The Electronic Fund Transfer Act was passed by the U.S. Congress in 1978 and signed by President Jimmy Carter , to establish the rights and liabilities of consumers as well as the responsibilities of all participants in electronic funds transfer activities.
3-432: The act's provisions were implemented through Federal Reserve Board Regulation E . The EFT Act recognizes the right of consumers to choose the financial institution to which their payments are directed The EFT Act also prohibits a creditor or lender from requiring a consumer to repay a loan or other credit by electronic fund transfer, except when there is an overdraft on checking plans. The financial institution must give
6-471: Is lost or stolen and they do not follow certain criteria: EFT is not a perfect system; therefore customers should still be diligent in reviewing their EFT statements for possible errors as they would with any other type of transaction. Should a customer notice that there has been an error in an electronic fund transfer relating to their account certain steps must be taken: Under the Act, the customer must: Under
9-485: The customer notice of his liability in case the card is lost or stolen. This notice must include a phone number for reporting card loss and a description of the financial institution's error resolution process. If a customer promptly reports a missing or stolen card to the financial institution before any unauthorized transactions occur, the cardholder will not be held responsible for subsequent transactions. A customer can be liable for unauthorized withdrawals if their card
#397602