What U.S. law governs electronic fund transfers such as ATM withdrawals and debit-card payments?

The U.S. Electronic Fund Transfer Act governs electronic fund transfers such as ATM withdrawals and debit-card payments.

Enacted in 1978, the law establishes consumer protections for transfers involving accounts at financial institutions. It addresses issues including disclosure of terms, error resolution, and liability for certain unauthorized electronic transfers.

The act is implemented through Regulation E, issued by the Federal Reserve and later administered by the Consumer Financial Protection Bureau. Regulation E provides the detailed rules consumers and financial institutions use in practice.

The law is distinct from the Truth in Lending Act, which primarily covers consumer credit, and the Fair Credit Billing Act, which addresses billing errors on open-end credit accounts such as credit cards. Debit-card and credit-card disputes can therefore fall under different rules.