Unauthorized electronic fund transfer
Under US Regulation E, a transfer started by someone without actual authority, from which the consumer gets no benefit.
Under the US Regulation E, an unauthorized electronic fund transfer is a transfer from a consumer's account initiated by a person other than the consumer without actual authority to initiate it and from which the consumer receives no benefit. The definition excludes transfers by a person to whom the consumer furnished the access device, unless the consumer has told the institution that the person's authority was revoked. The consumer's liability is limited and tiered by how quickly they report, which makes the scope of authority granted to an agent a central question.
Agent Minute explains this term on 27 October 2026.
Related terms
Error resolutionRegulation E's procedure for a consumer to report an error on an account and for the institution to investigate.Unauthorised payment transactionA payment the payer did not consent to; in the EU and UK the payer's provider must generally refund it promptly.RevocationThe principal withdrawing a mandate or consent before it expires, after which no one may act on it.PrincipalThe person or organisation on whose behalf an agent acts and whose authority the agent exercises.