Financial management system including an offset payment process
US006532450B1
(12) United States Patent
(10) Patent N0.: (45) Date of Patent:
Brown et al.
INCLUDING AN OFFSET PAYMENT PROCESS
International: Offers One—of—a—kind, WindoW—Based Inte
grated Recovery System to Clients”, Dialog File 16, Access No. 04585201/9, Sep. 1996.*
(75) Inventors: Zipora Brown, Fairfax, VA (US);
“http://WWW.rsi—World.com/neWs/narex.htm”, About RSI
Michael Vernon Baker, Herndon, VA
page. NeWs release, Jul. 1998.*
(Us)
(List continued on next page.)
(73) Assignee: American Management Systems, Inc., Fairfax, VA (US) Notice:
Primary Examiner—James P. Trammell
Subject to any disclaimer, the term of this patent is extended or adjusted under 35
Assistant Examiner—Pierre E. Elisca
U.S.C. 154(b) by 0 days.
(57)
(74) Attorney, Agent, or Firm—Staas & Halsey LLP
?nancial management system handling receivables and a
Dec. 9, 1998
second ?nancial management system handling payables.
(51)
Int. Cl.7 .............................................. .. G06F 17/00
(52)
US. Cl. ....................................................... .. 705/40
(58)
Field of Search ............................. .. 705/30, 40, 38
(56)
The receivables system sends debt offset information to an
offset payment system and the payables system sends pay ment information to the offset payments system. The offset payment system either makes a payment or offsets the
payment With the debt. The ?nancial management systems receive offset information from the offset payment system. The system designates debt and payments that are suitable for offset using threshold criteria. The system alloWs admin
References Cited U.S. PATENT DOCUMENTS 5,390,113 A *
2/1995 Sampson
5,875,435 A
*
2/1999
5,966,698 A
* 10/1999
istrative fees and other charges, such as interrest and penalties, to be added to the debt. During the referral of the
Brown ...................... .. 705/30 Pollin ...... ..
. 705/34
5,991,733 A * 11/1999 Aleia etal. 6,023,694 A * 2/2000 Kouchietal.
debt to the offset payments system, the debtor as Well as other parties, such as credit bureaus, are informed or noti?ed of the delinquent debt. When an offset occurs the system feeds the amount of the offset back to the receivables and
705/8 707/2
6,041,312 A
*
3/2000 Bickerton et al.
6,073,104 A
*
6/2000
.. 705/30
Field ........................... .. 705/1
payables systems to update the records therein to re?ect the
FOREIGN PATENT DOCUMENTS JP WO
2002007754 A WO94/23528
*
ABSTRACT
The present invention is a system that includes a ?rst
(21) Appl. No.: 09/207,681 (22) Filed:
Mar. 11, 2003
“TSYS Forms Strategic Alliance With Rothernberg Systems
(54) FINANCIAL MANAGEMENT SYSTEM
(*)
US 6,532,450 B1
amount and that the amount Was an offset. That is, an
authorized payment is shoWn as fully or partially offset and a debt is shoWn as fully or partially satisfy via the offset. The records of ?nancial management systems are updated When a payment is made by the debtor after a referral has occurred, When a decision is made to Write-off the debt. The invention also provides for reconciliation. Online access to the records
1/2002
* 10/1994
........ .. H04M/15/00
OTHER PUBLICATIONS
Riverbark, Leigh, “Paychecks could be cut to repay delin
quent loans”, Federal Times, vol. 32 Issue 51, p3, 1/3p, Jan.
is also provided.
1997.*
Cordell, Larry, “Scoring Tools to Battle Delinquencies”, Mortgage Banking, vol. 58, p49, 5p., Feb. 1998.*
2 Claims, 18 Drawing Sheets
ONLINE QUERY
2? I
i,
658 .
WEB WEB FRONT END
» RECEIVABLE » DEBTOR/PAYEE
PAYEE/ PHONE
DEBTO
TELEPHONY FRONT END
' PAYMENT
682
ISSUE NOTIFICATION A
670
‘578 ANALYSIS
w
680.4 STATISTICS I 674 EXTERNAL SYSTEM
US 6,532,450 B1 Page 2
OTHER PUBLICATIONS
Debt Management Services Financial Management Ser
Olsen, Florence,“Agencies are due $50 billion but systems
vices, US. Department of the Treasury, Treasury O?rset Program, Agency Implementation Guide, May, 1997, pps.
can’t collect”, Government Computer NeWs, v16, n36, p8,
1—1 to 8—2 and A—1 to N—2.
Dec. 1997.*
American Management Systems, Inc.,Aut0mated Disburse
Foltin et al., “Beyond Expert Systems:, Neural netWorks in
ments, Momentum Financials User’s Guide, Version 3.0, Nov. 1997, pps. 1—6.
accounting”, National Public Accountant, v41n6, pp:26—30, Jun. 1996*
American Management Systems, Inc., Accounts Payable,
NeWs Release, “TSYS forms strategic alliance Wit Rothen
Momentum Financials User’s Guide, Version 3.0, Aug., 1997, pps. 1—4.
berg System International: Offers One—of—a—Kind, Win doWs—Based Recovery System to Clients”, Dialog File 16,
American Management Systems, Inc.,Acc0unts Receivable,
Access No. 0458201, Sep. 1996.*
Momentum Financials User’s Guide, Version 3.0, Aug. 1997, pps. 1—6.
Dynacomp, Inc. (095443).*
* cited by examiner
U.S. Patent
Mar. 11,2003
Sheet 4 0f 18
US 6,532,450 B1
-_Z0$EQ1H59E;Qmzw_Fj9E8o5O m80 5 5 N E w.
mmU
.EME
SEESE
_EH6 92I-
_ é E w s z m é g 1 W82_9N0:26 mama_wzoilmvcwz6Qwm 8JL< 5mg F_5E6to
_ >
>
E29:61OF50w2tEo%68
U.S. Patent
Mar. 11,2003
5
Sheet 5 0f 18
US 6,532,450 B1
OUTSTANDING BILL w132
RECEIVELE TYPE CAT -
PROJECT
REVENUE TYPE RECEIVABLE
SUBJECT :
TO OIOFSET
BILL NOT
SELECTED
'
RECORD
RECEIVABLE TYPE
DEBTOR RECORD
AGE, AMOUNT,
BILL NOT
# NOTICES RANIGES ‘.7
SELECTED
DEBTOR IDENTIFICATION CODES NONBLANK?
BILL NOT SELECTED
I40
INITIAL
RECEIVABLE PROCESSING
‘
RECEIVABLE RECORD
SET OFFSET %
L39
II
‘I
RECEIVABLE TYPE
D_EBTOR
DEBTOR CATEGORY
146
BILL SELECTED FOB x152 OFFSET REFERRAL
U.S. Patent
Mar. 11,2003
Sheet 7 0f 18
US 6,532,450 B1
% 2N
.UE N
w
mow/0 :
E
.mEImE
2%58N amOom
__ _ mom a
EOmza_
2N5a.
$32 m,:
?mo 960m 5%:.3 FmED?
w20>5 2;
>Ezw m
_ozEtzo
U.S. Patent
Mar. 11,2003
Sheet 8 0f 18
US 6,532,450 B1
FIG. 8 DEBT REFERRED FOR OFFSET N236
DEBTO RECOR 234
240
234 DEBTOR
VIA FORM LETTER?
RECORO
2%
V 2%6
2%4
GENERATE
LETTER
RECEIVABLE 242
Y"
T
248
: E5
E5
LETTER
234
OEBTOR RECORD
S
294
GENERATE
RECEIVABLE
, ELECTRONIC _,
E-IVIAIL
ROUTING II
242 23¢
DEBTOR RECORD
RECEIVABLE 242
"
256
DEBSTOR
CENERATE PHONE MESSAGE
EXIT
28
g GENERATE TELEPHONE MESSAGE
TRkCK 260 S
182
S
NOTIFICATION INFORIVIATION
Egg/‘18L E '
V
DEBTOR DATA
WAREHOUSE
U.S. Patent
Mar. 11, 2003
Sheet 9 0f 18
US 6,532,450 B1
FIG. 9 286
DEBT REFERRED FOR OFFSET @282
( DEBTOR 424 430 v
RECEIVABLES
428 3
REVIEW OFFSET
v
4?
430
CALCULATE DEBT
UPDATE HLE ——>
(12) United States Patent
(10) Patent N0.: (45) Date of Patent:
Brown et al.
INCLUDING AN OFFSET PAYMENT PROCESS
International: Offers One—of—a—kind, WindoW—Based Inte
grated Recovery System to Clients”, Dialog File 16, Access No. 04585201/9, Sep. 1996.*
(75) Inventors: Zipora Brown, Fairfax, VA (US);
“http://WWW.rsi—World.com/neWs/narex.htm”, About RSI
Michael Vernon Baker, Herndon, VA
page. NeWs release, Jul. 1998.*
(Us)
(List continued on next page.)
(73) Assignee: American Management Systems, Inc., Fairfax, VA (US) Notice:
Primary Examiner—James P. Trammell
Subject to any disclaimer, the term of this patent is extended or adjusted under 35
Assistant Examiner—Pierre E. Elisca
U.S.C. 154(b) by 0 days.
(57)
(74) Attorney, Agent, or Firm—Staas & Halsey LLP
?nancial management system handling receivables and a
Dec. 9, 1998
second ?nancial management system handling payables.
(51)
Int. Cl.7 .............................................. .. G06F 17/00
(52)
US. Cl. ....................................................... .. 705/40
(58)
Field of Search ............................. .. 705/30, 40, 38
(56)
The receivables system sends debt offset information to an
offset payment system and the payables system sends pay ment information to the offset payments system. The offset payment system either makes a payment or offsets the
payment With the debt. The ?nancial management systems receive offset information from the offset payment system. The system designates debt and payments that are suitable for offset using threshold criteria. The system alloWs admin
References Cited U.S. PATENT DOCUMENTS 5,390,113 A *
2/1995 Sampson
5,875,435 A
*
2/1999
5,966,698 A
* 10/1999
istrative fees and other charges, such as interrest and penalties, to be added to the debt. During the referral of the
Brown ...................... .. 705/30 Pollin ...... ..
. 705/34
5,991,733 A * 11/1999 Aleia etal. 6,023,694 A * 2/2000 Kouchietal.
debt to the offset payments system, the debtor as Well as other parties, such as credit bureaus, are informed or noti?ed of the delinquent debt. When an offset occurs the system feeds the amount of the offset back to the receivables and
705/8 707/2
6,041,312 A
*
3/2000 Bickerton et al.
6,073,104 A
*
6/2000
.. 705/30
Field ........................... .. 705/1
payables systems to update the records therein to re?ect the
FOREIGN PATENT DOCUMENTS JP WO
2002007754 A WO94/23528
*
ABSTRACT
The present invention is a system that includes a ?rst
(21) Appl. No.: 09/207,681 (22) Filed:
Mar. 11, 2003
“TSYS Forms Strategic Alliance With Rothernberg Systems
(54) FINANCIAL MANAGEMENT SYSTEM
(*)
US 6,532,450 B1
amount and that the amount Was an offset. That is, an
authorized payment is shoWn as fully or partially offset and a debt is shoWn as fully or partially satisfy via the offset. The records of ?nancial management systems are updated When a payment is made by the debtor after a referral has occurred, When a decision is made to Write-off the debt. The invention also provides for reconciliation. Online access to the records
1/2002
* 10/1994
........ .. H04M/15/00
OTHER PUBLICATIONS
Riverbark, Leigh, “Paychecks could be cut to repay delin
quent loans”, Federal Times, vol. 32 Issue 51, p3, 1/3p, Jan.
is also provided.
1997.*
Cordell, Larry, “Scoring Tools to Battle Delinquencies”, Mortgage Banking, vol. 58, p49, 5p., Feb. 1998.*
2 Claims, 18 Drawing Sheets
ONLINE QUERY
2? I
i,
658 .
WEB WEB FRONT END
» RECEIVABLE » DEBTOR/PAYEE
PAYEE/ PHONE
DEBTO
TELEPHONY FRONT END
' PAYMENT
682
ISSUE NOTIFICATION A
670
‘578 ANALYSIS
w
680.4 STATISTICS I 674 EXTERNAL SYSTEM
US 6,532,450 B1 Page 2
OTHER PUBLICATIONS
Debt Management Services Financial Management Ser
Olsen, Florence,“Agencies are due $50 billion but systems
vices, US. Department of the Treasury, Treasury O?rset Program, Agency Implementation Guide, May, 1997, pps.
can’t collect”, Government Computer NeWs, v16, n36, p8,
1—1 to 8—2 and A—1 to N—2.
Dec. 1997.*
American Management Systems, Inc.,Aut0mated Disburse
Foltin et al., “Beyond Expert Systems:, Neural netWorks in
ments, Momentum Financials User’s Guide, Version 3.0, Nov. 1997, pps. 1—6.
accounting”, National Public Accountant, v41n6, pp:26—30, Jun. 1996*
American Management Systems, Inc., Accounts Payable,
NeWs Release, “TSYS forms strategic alliance Wit Rothen
Momentum Financials User’s Guide, Version 3.0, Aug., 1997, pps. 1—4.
berg System International: Offers One—of—a—Kind, Win doWs—Based Recovery System to Clients”, Dialog File 16,
American Management Systems, Inc.,Acc0unts Receivable,
Access No. 0458201, Sep. 1996.*
Momentum Financials User’s Guide, Version 3.0, Aug. 1997, pps. 1—6.
Dynacomp, Inc. (095443).*
* cited by examiner
U.S. Patent
Mar. 11,2003
Sheet 4 0f 18
US 6,532,450 B1
-_Z0$EQ1H59E;Qmzw_Fj9E8o5O m80 5 5 N E w.
mmU
.EME
SEESE
_EH6 92I-
_ é E w s z m é g 1 W82_9N0:26 mama_wzoilmvcwz6Qwm 8JL< 5mg F_5E6to
_ >
>
E29:61OF50w2tEo%68
U.S. Patent
Mar. 11,2003
5
Sheet 5 0f 18
US 6,532,450 B1
OUTSTANDING BILL w132
RECEIVELE TYPE CAT -
PROJECT
REVENUE TYPE RECEIVABLE
SUBJECT :
TO OIOFSET
BILL NOT
SELECTED
'
RECORD
RECEIVABLE TYPE
DEBTOR RECORD
AGE, AMOUNT,
BILL NOT
# NOTICES RANIGES ‘.7
SELECTED
DEBTOR IDENTIFICATION CODES NONBLANK?
BILL NOT SELECTED
I40
INITIAL
RECEIVABLE PROCESSING
‘
RECEIVABLE RECORD
SET OFFSET %
L39
II
‘I
RECEIVABLE TYPE
D_EBTOR
DEBTOR CATEGORY
146
BILL SELECTED FOB x152 OFFSET REFERRAL
U.S. Patent
Mar. 11,2003
Sheet 7 0f 18
US 6,532,450 B1
% 2N
.UE N
w
mow/0 :
E
.mEImE
2%58N amOom
__ _ mom a
EOmza_
2N5a.
$32 m,:
?mo 960m 5%:.3 FmED?
w20>5 2;
>Ezw m
_ozEtzo
U.S. Patent
Mar. 11,2003
Sheet 8 0f 18
US 6,532,450 B1
FIG. 8 DEBT REFERRED FOR OFFSET N236
DEBTO RECOR 234
240
234 DEBTOR
VIA FORM LETTER?
RECORO
2%
V 2%6
2%4
GENERATE
LETTER
RECEIVABLE 242
Y"
T
248
: E5
E5
LETTER
234
OEBTOR RECORD
S
294
GENERATE
RECEIVABLE
, ELECTRONIC _,
E-IVIAIL
ROUTING II
242 23¢
DEBTOR RECORD
RECEIVABLE 242
"
256
DEBSTOR
CENERATE PHONE MESSAGE
EXIT
28
g GENERATE TELEPHONE MESSAGE
TRkCK 260 S
182
S
NOTIFICATION INFORIVIATION
Egg/‘18L E '
V
DEBTOR DATA
WAREHOUSE
U.S. Patent
Mar. 11, 2003
Sheet 9 0f 18
US 6,532,450 B1
FIG. 9 286
DEBT REFERRED FOR OFFSET @282
( DEBTOR 424 430 v
RECEIVABLES
428 3
REVIEW OFFSET
v
4?
430
CALCULATE DEBT
UPDATE HLE ——>
