15 U.S.C. § 1693f : US Code - Section 1693F: Error resolution

Search 15 U.S.C. § 1693f : US Code - Section 1693F: Error resolution

(a) Notification to financial institution of error
If a financial institution, within sixty days after having
transmitted to a consumer documentation pursuant to section
1693d(a), (c), or (d) of this title or notification pursuant to
section 1693d(b) of this title, receives oral or written notice in
which the consumer -
(1) sets forth or otherwise enables the financial institution
to identify the name and account number of the consumer;
(2) indicates the consumer's belief that the documentation, or,
in the case of notification pursuant to section 1693d(b) of this
title, the consumer's account, contains an error and the amount
of such error; and
(3) sets forth the reasons for the consumer's belief (where
applicable) that an error has occurred,
the financial institution shall investigate the alleged error,
determine whether an error has occurred, and report or mail the
results of such investigation and determination to the consumer
within ten business days. The financial institution may require
written confirmation to be provided to it within ten business days
of an oral notification of error if, when the oral notification is
made, the consumer is advised of such requirement and the address
to which such confirmation should be sent. A financial institution
which requires written confirmation in accordance with the previous
sentence need not provisionally recredit a consumer's account in
accordance with subsection (c) of this section, nor shall the
financial institution be liable under subsection (e) of this
section if the written confirmation is not received within the ten-
day period referred to in the previous sentence.
(b) Correction of error; interest
If the financial institution determines that an error did occur,
it shall promptly, but in no event more than one business day after
such determination, correct the error, subject to section 1693g of
this title, including the crediting of interest where applicable.
(c) Provisional recredit of consumer's account
If a financial institution receives notice of an error in the
manner and within the time period specified in subsection (a) of
this section, it may, in lieu of the requirements of subsections
(a) and (b) of this section, within ten business days after
receiving such notice provisionally recredit the consumer's account
for the amount alleged to be in error, subject to section 1693g of
this title, including interest where applicable, pending the
conclusion of its investigation and its determination of whether an
error has occurred. Such investigation shall be concluded not later
than forty-five days after receipt of notice of the error. During
the pendency of the investigation, the consumer shall have full use
of the funds provisionally recredited.
(d) Absence of error; finding; explanation
If the financial institution determines after its investigation
pursuant to subsection (a) or (c) of this section that an error did
not occur, it shall deliver or mail to the consumer an explanation
of its findings within 3 business days after the conclusion of its
investigation, and upon request of the consumer promptly deliver or
mail to the consumer reproductions of all documents which the
financial institution relied on to conclude that such error did not
occur. The financial institution shall include notice of the right
to request reproductions with the explanation of its findings.
(e) Treble damages
If in any action under section 1693m of this title, the court
finds that -
(1) the financial institution did not provisionally recredit a
consumer's account within the ten-day period specified in
subsection (c) of this section, and the financial institution (A)
did not make a good faith investigation of the alleged error, or
(B) did not have a reasonable basis for believing that the
consumer's account was not in error; or
(2) the financial institution knowingly and willfully concluded
that the consumer's account was not in error when such conclusion
could not reasonably have been drawn from the evidence available
to the financial institution at the time of its investigation,
then the consumer shall be entitled to treble damages determined
under section 1693m(a)(1) of this title.
(f) Acts constituting error
For the purpose of this section, an error consists of -
(1) an unauthorized electronic fund transfer;
(2) an incorrect electronic fund transfer from or to the
consumer's account;
(3) the omission from a periodic statement of an electronic
fund transfer affecting the consumer's account which should have
been included;
(4) a computational error by the financial institution;
(5) the consumer's receipt of an incorrect amount of money from
an electronic terminal;
(6) a consumer's request for additional information or
clarification concerning an electronic fund transfer or any
documentation required by this subchapter; or
(7) any other error described in regulations of the Board.