No, Regulation E’s consumer liability rules do not differentiate between ATM withdrawals and other types of electronic fund transfers. However, the fact that the withdrawals were made by ATM may mean that they were authorized electronic funds transfers. Importantly, Regulation E’s consumer liability rules only apply to unauthorized electronic fund transfers involving the consumer’s account.

An “unauthorized electronic fund transfer” means an electronic fund transfer from a consumer’s account initiated by a person other than the consumer without actual authority to initiate the transfer and from which the consumer receives no benefit. Notably, an unauthorized electronic fund transfer does not include the situation when the consumer gives his debit card to another person (unless the consumer has notified the bank that the person no longer has his permission to use the ATM card), or when the consumer or someone acting with the consumer has fraudulent intent.

For resources related to our guidance, please see:

• Regulation E, 12 CFR 1005.6(a) (“A consumer may be held liable, within the limitations described in paragraph (b) of this section, for an unauthorized electronic fund transfer involving the consumer's account . . .”)

• Regulation E, 12 CFR 1005.2(m) (“’Unauthorized electronic fund transfer’ means an electronic fund transfer from a consumer's account initiated by a person other than the consumer without actual authority to initiate the transfer and from which the consumer receives no benefit. The term does not include an electronic fund transfer initiated: (1) By a person who was furnished the access device to the consumer's account by the consumer, unless the consumer has notified the financial institution that transfers by that person are no longer authorized; (2) With fraudulent intent by the consumer or any person acting in concert with the consumer; or (3) By the financial institution or its employee.”)