NACHA's Settlement Date or Reg E's Statement Date?

Answer by Andy Zavoina:Liability for a consumer under Reg E is covered in Section 205.6. A common misconception is that if the consumer waits beyond 60 days of their statement date, they have all liability (i.e. unlimited). That isn't necessarily the case. That unlimited rule applies to amounts withdrawn AFTER that 60 day period. The amounts withdrawn before that revert to the other limits and are based on when you are notified and when the withdrawals were made. So it is possible that the consumer waits beyond 60 days to notify you, and they still have minimal liability because of when the transfer was made.

Also, NACHA rules or merchant refunds have nothing to do with your responsibilities under Reg E and your requirement to satisfy investigation requirements under Section 205.11. Your requirements are between you and your customer and the times required are not adjusted based on other rules you may have to follow. Reg E implements the Electronic Funds Transfer Act, a law, imposing very specific requirements on you.