Remember I can write my PIN on my card with no increased liability. I phrase that aggravated ignorance is not a reason to deny a claim. The burden is on the bank to determine, did the consumer do it, authorize it or benefit from it. For this reason a question to ask when the claim is filed includes, "was the PIN on or with the card?" and " Who else may have known your PIN based on past usage?"
The evidence you gather to determine usage/authorization is up to you. If the person complains you may end paying a denied claim. A pattern or practice of this could easily trigger a larger review of files as well, but the decision to pay or not is the bank's supported by the evidence you gather. More than once I felt good about paying a claim that I just knew was false, but I would inform the consumer that they were not getting another card from us. The deposit could stay because I was getting monthly fees off that. But from the bank side, we had to minimize risk and it was too high with some accounts. It takes a lot of monthly fees to make up $2,000.
My opinions are not necessarily my employers.
Rules and Regs minus Relationships equals Resentment and Rebellion. John Maxwell