Electronic Fund Transfer Act

The Electronic Fund Transfer Act (EFTA) is a law that protects consumers when they use electronic methods to move money, like debit cards, ATMs, or online banking. It sets rules for things like unauthorized transactions, errors, and fraud, ensuring consumers have recourse and limits their liability if their accounts are compromised. The act also requires financial institutions to provide clear information about fees and protections, making electronic payments safer and more transparent for users. Overall, it helps ensure trust and security in electronic banking activities.