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#780164 - 07/20/07 08:04 PM Signed WSUPP Requirement
--houri-- Offline
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Joined: Sep 2006
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Los Angeles, CA
Just seeking clarification on this...

I know that a WSUPP for Reg E may require a written signature, if a Bank so discloses to their customers.

But what if a Bank does not require a written signature. Then the ODFI requests proof of the WSUPP. Will an unsigned WSUPP suffice for the ACH rule that requires the RDFI to provide a copy of the WSUPP within 60 days?

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#780191 - 07/20/07 08:15 PM Re: Signed WSUPP Requirement --houri--
rlcarey Online
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I guess I have to ask myself, what good is an unsigned WSUPP?
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#780257 - 07/20/07 08:42 PM Re: Signed WSUPP Requirement rlcarey
--houri-- Offline
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My thoughts precisely, but Reg E allows for it. So...?

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#780313 - 07/20/07 09:03 PM Re: Signed WSUPP Requirement --houri--
rlcarey Online
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As far as I know, Reg. E does not even address the use of a WSUPP. The use of a WSUPP is totally independent of Reg E requirements for consumer liability.
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#780336 - 07/20/07 09:12 PM Re: Signed WSUPP Requirement rlcarey
ABrown Offline
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I thought it was NACHA rules that mandates the use of the signed WSUPP form before the item could be returned?

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#780347 - 07/20/07 09:16 PM Re: Signed WSUPP Requirement ABrown
rlcarey Online
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You are correct - it is a NACHA requirement. But that requirement has no impact on your responsbilities or actions under Regulation E. Consumer liability and the ability of the bank to recapture the funds are exclusive events.
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#780486 - 07/21/07 06:31 PM Re: Signed WSUPP Requirement rlcarey
Andy_Z Offline
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Agreed, Randy. ACH rules may allow you to recover funds from another stop in the payment stream, but it has nada to do with the bank's responsibilities to their consumer under Reg E.
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#783639 - 07/26/07 04:43 PM Re: Signed WSUPP Requirement Andy_Z
--houri-- Offline
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Los Angeles, CA
Okay. Thanks for the comments, but I think my original question got lost in the whole ACH Rules vs Reg E debate. In one of my posts, I stated that Reg E does not require anything written; however, if the Bank's disclosures state thus, then the Bank can require a written (read WSUPP or otherwise) statement [205.11.b.2.] I've always understood this aspect.

Anyhow - my original question was:

If the ODFI requests proof of the WSUPP. Will an unsigned WSUPP suffice for the ACH rule that requires the RDFI to provide a copy of the WSUPP within 60 days? Or does the ACH rule requiring the signed WSUPP exclusive of "electronic signatures" or similar authentications?

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#783697 - 07/26/07 05:31 PM Re: Signed WSUPP Requirement --houri--
John Burnett Offline
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Originally Posted By: --houri--
... however, if the Bank's disclosures state thus, then the Bank can require a written (read WSUPP or otherwise) statement [205.11.b.2.] I've always understood this aspect.


While 205.11(b)(2) allows the bank to require that an error claim be reduced to writing, it does not permit the bank to condition ANYTHING except provisional credit upon receipt of that writing. The oral claim remains valid, and the bank has to comply with everything in 205.11 except the provisional credit requirement.

As for supplying a copy of the WSUPP if requested by the ODFI, the NACHA rules allow the WSUPP to be faxed or sent via other electronic means (by the customer). Presumably, an email from the consumer or a WSUPP created in your online system is authenticated in that the consumer initiated the message from a password-potected environment. I'd question a fax of an unsigned WSUPP form. If I were an ODFI and had a large sum on the line, I'd think about challenging it.
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#783710 - 07/26/07 05:42 PM Re: Signed WSUPP Requirement John Burnett
--houri-- Offline
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Thank you, John!!!

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