Patent Application
20120197783
In general, embodiments herein disclosed relate to methods and systems for financial investment and purchasing models and, more specifically, providing a dynamic savings allocation account that allows for financial institution customers to create savings categories for specific targeted savings.
Consumer financial institution customers today are very limited in how they can organize savings deposits held in their financial accounts. These deposits—whether in a savings, checking, money market, or similar account—are lumped into one general sum and cannot be allocated for multiple specific savings goals. Unfortunately, this leads to many financial institution customers utilizing the “envelope” method of savings allocation where the customers do not deposit savings into financial accounts or withdraw savings from the accounts and categorize their savings at home (such as in separate labeled envelopes). Of course, this method is contrary to a financial institution's goals, as a financial institution prefers to have the highest deposit base possible.
In some cases, account names can be customized, but that still leaves the deposits within the account in one general pool. Thus, in order to segregate savings funds electronically, some customers have begun to open multiple accounts and naming them to reflect different savings goals (e.g., vacation, new car, holiday, etc.). However, beyond just the inherent added complexity with this method (multiple accounts to manage); there is also a limit to the number of accounts most financial institutions will allow customers to open. Further, there may be added fees associated with owning numerous accounts, as well as additional costs and maintenance to the financial institution for hosting multiple accounts.
Thus, a need currently exists for a dynamic savings allocation method in which a customer may readily allocate funds to savings categories within a single account. Furthermore, a need exists to provide a method where a group of financial institution customers saving for similar items can obtain group sales benefits and discounts or targeted sales campaigns.
The following presents a simplified summary of one or more embodiments in order to provide a basic understanding of such embodiments. This summary is not an extensive overview of all contemplated embodiments, and is intended to neither identify key or critical elements of all embodiments, nor delineate the scope of any or all embodiments. Its sole purpose is to present some concepts of one or more embodiments in a simplified form as a prelude to the more detailed description that is presented later.
The present invention provides for a dynamic savings allocation account that allows for customers to create sub-accounts, referred to herein as savings categories, within a single account. The customer may create savings categories (e.g., “vacation,” “new car,” “television,” “rainy day,” etc.) and set parameters such as the goal amount to be reached, the time to reach the goal, how much or what percentage to be allocated to each category per deposit, etc. As the customer deposits funds into the dynamic savings allocation account, the deposit is automatically allocated to each savings category as defined by the customer. As goals are reached, new savings categories may be formed and/or future deposits allocated to other savings categories.
Thus, in a first embodiment of the invention, a method for dynamic savings allocation is provided. The method includes establishing, for a financial institution customer, a dynamic savings allocation account. The account includes at least one customer-defined savings category. The method further includes receiving a deposit amount for the account. Upon receipt of a deposit, a computing device processor determines, for the deposit amount, an amount or amounts to be allocated to the at least one customer-defined savings category. The amount is then allocated to the savings categories.
In a specific embodiment, the at least one customer-defined savings category includes parameters selected by the customer such as a category name, a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, a time period to reach a desired amount, or a combination thereof.
In another specific embodiment, the at least one customer-defined savings category includes parameters comprising a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, and a time period to reach a desired amount. In such embodiments, the customer may define any two of the parameters and the third parameter is automatically generated.
In still further specific embodiments the customer defines an amount to be deposited to the dynamic savings allocation account. The amount to be deposited to the dynamic savings allocation account can be a recurring amount that is deposited each customer-defined time period.
Moreover, in another specific embodiment, the amount to be deposited to the dynamic savings allocation account may be automatically drafted from another financial institution account or deposited by a third-party.
In some embodiments, the at least one customer-defined savings category includes a category name that is manually inputted by the customer or is selected from a list of names provided to the customer.
In some specific embodiments, at least one of the at least one customer-defined savings categories includes a category name that represents a specific consumer product and a goal amount that is approximately equal to the consumer cost of the specific consumer product.
In another specific embodiment, the goal amount is automatically inputted by the computing device processor based on the category name inputted that represents a specific consumer product.
In another specific embodiment, the dynamic savings allocation account includes more than one customer-defined savings categories. In some embodiments, each customer-defined savings category includes a percentage of total savings in the account to be allocated to each savings category parameter where the sum of the percentages of all savings categories equal 100%.
In specific embodiments, no further amount is to be allocated to a savings category in which the desired goal has been reached.
In some particular specific embodiments, the customer defines a specific amount to be allocated to one or more savings categories for each deposit.
In another aspect of the invention, a system for dynamic savings allocation is provided. The system includes a dynamic savings allocation account that includes one or more savings categories. The one or more savings categories include customer-defined parameters for savings allocation such that a deposit received for the account is automatically allocated to the one or more savings categories in a desired manner.
In a specific embodiment, the one or more customer-defined savings categories include parameters selected by the customer comprising a category name, a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, a time period to reach a desired amount, or a combination thereof.
In further specific embodiments, the one or more customer-defined savings categories include parameters comprising a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, and a time period to reach a desired amount. The customer may define two of the parameters and the third parameter is automatically generated.
Additionally, in some specific embodiments, an amount to be deposited to the dynamic savings allocation account is a recurring amount that is deposited each customer-defined time period.
In more specific embodiments, the amount to be deposited to the dynamic savings allocation account is automatically drafted from another financial institution account or is deposited by a third-party.
Other specific embodiments, the one or more customer-defined savings categories include a category name that is manually inputted by the customer or is selected from a list of names provided to the customer.
In other specific embodiments, at least one of the one or more customer-defined savings categories includes a category name that represents a specific consumer product and a goal amount that is approximately equal to the consumer cost of the specific consumer product. In some embodiments, the goal amount may be automatically determined based on the category name inputted that represents a specific consumer product.
In further embodiments, the dynamic savings allocation account includes more than one customer-defined savings category. In some embodiments, each customer-defined savings category includes a percentage of total savings in the account to be allocated to each savings category parameter, wherein the sum of the percentages of all savings categories equal 100%.
In specific embodiments, no further amount is to be allocated to a savings category in which the desired goal has been reached.
In some particular specific embodiments, the customer defines a specific amount to be allocated to one or more savings categories for each deposit.
In another aspect of the invention, a method for dynamic savings allocation is provided. The method includes providing a dynamic savings allocation account to a customer. The account is capable of having one or more customer-defined savings categories. After the customer has created one or more customer-defined savings categories within the account, a deposit amount is received for the account. A computing device process determines, for the deposit amount, an amount to be allocated to the one or more customer-defined savings categories. Finally, the determined amount to the one or more customer-defined savings categories is allocated.
In a specific embodiment, the one or more customer-defined savings categories include parameters selected by the customer comprising a category name, a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, a time period to reach a desired amount, or a combination thereof.
In further specific embodiments, the one or more customer-defined savings categories include parameters comprising a goal amount desired to be saved, a percentage of total savings to be allocated to the savings category, and a time period to reach a desired amount. The customer may define two of the parameters and the third parameter is automatically generated.
Additionally, in some specific embodiments, an amount to be deposited to the dynamic savings allocation account is a recurring amount that is deposited each customer-defined time period.
In more specific embodiments, the amount to be deposited to the dynamic savings allocation account is automatically drafted from another account or is deposited by a third-party.
Other specific embodiments, the one or more customer-defined savings categories include a category name that is manually inputted by the customer or is selected from a list of names provided to the customer.
In other specific embodiments, at least one of the one or more customer-defined savings categories includes a category name that represents a specific consumer product and a goal amount that is approximately equal to the consumer cost of the specific consumer product. In some embodiments, the goal amount may be automatically determined based on the category name inputted that represents a specific consumer product.
In further embodiments, the dynamic savings allocation account includes more than one customer-defined savings category. In some embodiments, each customer-defined savings category includes a percentage of total savings in the account to be allocated to each savings category parameter, wherein the sum of the percentages of all savings categories equal 100%.
In specific embodiments, no further amount is to be allocated to a savings category in which the desired goal has been reached.
In some particular specific embodiments, the customer defines a specific amount to be allocated to one or more savings categories for each deposit.
In a further aspect of the invention, a computer program product is provided. The computer program product includes a non-transitory computer-readable medium. The medium includes a first set of codes for causing a computer to determine, for a received deposit amount for a dynamic savings allocation account, an amount to be allocated to one or more customer-defined savings categories. The medium further includes a second set of codes for causing a computer to deposit the deposit amount in the dynamic savings allocation account and allocate a portion of the deposit amount to the one or more customer-defined savings categories.
In specific embodiments, the computer program product further includes a third set of codes for causing a computer to receive parameters for the one or more customer-defined savings categories. The parameters are selected by a customer and include a name, a goal amount desired to be saved, a percentage of total savings or deposit amount to be allocated to the savings category, a time period to reach a desired amount, or a combination thereof. In some specific embodiments, the computer program product may further include a fourth set of codes for causing a computer to automatically generate at least one of the parameters based on other parameters defined by the customer.
In other specific embodiments, the computer program product further includes a fifth set of codes for causing a computer to present an electronic input form to the customer for defining the parameters for the one or more customer-defined savings categories.
In some embodiments, the computer program product may include a sixth set of codes for causing a computer to automatically input a goal amount for at least one of the one or more customer-defined savings categories. The goal amount may be approximately equal to the cost of a specific consumer product or service which may be identified by other parameters defined by the customer.
In further embodiments, the computer program product may include a seventh set of codes for causing a computer to generate more than one customer-defined savings categories within the dynamic savings allocation account.
In still further embodiments, the computer program product may include an eighth set of codes for causing a computer to generate an alert to a customer when a goal amount is reached for the one or more customer-defined savings categories.
Thus, embodiments herein described in more detail below provide dynamic savings allocation accounts and, specifically, accounts that allow for customers to create sub-accounts or savings categories within a single account. The customer may create savings categories and set parameters such as the goal amount to be reached, the time to reach the goal, how much to be allocated to each category per deposit, etc. As the customer deposits funds into the dynamic savings allocation account, the deposit is automatically allocated to each savings category as defined by the customer. As goals are reached, new savings categories may be formed and/or future deposits allocated to other savings categories. Further, as goals are reached, customers may opt to take advantage of group purchasing benefits offered by the financial institution for some in-demand items. Alternatively, the financial institution, in partnering with third-party vendors may perform targeted sales campaigns.
To the accomplishment of the foregoing and related ends, the one or more embodiments comprise the features hereinafter fully described and particularly pointed out in the claims. The following description and the annexed drawings set forth in detail certain illustrative features of the one or more embodiments. These features are indicative, however, of but a few of the various ways in which the principles of various embodiments may be employed, and this description is intended to include all such embodiments and their equivalents.
The present invention is further described in the detailed description which follows in reference to the noted plurality of drawings by way of non-limiting examples of embodiments of the present invention in which like reference numerals represent similar parts throughout the several views of the drawings and wherein:
Embodiments of the present invention will now be described more fully hereinafter with reference to the accompanying drawings, in which some, but not all, embodiments of the invention are shown. Indeed, the invention may be embodied in many different forms and should not be construed as limited to the embodiments set forth herein; rather, these embodiments are provided so that this disclosure will satisfy applicable legal requirements. Like numbers refer to like elements throughout. Although some embodiments of the invention described herein are generally described as involving a “financial institution,” one of ordinary skill in the art will appreciate that the invention may be utilized by other businesses that take the place of or work in conjunction with financial institutions to perform one or more of the processes or steps described herein as being performed by a financial institution. A financial institution may include a bank, an investment firm, a brokerage firm, or the like.
As will be appreciated by one of skill in the art in view of this disclosure, the present invention may be embodied as an apparatus (e.g., a system, computer program product, and/or other device), a method, or a combination of the foregoing. Accordingly, embodiments of the present invention may take the form of an entirely hardware embodiment, an entirely software embodiment (including firmware, resident software, micro-code, etc.), or an embodiment combining software and hardware aspects that may generally be referred to herein as a “system.” Furthermore, embodiments of the present invention may take the form of a computer program product comprising a computer-usable storage medium having computer-usable program code/computer-readable instructions embodied in the medium.
Any suitable computer-usable or computer-readable medium may be utilized. The computer usable or computer readable medium may be, for example but not limited to, an electronic, magnetic, optical, electromagnetic, infrared, or semiconductor system, apparatus, or device. More specific examples (e.g., a non-exhaustive list) of the computer-readable medium would include the following: an electrical connection having one or more wires; a tangible medium such as a portable computer diskette, a hard disk, a random access memory (RAM), a read-only memory (ROM), an erasable programmable read-only memory (EPROM or Flash memory), a compact disc read-only memory (CD-ROM), or other tangible optical or magnetic storage device.
Computer program code/computer-readable instructions for carrying out operations of embodiments of the present invention may be written in an object oriented, scripted or unscripted programming language such as Java, Pearl, Smalltalk, C++ or the like. However, the computer program code/computer-readable instructions for carrying out operations of the invention may also be written in conventional procedural programming languages, such as the “C” programming language or similar programming languages.
Embodiments of the present invention are described below with reference to flowchart illustrations and/or block diagrams of methods or apparatuses (the term “apparatus” including systems and computer program products). It will be understood that each block of the flowchart illustrations and/or block diagrams, and combinations of blocks in the flowchart illustrations and/or block diagrams, can be implemented by computer program instructions. These computer program instructions may be provided to a processor of a general purpose computer, special purpose computer, or other programmable data processing apparatus to produce a particular machine, such that the instructions, which execute via the processor of the computer or other programmable data processing apparatus, create mechanisms for implementing the functions/acts specified in the flowchart and/or block diagram block or blocks.
These computer program instructions may also be stored in a computer-readable memory that can direct a computer or other programmable data processing apparatus to function in a particular manner, such that the instructions stored in the computer readable memory produce an article of manufacture including instructions, which implement the function/act specified in the flowchart and/or block diagram block or blocks.
The computer program instructions may also be loaded onto a computer or other programmable data processing apparatus to cause a series of operational steps to be performed on the computer or other programmable apparatus to produce a computer implemented process such that the instructions, which execute on the computer or other programmable apparatus, provide steps for implementing the functions/acts specified in the flowchart and/or block diagram block or blocks. Alternatively, computer program implemented steps or acts may be combined with operator or human implemented steps or acts in order to carry out an embodiment of the invention.
Present embodiments of the invention provide for a system and method for providing a dynamic savings allocation account. The dynamic savings allocation account includes customer-defined savings categories within the account that act as sub-accounts. The customer may create savings categories and set parameters such as the goal amount to be reached, the time to reach the goal, how much (in terms of a percentage or an amount) to be allocated to each category per deposit, etc. In those embodiments in which the parameters include how much to be allocated to each category per deposit, as the customer deposits funds into the dynamic savings allocation account, the deposit is automatically allocated to each savings category as defined by the customer. As goals are reached, customers may opt to take advantage of group purchasing benefits offered by the financial institution for some in-demand items. Alternatively, the financial institution, in partnering with third-party vendors may perform targeted sales campaigns.
Upon establishing the DSA account, the financial institution receives a deposit amount for the account as illustrated at block 3. At block 5, a computing device then determines how the deposit amount should be allocated to one or more customer-defined savings categories based on parameters determined by the customer. Finally, the funds are allocated to the savings categories at block 7.
Next, the customer may input a savings start date 34. In lieu of or prior to the customer inputting a savings start date, the date may be automatically inputted as the present date or the date of the first anticipated deposit. Likewise, the customer may input a savings end date 36. Alternatively, this date could be automatically generated based on other values inputted. A general category 38 associated with the customer defined savings category may also be selected if desired, for instance from a drop-down menu.
The current balance 40 and funds needed 41 indicate how much is currently allocated to the savings category and how much more is needed to reach the goal amount 32, respectively. When first generating the savings category, the customer may allocate a certain amount to the savings category immediately, or set the current balance 40 to zero and begin saving. The contribution frequency 42 may be selected from, for instance, a drop-down menu or otherwise pre-selected values. The allocation may be made on the date of each deposit, but it is not necessary to allocate a certain amount to each savings category for every deposit. In fact, in certain embodiments, the customer may opt to manually transfer funds within the account to the categories as they see fit.
Source account 44 provides an input for the customer to determine the source account for the funds to be drawn from. As shown in
Adjust buttons 48 are provided in order to allow the customer to manipulate the savings category parameters to achieve the desired balance. For instance, the customer could change the goal end date 36, and the periodic amount 46 contributed would be automatically adjusted accordingly. Conversely, the customer could alter the periodic contribution amount 46 or the frequency of contribution 42, and the goal end date 36 would automatically adjust accordingly.
Finally, the customer may opt to participate in a volume pricing discount program 49 or other such type of program if applicable. Group pricing aspects of the present invention are discussed further below.
Returning to the flow diagram of
If product pricing is not available, the customer may move to block 10 of the method 9 and manually input a goal amount for the savings category. The manually inputted goal amount may be stored on the database as generic pricing information for future customers saving for the same item. The financial institution may wish to verify such pricing information before it is universally incorporated into the pricing database.
If product pricing is available, the customer may move to block 8 of the method 9 wherein the product pricing is automatically inputted. If an automatic dollar goal is assigned, the customer may choose to override the automated dollar goal and manually adjust the dollar goal accordingly. After pricing is inputted either manually or automatically, the method 9 disclosed in
Upon reaching a goal amount 56, if the product being saved-for is capable of being purchased through the financial institution, such as through a group purchase program or targeted sales (discussed below), a “Click to Buy” 66 (
Referring back to
If pricing data has not changed, method 9 advances to block 16 where the customer monitors the balance and the goal needed for the target. At decision block 18, it is determined whether the balance is greater than or equal to the goal. If not, the method proceeds to block 3 which is receipt of the next deposit. Upon receipt of the next deposit, the method proceeds back to blocks 16 and 18 to determine if the balance is greater than or equal to the goal. According to one specific embodiment of the invention, if the balance is greater than or equal to the category goal amount 32, an alert may be sent to the customer at block 22. The alert may be sent by any feasible means. For instance, the alert may be made by email, an alert pop-up screen the next time the customer logs in to their online account, an automated telephone call, a text message, etc. As previously discussed, if the product is capable of being sold through the financial institution (by the financial institution or via a third-party vendor), the application may be configured to present the “Click to Buy” input mechanism 66 to allow the customer to purchase the product.
The method 9 is completed at block 24 where the customer purchases the item and withdraws the saved funds from the savings category.
At block 74, the financial institution may utilize internal data gathered from the plurality of dynamic savings allocation accounts to create a forward-looking customer demand database. Such a customer demand database is very useful and can be utilized in a number of ways. For instance, as shown at block 76, the financial institution may use the data to target specific customers for the purpose of offering the targeted customers the opportunity to open a more suitable account to transfer funds presently allocated to a certain savings category. For example, the financial institution could offer to open a 529 plan for funds allocated to a “College Savings” savings category 52.
Another way to utilize the customer demand database is illustrated at block 78. The database could be utilized to determine highly popular items that numerous customers are saving for. With such data, the financial institution could recommend the top items to other customers. This would lead to even more customers saving for top items, which in turn, would yield a higher amount of deposits as well as increased “demand” for potential group purchase benefits.
Additionally, regarding popular, in-demand products that large numbers of customers are saving for, the financial institution could utilize such data from the database to approach vendors who sell the in-demand product and negotiate a bulk purchase price. This is illustrated at block 80. As shown at block, 82, the financial institution could, in turn, offer the product to customers that have formed savings categories 52 directed to the product.
In specific embodiments of the invention, the financial institution may acquire products or services in bulk, while in other embodiments the financial institution may offer products or services on behalf of a third-party entity. Actually purchasing and taking on inventory from the vendor maximizes the amount of profit the financial institution could receive from sales of the demanded product as the financial institution would essentially become a retailer. It may not always be feasible, however, for the financial institution to become a vendor of the product and risking having capital tied into a non-financial service-related product and having inventory of a product that the financial institution cannot sell. One method that the financial institution could ensure that the product would be sold is illustrated at block 84. As illustrated, the financial institution could forward nearly all of the discounted savings to the customer and offer the highly demanded product for near cost. Furthermore, the financial institution could feasibly offer the product for a small loss. This would create a “buzz” as the financial institution would likely be offering the highly demanded product at a price less than any other retailer. This “buzz” would serve as a means of marketing and would likely lead to a substantial spike in new customers opening accounts with the financial institution.
In most cases in which the financial institution wishes to offer a third-party product, the financial institution could approach vendors of the product to negotiate group purchase benefits to obtain discounts or exclusive offers for the customers saving for the product. This is shown at block 88. In such situations, the financial institution could generate revenue by sharing in the profits from the sales or receiving a portion of the discount, while not physically taking on inventory of the product. Such a group purchase model brings value to all parties involved (e.g., the customers, the financial institution, and the vendors).
Oftentimes, the customer will not be saving for a specific product, but rather a more general product such as a “television” or a “computer.” In such situations where a large number of customers are saving for general products, the financial institution could approach vendors in hopes of brokering a deal for a discount on, for instance, vendor gift cards. For example, if the customer demand database indicates that a large number of customers are saving for a certain type of product (e.g., electronics), the financial institution could approach a type of vendor that specializes in the area and obtain an exclusive offer for purchasing gift cards (e.g., receiving a gift card value higher than the amount paid for the gift card). This would be beneficial for the vendor as it could increase the likelihood the customers purchased from them, as well as generate instant revenue from gift card purchases. Furthermore, as the financial institution brokers more deals and exclusive offers for their customers, the financial institution would likely obtain an increase in new accounts from those who wish to be included in the rewards programs.
Furthermore, with the data obtained from the customer demand database, the financial institution could provide third-party vendors with various groups of consumers that would be prime candidates for a targeted sales campaign, as indicated at block 89. Targeted sales campaigns could be effective on customers that are saving for specific products as well as more general categories of products. For example, if the financial institution could provide data to a vendor that indicated that a large number of customers were presently saving for the type of product the vendor provides, the vendor could generate a targeted offer to just those customers. The vendor could send the offer directly to the customer if the customer opted to receive such third-party offers. Alternatively, the offer could be made through the financial institution as an exclusive offer, and thus maintain the customers' privacy. In such campaigns, the financial institution could generate revenue from the vendor in any number of ways such as a percentage of sales, an up front fee for marketing to the number of customers, etc.
The customer may be provided with incentives as shown at block 94 in order to restrict the funds in the savings category. Such incentives could include a higher interest rate than the standard no restriction savings category (block 90), a greater discount or “super” exclusive offer on the product they wish to purchase, etc. The financial institution could benefit from customers that restrict their funds in such a manner as they could provide “hard” data to vendors of financial institution customers that have committed to buying the product. Of course, if the customer ultimately opted to not purchase the product using the restricted funds, the financial institution may enforce some sort of financial penalty previously agreed to by the customer.
A similar restriction option is illustrated at block 96 where the customer may opt to have the product purchased automatically upon reaching the goal. The financial institution would benefit similarly as they could utilize such “definite purchasing” data in brokering deals with third-party vendors. As incentive, the customer would receive their product (either by shipment or picking up in-store) immediately following reaching the goal amount. Other incentives could also be provided such as a higher interest rate or greater discount on the product.
System and method embodiments according to the present invention are advantageous for several reasons. For example, providing a dynamic savings allocation account option to those who have routinely used the “envelope” method for allocation should serve to increase the financial institution's deposit base. Furthermore, it would serve to reduce the number of individual accounts of customers that have previously attempted to allocate simply by opening multiple different accounts. Additionally, as the customer base grows based on utilization of the dynamic savings allocation account, the financial institution could utilize customer tendency data in brokering exclusive offers with third-party vendors, utilize targeted sales campaigns, etc. to provide “rewards program” type of services to the customers while, at the same time, building relationships with third-party vendors.
Although specific embodiments have been illustrated and described herein, those of ordinary skill in the art appreciate that any arrangement which is calculated to achieve the same purpose may be substituted for the specific embodiments shown and that the invention has other applications in other environments. This application is intended to cover any adaptations or variations of the present invention. The following claims are in no way intended to limit the scope of the invention to the specific embodiments described herein.
