Are iPay transactions covered by Regulation E? Customer had her computer hacked and wants to dispute the charges. Is the Bank required to file the dispute under Reg E?

Yes, they are covered transactions. Reg E 1005.3(b) defines an electronic funds transfer as any transfer of funds that is initiated through an electronic terminal, telephone, computer, or magnetic tape for the purpose of ordering, instructing, or authorizing a financial institution to debit or credit a consumer's account.

The internet banking ID and password is the "access device" under Reg E and the transfers were initiated through a computer.