Source: http://dca.ca.gov/publications/legal_guides/cr-6.shtml
Timestamp: 2014-12-19 15:08:57
Document Index: 251486465

Matched Legal Cases: ['§ 205', '§ 205', '§ 205', '§ 205', '§ 205', '§ 205', '§ 205', '§ 1693', '§ 205', '§ 205']

You deposit a check, withdraw cash or transfer funds between bank accounts at an automated teller machine (ATM). You purchase groceries and pay at the grocery store's point-of-sale (POS) terminal using your debit card and personal identification number.
The next protection provided by the Federal EFT Act and Regulation E is a limit on the amount of money that a consumer may lose in the event of an unauthorized use of the consumer's access device and secret code. No Liability
If the card has been used to draw money from your account before you notify the financial institution, your loss is limited to $50, provided that you give notice to the financial institution within two business days after you learn of the loss or theft of the card. Your card issuer cannot charge you for any loss unless it has previously given you - a written summary of your liability for unauthorized electronic fund transfers,
Remember that your EFT card ordinarily cannot be used by someone else unless that person knows your secret code. So, if you have not written the code on the card or in your wallet, you ordinarily will lose nothing if you lose your wallet or card. Nonetheless, you should notify the financial institution that the card has been stolen and ask it to issue you a new card with a new account number and a new secret code. On the other hand, if the thief has your card and your secret code, and you neglect to give notice to the card issuer within two business days after you have learned of the loss or theft, your liability for use of the card by someone else will increase to a maximum of $500 – but only to the extent that giving a notice within two business days would have avoided that loss.13
If you are very careless, there is yet another and higher level of possible loss to you – unlimited loss. Unlimited loss to you can occur if – the periodic statement that you receive from the card issuer reflects an unauthorized transfer of money from your account, and
Therefore, it's important that you review your monthly statements when you receive them, and assure yourself that no one is stealing money from your account. If you see anything wrong, it's essential that you contact the card issuer immediately. Otherwise, you can lose the protections of the EFT Act and Regulation E. Giving Notice of Loss
Where the financial institution's investigation of the error takes more than ten days and the amount of the unauthorized transfer has been credited, the investigation nevertheless must be completed within 45 days.39If the error involves a point-of-sale (POS) transfer, the 45-day investigation period is increased to 90 days.40
Disclosures of relevant information are required to be provided to the customer (a) before the first transaction on the account,44 (b) (b) any time that a fund transfer is made at an ATM or other electronic terminal,45 and (c) periodically (typically every month).46
The EFT Act and Regulation E specify exactly what information these disclosures must provide: Initial disclosures are required to be made when the consumer contracts for services or before the first electronic transaction. They include, for example, a summary of the consumer's liability for unauthorized transfers, what fund transfer services are provided, and fees.47
6. . See, e.g., Baker & Brandel, The Law of Electronic Fund Transfer Systems, rev. ed. (Arlington, VA: A.S. Pratt & Sons, looseleaf.)
38. 12 CFR § 205.11(c)(2)(i)(A).
52. 12 CFR § 205.9(b).
53. 12 CFR § 205.2(k).
54. 12 CFR § 205.10(b).
55. 12 CFR § 205.10(d).
56. 12 CFR § 205.10(d).
57. 12 CFR § 205.10(c).
58. 15 USC § 1693l. See footnote 4.
59. 12 CFR § 205.10(c).
60. 12 CFR § 205.10(c)(2).