Funds network and method

A method of converting to funds a negotiable instrument made to a payee, the method comprising the steps of:

• providing a first computer system that is accessible to remote parties through a wireless computer network and that is controlled by an entity;
• at a second computer system that is a wireless device that is remote from the first computer system, prompting the payee to endorse the negotiable instrument and to image the negotiable instrument at the second computer system;
• at the second computer system, acquiring an image of the negotiable instrument, endorsed and imaged in response to the prompting step;
• at the second computer system, extracting first magnetic ink character recognition data from the image acquired at the image acquiring step;
• providing a computer readable medium containing program instructions executable by the first computer system and that causes the first computer system to execute the step of providing a plurality of procedures for converting negotiable instruments to funds, wherein each procedure of the plurality of procedures bases negotiable instrument conversion to funds at least in part on a respective requirement that is different from the respective requirement corresponding to each other procedure of the plurality of procedures;
• and
• at the second computer system, acquiring from the payee a selection of a procedure of the plurality of procedures,
• wherein the program instructions are executable by the first computer system to cause the first computer system to execute the steps of
• receiving, at the first computer system via the computer network from the second computer system, information comprising the image of the negotiable instrument, identification of the payee, a monetary repository to which funds are to be transferred, the first magnetic ink character recognition data, identification of the procedure of the plurality of procedures selected by the payee, and a selection by the payee, in response to an option presented to the payee at the second computer system, whether to convert the negotiable instrument to funds with recourse to the payee or without recourse to the payee,
• extracting second magnetic ink character recognition data from the image received at the receiving step,
• comparing the second magnetic ink character recognition data to the first magnetic ink character recognition data, and
• in response to the comparing step, directing settlement of the negotiable instrument, and
• wherein
• if the procedure of the plurality of procedures selected by the payee is a first procedure of the plurality of procedures, the first computer system applies a predetermined set of risk rules to information relating to the negotiable instrument and initiates transfer to the monetary repository of an amount of funds corresponding to a value of the negotiable instrument based upon an outcome of the application of the predetermined set of risk rules without further instruction from the payee,
• if the procedure of the plurality of procedures selected by the payee is a second procedure of the plurality of procedures, the first computer system initiates transfer to the monetary repository of an amount of funds corresponding to a value of the negotiable instrument based upon passage of a predetermined period of time following execution of the directing step, during which the negotiable instrument is not rejected for payment,
• if the procedure of the plurality of procedures selected by the payee is a third procedure of the plurality of procedures, the first computer system initiates transfer to the monetary repository of an amount of funds corresponding to a value of the negotiable instrument based upon an outcome of the predetermined set of risk rules and receipt, at the first computer system via the computer network and a user interface, of instructions from the payee to initiate transfer of funds to the monetary repository.