Derivative currency-exchange transactions
View Patent ↗Methods are provided for executing a money transfer from a first party to a second party. Customer instructions are received at a host system to stage the money transfer. The instructions include specification of an amount of money to be transferred, specification of a first currency in which the funds are to be provided by the first party, specification of a second currency different from the first currency in which the funds are to be received by the second party, and specification of a trigger currency exchange rate. Confirmation is received that the funds have been collected from the first party. A currency exchange rate between the first currency and the second currency is monitored. It is determined whether the monitored currency exchange rate is at least as favorable for the first party as the trigger currency exchange rate.
1. A method for executing a money transfer of funds from a first party to a second party, the method comprising:
receiving customer instructions at a host computer system to stage the money transfer, the instructions including specification of an amount of money to be transferred, specification of a first currency in which the funds are to be provided by the first party, specification of a second currency different from the first currency in which the funds are to be received by the second party, and specification of a trigger currency exchange rate, wherein the trigger currency exchange rate is a customer specified ratio of the first currency to the second currency that a customer requires the monitored currency exchange rate be equal to or less than for execution of the money transfer;
receiving, by the host computer system, confirmation that the funds have been collected from the first party;
thereafter, monitoring, by the host computer system, a currency exchange rate between the first currency and the second currency, wherein the currency exchange rate is the ratio of the first currency to the second currency; and
determining, by the host computer system, whether the monitored currency exchange rate is equal to or less than the trigger currency exchange rate.
2. The method recited in claim 1 further comprising:
if the monitored exchange rate is equal to or less than the trigger currency exchange rate, converting the funds from the first currency to the second currency at the monitored currency exchange rate; and
transferring the converted funds to the control of the second party.
3. The method recited in claim 2 wherein the monitored currency exchange rate is more than the trigger currency exchange rate, the method further comprising increasing, with the host computer system, the amount of money to be transferred by an excess corresponding to a difference between the monitored currency exchange rate and the trigger currency exchange rate.
4. The method recited in claim 2 wherein the monitored currency exchange rate is less than the trigger currency exchange rate, the method further comprising initiating, by the host computer system, a refund of an excess corresponding to a difference between the monitored currency exchange rate and the trigger currency exchange rate to the customer.
5. The method recited in claim 1 wherein the amount of money to be transferred is specified in the first currency.
6. The method recited in claim 1 wherein the amount of money to be transferred is specified in the second currency.
7. The method recited in claim 1 further comprising:
determining, by the host computer system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a predetermined initiating, by the host computer system, a refund of the funds to the customer.
8. The method recited in claim 1 further comprising:
determining, by the host computer system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a predetermined time period; and
monitoring, by the host computer system, the currency exchange rate between the first currency and the second currency for a second predetermined time.
9. The method recited in claim 1 further comprising:
determining, by the host computer system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a defined time period;
receiving additional funds;
converting, by the host computer system, the funds and the additional funds from the first currency to the second currency at the monitored currency exchange rate; and
transferring the converted funds to the control of the second party.
10. The method recited in claim 1 wherein the customer instructions are received at the host computer system over the Internet.
11. The method recited in claim 1 wherein the customer instructions are received at the host computer system from an in-person money-transfer location.
12. A system operable to execute a money transfer of funds from a first party to a second party, the system comprising:
a processor; and
a computer-readable medium in communication with the processor, the computer readable medium having stored thereon instructions for a method executable by the processor, the method comprising:
receiving customer instructions at a host system to stage the money transfer, the instructions including specification of an amount of money to be transferred, specification of a first currency in which the funds are to be provided by the first party, specification of a second currency different from the first currency in which the funds are to be received by the second party, and specification of a trigger currency exchange rate, wherein the trigger currency exchange rate is a customer specified ratio of the first currency to the second currency that a customer requires the monitored currency exchange rate be equal to or less than for execution of the money transfer of funds;
receiving confirmation at the host system that the funds have been collected from the first party;
thereafter, monitoring, with the host system, a currency exchange rate between the first currency and the second currency, wherein the currency exchange rate is a ratio of the first currency to the second currency; and
determining, with the host system, whether the monitored currency exchange rate is equal to or less than the trigger currency exchange rate.
13. The system recited in claim 12 further comprising:
if the monitored exchange rate is equal to or less than the trigger currency exchange rate, converting the funds from the first currency to the second currency at the monitored currency exchange rate; and
transferring the converted funds to the control of the second party.
14. The system recited in claim 13 wherein the monitored currency exchange rate is more than the trigger currency exchange rate, the method further comprising increasing, with the host system, the amount of money to be transferred by an excess corresponding to a difference between the monitored currency exchange rate and the trigger currency exchange rate.
15. The system recited in claim 13 wherein the monitored currency exchange rate is less than the trigger currency exchange rate, the method further comprising initiating, with the host system, a refund of an excess corresponding to a difference between the monitored currency exchange rate and the trigger currency exchange rate to the customer.
16. The system recited in claim 12 further comprising:
determining, with the host system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a predetermined time period; and
initiating, with the host system, a refund of the funds to the customer.
17. The system recited in claim 12 further comprising:
determining, with the host system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a predetermined time period; and
monitoring, with the host system, the currency exchange rate between the first currency and the second currency for a second predetermined time.
18. The system recited in claim 12 further comprising:
determining, with the host system, that the monitored currency exchange rate is greater than the trigger currency exchange rate within a defined time period;
receiving additional funds;
converting the funds and the additional funds from the first currency to the second currency at the monitored currency exchange rate; and
transferring the converted funds to the control of the second party.
19. A computer-readable medium having stored thereon instructions for a method executable by a computer system, the method comprising:
receiving customer instructions at a host system to stage the money transfer, the instructions including specification of an amount of money to be transferred, specification of a first currency in which the funds are to be provided by the first party, specification of a second currency different from the first currency in which the funds are to be received by the second party, and specification of a trigger currency exchange rate, wherein the trigger currency exchange rate is a customer specified ratio of the first currency to the second currency that a customer requires the monitored currency exchange rate be equal to or less than for execution of the money transfer;
receiving confirmation at the host system that the funds have been collected from the first party;
thereafter, monitoring, with the host system, a currency exchange rate between the first currency and the second currency, wherein the currency exchange rate is the ratio of the first currency to the second currency; and
determining, with the host system, whether the monitored currency exchange rate is equal to or less than the trigger currency exchange rate.
20. The computer-readable medium recited in claim 19 further comprising:
if the monitored exchange rate is equal to or less than the trigger currency exchange rate, converting the funds from the first currency to the second currency at the monitored currency exchange rate; and
transferring the converted funds to the control of the second party.