Description:FIELD
[0001] Various embodiments of the present disclosure relate generally to electronic payment transactions. More particularly, various embodiments of the present disclosure relate to mitigating information asymmetry in electronic payment transactions.
BACKGROUND
[0002] Electronic payment transactions have become an integral part of the modern financial landscape. Such transactions involve an exchange of funds between individuals, businesses, or institutions through electronic means thereby eliminating the need for physical cash or checks. Additionally, such transactions offer convenience, speed, and security, making them increasingly popular among consumers and businesses alike. The electronic payment transactions are performed using various payment methods such as credit and debit cards, digital wallets, and internet banking.
[0003] The entities that enable electronic payment transactions include payment service providers, payment interfaces, and financial institutions. The entities typically levy various fees on such electronic payment transactions. In a scenario, a user initiates an electronic payment transaction. The recipient of the electronic payment transaction passes on a transaction fee to the user based on the interchange fee for the electronic payment transaction. The recipient thus pays the interchange fee to an acquirer associated with a financial account of the recipient. Further, the interchange fee is paid by the acquirer to an issuer associated with a financial account of the user for facilitation of the electronic payment transaction. The interchange fee that is charged to the recipient by the acquirer in the aforementioned electronic payment transaction is based on a payment method that is utilized by the user to perform the electronic payment transaction. Thus, the interchange fees vary based on the payment methods. Similarly, the transaction fee varies based on the payment methods. The user initiating such an electronic payment transaction is unaware of the transaction fees associated with various payment methods. Additionally, the user is unaware of payment methods that are accepted by a recipient of the electronic payment transaction. In another scenario, the transaction fee is absorbed by the recipient based on the payment method selected by the user. As a result, information asymmetry arises in the electronic payment transaction.
[0004] In light of the foregoing, there is a need for a technical solution that solves the abovementioned problem and mitigates information asymmetry in electronic payment transactions.
SUMMARY
[0005] Methods and systems for mitigating information asymmetry in electronic payment transactions are provided substantially as shown in and described in connection with, at least one of the figures, as set forth more completely in the claims.
[0006] In an embodiment of the present disclosure, a method for facilitating electronic payment transactions is disclosed. The method includes generating, by a processor of a user payment service provider (PSP) server, a validation request to validate a virtual payment address (VPA) of a recipient associated with an electronic payment transaction that is initiated by a user. The method further includes detecting that the validation of the VPA of the recipient is successful based on a validation response, by the processor. The validation response is received upon generating the validation request. Further, the method includes extracting a set of payment methods accepted by the recipient and a set of transaction fees associated with the set of payment methods from the validation response, by the processor. The set of payment methods and the set of transaction fees are extracted based on the detection that the validation of the VPA of the recipient is successful. The method further includes rendering on a user device associated with the user, the set of transaction fees and the set of payment methods, by the processor. The set of transaction fees and the set of payment methods are rendered on the user device to enable the user to select one of the set of payment methods based on the set of transaction fees. Additionally, the electronic payment transaction is processed based on the selected payment method.
[0007] In another embodiment of the present disclosure, a user payment service provider (PSP) server is disclosed. The user PSP server includes a processor configured to generate a validation request to validate a virtual payment address (VPA) of a recipient associated with an electronic payment transaction that is initiated by a user. The processor is further configured to detect that the validation of the VPA of the recipient is successful based on a validation response that is received upon generating the validation request. Further, the processor is configured to extract a set of payment methods accepted by the recipient and a set of transaction fees associated with the set of payment methods from the validation response based on the detection that the validation of the VPA of the recipient is successful. Additionally, the processor is configured to render on a user device associated with the user, the set of transaction fees and the set of payment methods to enable the user to select one of the set of payment methods based on the set of transaction fees. Further, the electronic payment transaction is processed based on the selected payment method.
[0008] In yet another embodiment of the present disclosure, a method for facilitating an electronic payment transaction is disclosed. The method includes receiving, by a payment network server, a promotional offer request for a set of promotional offers associated with a first payment method. The promotional offer request is received from a user payment service provider (PSP) server. The first payment method is selected by a user to process an initiated electronic payment transaction. The method further includes identifying an issuer associated with the first payment method, by the payment network server. The method further includes transmitting the promotional offer request to an issuer server associated with the identified issuer, by the payment network server. Further, the method includes receiving the set of promotional offers associated with the first payment method from the issuer server, by the payment network server. The method further includes transmitting the set of promotional offers associated with the first payment method to the user PSP server, by the payment network server. The set of promotional offers is rendered on a user device of the user.
[0009] In some embodiments, the method includes receiving, by the processor, an indication that a first payment method of the set of payment methods is selected by the user. The method further includes identifying, by the processor, whether the first payment method is one of a card payment method, an internet banking payment method, and a digital wallet payment method.
[0010] In some embodiments, the method includes generating a promotional offer request, by the processor, for obtaining a set of promotional offers associated with the first payment method when the first payment method is identified to be one of the card payment method and the internet banking payment method. Further, the method includes transmitting, by the processor, the promotional offer request to (i) one of a payment interface server and a payment network server when the first payment method is the card payment method, and (ii) the payment interface server when the first payment method is the internet banking payment method. The method further includes receiving the set of promotional offers associated with the first payment method, by the processor, from one of the payment interface server and the payment network server. The method further includes rendering on the user device, by the processor, an option for the user to select one of the set of promotional offers. Further, the electronic payment transaction is processed based on the selected promotional offer.
[0011] In some embodiments, the method includes generating a cashback request for crediting an amount associated with a first promotional offer of the set of promotional offers to a payment account of the user, by the processor. The first promotional offer is selected by the user. Additionally, the first promotional offer is a cashback offer. The method further includes transmitting, by the processor, the cashback request to (i) one of the payment interface server and the payment network server when the first payment method is the card payment method, and (ii) the payment interface server when the first payment method is the internet banking payment method. Further, the method includes receiving a cashback response by the processor. The cashback response indicates that the amount associated with the cashback offer is credited to the payment account of the user.
[0012] In some embodiments, the method includes fetching a set of promotional offers associated with the first payment method from a memory associated with the user PSP server, by the processor. The set of promotional offers is fetched when the first payment method is identified to be the digital wallet payment method. The method further includes rendering on the user device, by the processor, an option for the user to select one of the set of promotional offers. Further, the electronic payment transaction is processed based on the selected promotional offer.
[0013] In some embodiments, the method includes crediting an amount associated with a first promotional offer of the set of promotional offers that is selected by the user, to a payment account of the user, by the processor.
[0014] In some embodiments, the set of payment methods further includes a second payment method, and the set of transaction fees includes a first transaction fee associated with the first payment method and a second transaction fee associated with the second payment method. Additionally, the first transaction fee is less than the second transaction fee.
[0015] In some embodiments, the method includes receiving the VPA of the recipient, by the processor. The VPA is received based on one of (i) scanning a quick response (QR) code associated with the recipient by way of the user device and (ii) inputting the VPA of the recipient by way of the user device. The validation request is generated upon receiving the VPA of the recipient. Further, the method includes transmitting the validation request to a recipient PSP server, by the processor, via a payment interface server. The processor receives the validation response based on reception of the validation request by the recipient PSP server.
[0016] In some embodiments, the method includes authenticating the electronic payment transaction by the processor, based on reception of an authentication parameter. The authentication parameter is provided by the user by way of the user device upon selection of one of the set of payment methods. Further, the method includes generating a payment request by the processor upon authentication of the electronic payment transaction. The payment request includes a first transaction fee associated with the first payment method. The method further includes rendering, by the processor, a payment confirmation message upon reception of a payment notification based on the payment request. The payment confirmation message indicates that the electronic payment transaction is successful.
BRIEF DESCRIPTION OF THE DRAWINGS
[0017] The accompanying drawings illustrate the various embodiments of systems, methods, and other aspects of the disclosure. It will be apparent to a person skilled in the art that the illustrated element boundaries (e.g., boxes, groups of boxes, or other shapes) in the figures represent one example of the boundaries. In some examples, one element may be designed as multiple elements, or multiple elements may be designed as one element. In some examples, an element shown as an internal component of one element may be implemented as an external component in another, and vice versa.
[0018] Various embodiments of the present disclosure are illustrated by way of example, and not limited by the appended figures, in which like references indicate similar elements:
[0019] FIG. 1 is a block diagram that illustrates a system environment for mitigating information asymmetry in electronic payment transactions, in accordance with an exemplary embodiment of the present disclosure;
[0020] FIG. 2A represents a pictorial representation of a set of transaction fees and a second set of payment methods rendered on a user device of the system environment of FIG. 1, in accordance with an exemplary embodiment of the present disclosure;
[0021] FIG. 2B represents a pictorial representation of a set of promotional offers rendered on the user device of the system environment of FIG. 1, in accordance with an exemplary embodiment of the present disclosure;
[0022] FIGS. 3A-3L, collectively represent a process flow diagram that illustrates an exemplary method for mitigating information asymmetry in electronic payment transactions, in accordance with an exemplary embodiment of the present disclosure;
[0023] FIGS. 4A-4I, collectively represent a flowchart that illustrates a method (i.e., a process) to facilitate the electronic payment transactions performed by a user payment service provider (PSP) server of the system environment of FIG. 1, in accordance with an exemplary embodiment of the present disclosure;
[0024] FIG. 5 represents a high-level flowchart that illustrates a method (i.e., a process) to facilitate the electronic payment transactions performed by the user PSP server of the system environment of FIG. 1, in accordance with an exemplary embodiment of the present disclosure; and
[0025] FIG. 6 is a block diagram that illustrates a system architecture of a computer system of the system environment of FIG. 1, in accordance with an exemplary embodiment of the present disclosure.
[0026] Further areas of applicability of the present disclosure will become apparent from the detailed description provided hereinafter. It should be understood that the detailed description of exemplary embodiments is intended for illustration purposes only and is, therefore, not intended to necessarily limit the scope of the present disclosure.
DETAILED DESCRIPTION
[0027] The present disclosure is best understood with reference to the detailed figures and description set forth herein. Various embodiments are discussed below with reference to the figures. However, those skilled in the art will readily appreciate that the detailed descriptions given herein with respect to the figures are simply for explanatory purposes as the methods and systems may extend beyond the described embodiments. In one example, the teachings presented and the needs of a particular application may yield multiple alternate and suitable approaches to implement the functionality of any detail described herein. Therefore, any approach may extend beyond the particular implementation choices in the following embodiments that are described and shown.
[0028] References to “an embodiment”, “another embodiment”, “yet another embodiment”, “one example”, “another example”, “yet another example”, “for example”, and so on, indicate that the embodiment(s) or example(s) so described may include a particular feature, structure, characteristic, property, element, or limitation, but that not every embodiment or example necessarily includes that particular feature, structure, characteristic, property, element, or limitation. Furthermore, repeated use of the phrase “in an embodiment” does not necessarily refer to the same embodiment.
OVERVIEW
[0029] An electronic payment transaction involves transaction fees charged by various entities that enable the electronic payment transaction. The transaction fee varies based on a payment method utilized for the electronic payment transaction. A user initiating the electronic payment transaction is unaware of the associated transaction fee. A user may have multiple payment methods that can be utilized for the electronic payment transaction, however, the transaction fees associated with each payment method for a recipient of the electronic payment transaction are obscured from the user. Additionally, the user is unaware of payment methods that are accepted by the recipient. As a result, information asymmetry arises in the electronic payment transaction.
[0030] Various embodiments of the present disclosure provide a method and a system that solve the abovementioned problems by mitigating information asymmetry in electronic payment transactions. A processor of a user payment service provider (PSP) generates a validation request to validate a virtual payment address of a recipient of an electronic payment transaction. The validation request is generated upon initiation of the electronic payment transaction by a user. Further, the validation response is transmitted to a payment interface server. In response, the processor receives a validation response. Further, the processor detects that the validation of the VPA of the recipient is successful based on the validation response.
[0031] The processor extracts various payment methods accepted by the recipient and transaction fees associated with the payment methods from the validation response when the validation of the VPA of the recipient is successful. The extracted transaction fees and the payment methods are rendered on a user device of the user to enable the user to select one of the payment methods based on the transaction fees. Further, the electronic payment transaction is processed based on the selected payment method. Additionally, multiple promotional offers associated with the selected payment method are obtained by the processor and an option to select one of the multiple promotional offers is rendered to the user on the user device.
[0032] Thus, the various payment methods accepted by the recipient and the transaction fees associated with the various payment methods are presented to the user. As a result, user experience while performing the electronic payment transaction is improved.
TERMS DESCRIPTION (in addition to plain and dictionary meaning)
[0033] User device may refer to an electronic communication device that enables a user to perform electronic payment transactions. Examples of the user device include mobile phones, tablets, personal computers, laptops, phablets, and the like.
[0034] Electronic payment transaction refers to a process of exchanging funds between two parties using electronic means as compared to exchanging of physical cash or traditional paper-based methods. In such transactions, money is transferred electronically from a payer (the individual, business, or institution making the payment) to a payee (the recipient of the payment) by utilizing various payment methods. Examples of the payment method include payment cards, digital wallets, and internet banking.
[0035] Card payment method refers to utilizing a payment card to perform the electronic payment transaction. A payment card is a financial instrument that allows the user to perform the electronic payment transaction for goods and services. Examples of the payment card include, but are not limited to, a credit card, a debit card, or the like.
[0036] Digital wallet payment method refers to utilizing a digital wallet to perform the electronic payment transaction. A digital wallet is a financial instrument that facilitates the electronic payment transaction. The digital wallet is preloaded with funds. The funds available in the digital wallet is used for electronic payment transactions. Examples of the digital wallet may include, but are not limited to, PAYPAL®, APPLE PAY®, PhonePe®, or the like.
[0037] Internet banking is a process that allows the user to perform the electronic payment transaction by transferring funds from a first payment account of the user to a second payment account of the recipient.
[0038] Server is a physical or cloud data processing system on which a server program runs. A server may be implemented in hardware, software, and/or a computer program that is executed on programmable computers such as personal computers, laptops, or a network of computer systems. The server may correspond to a user payment service provider (PSP) server, a recipient PSP server, an acquirer server, a payment network server, or an issuer server.
[0039] Issuer is associated with a financial institution, such as a bank, where accounts of several users are established and maintained. The issuer server ensures payment for approved electronic payment transactions in accordance with various payment network regulations and local legislation.
[0040] Acquirer is a financial institution, such as a bank, where an account of the recipient of the electronic payment transaction is established and maintained for accepting payments.
[0041] Payment network acts as an intermediate entity between the acquirer and the issuer to process the electronic payment transactions that are performed utilizing the payment cards. Examples of various payment networks include MasterCard®, American Express®, VISA®, Discover®, Diners Club®, and the like.
[0042] Payment interface acts as an intermediate entity between a user payment service provider and a recipient payment service provider to facilitate electronic payment transactions that are initiated using a virtual payment address of the recipient. Unified payment interface (UPI®) is an example for the payment interface.
[0043] Virtual payment address (VPA) is a unique identifier used for an electronic payment transaction. The VPA serves as an alternative to sharing sensitive bank account details (such as the account number and Indian Financial System Code (IFSC) code) during electronic payment transactions.
[0044] User payment service provider (PSP) is responsible for providing a payment application through which a user performs an electronic payment transaction by utilizing the VPA of a recipient. The user PSP receives the VPA of a recipient associated with the electronic payment transaction and interacts with a payment interface to facilitate the electronic payment transaction.
[0045] Recipient PSP is associated with the recipient of the electronic payment transaction. The recipient PSP interacts with a payment interface to facilitate the electronic payment transaction initiated by a user. The recipient PSP communicates payment methods accepted by the recipient and transaction fees associated with payment methods to the user PSP via the payment interface.
[0046] Payment application facilitates the user to perform electronic payment transactions through the user device. The payment application is provided by the user PSP. Examples of the payment application include Google Pay®, PhonePe®, PayPal®, UnionPay®, Amazon Pay®, and the like.
[0047] Promotional offer is a marketing strategy that is designed to encourage the user to utilize a payment method for performing the electronic payment. Examples of the promotional offer may include at least one of discounts, rewards such as cashback offers or loyalty points, vouchers, or the like.
[0048] FIG. 1 is a block diagram that illustrates a system environment 100 for mitigating information asymmetry in electronic payment transactions, in accordance with an exemplary embodiment of the present disclosure. The system environment 100 includes a user 102, a user device 104, a user payment service provider (PSP) server 106, a payment interface server 108, a recipient PSP server 110, a recipient device 111, a recipient 112, an issuer server 113, an acquirer server 114, and a payment network server 115. The user device 104, the user PSP server 106, the payment interface server 108, the recipient PSP server 110, the recipient device 111, the issuer server 113, the acquirer server 114, and the payment network server 115 may communicate with each other by way of a communication network 116 or through a separate communication channel established therebetween.
[0049] The user 102 is an account holder of a first payment account maintained at a financial institution, such as an issuer. Examples of the first payment account may include a savings account, a current account, a debit account, a credit account, or the like. The user 102 may utilize one of a first set of payment methods to perform an electronic payment transaction associated with the first payment account. A payment method represents an instrument or a process used to transfer funds from the first payment account to a second payment account (maintained at an acquirer) of the recipient 112 associated with the electronic payment transaction. The first set of payment methods may include at least one of a card payment method, a digital wallet payment method, and an internet banking payment method.
[0050] The card payment method refers to utilizing a payment card to perform the electronic payment transaction. A payment card is a financial instrument that allows the user 102 to perform the electronic payment transaction. The payment card is issued by the issuer where the first payment account of the user 102 is maintained. Examples of the payment card include, but are not limited to, a credit card, a debit card, or the like.
[0051] The digital wallet payment method refers to utilizing a digital wallet to perform the electronic payment transaction. A digital wallet is a financial instrument that facilitates the electronic payment transaction. The digital wallet is preloaded with funds. The funds available in the digital wallet are used for electronic payment transactions. The digital wallet is associated with the first payment account. In other words, funds are loaded into the digital wallet from the first payment account. Further, the digital wallet may be provided by a payment service provider. Examples of the digital wallet may include, but are not limited to, PAYPAL®, APPLE PAY®, Google Pay®, PhonePe®, or the like. Internet banking is a process that allows the user 102 to perform the electronic payment transaction by transferring funds from the first payment account to the second payment account of the recipient 112.
[0052] The user device 104 is a computing device of the user 102. A first payment application provided by the user PSP server 106 is installed in the user device 104 to facilitate electronic payment transactions. The user device 104 may include a first processor 118 and a first memory 120. Examples of the user device 104 may include, but are not limited to, a mobile phone, a computer, a laptop, a smartphone, a tablet, and a phablet.
[0053] The first processor 118 of the user device 104 includes suitable logic, circuitry, interfaces, and/or code executable by the circuitry for performing various operations for facilitating electronic payment transactions. The first processor 118 executes a set of instructions associated with the first payment application for facilitating electronic payment transactions. An application is a computer program that is installed on the user device 104 to perform a specific function or a set of specific functions. In one embodiment, the first payment application may be preinstalled on the user device 104. In another embodiment, the first payment application is installed on the user device 104 by the user 102. Examples of the first processor 118 may include, but are not limited to, an application-specific integrated circuit (ASIC) processor, a reduced instruction set computer (RISC) processor, a complex instruction set computer (CISC) processor, a field programmable gate array (FPGA), a central processing unit (CPU), or the like.
[0054] The user 102 is registered on the first payment application through a user interface rendered by the first payment application on the user device 104. Further, registration of the user 102 on the first payment application includes generation of a virtual payment address (VPA) for the user 102. The first processor 118 communicates with the user PSP server 106 for the generation of the VPA of the user 102. A VPA is a unique identifier used for the electronic payment transaction. The VPA serves as an alternative to sharing sensitive bank account details (such as first payment account number and IFSC code) during the electronic payment transaction. The VPA of the user 102 is hereinafter referred to as “the user VPA.” Further, each of the first set of payment methods is registered on the first payment application. One of the first set of payment methods may be utilized for performing the electronic payment transaction. Additionally, an authentication parameter for authentication of electronic payment transactions to be performed using the first payment application is set by the user 102. The authentication parameter is utilized by the issuer associated with the first payment account for authenticating the electronic payment transactions. The authentication parameter set by the user 102 is communicated to the user PSP server 106 by the first processor 118. Examples of the authentication parameter may include at least one of a password, a personal identification number, biometric, or the like.
[0055] The electronic payment transaction may be initiated by the user 102 through the first payment application installed on the user device 104 for transferring a first amount from the first payment account to the second payment account. In an embodiment, the electronic payment transaction may be initiated by scanning a quick response (QR) code associated with the recipient 112 of the electronic payment transaction. The QR code is scanned through the first payment application installed on the user device 104. The QR code is a two-dimensional matrix barcode that contains a VPA of the recipient 112 in a machine-readable format. The VPA of the recipient 112 is hereinafter referred to as “the recipient VPA”. Upon scanning the QR code, the first processor 118 extracts the recipient VPA from the QR code. The first processor 118 further transmits the recipient VPA to the user PSP server 106. In another embodiment, the electronic payment transaction may be initiated when the recipient VPA is inputted by the user 102 on the first payment application. Further, the first processor 118 transmits the recipient VPA to the user PSP server 106.
[0056] The first memory 120 includes suitable logic, circuitry, and/or interfaces to store the set of instructions associated with the first payment application, which when executed by the first processor 118, causes the first processor 118 to perform various operations for facilitating the electronic payment transaction. On installing the first payment application on the user device 104, the set of instructions associated with the first payment application may be stored in the first memory 120. Examples of the first memory 120 may include a random-access memory (RAM), a read-only memory (ROM), a programmable ROM (PROM), an erasable PROM (EPROM), a removable storage drive, a hard disk drive (HDD), a flash memory, a solid-state memory, or the like.
[0057] The user PSP server 106 is a server arrangement that includes suitable logic, circuitry, interface, and/or code executable by the circuitry, for performing various functions to facilitate mitigation of information asymmetry in electronic payment transactions. The user PSP server 106 provides the first payment application to facilitate electronic payment transactions. The user PSP server 106 includes a second processor 122, and a second memory 124.
[0058] The second processor 122 of the user PSP server 106 includes suitable logic, circuitry, interfaces, and/or code executable by the circuitry for performing various operations to facilitate mitigation of information asymmetry in electronic payment transactions. The user PSP server 106 generates the user VPA during registration of the user 102 on the first payment application. Further, the user PSP server 106 stores details associated with the first set of payment methods in the second memory 124. Examples of the second processor 122 may include, but are not limited to, an application-specific integrated circuit (ASIC) processor, a reduced instruction set computer (RISC) processor, a complex instruction set computer (CISC) processor, a field programmable gate array (FPGA), a central processing unit (CPU), or the like.
[0059] The second processor 122 receives the recipient VPA from the first processor 118 upon initiation of the electronic payment transaction by the user 102. Further, the second processor 122 generates a validation request for validation of the recipient VPA. The validation request includes the recipient VPA and a request for validating the recipient VPA. Further, the second processor 122 transmits the validation request to the recipient PSP server 110 via the payment interface server 108. In response, the second processor 122 receives a validation response from the payment interface server 108 based on communication of the payment interface server 108 with the recipient PSP server 110. In case of successful validation of the recipient VPA, the validation response indicates that the validation of the recipient VPA is successful. The validation of the recipient VPA is successful when the recipient 112 is successfully registered with the recipient PSP server 110. In case of failed validation of the recipient VPA, the validation response indicates that the validation of the recipient VPA has failed.
[0060] The second processor 122 detects that the validation of the recipient VPA is successful based on the validation response that is received upon generating the validation request. When the validation of the recipient VPA is successful, the validation response includes a second set of payment methods accepted by the recipient 112 for electronic payment transactions and a set of transaction fees associated with the second set of payment methods. The second processor 122 extracts the second set of payment methods and the set of transaction fees associated with the second set of payment methods from the validation response based on the detection that the validation of the recipient VPA is successful. In an embodiment, the second set of payment methods accepted by the recipient 112 is similar to the first set of payment methods registered by the user 102 on the first payment application. For example, the first set of payment methods includes the card payment method, the digital wallet payment method, and the internet banking payment method and the second set of payment methods also includes the same. In another embodiment, the second set of payment methods accepted by the recipient 112 is slightly different from the first set of payment methods registered by the user 102 on the first payment application. For example, the first set of payment methods includes the card payment method, the digital wallet payment method, and the internet banking payment method and the second set of payment methods includes the card payment method and the internet banking payment method and excludes the digital wallet payment method. Further, a transaction fee associated with each payment method indicates a fee charged by the recipient 112 of the electronic payment transaction. The recipient 112 of the electronic payment transaction is charged an interchange fee by an acquirer associated with the electronic payment transaction. The interchange fee varies based on the payment method utilized for the electronic payment transaction. When the payment method is a payment card, the acquirer is charged with a switching fee by a payment network associated with the payment card to facilitate the electronic payment transaction. In such a scenario, the switching fee is charged to the recipient 112 by the acquirer in addition to the interchange fee. The acquirer charges the interchange fee to the recipient 112 as the interchange fee is initially paid by the acquirer to an issuer to facilitate the electronic payment transaction. The transaction fee may further include various components such as platform fee, convenience fee, and the like. In an example, when the payment method utilized for the electronic payment transaction is the card payment method, the acquirer is charged the interchange fee by the issuer. As a result, the recipient 112 is charged the interchange fee and the switching fee by the acquirer. Further, the recipient 112 may impose the transaction fee that includes the interchange fee and the switching fee on the user 102.
[0061] The second set of payment methods includes a first payment method, a second payment method, …, an nth payment method. Similarly, the set of transaction fees includes a first transaction fee associated with the first payment method, a second transaction fee associated with the second payment method, …, and an nth transaction fee associated with the nth payment method. In an example, the second set of payment methods includes the internet banking payment method and the card payment method. Further, the set of transaction fees includes the first transaction fee associated with the card payment method and the second transaction fee associated with the internet banking payment method. Additionally, the first transaction fee is less than the second transaction fee. In another example, the second set of payment methods includes the card payment method, the digital wallet payment method, and the internet banking payment method. Further, the set of transaction fees includes the first transaction fee associated with the card payment method, the second transaction fee associated with the internet banking payment method, and an nth transaction fee associated with the digital wallet payment method. In yet another example, the second set of payment methods indicates a type of card payment method such as a credit card payment method and a debit card payment method, and a type of digital wallet payment method such as a first digital wallet payment method and a second digital wallet payment method. Further, the first digital wallet payment method may be associated with the user PSP and the second digital wallet payment method may be associated with the recipient PSP.
[0062] The second processor 122 may render the set of transaction fees and the second set of payment methods on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees. The electronic payment transaction is thus processed based on the selected payment method. In other words, the second processor 122 communicates with the first processor 118 such that the first processor 118 facilitates rendering of the set of transaction fees and the second set of payment methods on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees. One of the second set of payment methods may be selected by the user 102 based on the transaction fee associated with the corresponding payment method. In an example, the first payment method is the internet banking payment method and the first transaction fee is 0.2% of the first amount, and the second payment method is the card payment method and the second transaction fee is 1% of the first amount. In such an example, the user 102 may select the first payment method as the first transaction fee is less than the second transaction fee.
[0063] Upon selection of one of the second set of payment methods, the first processor 118 transmits an indication that indicates the selected payment method to the second processor 122. For the sake of brevity, it is assumed that the first payment method is selected by the user 102. The second processor 122 receives the indication that the first payment method is selected by the user 102. Further, the second processor 122 identifies whether the first payment method is one of the card payment method, the internet banking payment method, and the digital wallet payment method.
[0064] The second processor 122 generates a promotional offer request for obtaining a set of promotional offers associated with the first payment method when the first payment method is identified to be one of the card payment method and the internet banking payment method. Promotional offer is a marketing strategy that is designed to encourage the user 102 to utilize a payment method for performing the electronic payment. The set of promotional offers may include at least one of discounts, rewards such as cashback offer or loyalty points, vouchers, or the like. The promotional offer request may include a reference identifier associated with the initiated electronic payment transaction, a type of the electronic payment transaction, a category code of the recipient 112, the recipient VPA, a name of the recipient 112, a selected payment method, a first payment account number, a transaction currency, or the like. The type of the electronic payment transaction may be peer-to-peer transaction or person-to-merchant transaction. Peer-to-peer transaction involves an exchange of funds between two individuals. Peer-to-merchant transaction involves the payment of funds by an individual (such as the user 102) to a merchant (such as the recipient 112). The transaction fee may be referred to as merchant fee when the recipient 112 is a merchant.
[0065] In an embodiment, the second processor 122 transmits the promotional offer request to the payment network server 115 when the first payment method is the card payment method. In such an embodiment, the second processor 122 receives the set of promotional offers associated with the first payment method from the issuer server 113 via the payment network server 115 in response to the promotional offer request. In another embodiment, the second processor 122 transmits the promotional offer request to the payment interface server 108 when the first payment method is the card payment method. In such an embodiment, the second processor 122 receives the set of promotional offers associated with the first payment method from the issuer server 113 via the payment interface server 108. When the selected payment method is identified to be the internet banking payment method, the second processor 122 transmits the promotional offer request to the payment interface server 108. The second processor 122 receives the set of promotional offers associated with the first payment method from the issuer server 113 via the payment interface server 108 in response to the promotional offer request.
[0066] The second processor 122 fetches the set of promotional offers associated with the first payment method from the second memory 124 associated with the user PSP server 106 when the first payment method is identified to be the digital wallet payment method.
[0067] The second processor 122 renders an option for the user 102 to select one of the set of promotional offers such that the electronic payment transaction is processed based on the selected promotional offer upon receiving the set of promotional offers. In an example, the set of promotional offers includes a first promotional offer that indicates a discount of ?100 when the first amount associated with the initiated transaction is above ?2000 and a second promotional offer indicates a cashback of ?200 when the first amount is above ?3000. For the sake of brevity, it is assumed that the first promotional offer is selected by the user 102. Further, the user 102 is prompted to input the first amount associated with the electronic payment transaction to the user device 104 upon selection of the first promotional offer. In one embodiment, the first processor 118 may prompt the user 102 to input the first amount. In another embodiment, the second processor 122 may prompt the user 102 to input the first amount upon receiving the indication that the first promotional offer is selected by the user 102 from the first processor 118.
[0068] Upon inputting the first amount, an transaction fee amount associated with the first transaction fee for the first amount may be rendered on the user device 104. Additionally, when the first promotional offer selected by the user 102 is a discount offer, a discount amount along with the first amount and the transaction fee amount may be rendered on the user device 104. In one embodiment, the first processor 118 may compute the transaction fee amount associated with the first transaction fee for the first amount upon receiving the first amount inputted by the user 102. The first processor 118 may further render the transaction fee amount on the user device 104. Additionally, the first processor 118 may compute the discount amount for the first amount and render the discount amount along with the first amount and the transaction fee amount on the user device 104. In another embodiment, the second processor 122 may compute the transaction fee amount associated with the first transaction fee for the first amount upon receiving the first amount inputted by the user 102 from the first processor 118. The second processor 122 may further render the transaction fee amount on the user device 104. Additionally, the second processor 122 may compute the discount amount for the first amount upon receiving the selected promotional offer from the first processor 118. The second processor 122 further renders the discount amount along with the first amount and the transaction fee amount on the user device 104.
[0069] The user 102 is further prompted to input the authentication parameter into the user device 104 for authentication of the initiated electronic payment transaction when the first payment method is one of the card payment method and the internet banking payment method. In one embodiment, the first processor 118 may prompt the user 102 to input the authentication parameter. In another embodiment, the second processor 122 may prompt the user 102 to input the authentication parameter. The authentication parameter inputted by the user 102 is communicated to the second processor 122 of the user PSP server 106 by the first processor 118.
[0070] The second processor 122 receives the authentication parameter. Further, the second processor 122 generates a payment request . The payment request may include the authentication parameter, details of the selected payment method, the recipient VPA, the first amount, and the transaction fee amount. In an example, the payment request may include a second amount instead of the first amount when the first promotional offer is the discount offer. The second amount is computed by the second processor 122 by deducting the discount amount from the first amount. When the selected payment method is the card payment method, the details of the selected payment method include an identifier of the issuer associated with the payment card, the first payment account number associated with the payment card, a card number of the payment card, a unique code associated with the issuer, and the like. When the selected payment method is the internet banking payment method, the details of the selected payment method include an identifier of the issuer associated with the first payment account, the first payment account number, a unique code associated with the issuer, and the like.
[0071] The second processor 122 further transmits the payment request to the payment interface server 108. Further, the second processor 122 receives a payment notification from the payment interface server 108 based on the transmission of the payment request. The payment notification indicates whether payments of the first amount and the first transaction fee amount associated with the electronic payment transaction are performed successfully. Further, the second processor 122 generates a cashback request when the first promotional offer selected by the user 102 is a cashback offer. The cashback request includes a request for immediate crediting of a cashback amount associated with the cashback offer to the first payment account. When the first payment method is the internet banking payment method, the second processor 122 transmits the cashback request to the payment interface server 108. Further, the second processor 122 receives a cashback response from the payment interface server 108 in response to the cashback request. In one embodiment, the second processor 122 transmits the cashback request to the payment interface server 108 when the first payment method is the card payment method. In such an embodiment, the second processor 122 receives the cashback response from the payment interface server 108 in response to the cashback request. In another embodiment, the second processor 122 transmits the cashback request to the payment network server 115 when the first payment method is the card payment method. In such an embodiment, the second processor 122 receives the cashback response from the payment network server 115 in response to the cashback request. The cashback response indicates whether the cashback amount is credited to the first payment account.
[0072] When the first payment method is the digital wallet payment method, the second processor 122 debits the first amount and the transaction fee amount from the digital wallet of the user 102 upon selection of the first promotional offer. Further, the second processor 122 generates a first credit request. The first credit request includes the recipient VPA, the transaction fee, and a request to credit the first amount and the transaction fee to the second payment account of the recipient 112. The second processor 122 further transmits the first credit request to the payment interface server 108. The second processor 122 receives a first credit response in response to the first credit request from the payment interface server 108. The first credit response indicates whether the first amount and the first transaction fee amount associated with the electronic payment transaction are credited to the second payment account. When the first credit response indicates successful payment and the first promotional offer is the cashback offer, the second processor 122 credits the cashback amount associated with the cashback offer to the digital wallet of the user 102.
[0073] The second processor 122 generates a payment confirmation message. The payment confirmation message indicates that the electronic payment transaction of the first amount and the transaction fee amount is successful. In an example, the payment confirmation message indicates that the electronic payment transaction of the first amount of ?5000 and the transaction fee amount of ?10 is successful. The second processor 122 further renders the payment confirmation message on the user device 104. In an embodiment, when the selected promotional offer is the cashback offer, the payment confirmation message further indicates the cashback amount. In another embodiment, when the selected promotional offer is the discount offer, the payment confirmation message further indicates the discount amount. In other words, the payment confirmation message indicates the transaction fee amount and details associated with the selected promotional offer.
[0074] The second memory 124 includes suitable logic, circuitry, and/or interfaces to store a set of instructions, which when executed by the second processor 122, causes the second processor 122 to perform various operations for facilitating the mitigation of information asymmetry in electronic payment transactions. The second memory 124 is configured to store the set of promotional offers associated with the digital wallet of the user 102. Examples of the second memory 124 may include a random-access memory (RAM), a read-only memory (ROM), a programmable ROM (PROM), an erasable PROM (EPROM), a removable storage drive, a hard disk drive (HDD), a flash memory, a solid-state memory, or the like.
[0075] The payment interface server 108 is a server arrangement that includes suitable logic, circuitry, interface, and/or code executable by the circuitry, for facilitating the electronic payment transaction. The payment interface server 108 acts an intermediate entity between the user PSP server 106, the recipient PSP server 110, the issuer server 113, and the acquirer server 114 to facilitate electronic payment transactions. The payment interface server 108 receives the validation request from the user PSP server 106 for validating the recipient VPA. The payment interface server 108 identifies the recipient PSP associated with the recipient VPA. Further, the payment interface server 108 transmits the validation request to the recipient PSP server 110. In response, the payment interface server 108 receives the validation response from the recipient PSP server 110. The payment interface server 108 further transmits the validation response to the user PSP server 106.
[0076] When the selected payment method is one of the card payment method and internet banking payment method, the payment interface server 108 receives the promotional offer request from the user PSP server 106. The payment interface server 108 identifies the issuer associated with the selected payment method and transmits the promotional offer request to the issuer server 113. Further, the payment interface server 108 receives the set of promotional offers based on the promotional offer request from the issuer server 113. Further, the payment interface server 108 transmits the set of promotional offers to the user PSP server 106.
[0077] The payment interface server 108 further receives the payment request from the user PSP server 106 when the selected payment method is one of the card payment method and the internet banking payment method. Upon receiving the payment request, the payment interface server 108 transmits an address translation request to the recipient PSP server 110. The address translation request includes the recipient VPA and a request for details of the second payment account. Further, the payment interface server 108 receives an address translation response from the recipient PSP server 110. The address translation response includes the details of the second payment account such as an identifier of the acquirer associated with the second payment account, the second payment account number, a unique code associated with the acquirer, and the like.
[0078] The payment interface server 108 transmits a debit request to the issuer server 113 upon receiving the address translation response. The debit request includes the authentication parameter, the first amount, the transaction fee amount, and a request to debit the first amount and the transaction fee amount from the first payment account. In response, the payment interface server 108 receives a debit response. The debit response indicates whether the first amount and the transaction fee amount are successfully debited from the first payment account. Further, the payment interface server 108 transmits a second credit request to the acquirer server 114. The second credit request includes the first amount, the transaction fee amount, and a request for crediting the first amount and the transaction fee amount to the second payment account. In response, the payment interface server 108 receives a second credit response. The second credit response indicates whether the first amount and the transaction fee amount are successfully credited to the second payment account.
[0079] The payment interface server 108 further generates and transmits a credit notification to the recipient PSP server 110. The credit notification indicates that the first amount and the transaction fee amount are credited to the second payment account. The credit notification may further include the user VPA. Further, the payment interface server 108 generates and transmits the payment notification to the second processor 122. The payment notification indicates whether the payment of the first amount and the first transaction fee amount associated with the electronic payment transaction are performed successfully.
[0080] When the selected payment method is one of the card payment method and the internet banking payment method, and the selected promotional offer is the cashback offer, the payment interface server 108 receives the cashback request from the second processor 122 upon transmitting the payment notification. The cashback request includes the request for immediate crediting of the cashback amount associated with the cashback offer to the first payment account. The payment interface server 108 further transmits the cashback request to the issuer server 113. In response, the payment interface server 108 receives the cashback response from the issuer server 113. The cashback response indicates whether the cashback amount is credited to the first payment account. The payment interface server 108 further transmits the cashback response to the second processor 122.
[0081] The payment interface server 108 receives the first credit request from the second processor 122 when the selected payment method is the digital wallet payment method. The first credit request includes the recipient VPA, the transaction fee, and the request to credit the first amount and the transaction fee to the second payment account of the recipient 112. Upon receiving the first credit request, the payment interface server 108 transmits the address translation request to the recipient PSP server 110. The address translation request includes the recipient VPA and the request for details of the second payment account. Further, the payment interface server 108 receives the address translation response from the recipient PSP server 110. The address translation response includes the details of the second payment account such as the identifier of the acquirer associated with the second payment account, the second payment account number, the unique code associated with the acquirer, and the like. Further, the payment interface server 108 transmits the first credit request to the acquirer server 114 based on the address translation response. In response, the payment interface server 108 receives the first credit response. The first credit response indicates whether the first amount and the first transaction fee amount associated with the electronic payment transaction are credited to the second payment account. The payment interface server 108 transmits the first credit response to the second processor 122.
[0082] The recipient PSP server 110 is a server arrangement that includes suitable logic, circuitry, interface, and/or code executable by the circuitry, for facilitating the electronic payment transaction. The recipient PSP server 110 is associated with the recipient 112 of the electronic payment transaction. The recipient 112 may be an individual, a merchant, a business entity, or the like. The recipient PSP server 110 interacts with the payment interface server 108 to facilitate the electronic payment transaction initiated by the user 102. The recipient PSP server 110 provides a second payment application to the recipient 112 to facilitate electronic payment transactions. In other words, the second payment application is installed on the recipient device 111 associated with the recipient 112. Additionally, the recipient PSP server 110 generates the recipient VPA during registration of the recipient 112 on the second payment application. Further, the recipient PSP server 110 is configured to store the recipient VPA and the details of the second payment account associated with the recipient 112 in a third memory (not shown). The recipient PSP server 110 is further configured to store the second set of payment methods accepted by the recipient 112 and the set of transaction fees associated with the second set of payment methods in the third memory.
[0083] Upon initiation of the electronic payment transaction, the recipient PSP server 110 receives the validation request from the payment interface server 108. Further, the recipient PSP server 110 determines whether the received recipient VPA is valid. The recipient VPA is determined to be valid based on a match between the recipient VPA received in the validation request and the recipient VPA stored in the fourth memory. When the recipient VPA is valid, the recipient PSP server 110 transmits the validation response that indicates that the validation of the recipient VPA is successful. The validation response further includes the second set of payment methods accepted by the recipient 112 and the set of transaction fees associated with the second set of payment methods when the validation of the recipient VPA is successful. When the recipient VPA is invalid, the recipient PSP server 110 transmits the validation response that indicates that the validation of the recipient VPA has failed.
[0084] Upon the reception of the payment request by the payment interface server 108, the recipient PSP server 110 receives the address translation request from the payment interface server 108. In response, the recipient PSP server 110 transmits the address translation response that includes the details of the second payment account to the payment interface server 108. Further, the recipient PSP server 110 receives the credit notification from the payment interface server 108. The credit notification indicates that the first amount and the transaction fee amount are credited to the second payment account. Further, the recipient PSP server 110 renders the credit notification on the recipient device 111 of the recipient 112.
[0085] The issuer server 113 is a server arrangement that includes suitable logic, circuitry, interface, and/or code, executable by the circuitry, for processing various electronic payment transactions. The issuer server 113 is operated by the issuer associated with the selected payment method. The issuer is a financial institution that manages one or more payment accounts of various users such as the user 102. The issuer server 113 maintains the first payment account of the user 102. In other words, the issuer server 113 facilitates crediting of funds into the first payment account and debiting of funds from the first payment account. The issuer server 113 may be further configured to store the set of promotional offers associated with the various payment methods such as the first set of payment methods and the recipient 112 in a fourth memory (not shown) associated with the issuer server 113. The issuer server 113 may be further configured to store the authentication parameter set by the user 102 in the fourth memory.
[0086] Upon initiation of the electronic payment transaction, the issuer server 113 receives the promotional offer request. In an embodiment, when the selected payment method is the payment card, the promotional offer request is received from one of the payment interface server 108 and the payment network server 115. Further, the issuer server 113 fetches the set of promotional offers associated with the selected payment mode from the fourth memory. The issuer server 113 further transmits the set of promotional offers to one of the payment interface server 108 and the payment network server 115. In another embodiment, when the selected payment method is internet banking, the promotional offer request is received from the payment interface server 108. Further, the issuer server 113 transmits the set of promotional offers to the payment interface server 108.
[0087] Upon the reception of the payment request by the payment interface server 108, the issuer server 113 receives the debit request from the payment interface server 108. Further, the issuer server 113 authenticates the electronic payment transaction based on the authentication parameter present in the debit request. Upon successful authentication of the electronic payment transaction, the issuer server 113 determines whether the first payment account has sufficient funds to facilitate the electronic payment transaction. Upon the determination that the first payment account has sufficient funds, the issuer server 113 debits the first amount and the transaction fee amount indicated in the debit request from the first payment account of the user 102. Further, the issuer server 113 transmits the debit response that indicates whether the first amount and the transaction fee amount are successfully debited from the first payment account to the payment interface server 108.
[0088] In one embodiment, the issuer server 113 may further receive the cashback request from the payment interface server 108. Further, the issuer server 113 credits the cashback amount associated with the cashback offer to the first payment account. Further, the issuer server 113 transmits the cashback response to the payment interface server 108. In another embodiment, the issuer server 113 may receive the cashback request from the payment network server 115. In such an embodiment, the issuer server 113 credits the cashback amount associated with the cashback offer to the first payment account and transmits the cashback response to the payment network server 115.
[0089] The acquirer server 114 is a server arrangement that includes suitable logic, circuitry, interface, and/or code, executable by the circuitry, for processing various electronic payment transactions. The acquirer server 114 is operated by an acquirer associated with the recipient 112. The acquirer may be a financial institution. Thus, the second payment account of the recipient 112 is maintained at the acquirer. When the first payment method is the digital wallet payment method, the acquirer server 114 is configured to receive the first credit request from the payment interface server 108. The first credit request is initiated by the second processor 122 upon debiting the first amount and the transaction fee amount from the digital wallet of the user 102. The first credit request includes the first amount, the transaction fee amount, and the request for crediting the first amount and the transaction fee amount to the second payment account. Further, the acquirer server 114 credits the first amount and the transaction fee amount to the second payment account. The acquirer server 114 transmits the first credit response that indicates whether the first amount and the transaction fee amount are successfully credited to the second payment account to the payment interface server 108.
[0090] When the first payment method is one of the card payment method and the internet banking payment method, the acquirer server 114 is configured to receive the second credit request from the payment interface server 108. The second credit request is transmitted by the payment interface server 108 when the debit response received from the issuer server 113 indicates a successful debit of the first amount and the transaction fee amount from the first payment account. The second credit request includes the first amount, the transaction fee amount, and the request for crediting the first amount and the transaction fee amount to the second payment account. Further, the acquirer server 114 credits the first amount and the transaction fee amount to the second payment account. The acquirer server 114 transmits the second credit response that indicates whether the first amount and the transaction fee amount are successfully credited to the second payment account to the payment interface server 108.
[0091] The payment network server 115 may include suitable logic, circuitry, interfaces, and/or code, executable by the circuitry for mitigating information asymmetry in the electronic payment transactions. The payment network server 115 is operated by a payment network such as MasterCard®, American Express®, VISA®, Discover®, Diners Club®, and the like. In one embodiment, the user PSP server 106 may be maintained by the payment network. When the selected payment method is the card payment method, the payment network server 115 receives the promotional offer request from the second processor 122. The promotional offer request includes the reference identifier associated with the initiated electronic payment transaction, the type of the electronic payment transaction, a category code of the recipient 112, the recipient VPA, the name of the recipient 112, the selected payment method, the first payment account number, the transaction currency, or the like.
[0092] Upon receiving the promotional offer request, the payment network server 115 identifies the issuer associated with the initiated electronic payment transaction. Further, the payment network server 115 transmits the promotional offer request to the issuer server 113. In response, the payment network server 115 receives the set of promotional offers from the issuer server 113. Further, the payment network server 115 transmits the set of promotional offers to the user PSP server 106.
[0093] When the selected promotional offer is the cashback offer and the selected payment method is the payment card, the payment network server 115 receives the cashback request from the user PSP server 106. The cashback request includes the request for immediate crediting of the cashback amount to the first payment account. The payment network server 115 identifies the issuer associated with the electronic payment transaction and transmits the cashback request to the issuer server 113. Further, the payment network server 115 receives the cashback response from the issuer server 113. The payment network server 115 further transmits the cashback response to the user PSP server 106. Examples of the user PSP server 106, the payment interface server 108, the recipient PSP server 110, the issuer server 113, the acquirer server 114, and the payment network server 115 may include, but are not limited to, computers, laptops, mini-computers, mainframe computers, any non-transient and tangible machines that may execute a machine-readable code, cloud-based servers, distributed server networks, a network of computer systems, or a combination thereof.
[0094] The communication network 116 may be a medium through which content and messages are transmitted between the user device 104, the user PSP server 106, the payment interface server 108, the recipient PSP server 110, the recipient device 111, the issuer server 113, the acquirer server 114, the payment network server 115, and other entities that are pursuant to one or more standards for the interchange of electronic payment transactions, such as the ISO8583 standard. Examples of the communication network 116 may include, but are not limited to, a wireless fidelity (Wi-Fi) network, a light fidelity (Li-Fi) network, a local area network (LAN), a wide area network (WAN), a metropolitan area network (MAN), a satellite network, the Internet, a fiber optic network, a coaxial cable network, an infrared (IR) network, a radio frequency (RF) network, and combinations thereof. Various entities in the system environment 100 may connect to the communication network 116 in accordance with various wired and wireless communication protocols, such as Transmission Control Protocol and Internet Protocol (TCP/IP), User Datagram Protocol (UDP), Long Term Evolution (LTE) communication protocols, or any combination thereof.
[0095] Although it is described that the set of promotional offers associated with the first payment method is rendered on the user device 104 upon selection of one of the set of payment methods, the scope of the present disclosure is not limited to it. In other embodiments, the set of promotional offers associated with each of the second set of payment methods may be rendered on the user device 104 along with the second set of payment methods and the set of transaction fees. In such an embodiment, the second processor 122 transmits the promotional offer request for each of the second set of payment methods upon extracting the second set of payment methods from the validation response. Further, the set of promotional offers for each of the second set of payment methods is rendered to the user 102. The user 102 may select a payment method based on at least one of the set of transaction fees and the set of promotional offers of each of the second set of payment methods.
[0096] Although it is described that the first set of payment methods of the user 102 is associated with the first payment account maintained at the issuer, the scope of the present disclosure is not limited to it. In other embodiments, the first set of payment methods may be associated with unique payment accounts maintained at various issuers.
[0097] Although it has been described that the set of promotional offers associated with the selected payment method is requested by the second processor 122 of the user PSP server 106 during the electronic payment transaction, the scope of the present disclosure is not limited to it. In other embodiments, the second processor 122 of the user PSP server 106 may be configured to request for the set of promotional offers associated with each of the set of first payment methods, periodically (such as every 15 days) to store the set of promotional offers associated with each of the set of first payment methods in the second memory 124. Further, upon selection of one of the second payment methods to perform the electronic payment transaction, the second processor 122 may retrieve the set of promotional offers associated with the selected payment method from the second memory 124.
[0098] Although it has been described that the second processor 122 generates and transmits the cashback request to the issuer server 113 upon receiving the payment notification, the scope of the present disclosure is not limited to it. In other embodiments, the second processor 122 may generate and transmit the cashback request to the issuer server 113 along with the payment request.
[0099] Although it has been described that the set of payment methods may include the payment cards, the digital wallet payment method, and the internet banking payment method, the scope of the present disclosure is not limited to it. In other embodiments, the set of payment methods may further include open banking payment method.
[00100] Although it has been described that the discount amount associated with the discount offer is deducted from the transaction amount by the second processor 122, the scope of the present disclosure is not limited to it. In other embodiments, the second processor 122 may generate an instant discount request that indicates the issuer server 113 to apply the discount on the electronic payment transaction instantly. Further, the second processor 122 transmits the instant discount request to the issuer server 113. As a result, the issuer server 113 applies the discount on the electronic payment transaction.
[00101] Although it has been described that the second set of payment methods that are accepted by the recipient 112 and the set of transaction fees associated with the second set of payment methods are rendered to the user 102 on the user device 104 upon the initiation of the electronic payment transaction by the user 102, the scope of the present disclosure is not limited to it. In other embodiments, the second set of payment methods that are accepted by the recipient 112 and the set of transaction fees associated with the second set of payment methods may be rendered to the user 102 upon initiation of the electronic payment transaction by the recipient 112. The recipient 112 may initiate the electronic payment transaction by utilizing the VPA of the user 102. The recipient PSP server 110 may transmit a pull request to the user device 104 via the payment interface server 108 and the user PSP server 106. The pull request may include the transaction amount, the second set of payment methods that are accepted by the recipient 112, the set of transaction fees associated with the second set of payment methods, and an identifier of the recipient 112.
[00102] In operation, the user 102 initiates the electronic payment transaction by utilizing the first payment application installed on the user device 104. In an embodiment, the electronic payment transaction is initiated by scanning the QR code of the recipient 112 through the user device 104. Upon scanning the QR code, the first processor 118 extracts the recipient VPA from the QR code. In another embodiment, the electronic payment transaction is initiated by inputting the recipient VPA to the user device 104 via the user interface provided by the first payment application.
[00103] The first processor 118 transmits the recipient VPA to the second processor 122 of the user PSP server 106. Further, the second processor 122 generates the validation request for the validation of the recipient VPA. The second processor 122 further transmits the validation request to the payment interface server 108. Upon receiving the validation request, the payment interface server 108 identifies the recipient PSP associated with the recipient VPA and transmits the validation request to the recipient PSP server 110. The recipient PSP server 110 receives the validation request. Further, the recipient PSP server 110 determines whether the received recipient VPA is valid. The recipient PSP server 110 transmits the validation response that indicates that the validation of the recipient VPA is successful when the recipient VPA is valid, to the payment interface server 108. The validation response further includes the second set of payment methods that is accepted by the recipient 112 and the set of transaction fees associated with the second set of payment methods when the validation of the recipient VPA is successful. When the recipient VPA is invalid, the recipient PSP server 110 transmits the validation response that indicates that the validation of the recipient VPA has failed, to the payment interface server 108.
[00104] The payment interface server 108 receives the validation response and further transmits the validation response to the second processor 122. The second processor 122 receives the validation response from the payment interface server 108. Further, the second processor 122 detects that the validation of the recipient VPA is successful based on the validation response that is received upon generating the validation response. Upon the detection that the validation of the recipient VPA is successful, the second processor 122 extracts the second set of payment methods and the set of transaction fees associated with the second set of payment methods from the validation response. Further, the second processor 122 renders the set of transaction fees and the second set of payment methods on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees. Upon selection of the first payment method by the user 102, the second processor 122 receives the indication that indicates the selection of the first payment method from the first processor 118.
[00105] The second processor 122 identifies whether the first payment method selected by the user 102 is one of the card payment method, the internet banking payment method, and the digital wallet payment method based on the indication received from the first processor 118. When the first payment method is identified to be one of the card payment method and the internet banking payment method, the second processor 122 generates the promotional offer request. In an embodiment, the second processor 122 transmits the promotional offer request to the payment interface server 108 when the first payment method is identified to be one of the card payment method and the internet banking payment method. In such an embodiment, the payment interface server 108 receives the promotional offer request and identifies the issuer associated with the first payment mode. Further, the payment interface server 108 transmits the promotional offer request to the issuer server 113. The issuer server 113 transmits the set of promotional offers to the payment interface server 108 upon receiving the promotional offer request.
[00106] The payment interface server 108 receives the set of promotional offers and further transmits the set of promotional offers to the second processor 122. In another embodiment, the second processor 122 transmits the promotional offer request to the payment network server 115 when the first payment method is identified as the card payment method based on the indication received from the first processor 118. In such an embodiment, the payment network server 115 receives the promotional offer request and identifies the issuer associated with the first payment method. Further, the payment network server 115 transmits the promotional offer request to the issuer server 113. The issuer server 113 fetches the set of promotional offers associated with the selected payment method from the fourth memory and transmits the set of promotional offers to the payment network server 115 upon receiving the promotional offer request. The payment network server 115 receives the set of promotional offers and further transmits the set of promotional offers to the second processor 122.
[00107] When the first payment method is identified to be the digital wallet payment method, the second processor 122 fetches the set of promotional offers associated with the first payment method from the second memory 124. Further, the second processor 122 renders an option for the user 102 to select one of the set of promotional offers such that the electronic payment transaction is processed based on the selected promotional offer. For the sake of brevity, it is assumed that the first promotional offer is selected by the user 102. Further, the user 102 is prompted to input the first amount associated with the initiated electronic payment transaction to the user device 104 upon selection of the first promotional offer. In one embodiment, the first processor 118 may prompt the user 102 to input the first amount. In another embodiment, the second processor 122 may prompt the user 102 to input the first amount upon receiving the indication that the first promotional offer is selected by the user 102 from the first processor 118.
[00108] The transaction fee amount associated with the first transaction fee for the first amount is rendered on the user device 104 based on the first amount inputted by the user 102. In one embodiment, the first processor 118 computes the transaction fee amount associated with the first transaction fee. The first processor 118 further renders the transaction fee amount on the user device 104. In another embodiment, the second processor 122 computes the transaction fee amount associated with the first transaction fee for the first amount. The second processor 122 further renders the transaction fee amount on the user device 104.
[00109] The user 102 is further prompted to input the authentication parameter to the user device 104 to authenticate the initiated electronic payment transaction when the first payment method is one of the card payment method and the internet banking payment method. In one embodiment, the first processor 118 prompts the user 102 to input the authentication parameter. In another embodiment, the second processor 122 prompts the user 102 to input the authentication parameter. The authentication parameter inputted by the user 102 is communicated to the second processor 122 of the user PSP server 106 by the first processor 118.
[00110] Upon the reception of the authentication parameter, the second processor 122 generates the payment request. The payment request includes the authentication parameter, the details of the selected payment method, the recipient VPA, the first amount, and the transaction fee amount. The payment request may further include the second amount instead of the first amount when the first promotional offer is the discount offer. The second amount is computed by the second processor 122 by deducting the discount amount from the first amount.
[00111] The second processor 122 further transmits the payment request to the payment interface server 108. The payment interface server 108 transmits the address translation request to the recipient PSP server 110 upon receiving the payment request. The recipient PSP server 110 transmits the address translation response that includes the details of the second payment account to the payment interface server 108 upon receiving the address translation request.
[00112] The payment interface server 108 transmits the debit request to the issuer server 113 upon receiving the address translation response. The debit request includes the authentication parameter, the first amount, the transaction fee amount, and the request to debit the first amount and the transaction fee amount from the first payment account. The issuer server 113 authenticates the electronic payment transaction based on the authentication parameter present in the debit request. Further, upon successful authentication of the electronic payment transaction, the issuer server 113 determines whether the first payment account has sufficient funds. The issuer server 113 debits the first amount and the transaction fee amount indicated in the debit request from the first payment account of the user 102 upon the determination that the first payment account has sufficient funds. Further, the issuer server 113 transmits the debit response that indicates whether the first amount and the transaction fee amount are successfully debited from the first payment account to the payment interface server 108.
[00113] The payment interface server 108 transmits the second credit request to the acquirer server 114 when the debit response indicates that the first amount and the transaction fee amount are successfully debited from the first payment account. The second credit request includes the first amount, the transaction fee amount, and the request for crediting the first amount and the transaction fee amount to the second payment account. Further, the acquirer server 114 credits the first amount and the transaction fee amount to the second payment account based on the credit request. Further, the acquirer server 114 transmits the second credit response to the payment interface server 108. The second credit response indicates that the first amount and the transaction fee amount are successfully credited to the second payment account. Further, the payment interface server 108 transmits the payment notification to the second processor 122 upon receiving the second credit response. The payment notification indicates that the payments of the first amount and the transaction fee amount are performed successfully.
[00114] The payment interface server 108 transmits the credit notification to the recipient PSP server 110 upon receiving the credit response. The credit notification indicates that the first amount and the transaction fee amount are credited to the second payment account. Further, when the selected first promotional offer is the cashback offer, the second processor 122 generates the cashback request. The cashback request includes the request for immediate crediting of the cashback amount associated with the cashback offer to the first payment account. When the first payment method is the internet banking payment method, the second processor 122 transmits the cashback request to the payment interface server 108. The payment interface server 108 transmits the cashback request to the issuer server 113 upon receiving the cashback request from the second processor 122.
[00115] The issuer server 113 credits the cashback amount to the first payment account upon receiving the cashback request. Further, the issuer server 113 transmits the cashback response to the payment interface server 108. The second processor 122 receives the cashback response from the payment interface server 108 in response to the cashback request. In an embodiment, the second processor 122 transmits the cashback request to the payment interface server 108 when the first payment method is the card payment method. In such an embodiment, the second processor 122 receives the cashback response from the payment interface server 108 in response to the cashback request in a similar manner with respect to receiving the cashback response for the internet banking payment method. In another embodiment, the second processor 122 transmits the cashback request to the payment network server 115 when the first payment method is the card payment method. In such an embodiment, the payment network server 115 transmits the cashback request to the issuer server 113. The issuer server 113 credits the cashback amount to the first payment account and transmits the cashback response to the payment network server 115. The second processor 122 receives the cashback response from the payment network server 115 in response to the cashback request. The cashback response indicates that the cashback amount is credited to the first payment account.
[00116] Upon the selection of the first promotional offer, the second processor 122 debits the first amount and the transaction fee amount from the digital wallet of the user 102 when the first payment method is the digital wallet payment method. Further, the second processor 122 generates the first credit request for crediting the first amount and the transaction fee amount to the second payment account. The second processor 122 further transmits the first credit request to the payment interface server 108. As a result, the first amount and the transaction fee amount are credited to the second payment account by the acquirer server 114 based on the reception of the first credit request from the payment interface server 108 by the acquirer server 114. Additionally, the second processor 122 receives the first credit response from the payment interface server 108 in response to the first credit request. The first credit response indicates that the first amount and the first transaction fee amount associated with the electronic payment transaction are credited to the second payment account. When the first promotional offer is the cashback offer, the second processor 122 credits the cashback amount associated with the cashback offer to the digital wallet of the user 102 upon the reception of the first credit response.
[00117] The second processor 122 generates the payment confirmation message. The payment confirmation message indicates that the electronic payment transaction of the first amount and the transaction fee amount are successful. The second processor 122 further transmits the payment confirmation message to the first processor 118 of the user device 104. In an embodiment, when the selected promotional offer is the cashback offer, the payment confirmation message further includes the cashback amount. In another embodiment, when the selected promotional offer is the discount offer, the payment confirmation message further includes the discount amount. Further, the second processor 122 renders the payment confirmation message on the user device 104. Thus, the user 102 is aware of the transaction fee associated with the electronic payment transaction resulting in the mitigation of information asymmetry in the electronic payment transaction. Further, various entities such as the recipient PSP server 110, the issuer server 113, and the acquirer server 114 are aware of the transaction fee associated with the electronic payment transaction in real time.
[00118] FIG. 2A represents a pictorial representation of the set of transaction fees and the second set of payment methods rendered on the user device 104 of the system environment 100 of FIG. 1, in accordance with an exemplary embodiment of the present disclosure.
[00119] The set of transaction fees and the second set of payment methods are rendered on the user device 104 to enable the user 102 to select one of the second set of payment methods to process the electronic payment transaction. A message may be rendered on the user device 104 that displays “Select one of the below payment methods to proceed with the initiated payment.” Further, the options “Debit Card - transaction fee of 0.5 % of transaction amount,” “Wallet - transaction fee of 0.3 % of transaction amount,” and “Internet Banking - transaction fee of 0.1 % of transaction amount” are displayed on the user device 104. Further, the user 102 may select one of the options to proceed with the initiated electronic payment transaction through at least one of a set of input components such as a keyboard, a mouse, a joystick, a touchscreen, and a microphone (not shown) of the user device 104. In an example, the user 102 selects “Internet Banking - transaction fee of 0.1 % of transaction amount” as the internet banking payment method offers the lowest transaction fee. Based on the selection by the user 102, the first processor 118 transmits the first message to the user PSP server 106.
[00120] FIG. 2B represents a pictorial representation of the set of promotional offers rendered on the user device 104 of the system environment 100 of FIG. 1, in accordance with an exemplary embodiment of the present disclosure.
[00121] The option rendered for the user 102 on the user device 104 to select one of the set of promotional offers to process the initiated electronic payment transaction is shown. A message may be rendered on the user device 104 that displays “Select one of the below promotional offers to proceed with the initiated payment” Further, the options “Discount of 5% on transaction above ?5000” and “Cashback of ?100 on transaction above ?1000” are displayed on the user device 104. Further, the user 102 may select one of the options to proceed with the electronic payment transaction through at least one of the set of input components (not shown) of the user device 104. In an example, the user 102 selects “Cashback of ?100 on transaction above ?1000” as the first amount associated with the electronic payment transaction is ?2000. As a result, the cashback amount of ?100 is credited to the first payment account of the user 102 during the processing of the electronic payment transaction.
[00122] FIGS. 3A-3L, collectively represent a process flow diagram 300 that illustrates an exemplary method for mitigating information asymmetry in electronic payment transactions, in accordance with an exemplary embodiment of the present disclosure.
[00123] Referring to FIG. 3A, the user 102 initiates the electronic payment transaction (as shown by arrow 302). In one embodiment, the user 102 scans the QR code of the recipient 112 to initiate the electronic payment transaction. In another embodiment, the user 102 inputs the recipient VPA through the user interface rendered on the first payment application that is installed on the user device 104. Upon initiation of the electronic payment transaction, the first processor 118 of the user device 104 transmits the recipient VPA to the second processor 122 of the user PSP server 106 (as shown by arrow 304).
[00124] The second processor 122 generates the validation request to validate the recipient VPA (as shown by arrow 306). The validation request includes the recipient VPA and the request to validate the recipient VPA. Further, the second processor 122 transmits the validation request to the payment interface server 108 (as shown by arrow 308). The payment interface server 108 identifies the recipient PSP associated with the recipient VPA upon the reception of the validation request (as shown by arrow 309).
[00125] The payment interface server 108 transmits the validation request to the recipient PSP server 110 based on the identification (as shown by arrow 310). The recipient PSP server 110 validates the recipient VPA upon receiving the validation request (as shown by arrow 312). Further, payment interface server 108 receives the validation response from the recipient PSP server 110 based on the validation of the recipient VPA (as shown by arrow 314). The validation response indicates that the validation of the recipient VPA is successful. The second processor 122 of the user PSP server 106 receives the validation response from the payment interface server 108 (as shown by arrow 316).
[00126] Referring to FIG. 3B, the second processor 122 detects that the validation of the recipient VPA is successful based on the validation response (as shown by arrow 318). Further, the second processor 122 extracts the second set of payment methods and the set of transaction fees associated with the second set of payment methods from the validation response (as shown by arrow 320). The second processor 122 further renders the set of transaction fees and the second set of payment methods on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees (as shown by arrow 322). Further, the user 102 selects the first payment method to process the electronic payment transaction (as shown by arrow 324).
[00127] The second processor 122 receives the indication that the first payment method is selected from the first processor 118 of the user device 104 (as shown by arrow 326). The second processor 122 further identifies whether the first payment method is one of the card payment method, the internet banking payment method, and the digital wallet payment method (as shown by arrow 328).
[00128] Referring to FIG. 3C, the second processor 122 generates the promotional offer request when the first payment method is identified to be one of the card payment method and the internet banking payment method (as shown by arrow 330a). In one embodiment, when the first payment method is identified to be one of the card payment method and the internet banking payment method, the second processor 122 transmits the promotional offer request to the payment interface server 108 (as shown by arrow 332a).
[00129] The payment interface server 108 identifies the issuer associated with the first payment method (as shown by arrow 333a). Further, the payment interface server 108 transmits the promotional offer request to the issuer server 113 based on the identification of the issuer (as shown by arrow 334a). The payment interface server 108 receives the set of promotional offers associated with the first payment method from the issuer server 113 (as shown by arrow 336a). The payment interface server 108 further transmits the set of promotional offers to the second processor 122 (as shown by arrow 338a). In another embodiment, when the first payment method is identified to be the card payment method, the second processor 122 transmits the promotional offer request to the payment network server 115 (as shown by dashed arrow 332b).
[00130] Referring to FIG. 3D, the payment network server 115 identifies the issuer associated with the first payment method (as shown by arrow 333b). Further, the payment network server 115 transmits the promotional offer request to the issuer server 113 based on the identification of the issuer (as shown by dashed arrow 334b). The payment network server 115 receives the set of promotional offers associated with the first payment method from the issuer server 113 (as shown by dashed arrow 336b). The payment network server 115 further transmits the set of promotional offers to the second processor 122 (as shown by dashed arrow 338b). The second processor 122 fetches the set of promotional offers associated with the first payment method from the second memory 124 when the first payment method is identified to be the digital wallet payment method (as shown by square dot arrow 330b).
[00131] Referring to FIG. 3E, the second processor 122 renders the option to select one of the set of promotional offers to the user 102 on the user device 104 (as shown by arrow 340). The user 102 selects the first promotional offer (as shown by arrow 342). The first processor 118 transmits the indication that the first promotional offer is selected by the user 102 to the second processor 122 (as shown by arrow 344). Further, when the first payment method is one of the payment card method and the internet banking payment method, the second processor 122 prompts the user 102 to input the authentication parameter on the user device 104 (as shown by arrow 346). The user 102 inputs the authentication parameter through the user interface rendered on the user device 104 (as shown by arrow 348). Further, the first processor 118 transmits the authentication parameter to the second processor 122 (as shown by arrow 350).
[00132] Referring to FIG. 3F, the second processor 122 generates the payment request upon the reception of the authentication parameter (as shown by arrow 354). The payment request includes the authentication parameter, the details of the selected payment method, the recipient VPA, the first amount, and the transaction fee amount. Further, the second processor 122 transmits the payment request to the payment interface server 108 (as shown by arrow 356). The payment interface server 108 transmits the address translation request to the recipient PSP server 110 upon the reception of the payment request (as shown by arrow 358). In response, the payment interface server 108 receives the address translation response that includes the details of the second payment account from the recipient PSP server 110 (as shown by arrow 360).
[00133] Referring to FIG. 3G, the payment interface server 108 transmits the debit request to the issuer server 113 upon receiving the address translation response (as shown by arrow 361). The debit request includes the authentication parameter, the first amount, the transaction fee amount, and the request to debit the first amount and the transaction fee amount from the first payment account. The issuer server 113 authenticates the electronic payment transaction and debits the first amount and the transaction fee amount from the first payment account of the user 102 upon the reception of the debit request (as shown by arrow 362). Further, the payment interface server 108 receives the debit response that indicates whether the first amount and the transaction fee amount are successfully debited from the first payment account from the issuer server 113 (as shown by arrow 363).
[00134] The payment interface server 108 transmits the second credit request to the acquirer server 114 when the debit response indicates that the first amount and the transaction fee amount are successfully debited from the first payment account (as shown by arrow 364). The second credit request includes the first amount, the transaction fee amount, and the request for crediting the first amount and the transaction fee amount to the second payment account. Further, the acquirer server 114 credits the first amount and the transaction fee amount to the second payment account based on the credit request (as shown by arrow 365). Further, the payment interface server 108 receives the second credit response from the acquirer server 114 (as shown by arrow 366). The second credit response indicates that the first amount and the transaction fee amount are successfully credited to the second payment account. The payment interface server 108 transmits the credit notification to the recipient PSP server 110 upon receiving the second credit response (as shown by arrow 367). The credit notification indicates that the first amount and the transaction fee amount are credited to the second payment account. The credit notification may further include the user VPA. The recipient PSP server 110 further transmits the credit notification to the recipient device 111. Further, the second processor 122 receives the payment notification from the payment interface server 108 (as shown by arrow 368).
[00135] Referring to FIG. 3H, when the selected first promotional offer is the cashback offer, the second processor 122 generates the cashback request (as shown by arrow 369). The cashback request includes the request for immediate crediting of the cashback amount associated with the cashback offer to the first payment account. When the first payment method is the internet banking payment method, the second processor 122 transmits the cashback request to the payment interface server 108 (as shown by arrow 370a). The payment interface server 108 transmits the cashback request to the issuer server 113 upon receiving the cashback request from the second processor 122 (as shown by arrow 371a). The issuer server 113 credits the cashback amount to the first payment account upon receiving the cashback request (as shown by arrow 372a). Further, payment interface server 108 receives the cashback response from the issuer server 113 (as shown by arrow 373a). The second processor 122 receives the cashback response from the payment interface server 108 in response to the cashback request (as shown by arrow 374a).
[00136] Referring to FIG. 3I, When the first payment method is the card payment method, the second processor 122 transmits the cashback request to the payment network server 115 (as shown by dashed arrow 370b). The payment network server 115 transmits the cashback request to the issuer server 113 (as shown by dashed arrow 371b). The issuer server 113 credits the cashback amount to the first payment account (as shown by dashed arrow 372b). The payment network server 115 receives the cashback response from the issuer server 113 (as shown by dashed arrow 373b). The second processor 122 receives the cashback response from the payment network server 115 in response to the cashback request (as shown by dashed arrow 374b). The cashback response indicates that the cashback amount is credited to the first payment account.
[00137] Referring to FIG. 3J, when the first payment method is the digital wallet payment method, upon the selection of the first promotional offer, the second processor 122 debits the first amount and the transaction fee amount from the digital wallet of the user 102 (as shown by square dot arrow 376). Further, the second processor 122 generates the first credit request for crediting the first amount and the transaction fee amount to the second payment account (as shown by square dot arrow 377). The second processor 122 further transmits the first credit request to the payment interface server 108 (as shown by square dot arrow 378).
[00138] The payment interface server 108 transmits the address translation request to the recipient PSP server 110 upon the reception of the payment request (as shown by square dot arrow 379). In response, the payment interface server 108 receives the address translation response that includes the details of the second payment account from the recipient PSP server 110 (as shown by square dot arrow 380).
[00139] Referring to FIG. 3K, the payment interface server 108 transmits the first credit request to the acquirer server 114 upon reception of the address translation response (as shown by square dot arrow 381). The first credit request includes the first amount, the transaction fee amount, and the request for crediting the first amount and the transaction fee amount to the second payment account. Further, the acquirer server 114 credits the first amount and the transaction fee amount to the second payment account based on the credit request (as shown by square dot arrow 382). Further, the payment interface server 108 receives the first credit response from the acquirer server 114 (as shown by square dot arrow 383). The first credit response indicates that the first amount and the transaction fee amount are successfully credited to the second payment account. The payment interface server 108 transmits the credit notification to the recipient PSP server 110 upon receiving the first credit response (as shown by square dot arrow 384). The credit notification indicates that the first amount and the transaction fee amount are credited to the second payment account. The credit notification may further include the user VPA. Further, the recipient PSP server 110 renders the credit notification on the recipient device 111 (as shown by square dot arrow 385).
[00140] Referring to FIG. 3L, the second processor 122 receives the first credit response from the payment interface server 108 (as shown by square dot arrow 386). When the first promotional offer is the cashback offer, the second processor 122 credits the cashback amount associated with the cashback offer to the digital wallet of the user 102 (as shown by square dot arrow 387). the second processor 122 generates the payment confirmation message (as shown by arrow 388). The payment confirmation message indicates that the electronic payment transaction of the first amount and the transaction fee amount is successful. The payment confirmation message may further indicate the details associated with the first promotional offer. In an example, when the first promotional offer is the cashback offer, the payment confirmation message indicates the cashback amount. In another example, when the first promotional offer is the discount offer, the payment confirmation message indicates the discount amount. The second processor 122 further renders the payment confirmation message that indicates transaction fee amount and the details of first promotional offer on the user device 104 (as shown by arrow 389).
[00141] FIGS. 4A-4I, collectively represent a flowchart 400 that illustrates a method (i.e., a process) to facilitate the electronic payment transaction performed by the user PSP server 106 of the system environment 100 of FIG. 1, in accordance with an exemplary embodiment of the present disclosure.
[00142] Referring to FIG. 4A, at step 402, the recipient VPA is received by the second processor 122 of the user PSP server 106 upon the initiation of the electronic payment transaction by the user 102. The second processor 122 receives the recipient VPA from the first processor 118 of the user device 104. At step 404, the validation request is generated by the second processor 122 for validating the recipient VPA. The validation request includes the recipient VPA and the request for validating the recipient VPA.
[00143] At step 406, the validation request is transmitted to the recipient PSP server 110 by the second processor 122 via the payment interface server 108. In other words, the second processor 122 transmits the validation request to the payment interface server 108. Further, the payment interface server 108 identifies the recipient PSP associated with the recipient VPA and transmits the validation request to the recipient PSP server 110. At step 408, the validation response is received by the second processor 122.
[00144] Referring to FIG. 4B, at step 410, the second processor 122 detects that the validation of the recipient VPA is successful based on the validation response. At step 412, the second set of payment methods and the set of transaction fees associated with the second set of payment methods are extracted by the second processor 122 from the validation response.
[00145] At step 414, the set of transaction fees and the second set of payment methods are rendered on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees. The user 102 selects the first payment method as the first transaction fee is less than the second transaction fee.
[00146] Referring to FIG. 4C, at step 416, the indication that the first payment method of the second set of payment methods is selected by the user 102 is received by the second processor 122 from the first processor 118. At step 418, whether the first payment method is one of the card payment method, the internet banking payment method, and the digital wallet payment method is identified by the second processor 122 based on the received indication. At step 420, the second processor 122 identifies whether the first payment method is one of the card payment method and the internet banking payment method. If it is identified that the first payment method is not one of the card payment method and the internet banking payment method, the process proceeds to step 422a. If it is identified that the first payment method is one of the card payment method and the internet banking payment method, the process proceeds to step 422b.
[00147] At step 422a, the set of promotional offers associated with the first payment method is fetched from the second memory 124 by the second processor 122 as the first payment method is the digital wallet payment method.
[00148] Referring to FIG. 4D, at step 424a, the option to select one of the set of promotional offers is rendered to the user 102 on the user device 104 by the second processor 122. The user 102 selects the first promotional offer of the set of promotional offers. At step 426a, the indication of the selection of the first promotional offer are received by the second processor 122. Upon selection of the first promotional offer, the user 102 is prompted to input the first amount associated with the electronic payment transaction.
[00149] At step 430a, the first amount and the transaction fee amount are debited from the digital wallet of the user 102 by the second processor 122.
[00150] Referring to FIG. 4E, at step 432a, the first credit request is generated by the second processor 122 upon debiting the first amount and the transaction fee amount from the digital wallet of the user 102. The credit request includes the recipient VPA, the first amount, the transaction fee amount, and the request to credit the first amount and the transaction fee amount to the second payment account of the recipient 112. At step 434a, the first credit request is transmitted to the payment interface server 108 by the second processor 122. At step 436a, the first credit response is received by the second processor 122 in response to the first credit request. The first credit response indicates that the first amount and the transaction fee amount are successfully credited to the second payment account of the recipient 112.
[00151] At step 438a, it is identified if the first promotional offer is the cashback offer, by the second processor 122. If it is identified that the first promotional offer is the cashback offer, the process proceeds to step 440a. If it is identified that the first promotional offer is not the cashback offer, the process proceeds to step 454. At step 440a, the cashback amount associated with the cashback offer is credited to the digital wallet of the user 102 by the second processor 122. The process proceeds to step 454 after the execution of step 440a.
[00152] Referring back to FIG. 4C, at step 422b, the promotional offer request for obtaining the set of promotional offers associated with the first payment method is generated by the second processor 122.
[00153] Referring to FIG. 4F, at step 424b, it is identified whether the first payment method is the card payment method, by the second processor 122 upon generation of the promotional offer request. If it is identified that the first payment method is the card payment method, in one embodiment, the process proceeds to step 428b and in another embodiment, the process proceeds to step 428c. If it is identified that the first payment method is not the card payment method, the process proceeds to step 428c.
[00154] At step 428b, the promotional offer request is transmitted to the payment network server 115 by the second processor 122. At step 430b, the set of promotional offers is received by the second processor 122 by the payment network server 115. At step 428c, the promotional offer request is transmitted to the payment interface server 108 by the second processor 122. At step 430c, the set of promotional offers is received by the second processor 122 by the payment interface server 108. At step 432b, the option to select one of the set of promotional offers is rendered to the user 102 on the user device 104 by the second processor 122. The user 102 selects the first promotional offer of the set of promotional offers.
[00155] Referring to FIG. 4G, at step 434b, the authentication parameter and the indication of the selection of the first promotional offer is received by the second processor 122. Upon selection of the first promotional offer, the user 102 is prompted to input the first amount associated with the electronic payment transaction. The user 102 is further prompted to input the authentication parameter for authentication of the electronic payment transaction.
[00156] At step 438b, the payment request is generated by the second processor 122 The payment request includes the authentication parameter, details of the selected payment method, the recipient VPA, the first amount, and the transaction fee amount. At step 440b, the payment request is transmitted to the payment interface server 108 by the second processor 122. At step 442b, the payment notification is received by the second processor 122 in response to the payment request from the payment interface server 108. The payment notification indicates that the payments of the first amount and the first transaction fee amount associated with the electronic payment transaction are performed successfully.
[00157] Referring to FIG. 4H, at step 444b, it is identified whether the first promotional offer is the cashback offer. If it is identified that the first promotional offer is the cashback offer, the process proceeds to step 446b. If it is identified that the first promotional offer is not the cashback offer, the process proceeds to step 454. At step 446b, the cashback request is generated by the second processor 122 upon the reception of the payment notification. The cashback request includes the request for immediate crediting of the cashback amount associated with the cashback offer to the first payment account.
[00158] At step 448b, it is identified whether the first payment method is the card payment method by the second processor 122 upon generation of the cashback request. If it is identified that the first payment method is the card payment method, in one embodiment, the process proceeds to step 450b and in another embodiment, the process proceeds to step 450c. If it is identified that the first payment method is not the card payment method, the process proceeds to step 450c.
[00159] Referring to FIG. 4I, at step 450b, the cashback request is transmitted to the payment network server 115 by the second processor 122. At step 452b, the cashback response is received by the second processor 122 by the payment network server 115. At step 450c, the cashback request is transmitted to the payment interface server 108 by the second processor 122. At step 452c, the cashback response is received by the second processor 122 by the payment interface server 108. The cashback response indicates that the cashback amount is credited to the first payment account.
[00160] At step 454, the payment confirmation message is generated by the second processor 122. The payment confirmation message indicates that the electronic payment transaction of the first amount and the transaction fee amount is successful. When the selected promotional offer is the cashback offer, the payment confirmation message further indicates that the cashback amount is credited to the first payment account. At step 456, the payment confirmation message is rendered on the user device 104 by the second processor 122.
[00161] FIG. 5 represents a high-level flowchart 500 that illustrates a method (i.e., a process) to facilitate the electronic payment transaction performed by the user PSP server 106 of the system environment 100 of FIG. 1, in accordance with an exemplary embodiment of the present disclosure.
[00162] At step 502, the validation request is generated by the second processor 122 for validating the recipient VPA. The validation request includes the recipient VPA and the request for validating the recipient VPA.
[00163] At step 504, the second processor 122 detects that the validation of the recipient VPA is successful based on the validation response. At step 506, the second set of payment methods and the set of transaction fees associated with the second set of payment methods are extracted by the second processor 122 from the validation response.
[00164] At step 508, the set of transaction fees and the second set of payment methods are rendered on the user device 104 to enable the user 102 to select one of the second set of payment methods based on the set of transaction fees. The electronic payment transaction is processed based on the selected payment method.
[00165] FIG. 6 is a block diagram that illustrates a system architecture of a computer system 600 of the system environment 100 of FIG. 1, in accordance with an exemplary embodiment of the present disclosure. An embodiment of disclosure, or portions thereof, may be implemented as computer-readable code on the computer system 600. In one example, the user device 104, the user PSP server 106, the payment interface server 108, the recipient PSP server 110, the recipient device 111, the issuer server 113, the acquirer server 114, and the payment network server 115 may be implemented as the computer system 600. Hardware, software, or any combination thereof may embody modules and components used to implement the methods of FIGS. 4A-4I and 5. The computer system 600 may include a third processor 602, a communication infrastructure 604, a main memory 606, a secondary memory 608, an input/output (I/O) interface 610, and a communication interface 612.
[00166] The third processor 602 may be a special-purpose or a general-purpose processing device. The third processor 602 may be a single processor, multiple processors, or combinations thereof. Further, the third processor 602 may be connected to the communication infrastructure 604, such as a bus, message queue, multi-core message-passing scheme, and the like. In an example, the first processor 118 corresponds to the third processor 602. In another example, the second processor 122 corresponds to the third processor 602.
[00167] The main memory 606 may be configured to store instructions that facilitate various operations described in conjunction with FIGS. 4A-4I and 5. Examples of the main memory 606 may include a RAM, a ROM, and the like. The secondary memory 608 may include an HDD or a removable storage drive, such as a floppy disk drive, a magnetic tape drive, a compact disc, an optical disk drive, a flash memory, and the like. In an embodiment, the removable storage drive may be a non-transitory computer-readable medium. In an example, the first memory 120 corresponds to the main memory 606. In another example, the second memory 124 corresponds to the main memory 606.
[00168] The input/output (I/O) interface 610 includes various input and output devices that are configured to communicate with the third processor 602. Examples of the input devices may include a keyboard, a mouse, a joystick, a touchscreen, a microphone, and the like. Examples of the output devices may include a display screen, a speaker, headphones, and the like. The communication interface 612 may be configured to allow data to be transferred between the computer system 600 and various devices that are communicatively coupled to the computer system 600. Examples of the communication interface 612 may include a modem, a network interface, i.e., an Ethernet card, a communication port, and the like. Data transferred via the communication interface 612 may correspond to signals, such as electronic, electromagnetic, optical, or other signals as will be apparent to a person skilled in the art.
[00169] The present invention may be implemented in numerous ways including as a method or a computer program product such as a computer-readable storage medium or a computer network wherein programming instructions are communicated from a remote location.
[00170] In various other embodiments, the present disclosure may suitably be embodied as a computer program product for use with the computer system 600. The method described herein is typically implemented as a computer program product that includes a non-transitory computer-readable medium. The non-transitory computer-readable medium stores instructions that are executed or translated by the computer system 600 or any other similar device. In other words, the instructions stored in the non-transitory computer-readable medium are translatable by the second processor 122 of the user PSP server 106 to perform operations for mitigating information asymmetry in electronic payment transactions. The instructions may be a series of computer-readable codes stored on a tangible medium that may be the non-transitory computer-readable medium. The tangible medium may be a computer-readable storage medium (such as the main memory 606 or the secondary memory 608), for example, diskette, Compact Disc-Read Only Memory (CD-ROM), ROM, flash drives or hard disk, or transmittable to the computer system 600, via a modem or other interface device, over either a tangible medium, including but not limited to optical or analogue communication interface. The implementation of the disclosure as a computer program product may be in an intangible form using wireless techniques, including but not limited to microwave, infrared, Bluetooth, or other transmission techniques. These instructions can be preloaded into a system or recorded on a storage medium such as a CD-ROM, or made available for downloading over a network such as the Internet or a mobile telephone network. The series of computer-readable instructions may embody all or part of the functionality previously described herein.
[00171] Embodiments in the present disclosure provide the system environment 100 and method for mitigating information asymmetry in electronic payment transactions. The second processor 122 renders the set of transaction fees and the second set of payment methods that are accepted by the recipient 112 when the user 102 initiates the electronic payment transaction. Thus, the user 102 selects one of the second set of payment methods based on the set of transaction fees to process the electronic payment transaction such that the selected payment method incurs the lowest transaction fee. Further, the set of promotional offers associated with the selected payment method is rendered to the user 102 such that the user 102 selects the desired promotional offer. Additionally, when the selected promotional offer is a cashback offer, the cashback amount associated with the cashback offer is instantly credited to the first payment account of the user 102 during the electronic payment transaction. As a result, the experience of the user 102 while performing the electronic payment transaction is improved.
[00172] The debit request received by the issuer server 113 includes the transaction fee amount associated with the electronic payment transaction. Thus, the issuer server 113 deducts the transaction fee amount from the first payment account during the electronic payment transaction. Similarly, the acquirer server 114 and the recipient PSP server 110 receive the indication of the transaction fee associated with the electronic payment transaction. As a result, the information asymmetry that arises during the electronic payment transaction is mitigated.
[00173] Techniques consistent with the present disclosure provide, among other features, systems and methods for mitigating information asymmetry in electronic payment transactions. In the claims, the words ‘comprising’, ‘including’ and ‘having’ do not exclude the presence of other elements or steps then those listed in a claim. The terms “a” or “an,” as used herein, are defined as one or more than one. Unless stated otherwise, terms such as “first” and “second” are used to arbitrarily distinguish between the elements such terms describe. Thus, these terms are not necessarily intended to indicate temporal or other prioritization of such elements. The fact that certain measures are recited in mutually different claims does not indicate that a combination of these measures cannot be used to advantage.
[00174] While various embodiments of the present disclosure have been illustrated and described, it will be clear that the present disclosure is not limited to these embodiments only. Numerous modifications, changes, variations, substitutions, and equivalents will be apparent to those skilled in the art, without departing from the spirit and scope of the present disclosure, as described in the claims.
, Claims:We claim:
1. A method for facilitating electronic payment transactions, the method comprising:
generating by a processor (122) of a user payment service provider (PSP) server (106), a validation request to validate a virtual payment address (VPA) of a recipient (112) associated with an electronic payment transaction that is initiated by a user (102);
detecting, by the processor (122), that the validation of the VPA of the recipient (112) is successful based on a validation response that is received upon generating the validation request;
extracting, by the processor (122), a set of payment methods accepted by the recipient (112) and a set of transaction fees associated with the set of payment methods from the validation response based on the detection that the validation of the VPA of the recipient (112) is successful; and
rendering on a user device (104) associated with the user (102), by the processor (122), the set of transaction fees and the set of payment methods to enable the user (102) to select one of the set of payment methods based on the set of transaction fees, wherein the electronic payment transaction is processed based on the selected payment method.

2. The method as claimed in claim 1, comprising:
receiving, by the processor (122), an indication that a first payment method of the set of payment methods is selected by the user (102); and
identifying, by the processor (122), whether the first payment method is one of a card payment method, an internet banking payment method, and a digital wallet payment method.

3. The method as claimed in claim 2, comprising:
generating, by the processor (122), a promotional offer request for obtaining a set of promotional offers associated with the first payment method when the first payment method is identified to be one of the card payment method and the internet banking payment method;
transmitting, by the processor (122), the promotional offer request to (i) one of a payment interface server (108) and a payment network server (115) when the first payment method is the card payment method, and (ii) the payment interface server (108) when the first payment method is the internet banking payment method;
receiving, by the processor (122), the set of promotional offers associated with the first payment method from one of the payment interface server (108) and the payment network server (115); and
rendering on the user device (104), by the processor (122), an option for the user (102) to select one of the set of promotional offers, wherein the electronic payment transaction is processed based on the selected promotional offer.

4. The method as claimed in claim 3, comprising:
generating, by the processor (122), a cashback request for crediting an amount associated with a first promotional offer of the set of promotional offers that is selected by the user (102), to a payment account of the user (102), wherein the first promotional offer is a cashback offer;
transmitting, by the processor (122), the cashback request to (i) one of the payment interface server (108) and the payment network server (115) when the first payment method is the card payment method, and (ii) the payment interface server (108) when the first payment method is the internet banking payment method; and
receiving, by the processor (122), a cashback response indicating that the amount associated with the cashback offer is credited to the payment account of the user (102).

5. The method as claimed in claim 2, comprising:
fetching, by the processor (122), a set of promotional offers associated with the first payment method from a memory (124) associated with the user PSP server (106) when the first payment method is identified to be the digital wallet payment method; and
rendering on the user device (104), by the processor (122), an option for the user (102) to select one of the set of promotional offers, wherein the electronic payment transaction is processed based on the selected promotional offer.

6. The method as claimed in claim 5, comprising:
crediting, by the processor (122), an amount associated with a first promotional offer of the set of promotional offers that is selected by the user (102), to a payment account of the user (102).

7. The method as claimed in claim 2, wherein the set of payment methods further includes a second payment method, and the set of transaction fees includes a first transaction fee associated with the first payment method and a second transaction fee associated with the second payment method, and wherein the first transaction fee is less than the second transaction fee.

8. The method as claimed in claim 1, comprising:
receiving, by the processor (122), the VPA of the recipient (112), wherein the VPA is received based on one of (i) scanning a quick response (QR) code associated with the recipient (112) by way of the user device (104) and (ii) inputting VPA of the recipient (112) by way of the user device (104), and wherein the validation request is generated upon receiving the VPA of the recipient (112); and
transmitting, by the processor (122), the validation request to a recipient PSP server (110) via a payment interface server (108), wherein the processor (122) receives the validation response based on reception of the validation request by the recipient PSP server (110).

9. The method as claimed in claim 1, comprising:
receiving, by the processor (122), an authentication parameter, wherein the authentication parameter is provided by the user (102) by way of the user device (104) upon selection of one of the set of payment methods;
generating, by the processor (122), a payment request upon reception of the authentication parameter, wherein the payment request includes a first transaction fee associated with a first payment method of the set of payment methods that is selected by the user (104) and the authentication parameter; and
rendering, by the processor (122), a payment confirmation message upon reception of a payment notification based on the payment request, wherein the payment confirmation message indicates that the electronic payment transaction is successful.

10. A user payment service provider server (106), comprising:
a processor (122) configured to:
generate a validation request to validate a virtual payment address (VPA) of a recipient (112) associated with an electronic payment transaction that is initiated by a user (102);
detect that the validation of the VPA of the recipient (112) is successful based on a validation response that is received upon generating the validation request;
extract a set of payment methods accepted by the recipient (112) and a set of transaction fees associated with the set of payment methods from the validation response based on the detection that the validation of the VPA of the recipient (112) is successful; and
render on a user device (104) associated with the user (102), the set of transaction fees and the set of payment methods to enable the user (102) to select one of the set of payment methods based on the set of transaction fees, wherein the electronic payment transaction is processed based on the selected payment method.