Dispute on a checking account that is a 'DBA'

Posted By: JWills, CRCM

Dispute on a checking account that is a 'DBA' - 11/23/21 08:15 PM

Can a customer file a dispute on fraudulent charges against a debit card that is on a checking account set up as John Doe, DBA John's Lawncare?
Posted By: John Burnett

Re: Dispute on a checking account that is a 'DBA' - 11/23/21 08:39 PM

Did the bank provide John Doe its standard Reg E disclosures when it opened the account for this sole proprietorship? If so, you may have to honor those disclosures, unless the disclosures included a prominent disclaimer like "The following disclosures apply only to accounts opened by individuals primarily for personal, family or household purposes."

If you instead have a separate Debit Card Agreement for business accounts, and that's what Mr. Doe received, then the answer to your question should be found there.
Posted By: JWills, CRCM

Re: Dispute on a checking account that is a 'DBA' - 11/23/21 08:45 PM

Thank you John, we will have to check on that.
Posted By: BrianC

Re: Dispute on a checking account that is a 'DBA' - 11/23/21 09:26 PM

I would add that regardless of Reg E coverage, Visa/Mastercard extend their Zero Liability protections to small businesses so the customer still has protections for unauthorized transactions under the card rules.