Skip to content

Reg J Mobile Banking App Deposit Loss

Answered by: 

Reg J question. Here is the situation: If a customer uses their mobile banking app and deposits a check into an account at another bank and then takes the same item into the bank that it is drawn on, who ends up with the loss? We had a situation where the check was cashed at our bank but the same item was presented in the in-clearings the same day. Please advise on how this type of situation should be handled. We will see this more and more with the banks using these mobile apps.

Assuming that the Fed handled one of the items, you can submit a "PAID" adjustment claim with the Fed to obtain a refund. It can be used on an electronic payment (image) or paper payment.

If you received the items from a clearing house other than the Fed the clearing house may also have a warranty provision that will allow you to push the loss to the other bank.

First published on 5/6/13.

First published on 05/06/2013

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