Abstract: A payment processing system is configured to support purchase transactions generated by merchant point-of-sale (POS) devices. Information regarding the purchase transactions is archived and periodically analyzed using machine learning to create a predictive model relating transaction attributes to bank interchange fees. The predictive model is then used to estimate interchange fees that are later passed on to merchants. This allows more accurate settlement with merchants in situations where reports regarding actual interchange fees are not yet available.
Type:
Grant
Filed:
February 28, 2017
Date of Patent:
September 3, 2019
Assignee:
Square, Inc.
Inventors:
Kalyani Iyer, Mehmet Zahit Guneri, Dennis Jarosch, Michael Ward, Kenji Kaneda