02/16/2009
A customer is claiming unauthorized debits to her account. She said she just realized this, but she claims the first occurance was in May. The $200 ACH debits occured every two weeks for several months. The debits were payments on a bill she owes. She said she authorized $50 a month. I realize I only have to reimburse for the debits occuring 60 days after the statement cycle in which the error occured. So far, I am not having much luck with the third party on getting proof our customer authorized the $200. It is too late to return the ACH entries as unauthorized. Our customer has benefited from these ACH debits in that her outstanding debt to this company has been reduced. Can we deny that claim based on the fact that she has benefited?
06/02/2008
We have an item that posted to a customer's account that came through via what appears to be a paper item, although it posts as an "electronic image". However, it seems pretty obvious that the company took the customer's account information, probably via phone, and created a check for a payment of a membership. This was recurring for about 4 months. Is this an EFT, and thus, subject to Reg E?
05/26/2008
I am going to ask a really stupid question. What is the difference between ACH and EFT? I am very new to the banking industry and these two topics confuse me.
02/18/2008
My question is regarding Reg E concerning the placement of stop payments on ACH items. I was told that stop payments need to be placed indefinitely. I would think this would be up to the customer. Why would it be regulation to place a stop indefinitely without a known dollar amount, especially if you continue business with the payee? If the amount is not available all transactions from the payee will be returned. How true are these statements concerning stop payments on ACH transactions?
10/22/2007
Where can I get a list of return reasons electronically? I have been asked to provide an electronic listing of "R codes", (R01 NSF, R02, account closed) but I have been unable to locate them to fulfill this request.
07/23/2007
A customer has a monthly insurance premium set up to automatically be debited from his or her checking account. The customer comes into the bank and wishes to place a stop payment on the ACH draft. If we load a stop payment order to their account, what should our expiration date be? Our normal expiration date on a check is 6 months. Our deposit operations department seems to think we can only guarantee a stop payment on a draft for 1 month. Is this correct and what regulation answers this question?
04/30/2007
What regulations should be considered as we write our Remote Capture policy (Check 21, Reg E, Reg CC, etc.)?
03/05/2007
A business who is a customer of the bank has entered into an agreement with the bank to collect bad checks. The bank initiates an EFT to collect the check and reimburse the business. At the same time the check is collected the bank initiates a fee to the consumer's account for the bad check and the bank keeps the fee. From what I understand, the bank is sending the fee on its own behalf. Wouldn't the bank be responsible for giving a notice under the new Reg E effective Jan 1, 2007 to the customer in this instance?
02/05/2007
What are the major changes that financial institutions need to make in order to be Reg E compliant as of January 1st?
01/29/2007
What are the major changes that financial institutions need to make in order to be Reg E compliant as of January 1st?