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#1397094 - 05/27/10 03:45 PM Unauthorized transactions or just ignorance?
morirse de risa Offline
100 Club
Joined: Feb 2009
Posts: 238
Midwest
We are having more and more customers presenting items to the bank which they claim are unauthorized. Most of these situations involve merchants offering free trials or samples. The majority of our customers admit that they didn't read their contract and didn't realize they only had so long before they starting getting a monthly charge. The customers admit to giving their debit card number and accepting terms and conditions.

Part of the definition I have of unauthorized electronic funds transfer includes that the consumer receives no benefit. In these situations the customer is receiving benefit - their free sample. So how can they later claim these are unauthorized? They accepted the conditions unto which they received their free sample. Why should the bank pay because they don't read the fine print?

Sorry for the ranting, just frustrated with Reg E. Any chance we can tell these customers, sorry, you did authorize when you clicked "i accept"?

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#1397098 - 05/27/10 03:50 PM Re: Unauthorized transactions or just ignorance? morirse de risa
BrendaC Offline
Power Poster
BrendaC
Joined: Sep 2001
Posts: 6,029
Sweet Home AL
Absolutely, that is the answer. "Based on your clarification, this is not an unauthorized transfer. You need to contact the merchant."
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#1397149 - 05/27/10 04:28 PM Re: Unauthorized transactions or just ignorance? morirse de risa
Wino Banker Offline
Junior Member
Wino Banker
Joined: Jul 2009
Posts: 28
I agree with BrendaC. Acceptance of the terms implies authorization of future activity disclosed in the terms. The issue is between the consumer and the merchant.

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#1397276 - 05/27/10 06:00 PM Re: Unauthorized transactions or just ignorance? Wino Banker
devsfan Offline
Diamond Poster
Joined: Jun 2004
Posts: 1,927
NYC
Buyer's remorse can only go so far.

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