BANKING AFFAIRS

Detailed explanation-1: -To limit the customer’s liability, oral or written notice must be provided to the financial institution • Within 2 business days following learning of the loss or theft of an access device, OR • Within 60 calendar days of transmittal of statement containing first error if no access device was lost or stolen.

Detailed explanation-2: -If the consumer notifies the institution within 60 days of the transmittal of the periodic statement that shows the unauthorized transfer, the consumer has no liability.

Detailed explanation-3: -Reg E states that, “A consumer must report an unauthorized electronic fund transfer that appears on a periodic statement within 60 days of the financial institution’s transmittal of the statement to avoid liability for subsequent transfers.”

Detailed explanation-4: -Regulation E allows for up to 45 days for resolution in those scenarios, but, during that time, the bank must typically issue a provisional credit for the disputed amount. If the bank finds that no error occurred, they must notify you of that in writing.