linking a customer's preexisting financial account to a merchant issued payment vehicle. If an account number associated with the preexisting financial account changes, the linking of the merchant issued payment vehicle is updated with an updated account number.