Internet payment system and method

Abstract

A system and method for facilitating payment for online purchases is disclosed. The system allows consumers/customers who shop online to select, at the time of checkout, direct payment from an account as the payment option. An electronic bill (ebill), independent of any confidential financial information pertaining to the consumer, is automatically displayed and emailed to the consumer. The consumer pays the ebill at their bank the same way they pay their utility bill, which then results in a payment confirmation sent from the bank to the payee. Payment information from the bank is sent to the system to update the purchase transactions. Once the payment information is processed, the consumer and merchant accounts are balanced and both receive automatic notification of the payment.

1 . (canceled) 
     
     
         2 . A system for conducting a transaction between a first party and a second party using a payment processing system, comprising:
 a payment processing system configured to:
 receive, from a first party, transaction information related to a transaction with a second party, the transaction information including:
 identification of the second party; 
 payment processing system account identification for the first party; and 
 a transaction amount; 
 
 send an invoice for the transaction based on the transaction information received, the invoice including:
 the transaction amount; and 
 payee information specifying the payment processing system or the first party as a payee for the transaction; 
 
 cause the invoice for the online transaction to be displayed to the second party; 
 receive, from the financial institution, payment information indicating the second party has directed payment the invoice in favor of the payee; 
 record that a payment for the transaction amount from the second party to the first party has occurred; and 
 cause, after recordation of the payment, a list of pending transactions to be displayed to the first party or the second party. 
   
     
     
         3 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 2 , wherein the payment processing system is further configured to:
 create payment processing system account identification for the second party prior to sending the invoice for the transaction.   
     
     
         4 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 2 , wherein the transaction information further includes:
 identification of a currency type of the transaction amount.   
     
     
         5 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 4 , wherein the invoice further includes:
 identification of the currency type of the transaction amount.   
     
     
         6 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 2 , wherein:
 the transaction information is independent of confidential financial information pertaining to the first party.   
     
     
         7 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 2 , wherein:
 the payment information is independent of confidential financial information pertaining to the second party.   
     
     
         8 . The system for conducting a transaction between a first party and a second party using a payment processing system of  claim 2 , wherein the payment processing system is further configured to:
 allocate the payment to the invoice only after the payment is allocated to any historical invoices which predate the invoice.   
     
     
         9 . A method for conducting a transaction between a first party and a second party using a payment processing system, comprising:
 receiving, at the payment processing system from a first party, transaction information related to a transaction with a second party, the transaction information including:
 identification of the second party; 
 payment processing system account identification for the first party; and 
 a transaction amount; 
   sending, from the payment processing system to the second party, an invoice for the transaction based on the transaction information previously received, the invoice including:
 the transaction amount; and 
 payee information specifying the payment processing system or the first party as a payee for the transaction; 
   receiving, at the payment processing system from the financial institution, payment information indicating the second party has directed payment of the invoice in favor of the payee;   recording, with the payment processing system, that a payment for the transaction amount from the second party to the first party has occurred; and   causing, with the payment processing system, after recordation of the payment, a list of pending transactions to be displayed to the first party or the second party.   
     
     
         10 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 9 , further comprising:
 creating payment processing system account identification for the second party prior to sending the invoice for the transaction.   
     
     
         11 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 9 , wherein the transaction information further includes:
 identification of a currency type of the transaction amount.   
     
     
         12 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 11 , wherein the invoice further includes:
 identification of the currency type of the transaction amount.   
     
     
         13 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 9 , wherein:
 the transaction information is independent of confidential financial information pertaining to the first party.   
     
     
         14 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 9 , wherein:
 the payment information is independent of confidential financial information pertaining to the second party.   
     
     
         15 . The method for conducting a transaction between a first party and a second party using a payment processing system of  claim 9 , further comprising:
 allocating the payment to the invoice only after the payment is allocated to any historical invoices which predate the invoice.   
     
     
         16 . A non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party, wherein the instructions are executable by one or more processors to at least:
 receive, from a first party, transaction information related to a transaction with a second party, the transaction information including:
 identification of the second party; 
 payment processing system account identification for the first party; and 
 a transaction amount; 
   send, to the second party, an invoice for the transaction based on the transaction information previously received, the invoice including:
 the transaction amount; and 
 payee information specifying the payment processing system or the first party as a payee for the transaction; 
   receive, from the financial institution, payment information indicating the second party has directed payment of the invoice in favor of the payee;   record that a payment for the transaction amount from the second party to the first party has occurred; and   cause, after recordation of the payment, a list of pending transactions to be displayed to the first party or the second party.   
     
     
         17 . The non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party of  claim 16 , wherein the instructions are further executable by one or more processors to also:
 create payment processing system account identification for the second party prior to sending the invoice for the transaction.   
     
     
         18 . The non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party of  claim 16 , wherein the transaction information further includes:
 identification of a currency type of the transaction amount.   
     
     
         19 . The non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party of  claim 18 , wherein the invoice further includes:
 identification of the currency type of the transaction amount.   
     
     
         20 . The non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party of  claim 16 , wherein:
 the transaction information is independent of confidential financial information pertaining to the first party.   
     
     
         21 . The non-transitory computer readable medium having instructions stored thereon for conducting a transaction between a first party and a second party of  claim 16 , wherein:
 the payment information is independent of confidential financial information pertaining to the second party.