System and method for collecting and disbursing electronic gratuities

Abstract

The present invention relates to systems and methods for collecting and disbursing electronic gratuities. According to one embodiment, a device for submitting gratuities by credit card is provided at a place of business or other appropriate location. A method of using this device is disclosed, whereby consumers pay a predetermined or adjustable gratuity amount by inserting a credit card into the device. According to another embodiment, technological infrastructure is provided to transmit encrypted payment information such that the acquiring bank of the device provider obtains authorization for gratuity transactions conducted using the device. The acquiring bank is thus enabled to credit the device provider's merchant account or disbursal accounts with electronic gratuity payments less acquisition fees. According to another embodiment, a method of disbursing gratuity shares to employees of the business is provided, wherein processing fees are collected by the device provider.

We claim: 
     
         1 . A system for collecting arc disbursing electronic gratuities comprising:
 a server configured to store, organize and transmit information relating to one or more gratuity transactions; and   an electronic gratuity device configured to collect and transmit gratuity transaction information to the server.   
     
     
         2 . The system according to  claim 1 , wherein the electronic gratuity device is configured to collect gratuity transaction information by any one of card insertion, card swiping or touch-and-go card waving. 
     
     
         3 . The system according to  claim 1 , wherein the one or more gratuity transactions is a transfer of a gratuity from a giver, said gratuity comprising a tip, a donation or a gift. 
     
     
         4 . The system, according to  claim 1 , the electronic gratuity device comprising a control panel. 
     
     
         5 . The system according to  claim 4 , wherein the control panel includes any combination of a display, a touchscreen, a plurality of buttons and a plurality of dials for controlling the device. 
     
     
         6 . The system according to  claim 4 , the device comprising power settings, gratuity transaction amount settings, sound settings and display settings, and wherein said power settings, gratuity transaction amount settings, sound settings and display settings are adjustable by using the control panel. 
     
     
         7 . The system according to  claim 1 , the device further comprising a memory for reading and/or saving gratuity transaction information. 
     
     
         8 . The system according to  claim 1 , wherein the device comprises a wired or wireless internet connection and a device-specific code that may be transmitted using said wired or wireless internet connection. 
     
     
         9 . A method of collecting and disbursing electronic gratuities comprising the steps of:
 providing access to a server configured to store, organize and transmit gratuity transaction information; providing an electronic gratuity device configured to collect and transmit gratuity transaction information to the server; and   electronically linking the server to an acquiring processor, wherein the acquiring processor is linked, to a card-issuing bank, the card-issuing bank is linked, to a receiving account such that gratuity transactions conducted using the device are processed, and gratuity funds are deposited in the receiving account.   
     
     
         10 . The method according to claim further comprising the step of determining a disbursal amount of the gratuity funds by assessing fees against the gratuity funds deposited in the receiving account. 
     
     
         11 . The method according to  claim 10 , further comprising the steps of
 disbursing the disbursal amount of the gratuity funds to a disbursal account; and   retaining the assessed fees in the receiving account.   
     
     
         12 . The method according to  claim 9 , further comprising providing a registration website for registering the electronic gratuity device and a gratuity-collecting entity. 
     
     
         13 . The method according to  claim 9 , wherein the gratuity-collecting entity is a charitable organization or a non-profit organization. 
     
     
         14 . The method according to  claim 9 , wherein the gratuity-collecting entity is a for-profit business. 
     
     
         15 . The method according to  claim 11 , further comprising providing a registration website for registering the electronic gratuity device and a gratuity-collecting entity, wherein the disbursal account is associated with the gratuity-collecting entity. 
     
     
         16 . The method according to  claim 11 , further comprising
 providing a registration website for registering the electronic gratuity device and a gratuity-collecting individual associated with the disbursal account,   maintaining an electronic work record for said, gratuity-collecting individual on the registration website; and   using the electronic work record to determine the value of gratuity funds to be disbursed to the disbursal account.   
     
     
         17 . The method according to  claim 12 , wherein registering the gratuity-collecting entity comprises providing entity-identifying information. 
     
     
         18 . The method according to  claim 12 , wherein registering the electronic gratuity device comprises creating an administrative contractor account and providing device location information. 
     
     
         19 . The method according to  claim 12 , wherein registering the gratuity-collecting individual comprises providing personal information, said personal information comprising name, address and phone number information. 
     
     
         20 . The method according to  claim 11 , wherein registering the gratuity-collecting individual further comprises providing banking information. 
     
     
         21 . The method according to  claim 19 , wherein registering the gratuity-collecting individual further comprises registering a reloadable debit card. 
     
     
         22 . The method according to  claim 16 , wherein the electronic work record is updated when the registered electronic gratuity device recognizes an identification element. 
     
     
         23 . The method according to  claim 22 , wherein the identification element is a card having a magnetic stripe. 
     
     
         24 . The device used, in accordance with the method of  claim 9 . 
     
     
         25 . A method of collecting and disbursing electronic gratuities comprising the steps of:
 providing access to a server configured to store, organize and transmit gratuity transaction information;   providing an electronic gratuity device configured to collect and transmit gratuity transaction information to the server, and   providing a pre-paid debit card, wherein using the pre-paid debit card with the electronic gratuity device generates gratuity transaction information.