Thread Options
#801536 - 08/23/07 08:00 PM Unauthorized ACH
PeterV1962 Offline
New Poster
Joined: Jan 2006
Posts: 4
Hi All!

I have the following situation:
Customer A and Customer B have a joint account. Customer A says he did not authorize a recurring debit but admits that customer B did. Customer A is seeking credit for the transactions. I have always wondered what would happen in this situation. Our affidavit requires one person to sign. If the transaction has come through under customer B's name can we require her to sign an affidavit? Or do we have to return it based on customer A's request? Also, where can I find this in the ACH handbook?

Peter

Return to Top
Deposits and Payments
#801545 - 08/23/07 08:05 PM Re: Unauthorized ACH PeterV1962
#Just Jay Offline
10K Club
#Just Jay
Joined: Oct 2006
Posts: 14,387
Cheeseheadland
Originally Posted By: PeterV1962
...Customer A says he did not authorize a recurring debit but admits that customer B did...
Peter


File a claim, then promptly deny.

Both owners on the account have full access and use of the funds independent of each other. A admits that B authorized, then it is authorized. Let B file their own claim, and then promptly deny that one too since A already told you it was legititimate authorization by B.
_________________________
I don't repeat gossip, so listen closely...

Return to Top
#801563 - 08/23/07 08:17 PM Re: Unauthorized ACH #Just Jay
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 39,296
Cape Cod
Another possible solution is to have your affidavit language changed, so that the affiant states that "The said transfer/payment/transaction was not authorized by me or by anyone else with authority to do so." Check it out with counsel.
_________________________
John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top
#801949 - 08/24/07 01:24 PM Re: Unauthorized ACH John Burnett
LoisLane Offline
Diamond Poster
LoisLane
Joined: Oct 2001
Posts: 1,570
Wisteria Lane..
My husband just bought a new car--the loan will be in his name only. When we got the form from the bank (a large well-known institution), I also had to sign the authorization for the monthly debit from our joint-account.
_________________________
And where is Superman when I need him?

Return to Top
#802527 - 08/24/07 07:29 PM Re: Unauthorized ACH LoisLane
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 39,296
Cape Cod
Probably over-kill unless there's a state law covering Wisteria Lane that requires all signatures for an EFT recurring debit , Lois. It's strange, given that your husband can write checks without your help (he can, can't he? LOL), use his own debit card without you holding his hand as he keys in the PIN, and issue a recurring debit authorization allowing a third party to charge that joint account.

I think it's a CYA move by the bank.
_________________________
John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top
#802672 - 08/24/07 08:38 PM Re: Unauthorized ACH John Burnett
HappyGilmore Offline
10K Club
Joined: Jun 2004
Posts: 19,295
Pulling people out of the ditc...
John, while he MAY be able to do all of those things on his own, he does so at the risk of her calling Superman to deny payment...
_________________________
Providing alternative truths since the invention of time

Return to Top
#802953 - 08/27/07 01:08 PM Re: Unauthorized ACH HappyGilmore
LoisLane Offline
Diamond Poster
LoisLane
Joined: Oct 2001
Posts: 1,570
Wisteria Lane..
Well, you do know that things on Wisteria Lane are much different then Main Street USA
_________________________
And where is Superman when I need him?

Return to Top

Moderator:  John Burnett