Regulatory Alerts2012-03-22
An Erroneous Entry in a Customer’s Account
The Supervisor of Banks issued regulations mandating that banks correct erroneous entries in customer accounts resulting from bank mistakes, including adjustments to interest calculations. Banks must notify customers of errors and corrections, unless the amount is insignificant, and compensate for financial damages incurred if the customer acted in good faith based on the incorrect information. The regulation clarifies that these procedural requirements do not override the legal rights of either party to claim additional damages.
Share