A customer claims $755 in unauthorized withdrawals made by his son to the police, his son came to live with him on 8/17 and started helping himself to his atm card - but when the customer comes into the bank, he files over $1575 of unauthorized withdrawals going back until 7/26. The son admitted when he moved in that he was using the card but not until he moved in (from another area- did not have access to home until he moved in). The son admitted he took the $755 and knew the exact amount he took. The customer said there is no camera at the atm so we cannot prove any of it - there is no camera but its interesting that the customer knows that. The customer signed a sworn statement with the police that the total was only $755 and did not want to press charges.

Can we deny the claims over the $755 that is sworn to by the customer in the police report? Based on the fact the customer is now lying about how much was stolen??? He claims he wants the money now and only filed disputes so we have to pay him. He is trying to talk our fraud department out of filing charges, but we are going to press charges if he doesnt follow thru.

There is no "beyond a reasonable doubt" requirement, only a requirement that you decide based on all the information available to you. Since you have access to the police report and other information jibes with it, I think you have every justification to determine that the claimed transactions prior to 8/17 were authorized.

There is something called chain of liability. Dad is out the money because son stole from him. He has the right under Reg E to assert a claim against the bank for unauthorized withdrawals. If the bank honors the claim, the bank becomes the victim and has every right to pursue the individual responsible for the loss. If Dad decides that not having his son prosecuted is more important than the $755, then he should withdraw his claim against the bank and take it up internally with "Junior."

He dropped the charges, we are going to pursue if we have to pay the claim, is there anyway we can deny the claim??? He did lie to the bank, since there are no camera's at the atm, can we deny the whole claim since he lied to the bank concerning how may withdrawals his son made?? He is not co-operating with the police in charges and his son is still living with him.

I'd certainly try, but chances are until he sees you're serious about prosecuting Junior, he's going to work it both ways,.

and i hope you are also investigating having cameras at all your ATMs...

...and having this guy move on and find himself a new victim bank.