I Don’t Recognize This Transaction?!

Karen Nearing

By: Karen Nearing, AAP, APRP, CAMS, CRCM, NCP, Director, Compliance Education

We have all managed to survive the hustle and bustle of the holiday season and so have your account holders. Now is the time account holders begin to review their statements in disbelief of how much money has slipped through their fingers over the last few months. The most common phrase said by your account holders in the coming weeks is probably going to be “I don’t recognize this transaction.” When it comes to electronic transactions, financial institutions have a responsibility under Regulation E to take those disputes from your account holders and, at the very least, investigate.
At a minimum, look at a few components of the transaction during the investigation:

  • Was the transaction automatically posted or was it manually posted? If it was manually posted, determine if the transaction was posted to the correct account.
  • Are there other transactions from that same merchant posted to the account? Seeing previous transactions can sometimes connect the dots for the account holder.
  • What is the date and time the transaction was authorized at the merchant location? Sometimes knowing this information can jog the account holder’s memory.
  • Does the merchant have any affiliated names the account holder may recognize? With the use of abbreviations and other “lingo,” a merchant’s name may not be clear to the typical account holder. Usually, a simple internet search can provide an answer to the question.

When it comes to disputes of account holder electronic funds transfers, always remember to take the dispute, provide provisional credit (if necessary), do the investigation and provide the results of the investigation to the account holders. For more on Regulation E, click here to read through the procedures you must follow for resolving errors.

We also understand that some situations may not seem cut and dry. If you need some assistance or want to talk through a situation, Member Support is your best resource! Reach out by dialing 800.500.0100, via email at memserve@epcor.org, or chat with us on our website, epcor.org. We pride ourselves in the fact that you’ll almost always speak to a real person and we will do whatever possible to get the information you need. We also encourage you to post a discussion and talk with your peers on the Knowledge Community! We look forward to talking with you soon!