Business Accounts and REG E

I know Business Accounts are not covered under REG E, but:

1. what do most financial institutions do when a Business Account has an unauthorized ATM withdrawal, POS Purchase or an unauthorized ACH debit hit their account and they dispute it.


2. In the case of an ACH dispute on a Business account does the business eat the loss and the FI just tries to process the disputed transaction as an unauthorized ACH but does not issue a provisional credit? When and if the funds are returned by the other FI the bank would then credit the business acoount?

we handle business disputes for unauthorized transactions pretty much the same as consumer disputes as they are covered under mc zero liability.

That is really placing a lot of unnecessary risk on the bank rather than the business. Zero liability only applies to a small universe of potential unauthorized claims from a business customer.