15 U.S.C. § 1693e : US Code - Section 1693E: Preauthorized transfers

Search 15 U.S.C. § 1693e : US Code - Section 1693E: Preauthorized transfers

(a) A preauthorized electronic fund transfer from a consumer's
account may be authorized by the consumer only in writing, and a
copy of such authorization shall be provided to the consumer when
made. A consumer may stop payment of a preauthorized electronic
fund transfer by notifying the financial institution orally or in
writing at any time up to three business days preceding the
scheduled date of such transfer. The financial institution may
require written confirmation to be provided to it within fourteen
days of an oral notification if, when the oral notification is
made, the consumer is advised of such requirement and the address
to which such confirmation should be sent.
(b) In the case of preauthorized transfers from a consumer's
account to the same person which may vary in amount, the financial
institution or designated payee shall, prior to each transfer,
provide reasonable advance notice to the consumer, in accordance
with regulations of the Board, of the amount to be transferred and
the scheduled date of the transfer.