Skip to content

Debit Cards & Commercial Accounts

Answered by: 

What are the legal drawbacks for offering debit cards on commercial accounts?

You must clearly define the liability limits for each party involved. Reg. E isn't applicable. You could impose similar requirements but you'd put your institution at a disadvantage. You'd want more liability shifted to the customer, who doesn't want it. And if this commercial customer will be giving the access device to others, they won't want liability if funds are stolen from them or the data to use that card is compromised by someone who otherwise has nothing to lose.

Lastly, verify that if you issue a branded debit card, that your agreement even allows commercial accounts to have that branded card.

First published on 1/9/06

First published on 01/09/2006

Filed under: 
Filed under technology as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics