Hello Everyone!
Let us start by saying a consumer owns an electronic device, and that device is connected to a service provider such as Amazon Market Place, and they have a debit card saved to the account on that device.
If they hand that device to little Johnny and tell him to have fun, and little Johnny gets into their account because all the passwords are saved and he can log in with no challenges, would any charges incurred be unauthorized?
As a totally separate example, what if they told little Johnny that he could use their card information to purchase a book or service on said device, but Johnny continues charging through the provider because the card info is attached to the account that was opened for him. Now grandma sais she did not authorize the other charges.
In both cases I feel like Johnny would be exceeding the authority given, and the charges would NOT be an error under REG E.
When you permit someone to go and play with a device with saved card information you are authorizing their access to current features available. This is not a stolen device with saved information, rather permission was given to use the device. (Consumer may or may not have considered the password is saved, or that the individual might buy online content.)
I don't presume to be right about this but I know some of you must have dealt with, and have an educated and experienced opinion/answer about these scenario's.
Thanks in advance for help and consideration.
Last edited by TruthNTime; 09/12/13 06:53 PM.
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Robert R.
Fraud Specialist
Beaumont, TX