Is this a valid Reg E claim
There are two questions that can be derived from your post.
1. Can the customer assert an electronic funds transfer error? Yes, the customer can claim that a P2P transfer is unauthorized which means that the error resolution procedures of 1005.11 apply.
2. Did an error occur? This is a question the financial institution must answer based on its investigation. Remember that according to 1005.6 we cannot use customer negligence as a basis for denying a claim. The fact that the customer's ID and password was used to complete the transfer does not automatically mean that the customer shared their password. Many browsers, including those on mobile devices allow this information to be saved for quick and easy access. Is it possible that the customer granted authority to the boyfriend to access the account as described in 1005.2(m)? Yes, it's possible, but your investigation to this point has not provided any evidence that this has occurred. Based on what you have provided in your initial post, I do not have any information that I could reasonably rely on to deny the claim. Regardless of the determination you make in your investigation, you also should decide if this is a customer worth keeping.
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