Upgrading of recurring payment cancellation services

Abstract

A method of reducing chargebacks due to a cancelled recurring payment, wherein the payment occurs within a card-based financial network, and wherein the network includes a database of unauthorized recurring charges and a defined chargeback procedure. The method generally includes the step of upgrading a recurring payment cancellation services file based on predefined occurrences relating to the identifying of cancelled recurring payments.

1 . (canceled) 
     
     
         2 . (canceled) 
     
     
         3 . (canceled) 
     
     
         4 . (canceled) 
     
     
         5 . A method of reducing chargebacks due to a cancelled recurring payment, said payment occurring within a card-based financial network, said network including a database of unauthorized recurring charges and a defined automatic billing updating procedure for assigning a new account number to a cardholder, the method comprising the steps of:
 updating said database during said automatic billing updating procedure when said network identifies an unauthorized recurring charge in said database associated with said cardholder.   
     
     
         6 . The method according to  claim 5 , comprising the further step of extracting predefined data associated with said automatic billing updating procedure; and
 wherein said updating step includes the further step of populating a field associated with said database with said predefined data.   
     
     
         7 . The method according to  claim 6 , wherein said unauthorized recurring charge is associated with an old account number, and
 wherein said updating step includes the further step of associating said new account number with said old account number in said database.   
     
     
         8 . The method according to  claim 7 , wherein said updating step includes the further step of creating a file containing both said old account number and said new account number for subsequent comparison. 
     
     
         9 . A method for reducing chargebacks due to a cancelled recurring payment, said payment occurring within a card-based financial network, said network including a cancellation service, said cancellation service including a database of unauthorized recurring charges, the method comprising the steps of:
 receiving a financial processing request identifying a card-based payment without a recurring payment code;   determining whether the issuing bank associated with said request is a participant within said cancellation service;   comparing data associated with said request to said unauthorized recurring charges contained within said database; and   determining a response to said processing request in accordance with predefined parameters.   
     
     
         10 . The method according to  claim 9 , wherein said comparing step provides a plurality of authorization comparisons, and wherein said comparing step includes the further step of assigning values to each of said authorization comparisons. 
     
     
         11 . The method according to  claim 10 , wherein said authorization comparisons are related to selected secondary criteria. 
     
     
         12 . The method according to  claim 11 , wherein said selected secondary criteria comprises information including at least one of a merchant identity, a merchant size, a length of time a merchant has been doing business, a number of cancelled recurring payments associated with a merchant, a number of chargebacks associated with a merchant or a billing date. 
     
     
         13 . The method according to  claim 10 , wherein said determining step includes the further step of combining said values, and rejecting said processing request when said combination of values exceeds a predefined threshold. 
     
     
         14 . The method according to  claim 13 , wherein said predefined threshold is determined by an issuing bank. 
     
     
         15 . A method for reducing chargebacks due to a cancelled recurring payment, said payment occurring within a card-based financial network, said network including a cancellation service, said cancellation service including a database of unauthorized recurring charges, the method comprising the steps of:
 receiving a financial processing request identifying a card-not-present (CNP) transaction;   determining whether the issuing bank associated with said request is a participant within said cancellation service;   comparing data associated with said request to said unauthorized recurring charges contained within said database; and   determining a response to said processing request in accordance with predefined parameters.   
     
     
         16 . The method according to  claim 15 , wherein said comparing step provides a plurality of authorization comparisons, and wherein said comparing step includes the further step of assigning values to each of said authorization comparisons. 
     
     
         17 . The method according to  claim 16 , wherein said authorization comparisons are related to selected secondary criteria. 
     
     
         18 . The method according to  claim 16 , wherein said determining step includes the further step of combining said values, and rejecting said processing request when said combination of values exceeds a predefined threshold. 
     
     
         19 . The method according to  claim 18 , wherein said predefined threshold is determined by an issuing bank. 
     
     
         20 . The method according to  claim 15 , wherein said financial processing request is received without a recurring payment code.