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#2257299 - 07/28/21 02:12 PM Fraudulent withdrawal from checking
CSB98 Offline
Diamond Poster
Joined: Dec 2003
Posts: 1,236
Wisconsin
We have a customer claiming that a withdrawal from one of her checking accounts was forged. The person used a withdrawal slip to withdraw $100 from her account. The transaction happened 4/1/21 and she notified us on 7/27/21. Since this is past the 60 day notification timeframe are we required to make her whole with the transaction? We attempted to look at our security footage, but it doesn't go back that far.

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#2257302 - 07/28/21 02:29 PM Re: Fraudulent withdrawal from checking CSB98
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,548
Galveston, TX
What does your depositor's agreement say about the time frame for reporting non-Regulation E errors?
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The opinions expressed here should not be construed to be those of my employer: PPDocs.com

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#2257327 - 07/28/21 07:34 PM Re: Fraudulent withdrawal from checking CSB98
John_Burnett Offline
Junior Member
John_Burnett
Joined: Feb 2013
Posts: 32
Cape Cod
How often does this customer get statements on the savings account, and when was the statement provided that shows the April 1 transaction?

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#2257332 - 07/28/21 07:49 PM Re: Fraudulent withdrawal from checking rlcarey
CSB98 Offline
Diamond Poster
Joined: Dec 2003
Posts: 1,236
Wisconsin
I am double checking on this, but I believe it's actually 30 days from statement date instead of 60.

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#2257333 - 07/28/21 07:50 PM Re: Fraudulent withdrawal from checking John_Burnett
CSB98 Offline
Diamond Poster
Joined: Dec 2003
Posts: 1,236
Wisconsin
It is a checking account, so they are receiving monthly statements.

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#2257337 - 07/28/21 08:54 PM Re: Fraudulent withdrawal from checking CSB98
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,548
Galveston, TX
You would have to modify the UCC provisions that govern this by agreement through your depositor's agreement, that is why it is very important to know exactly what it says. You can shorten the period but it has to be deemed reasonable.
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The opinions expressed here should not be construed to be those of my employer: PPDocs.com

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