Automated capability supports the increased control and data capture offered by MasterCard-based product
GE’s
Corporate Payment Services unit has secured a U.S. patent
covering aspects of the account pool feature of its vPayment electronic
settlement tool. It is the third and latest patent
associated with vPayment, a payment automation tool that
integrates with corporate procurement and Accounts
Payable (AP) systems and processes.
“vPayment
is a supplier-friendly way to reduce your
organization’s dependence on the time-consuming check
writing process. It offers the controls of a check, the
float of a purchasing card, and the efficiency of
electronic funds transfer,” said Jeffery R. Dye,
president and CEO of Corporate Payment Services, the
commercial card unit of GE Consumer Finance.
“The account pool patent further strengthens
vPayment’s advantages for organizations looking for
added control and efficiency.”
When
an organization requests a vPayment account to pay an
invoice or purchase order, the newly patented technology
(U.S. Patent Serial number 6,901,387)
comes into play. The GE-hosted vPayment server selects a
unique account number from an account pool and provides
it to the organization, via a secure web site or
encrypted link to the organization’s procurement or AP
system.
The
account number selected has dollar- and date-range
controls specific to the transaction in question. The
supplier given the vPayment account number cannot
subsequently charge to the account once the specified
amount is settled. If the merchant attempts to charge
above the dollar amount or beyond the date range
specified, the transaction is declined.
When
fully used, the account number returns to the account
pool and remains inactive until selected at a later
date, usually for a different amount with a different
supplier.
vPayment
also captures a unique identifier, such as purchase
order or invoice number, in the MasterCard transaction
record. This unique identifier links the transaction to
the purchasing information without manual intervention.
In effect, vPayment transactions flow to an
organization’s general ledger “hands free.”
vPayment passes unique accounting information regardless
of the merchant’s data capture capability (Level 1, 2
or 3).
“Organizations
and suppliers alike can benefit from vPayment,” Dye
said. “Unlike electronic funds transfer (EFT),
merchants need no special training or set-up and can
follow the standard credit card process to receive
payment.
Organizations enjoy improved controllership,
automated reconciliation, reduced administration, and
better cash flow.”
Other
features and benefits include:
-
Accepted at millions of MasterCard merchants
-
vPayment accounts use no physical plastic for
increased controllership
-
Exception reporting