Customer has a monthly ACH debit that's usually $200. Last month, the debit was $210. Two weeks later, the customer disputes the transaction, saying the debit should have been $200. ACH is all or nothing, so we returned the entire $210. In the weeks between the transaction and the credit, the customer was assessed a few OD fees. The OD fees would not have been assessed if the transaction had not occurred, however the OD fees would have been assessed if the transaction occurred for the correct amount of $200.
Reading through Reg E leads me to believe we owe him a refund for the OD fees. Common sense says that those OD fees are justified. Which is correct?
6. Correction of an error. If the financial institution determines an error occurred [.11(a)(1)The term “error†means: ... (ii) An incorrect electronic fund transfer to or from the consumer's account;], within either the 10-day or 45-day period, it must correct the error (subject to the liability provisions of §§ 1005.6(a) and (b)) including, where applicable, the crediting of interest and the refunding of any fees imposed by the institution. ...