Fact Pattern 25-1Marlene loses her Neighborly Bank access card. She realizes her loss the next day but waits a week to call the bank. Meanwhile, Odell finds and uses Marlene's card to withdraw $3,000 from Marlene's account.
-Refer to Fact Pattern 25-1.When Marlene receives her Neighborly Bank statement,she demands that the bank investigate the matter and recredit his account.The bank
A) has no duty to investigate.
B) must investigate and, if the dispute is not resolved within ten days, recredit Marlene's account (at least until the dispute is resolved).
C) must investigate and immediately recredit Marlene's account (at least until the dispute is resolved).
D) must investigate but need not recredit Marlene's account.

Question

Fact Pattern 25-1Marlene loses her Neighborly Bank access card. She realizes her loss the next day but waits a week to call the bank. Meanwhile, Odell finds and uses Marlene's card to withdraw $3,000 from Marlene's account.
-Refer to Fact Pattern 25-1.When Marlene receives her Neighborly Bank statement,she demands that the bank investigate the matter and recredit his account.The bank 
A) ​has no duty to investigate. 
B) ​must investigate and, if the dispute is not resolved within ten days, recredit Marlene's account (at least until the dispute is resolved). 
C) ​must investigate and immediately recredit Marlene's account (at least until the dispute is resolved). 
D) must investigate but need not recredit Marlene's account.

Quizplus · Accepted Answer

Under the Electronic Fund Transfer Act (EFTA), Marlene must report the loss or theft of her access card within two days in order to limit her liability for unauthorized transactions to $50. However, since she reported the loss a week later, her liability limit is $500. The bank has a duty to investigate upon receiving Marlene's complaint and must resolve the dispute within ten days. During the investigation, the bank must recredit Marlene's account for any disputed amount, at least until the matter is resolved. Therefore, choice B is the best answer.

Fact Pattern 25-1Marlene Loses Her Neighborly Bank Access Card