Skip to content
BOL Conferences
Learn More - Click Here!

Thread Options
#2186464 - 07/23/18 05:07 PM Resolution completed after Reg. E timeframes
Compliance NABW Offline
Diamond Poster
Joined: Oct 2015
Posts: 1,668
If the error investigation takes longer than the 10, 20, 45, or 90 days, are institutions just "out in the cold" as far as giving credit to the borrower? For instance, let's say provisional credit is given and the investigation time frames are extended to 90 days for a POS. If the investigation determined it really was not an unauthorized error, but this didn't happen until the 106th day, does the institution just finalize the provisional credit and should that have been done on the 91st day?

Return to Top
Operations Compliance
#2186488 - 07/23/18 06:16 PM Re: Resolution completed after Reg. E timeframes Compliance NABW
Adam Witmer Offline
Power Poster
Joined: Sep 2010
Posts: 2,658
Yes. The credit must be final at day 90 and closed then with notice provided. If a third party investigation (or internal investigation for that matter) comes back after the 90 days, the bank is out of luck as Reg E requires closure at the 45/90 day mark regardless of the investigation.

I think of it like this. Many banks will have two "investigation closed" dates. One date (45/90) for the consumer and another date for the bank (which is when the third party finally closes the investigation, whenever that might be). The bottom line is that the credit becomes final at the 45/90 day mark, even if information comes in after that time that would have caused a denial of the dispute.
_________________________
Adam Witmer, CRCM

All statements are my opinion, not those of my employer, and should not be taken as legal advice.
www.compliancecohort.com

Return to Top
#2186508 - 07/23/18 07:14 PM Re: Resolution completed after Reg. E timeframes Adam Witmer
Compliance NABW Offline
Diamond Poster
Joined: Oct 2015
Posts: 1,668
Thank you!

Return to Top

Moderator:  Andy_Z, John Burnett