Systems and methods for routing electronic transactions using network simulation and forecasting

Patent metadata

Field	Value
Publication number	US-2023419323-A1
Application number	US-202318463856-A
Country	US
Kind code	A1
Filing date	Sep 8, 2023
Priority date	Dec 19, 2016
Publication date	Dec 28, 2023
Grant date	—

Abstract

Systems and methods are for routing electronic payment transactions to PIN-less networks using payment pseudo-networks and electronic transaction simulation. One method comprises: receiving transaction-related information from a merchant, the transaction-related information including a bank identification number (“BIN”), one or more available network IDs, one or more merchant categories, an issuer regulatory status, a transaction amount, and a preferred status; extracting routing criteria from the received transaction-related information; dynamically identifying one or more eligible networks based on extracted routing criteria; dynamically identifying one or more breakeven transaction amounts for each identified eligible network, each breakeven transaction amount defining a point at which two or more eligible networks have the same expenses for a given transaction amount; and routing signature debit transactions from the merchant to a least cost PIN-less network selected from the eligible networks based on identification of a desired breakeven transaction amount for the PIN-less network.

First claim

1 - 20 . (canceled)

21 . A method comprising:
receiving transaction-related information from a merchant via an electronic network; identifying eligible payment networks based on transaction routing criteria associated with the transaction-related information; generating one or more pseudo-networks corresponding to one or more of the eligible payment networks, each pseudo-network comprising a modification of a network to account for a change in regulatory exemption status or a change in preferred status; identifying a lowest opportunity-cost network from among the eligible payment networks and the one or more pseudo-networks; and routing the transaction-related information to the lowest opportunity-cost network.

22 . The method of claim 21 , further comprising:
generating a rate table including comprising a sorting of the eligible payment networks and the one or more pseudo-networks.

23 . The method of claim 22 , further comprising:
receiving negotiated volume discounts or regulatory exemption thresholds; and executing a model based on routing transactions across the rate table, constrained by the negotiated volume discounts or regulatory exemption thresholds.

24 . The method of claim 21 , wherein the transaction related information further includes one or more of:
a primary account number; an issuer identification number; a payment card number; a mode of payment including a swiping of a card, keying in an identification related to the payment network, a contactless mode of payment, or a mode of payment that utilizes a chip; and whether an address verification system was utilized.

25 . The method of claim 21 , further comprising:
generating a display of routing and settlement across the eligible payment networks.

26 . The method of claim 21 , further comprising:
generating a display of a first grouping of the eligible payment networks to which a set of transactions were routed relative to a second grouping of the eligible payment networks to which the set of transactions could have been routed, for an overall cost savings to the merchant.

27 . The method of claim 26 , further comprising:
generating a plurality of user elements enabling the merchant to reveal a group of transaction routing decisions according to issuer, regulatory exemption status, and preference or preferred rate status.

28 . A system comprising:
a memory configured to store instructions; and one or more processors configured to execute the instructions to perform operations comprising:
receiving transaction-related information from a merchant via an electronic network;
identifying eligible payment networks based on transaction routing criteria associated with the transaction-related information;
generating one or more pseudo-networks corresponding to one or more of the eligible payment networks, each pseudo-network comprising a modification of a network to account for a change in regulatory exemption status or a change in preferred status;
identifying a lowest opportunity-cost network from among the eligible payment networks and the one or more pseudo-networks; and
routing the transaction-related information to the lowest opportunity-cost network.

29 . The system of claim 28 , wherein the operations further comprise:
generating a rate table including comprising a sorting of the eligible payment networks and the one or more pseudo-networks.

30 . The system of claim 29 , wherein the operations further comprise:
receiving negotiated volume discounts or regulatory exemption thresholds; and executing a model based on routing transactions across the rate table, constrained by the negotiated volume discounts or regulatory exemption thresholds.

31 . The system of claim 28 , wherein the transaction related information further includes one or more of:
a primary account number; an issuer identification number; a payment card number; a mode of payment including a swiping of a card, keying in an identification related to the payment network, a contactless mode of payment, or a mode of payment that utilizes a chip; and whether an address verification system was utilized.

32 . The system of claim 28 , wherein the operations further comprise:
generating a display of routing and settlement across the eligible payment networks.

33 . The system of claim 28 , wherein the operations further comprise:
generating a display of a first grouping of the eligible payment networks to which a set of transactions were routed relative to a second grouping of the eligible payment networks to which the set of transactions could have been routed, for an overall cost savings to the merchant.

34 . The system of claim 28 , wherein the operations further comprise:
generating a plurality of user elements enabling the merchant to reveal a group of transaction routing decisions according to issuer, regulatory exemption status, and preference or preferred rate status.

35 . A non-transitory computer-readable medium storing instructions that, when executed by one or more processors, cause the one or more processors to perform operations comprising:
receiving transaction-related information from a merchant via an electronic network; identifying eligible payment networks based on transaction routing criteria associated with the transaction-related information; generating one or more pseudo-networks corresponding to one or more of the eligible payment networks, each pseudo-network comprising a modification of a network to account for a change in regulatory exemption status or a change in preferred status; identifying a lowest opportunity-cost network from among the eligible payment networks and the one or more pseudo-networks; and routing the transaction-related information to the lowest opportunity-cost network.

36 . The non-transitory computer-readable medium of claim 35 , wherein the operations further comprise:
generating a rate table including comprising a sorting of the eligible payment networks and the one or more pseudo-networks.

37 . The non-transitory computer-readable medium of claim 36 , wherein the operations further comprise:
receiving negotiated volume discounts or regulatory exemption thresholds; and executing a model based on routing transactions across the rate table, constrained by the negotiated volume discounts or regulatory exemption thresholds.

38 . The non-transitory computer-readable medium of claim 35 , wherein the transaction related information further includes one or more of:
a primary account number; an issuer identification number; a payment card number; a mode of payment including a swiping of a card, keying in an identification related to the payment network, a contactless mode of payment, or a mode of payment that utilizes a chip; and whether an address verification system was utilized.

39 . The non-transitory computer-readable medium of claim 35 , wherein the operations further comprise:
generating a display of routing and settlement across the eligible payment networks.

40 . The non-transitory computer-readable medium of claim 35 , wherein the operations further comprise:
generating a display of a first grouping of the eligible payment networks to which a set of transactions were routed relative to a second grouping of the eligible payment networks to which the set of transactions could have been routed, for an overall cost savings to the merchant.

Assignees

• Worldpay Llc

Inventors

• Kettler Dennis
• Deangelo Scott Wayne

Classifications

• G06Q20/4012 Primary

  Verifying personal identification numbers [PIN] · CPC title

• G06Q20/34

  using cards, e.g. integrated circuit [IC] cards or magnetic cards · CPC title

• G06Q20/027 Primary

  involving a payment switch or gateway · CPC title