Kevin L. Hernandez, Esq.
Attorney at Law
Practice Areas
Illegal Debt Collection and Debt Defense
Fraudulent Credit Card Charges
Fraudulent Banking Charges
Electronic Funds Transfer Act (EFTA)
Protecting Your Rights against Unauthorized or Fraudulent Transfers
The EFTA is a federal law designed to protect consumers from unauthorized banking transactions, billing errors, and abusive practices.
What Does the EFTA Cover?
The EFTA applies to various electronic transactions, such as:
- ATM withdrawals and deposits
- Debit card purchases
- Direct deposit of wages and benefits
- Electronic bill payments
- Mobile and online banking transfers
- Peer-to-peer (P2P) app money transfers (e.g., PayPal, Cash App, Zelle, Venmo)
- International money transfers
Common EFTA Violations
Our firm represents clients who have experienced:
- Fraudulent Transactions. Losses due to identity theft or fraud that financial institutions fail to address properly.
- Unauthorized Transfers. Money withdrawn from your account without your permission.
- Errors Not Corrected. Banks failing to investigate or fix transaction errors you report.
- Preauthorized Transfer Disputes. Difficulty stopping automatic payments or improper charges.
Your Rights Under the EFTA
If you suspect an unauthorized or fraudulent transaction, the EFTA requires you to report it within 60 days of receiving your bank statement. Financial institutions must:
- Investigate your claim within 10 business days.
- Correct errors or refund your money if they confirm unauthorized activity.
- Provide you with written documentation of their findings.
If they fail to meet these requirements, you may be entitled to additional remedies under the law.
How to Dispute Errors under the EFTA
To dispute a transaction under the EFTA, you must follow specific steps to protect your rights and ensure that the issue is resolved in a timely manner. Below are the general instructions:
- Review the Transaction
Before disputing a transaction, ensure that the charge or withdrawal is indeed incorrect or unauthorized. Look for discrepancies such as:
• Unauthorized transfers (someone else used your account)
• Incorrect amounts charged
• Duplicate charges
• Payments for services you did not receive - Gather Relevant Information
Collect all the relevant information regarding the transaction, including:
• Your account number
• The date and amount of the disputed transaction
• Any supporting documents (receipts, emails, correspondence with the merchant, etc.)
• The name and contact information of the merchant or business involved (if applicable) - Dispute the Transaction
Submit your dispute to the bank. Many banks allow you to file a dispute online, by phone, or through their mobile app. If you are submitting your dispute in writing, ensure that you include:
• A detailed description of the issue (including the reason for the dispute)
• The date of the transaction
• The amount of the disputed transaction
• A statement that the transaction is unauthorized or incorrect
• Your signature (if submitting by mail)
Keep records of all correspondence related to your dispute (emails, letters, phone calls). - Seek Legal Assistance
If your dispute is not resolved to your satisfaction, you should contact a Nevada consumer attorney to assist you in determining your legal rights.
How We Help You
At the Law Office of Kevin L. Hernandez, we are dedicated to protecting your rights under the EFTA. Here’s what we’ll do:
- Thorough Investigation. We’ll gather evidence, analyze transaction records, and build a strong case.
- Direct Representation. We’ll handle communications with your bank or financial institution, ensuring compliance with EFTA requirements.
- Litigation Expertise. If necessary, we will take legal action to recover your losses and hold financial institutions accountable.
- Obtain Damages. Under the EFTA, we will help you seek the following damages for a successful claim:
– Actual damages. Compensation for financial losses directly caused by the violation(s), such as return of unauthorized withdrawals or transfers, overdraft fees, late payment fees, etc.
– Treble damages. This is a form of punitive damages where you could be awarded three times your actual damages to punish the creditor or bank.
– Statutory damages. The EFTA permits statutory damages ranging from $100 to $1,000, depending on the circumstances surrounding the violation(s).
We understand the stress and financial hardship that unauthorized or fraudulent transactions can cause, and we are committed to obtaining the justice you deserve. If your financial security has been threatened by an error, fraud, or misuse of your bank account, you don’t have to face it alone. We are here to stand up for your rights and hold financial institutions accountable. Don’t let financial institutions dismiss your concerns or avoid accountability.
If you believe your EFTA rights have been violated, contact us today for a free consultation.
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