System and method for detecting changes in business stability

Abstract

A system for detecting changes in business stability is provided. The system includes a merchant system that receives periodic payment data from one or more users, such as credit card transaction data. A credit processor coupled to the merchant system receives the periodic payment data from the merchant system and stores the periodic payment data, such as when the credit processor is compiling the credit card transaction data for submission to a credit card company. A merchant credit/risk system coupled to the credit processor generates business stability data from the periodic payment data, such as by determining when changes in the periodic payment data exceed allowable variations for such changes.

1 - 23 . (canceled) 
     
     
         24 . A system for managing merchant accounts comprising:
 a merchant system interface operating on a processor and configured to receive a series of payment data records from a plurality of merchants, wherein each of the plurality of merchants has an associated merchant class;   a credit processor coupled to the merchant system interface, the credit processor system configured to receive the series of payment data records from the merchant system interface and to store the series of payment data records by applying one or more electronic data processing rules;   a merchant credit/risk system coupled to the credit processor, the merchant credit/risk system configured to generate business stability data from the series of payment data records for one of the plurality of merchants as a function of the series of payment data records for other merchants within the associated merchant class by applying one or more electronic data processing rules; and   an underwriting system coupled to the merchant credit/risk system, the underwriting system configured to receive escrow data for each of the plurality of merchants and business stability data for each of the plurality of merchants and to generate an indication to increase an escrow amount for one or more of the plurality of merchants for an escrow account held by a merchant processor in response to the business stability data for the one or more of the plurality of merchants and as a function of the series of payment data records for other merchants within the associated merchant class by applying one or more electronic data processing rules.   
     
     
         25 . The system of  claim 24  wherein the merchant credit/risk system further comprises a credit monitoring system configured to receive merchant credit rating data for each of the plurality of merchants and to provide the merchant credit rating data to the merchant credit/risk system, wherein the merchant credit/risk system is configured to process the merchant credit rating data to generate the business stability data for each of the plurality of merchants within an associated merchant class. 
     
     
         26 . The system of  claim 24  wherein the merchant credit/risk system further comprises a risk monitoring system configured to receive the payment data and range data for each of the plurality of merchants and to generate the business stability data from the payment data and the range data for each of the plurality of merchants within an associated merchant class. 
     
     
         27 . The system of  claim 24  wherein the merchant credit/risk system further comprises a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class. 
     
     
         28 . The system of  claim 24  wherein the merchant credit/risk system further comprises an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data contained within the series of payment data records for two predetermined periods of time exceeds ticket range data for each of the plurality of merchants within an associated merchant class. 
     
     
         29 . The system of  claim 24  wherein the merchant credit/risk system further comprises a refund system configured to receive the series of payment data records and to determine whether a change in refund data contained within the series of payment data records for two predetermined periods exceeds refund range data for each of the plurality of merchants within an associated merchant class. 
     
     
         30 . The system of  claim 24  wherein the merchant credit/risk system further comprises an audit system configured to receive the business stability data for each of the plurality of merchants and to generate audit flag data for one or more of the plurality of merchants. 
     
     
         31 . The system of  claim 24  wherein the merchant credit/risk system further comprises an account monitoring system configured to determine a projected liability of each of the plurality of merchants based upon the series of payment data records for each of the plurality of merchants within an associated merchant class. 
     
     
         32 . A system for processing merchant accounts comprising:
 a merchant system interface operating on a processor and configured to receive a series of payment data records from a plurality of merchants, wherein each of the plurality of merchants has an associated merchant class;   a merchant credit/risk system configured to generate business stability data from the series of payment data records for each of the plurality of merchants as a function of the payment data for other merchants within the associated merchant class by applying one or more electronic data processing rules; and   an underwriting system coupled to the merchant credit/risk system, the underwriting system configured to receive escrow data for each of the plurality of merchants and business stability data for each of the plurality of merchants and to generate an indication to increase an escrow amount for one or more of the plurality of merchants for an escrow account held by a merchant processor in response to the business stability data for the one or more of the plurality of merchants and as a function of the payment data for other merchants within the associated merchant class by applying one or more electronic data processing rules.   
     
     
         33 . The system of  claim 32  wherein the merchant credit/risk system further comprises a credit monitoring system configured to receive merchant credit rating data for each of the plurality of merchants and to provide the merchant credit rating data to the merchant credit/risk system, wherein the merchant credit/risk system is configured to use the merchant credit rating data to generate the business stability data for each of the plurality of merchants within an associated merchant class. 
     
     
         34 . The system of  claim 32  wherein the merchant credit/risk system further comprises a risk monitoring system configured to receive the series of payment data records and data field range data for each of the plurality of merchants and to generate the business stability data from the series of payment data records and the data field range data for each of the plurality of merchants within an associated merchant class. 
     
     
         35 . The system of  claim 32  wherein the merchant credit/risk system further comprises a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two predetermined periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class. 
     
     
         36 . The system of  claim 32  wherein the merchant credit/risk system further comprises an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data generated from the series of payment data records for two predetermined periods exceeds ticket range data for each of the plurality of merchants within an associated merchant class. 
     
     
         37 . The system of  claim 32  wherein the merchant credit/risk system further comprises:
 a credit monitoring system configured to receive merchant credit rating data for each of the plurality of merchants and to provide the merchant credit rating data to the merchant credit/risk system, wherein the merchant credit/risk system is configured to use the merchant credit rating data to generate the business stability data for each of the plurality of merchants within an associated merchant class; and 
 a risk monitoring system configured to receive the series of payment data records and data field range data for each of the plurality of merchants and to generate the business stability data from the series of payment data records and the data field range data for each of the plurality of merchants within an associated merchant class. 
 
     
     
         38 . The system of  claim 37  wherein the merchant credit/risk system further comprises a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two predetermined periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class. 
     
     
         39 . The system of  claim 37  wherein the merchant credit/risk system further comprises an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data generated from the series of payment data records for two predetermined periods exceeds ticket range data for each of the plurality of merchants within an associated merchant class. 
     
     
         40 . The system of  claim 32  wherein the merchant credit/risk system further comprises:
 a risk monitoring system configured to receive the series of payment data records and data field range data for each of the plurality of merchants and to generate the business stability data from the series of payment data records and the data field range data for each of the plurality of merchants within an associated merchant class; and 
 a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two predetermined periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class. 
 
     
     
         41 . The system of  claim 40  wherein the merchant credit/risk system further comprises an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data generated from the series of payment data records for two periods exceeds ticket range data for each of the plurality of merchants within an associated merchant class. 
     
     
         42 . The system of  claim 32  wherein the merchant credit/risk system further comprises:
 a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two predetermined periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class; and 
 an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data generated from the series of payment data records for two periods exceeds ticket range data for each of the plurality of merchants within an associated merchant class. 
 
     
     
         43 . A system for detecting changes in business stability comprising:
 a merchant system interface operating on a processor and configured to receive a series of payment data records from each of a plurality of merchants, wherein each of the plurality of merchants has an associated merchant class;   a merchant credit/risk system configured to generate business stability data from the series of payment data records for each of the plurality of merchants as a function of the series of payment data records for other merchants within the associated merchant class by applying one or more electronic data processing rules, the merchant credit/risk system further comprising:
 a credit monitoring system configured to receive merchant credit rating data for each of the plurality of merchants and to provide the merchant credit rating data to the merchant credit/risk system, wherein the merchant credit/risk system is configured to use the merchant credit rating data to generate the business stability data for each of the plurality of merchants within an associated merchant class; 
 a risk monitoring system configured to receive the series of payment data records and data field range data for each of the plurality of merchants and to generate the business stability data from the series of payment data records and the data field range data for each of the plurality of merchants within an associated merchant class; 
 a chargeback system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in chargeback data contained within the series of payment data records for two predetermined periods exceeds chargeback range data for each of the plurality of merchants within an associated merchant class; and 
 an average ticket system configured to receive the series of payment data records for each of the plurality of merchants and to determine whether a change in average ticket data generated from the series of payment data records for two predetermined periods exceeds ticket range data for each of the plurality of merchants within an associated merchant class; and 
   an underwriting system coupled to the merchant credit/risk system, the underwriting system configured to receive escrow data for each of the plurality of merchants and business stability data for each of the plurality of merchants and to generate an indication to increase an escrow amount for one or more of the plurality of merchants for an escrow account held by a merchant processor in response to the business stability data for the one or more of the plurality of merchants and as a function of the series of payment data records for other merchants within the associated merchant class.