System and method for settling mulitple payees from a single electronic and/or check payment

Abstract

A system and method is disclosed that facilitates electronic payment to multiple payees from a single electronic payment transaction and/or from a multiple payee check payment. The system includes a database storing payor and payee identity, address, and bank account information and a processor that executes instructions causing the processor to initiate a multiple payee payment and/or a multiple payee check handling and clearing process including determining identity of the payor and/or receiving the payor's check information; receive identification of multiple payees; place a hold on a payor's bank/card account and/or accept multiple payee check deposit via an ATM; alert respective payees that funds are available; enable payee electronic check endorsement and/or identity verification for the respective payees; receive electronic payee endorsement and confirmation of identity and provide an endorsement file to the payor for each payee; debit the payor's account in respective amounts owed the respective payees; and disburse the respective amounts to the respective payees through a payment network.

1 . A system for facilitating electronic payments of a multiple payee payment, comprising:
 at least one remote server establishing secure communication with an electronic payor account and a plurality of electronic payee accounts;   a secure database connected to the server, the database comprising transaction records, payor account information, and payee account information;   a computing device securely connected to the remote server, the computing device comprising a processor and a memory having instructions that, when executed by the processor, cause the computing device to at least:   authenticate a multiple payee payment to be disbursed from the electronic payor account to at least one of the plurality of electronic payee accounts;   determine a payment distribution comprising a payment to each of the electronic payee accounts, based on a value of the multiple payee payment and information stored at the secure database; and   initiate payment disbursements to each of the plurality of electronic payee accounts according to the payment distribution and update the database with a new transaction record.   
     
     
         2 . The system of  claim 1 , wherein the instructions that cause the computing device to authenticate the multiple payee payment comprise at least one of:
 placing a hold on the electronic payor account; and   establishing an endorsement of the multiple payee payment by one or more payees.   
     
     
         3 . The system of  claim 1 , wherein establishing the endorsement comprises receiving at least one of an electronic verification and an identification verification from each payee of the multiple payee payment. 
     
     
         4 . The system of  claim 3 , wherein the identification verification is an electronic signature. 
     
     
         5 . The system of  claim 1 , wherein determining the payment distribution comprises at least one of:
 receiving a designation at the server, from at least one authorized user associated with a payor or payee, specifying a payment amount for each of the electronic payee accounts; and   receiving, at the server, a confirmation specifying the payment amount.   
     
     
         6 . The system of  claim 1 , wherein determining the payment distribution comprises:
 processing a payment amount of the multiple payee payment;   verifying endorsement of the payees;   processing a redirection request of a payee, each redirection request assigning an endorsed payment amount of the payee to another payee of the multiple payee payment; and   determining an updated payment amount to each payee.   
     
     
         7 . The system of  claim 1 , further comprising:
 negotiating, by the payees, stakes of the multiple payee payment for each payee; and   initiating, by at least one payee, a payment redirection request.   
     
     
         8 . The system of  claim 1 , further comprising a notification system for alerting at least one of a payor and payee regarding one or more of: a payment status, an endorsement status, an account hold status, a request for information, and a debit or credit to an account. 
     
     
         9 . The system of  claim 8 , wherein the notification systems sends alerts via one or more of: an email, a text message, a SMS message, a phone call, and a mobile device notification. 
     
     
         10 . The system of  claim 1 , further comprising at least one of an automated clearing house (ACH) system and an electronic payment network configured to establish a secure connection with the remote server and facilitate payment disbursements to each of the plurality of electronic payee accounts according to the payment distribution. 
     
     
         11 . The system of  claim 1 , wherein the secure database further comprises at least one of: multiple payee payment authentication information, payment distribution determinations, and payment disbursement records. 
     
     
         12 . The system of  claim 1 , wherein the payor account information and payee account information each comprise information related to one or more of: name, address, account number, claim activities, benefits, surrender requests, and insurance policy information. 
     
     
         13 . A method for facilitating electronic payments of a multiple payee payment, comprising:
 receiving, at a remote server, an electronic multiple payee payment to be disbursed from an electronic payor account to a plurality of electronic payee accounts;   authenticating the multiple payee payment, the authenticating comprising verifying an electronic endorsement from each of the plurality of payees;   determining a payment distribution comprising a payment to each of the electronic payee accounts, based on a value of the multiple payee payment and information stored at a secure database, wherein the database comprises transaction records, payor account information, and payee account information;   initiating payment disbursements to each of the plurality of electronic payee accounts according to the payment distribution; and   updating the secure database with a new transaction record.   
     
     
         14 . The method of  claim 13 , wherein authenticating the multiple payee payment comprises at least one of: placing a hold on the electronic payor account; and verifying the electronic endorsement from each of the plurality of payees, the electronic endorsement being an identification verification from each payee. 
     
     
         15 . The method of  claim 13 , wherein determining the payment distribution comprises at least one of:
 receiving a designation at the server, from at least one authorized user associated with payor or payee, specifying a payment amount for each of the electronic payee accounts; and   receiving, at the server, a confirmation specifying a payment amount.   
     
     
         16 . The method of  claim 13 , wherein determining the payment distribution comprises:
 processing a payment amount of the multiple payee payment;   verifying endorsement from the payees for the endorsed payment amount;   processing a redirection request of a payee, each redirection request assigning a respective payee's endorsed payment amount to another payee of the multiple payee payment; and   determining an updated payment amount to each payee.   
     
     
         17 . The method of  claim 13 , further comprising notifying at least one of a payor and payee regarding one or more of: a payment status, an endorsement status, an account hold status, a request for information, and a debit or credit to an account. 
     
     
         18 . The method of  claim 13 , wherein the electronic multiple payee payment comprises at least one of: an image, manually-entered information, a scanned document, and information received from an populated form. 
     
     
         19 . The method of  claim 13 , wherein the payor is at least one of: a financial institution, an insurance carrier, a mortgage holder, a lienholder, and a policy claimant. 
     
     
         20 . The method of  claim 13 , further comprising initiating payment disbursements to each of the plurality of electronic payee accounts according to the payment distribution, and update the database with a new transaction record. 
     
     
         21 . The method of  claim 13 , further comprising
 negotiating, by the payees, stakes of the multiple payee payment for each payee; and   initiating, by at least one payee, a payment redirection request.   
     
     
         22 . A non-transitory computer-readable medium having instructions stored thereon, that when executed by a processor, causes the processor to at least:
 receive an electronic multiple payee payment to be disbursed from an electronic payor account to a plurality of electronic payee accounts;   authenticate the multiple payee payment by at least verifying an electronic endorsement from each of the plurality of payees;   determine a payment distribution comprising a payment to each of the electronic payee accounts, based on a value of the multiple payee payment and information stored at a secure database, the database comprising transaction records, payor account information, and payee account information; and   initiate payment disbursements to each of the plurality of electronic payee accounts according to the payment distribution.