What is our obligation under Reg E if a spouse on an account wants to file disputes for charges incurred by the other spouse on the account?
In regards to fraudulent debit card charges, the bank I work at in California requires our customers to try to get the money back (even though it's fraud) before they will file the claim. From working at other banks, it was always my understanding that when it's a fraudulent charge, we file the claim and the customers do not have to try to get any money back. Are we in violation by requiring them to contact the stores/vendors to try to get money back? We haven't come across any situations where the vendor can even bring up the charge since it's not in our customer's name and we don't have any order number or anything.
My bank has a 30 day waiting and vetting period prior to us granting overdraft service. We do not have overdraft services that come with the account but rather it is our practice to offer an OPT-IN to Standard (payment of checks, ACH.) and then we offer another opt-in to Extended Service which allows the payment of ATM and one-time POS into overdraft under Regulation E. In this example, the customer opted in to both Standard and Extended Service. Customer received the Regulation E confirmation notice.
Without waiting the 30 days initially disclosed, my bank immediately paid into overdraft ATM and Debit card charges and fees but returned the checks that came through as insufficient. Once the 30 day vetting period for this customer had expired, they denied the customer for overdraft service but continued to allow only Extended service, ATM and One-time debit payments and
charges to go through. It is my understanding that the Extended Service under Regulation E is pursuant to the overdraft program offering and not to be used as a stand alone service outside the overdraft program. If we rejected the customer for our overdraft service, shouldn't that include all transactions?
I understand that businesses are exempt from the overdraft protection opt-in requirements but, am uncertain if the exemption covers Trust accounts and Estate accounts in that "personal, family or household" exemption?
Are we required to provide the customer with a confirmation that they have opted in. We currently provide them with the Overdraft Services Disclosure and Consent form at the time they Opt-in. At the bottom of the form we disclose how they can Opt-out. The following day, we mail them a confirmation notice of their Opt-in decision that also includes instructions
for Opting out, which I don't believe is required. Please clarify.
If we disclose to our customers in the initial disclosure that all Reg E disputes must in writing and the customer orally submits a dispute, but doesn't follow up in writing, can we deny the claim?
If a customer lets someone use their debit card and they've given them the PIN, when they fill out a Reg E claim stating another person was unauthorized to use their card, do we have to honor the claim?
What is the best practice for handling debit cards returned in the mail to the bank?
Our bank charges a $25 EOM overdraft service charge fee for any account that have been overdrawn within the statement cycle. My question is, are we allowed to charge a $25 EOM fee to a Reg E opt-out account that was overdrawn by a one-time or point of sale item?
The bank did not charge for the item but still does charge at the EOM maintenance fee for being overdrawn.
We have a Visa POS Dispute from a customer as fraudulent card in possession, however it was through PayPal and verified by Visa. She stated she did not have a PayPal account. The dispute came back as no recourse since Verified by Visa was used. Is this sufficient to reverse provisional credit?