System and method for varying electronic settlements between buyers and suppliers with dynamic discount terms

Abstract

A method of making payment. A request is received to effect payment between a buyer and a seller for a transaction having established terms. The terms include a payment amount and a settlement date. Messages are exchanged between the buyer and the seller that include an offer and acceptance of new terms for payment other than the established terms. The new terms include an adjusted amount of payment to be made at a particular time after an event associated with the transaction. An electronic notification that the event has occurred is received, and after the notification, payment between the buyer and seller is effected under the new terms. In one implementation, a digital signature indicating acceptance of the new terms is received. Another embodiment of the invention is directed to a method of effecting payment that includes receiving requests to effect a set of transactions with a set of entities. Requests for offers of terms different than the established terms are sent to the entities, and the different terms are to apply to payment made at a particular time after the event. Offers are received in response to the requests, and a set of offers among the offers is selected based on a set of one or more criteria. Requests for offers and selection of the offers may be made based on a goal seeking process. Another embodiment of the invention is directed to a method of making payment involving a buyer, seller and a third party, such as a financial institution. A system for making payment is also described.

What is claimed is:  
     
         1 . A method of making payment comprising: 
 receiving a request to effect payment between a buyer and a seller for a transaction having established terms, the terms including a payment amount and a settlement date;    exchanging messages between the buyer and seller that include an offer and acceptance of new terms for payment other than the established terms, wherein the new terms include an adjusted amount of payment to be made at a particular time after an event associated with the transaction;    receiving an electronic notification that the event has occurred; and    after the notification, effecting payment between the buyer and seller under the new terms.    
     
     
         2 . The method of  claim 1 , wherein the event includes an electronic indication of approval of the seller's invoice by the buyer.  
     
     
         3 . The method of  claim 1 , wherein the event includes an electronic indication that the seller has shipped goods ordered in the transaction.  
     
     
         4 . The method of  claim 1 , wherein the event includes an electronic indication that the buyer has received goods ordered in the transaction.  
     
     
         5 . The method of  claim 1 , wherein the event includes an electronic indication that the buyer has authorized payment for the transaction.  
     
     
         6 . The method of  claim 1 , wherein the different terms comprise a discount in exchange for payment a particular time between the settlement date and the event.  
     
     
         7 . The method of  claim 1 , wherein the established terms include a discount date before which the seller is willing to offer a particular discount and the new terms comprise a discount different from the discount provided in the established terms in exchange for payment a particular time earlier than the discount date.  
     
     
         8 . The method of  claim 1 , wherein the established terms include a discount date before which the seller is willing to offer a particular discount and the new terms comprise a discount different from the discount provided in the established terms in exchange for payment a particular time later than the discount date.  
     
     
         9 . The method of  claim 1 , wherein the acceptance of new terms occurs after the receiving of the electronic notification that the even has occurred.  
     
     
         10 . The method of  claim 1 , including receiving a digital signature indicating acceptance of the new terms.  
     
     
         11 . A method of making payment comprising: 
 receiving a request to effect payment between a buyer and a seller for a transaction having established terms, the terms including a payment amount and a settlement date;    exchanging messages between the buyer and seller that include an offer and acceptance of new terms for payment other than the established terms, wherein the new terms include an adjusted amount of payment to be made at a particular time after an event associated with an invoice for the transaction;    receiving the invoice from the seller;    receiving an electronic notification that the event associated with the invoice has occurred; and    after the notification, effecting payment between the buyer and seller under the new terms.    
     
     
         12 . The method of  claim 11 , including validating the invoice for having been sent by the seller and wherein the event occurs after the validating.  
     
     
         13 . The method of  claim 11 , including electronically checking data in the invoice and wherein the event occurs only if the data meets particular criteria.  
     
     
         14 . A method of effecting payment comprising: 
 receiving requests to effect a set of transactions with a set of entities, the transactions having established terms;    receiving a set of electronic notifications of events associated with the transactions;    sending to the entities a set of requests for offers of terms different than the established terms, the different terms to applying to payment made at a particular time after the event;    receiving offers in response to the requests;    selecting a set of offers from among the offers based on a set of one or more criteria; and    after the respective events, effecting payment to the respective entities associated with the selected offers under terms in the respective offers.    
     
     
         15 . The method of  claim 14 , wherein the events associated with the transactions include acceptance of invoices associated with respective transactions.  
     
     
         16 . The method of  claim 14 , wherein the events associated with the transactions include approval of payment for the respective transactions.  
     
     
         17 . The method of  claim 14 , including making a series of requests to individual entities for offers of terms and receiving from individual entities a set of offers in response to requests in the series.  
     
     
         18 . The method of  claim 17 , including making the requests in the series over time and with terms that are incrementally more attractive to the individual entities.  
     
     
         19 . The method of  claim 14 , including sending to individual entities a message with a series of different terms among which the entities may select to make the offers of terms.  
     
     
         20 . The method of  claim 19 , wherein the series of different terms includes sets of proposed amounts of payment and associated proposed dates of the payment.  
     
     
         21 . The method of  claim 20 , wherein the sets include multiple proposed amounts of payment associated with at least some of the proposed dates of payment.  
     
     
         22 . The method of  claim 14 , wherein the set of one or more criteria includes a risk assessment of the respective entity.  
     
     
         23 . The method of  claim 14 , wherein the set of one or more criteria includes amount of savings per transaction.  
     
     
         24 . The method of  claim 14 , wherein the set of one or more criteria includes amount of time remaining before settlement date in the respective transaction.  
     
     
         25 . The method of  claim 14 , wherein the set of entities comprises sellers, and the set of requests for offers is sent by a buyer's system.  
     
     
         26 . The method of  claim 14 , including automatically generating the requests in response to the notifications.  
     
     
         27 . The method of  claim 14 , including automatically generating the set of offers in response to the requests based on a set of one or more criteria established by the entities.  
     
     
         28 . The method of  claim 14 , the set of one or more criteria established by the entities include a risk assessment of the entity sending the requests for offers.  
     
     
         29 . A method of making payment comprising: 
 receiving notification regarding the existence of a transaction between a buyer and a seller, the transaction having established terms, the terms including a payment amount and a settlement date;    exchanging messages between the buyer, seller and a third party that include an offer and acceptance of new terms for payment other than the established terms, wherein the new terms include an amount of payment to be made by the third party to the seller at a particular time after an event associated with the transaction;    receiving an electronic notification that the event has occurred;    after the notification, effecting payment of the adjusted payment from the third party to the seller under the new terms; and    after the payment by the third party, effecting payment between the buyer and the financial institution under the new terms.    
     
     
         30 . The method of  claim 29 , wherein the event includes an electronic indication of approval of the seller's invoice by the buyer.  
     
     
         31 . The method of  claim 29 , wherein the event includes an electronic indication that the seller has shipped goods ordered in the transaction.  
     
     
         32 . The method of  claim 29 , wherein the event includes an electronic indication that the buyer has received goods ordered in the transaction.  
     
     
         33 . The method of  claim 29 , wherein the event includes an electronic indication that the end user at the buyer has received goods ordered in the transaction.  
     
     
         34 . The method of  claim 29 , wherein the acceptance of new terms occurs after the receiving of the electronic notification that the even has occurred.  
     
     
         35 . The method of  claim 29 , including receiving a digital signature indicating acceptance of the new terms.  
     
     
         36 . The method of  claim 29 , including validating an invoice for the transaction, the validating to determine that the invoice has been sent by the seller and wherein the event occurs after the validating.  
     
     
         37 . The method of  claim 29 , including electronically checking data in an invoice for the transaction and the event occurs only if the data meets particular criteria.  
     
     
         38 . A system for making payment comprising: 
 a first system associated with a seller, the first system including, 
 logic that generates an invoice and sends the invoice to a buyer, the invoice having an associated set of terms; and  
 logic that, in response to a request for an offer from the buyer, sends at least an offer to the buyer for a new set of terms other than the associated set of terms, the offer applying to payment after an event associated with processing of the invoice;  
   a second system associated with a buyer, the second system including, 
 logic that receives the invoice from the seller;  
 logic that generates and sends to the seller the request for an offer;  
 logic that receives the offer from the seller;  
 logic that sends an electronic indication to the seller accepting the offer from the seller;  
 logic that generates electronic indications of events associated with processing of the invoice; and  
 logic that effects payment from the buyer to the seller according to the new terms after receipt of electronic indication of the event associated with the processing of the invoice.  
   
     
     
         39 . The system of  claim 38 , wherein the event includes an electronic indication of approval of the seller's invoice by the buyer.  
     
     
         40 . The system of  claim 38 , wherein the second system includes logic that 
 sends requests for offers of new sets of terms to systems associated with a plurality of sellers, the offers applying to payment after an event associated with processing of associate invoices and the new terms different from previously established terms associated with the invoices;    and in response to offers for new terms, accepts a subset of the offers and effects payment under the new terms after the respective events.    
     
     
         41 . The system of  claim 40 , including logic that selects the subset of offers based on whether a goal has been met.  
     
     
         42 . The system of  claim 41 , wherein the goal includes an amount of savings.  
     
     
         43 . The system of  claim 38 , wherein the first system includes logic that 
 sends requests for offers of new sets of terms to systems associated with a plurality of buyers, the offers applying to payment after an event associated with processing of associated invoices;    and in response to offers for new terms, accepts a subset of the offers and accepts payment under the new terms after the respective events.