DFI-Bkg 14.02 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; corrections made under s. 13.93 (2m) (b) 6. and 7., Stats.,
Register October 2001 No. 550.
DFI-Bkg 14.03
DFI-Bkg 14.03
Advance notice and approval required. Each bank proposing to engage in an activity authorized under s.
221.0303, Stats., or proposing to change the place or manner in which it engages in such an activity shall file with the administrator of the division of banking an application containing such information as the administrator of the division of banking may from time to time prescribe. If the administrator of the division of banking regularly receives information on additions, deletions or changes in locations of customer bank communications terminals from a supplier, a bank is excused from filing an application merely to change the place at which it offers the services. No bank may commence any such activity unless the place and manner in which the activity is conducted has been approved by the administrator of the division of banking in writing or the administrator of the division of banking does not take written objection to the bank's completed application within 30 days after it has been filed under this section. A bank may not commence or continue to engage in any activity authorized under s.
221.0303, Stats., if, in the opinion of the administrator of the division of banking, the activity is beyond the financial or management capabilities of the bank, would result in unfair competition among financial institutions, or is otherwise in violation of this chapter.
DFI-Bkg 14.03 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; am.
Register, October, 1988, No. 394, eff. 11-1-88; corrections made under s. 13.93 (2m) (b) 7., Stats.,
Register October 2001 No. 550.
DFI-Bkg 14.04(1)(1)
General provisions. Except as provided in
sub.(2), no bank may directly or indirectly acquire, place or operate a customer bank communications terminal, and no bank may participate in the acquisition, placement or operation of a customer bank communications terminal, unless the terminal is available on a nondiscriminatory basis to the following financial institutions and their designated customers:
DFI-Bkg 14.04(1)(b)
(b) Any other savings and loan association which is qualified to do business in this state and has obtained the written consent of a savings and loan association that has its home office in this state and is making use of the terminal;
DFI-Bkg 14.04(1)(c)
(c) Any other bank which is qualified to do business in this state and has obtained the written approval of a bank that has its home office in this state and is making use of the terminal; and
DFI-Bkg 14.04(1)(d)
(d) Any other credit union which is qualified to do business in this state and has obtained the written consent of a credit union that has its home office in this state and is making use of the terminal.
DFI-Bkg 14.04(2)
(2) Exceptions. The temporary limitation of access to a customer bank communications terminal to designated customers of designated financial institutions for reasonable test periods determined by the administrator of the division of banking will not be deemed in violation of this section if approved by the administrator of the division of banking in writing. The administrator of the division of banking may approve such limitations if:
DFI-Bkg 14.04(2)(a)
(a) The administrator of the division of banking considers it necessary or desirable to permit restricted operation during periods of testing or experimentation; or,
DFI-Bkg 14.04(2)(b)
(b) The administrator of the division of banking determines that the accommodation of additional users is beyond the capacity of existing equipment and a good faith effort is being made to accommodate them within a reasonable period of time determined by the administrator of the division of banking.
DFI-Bkg 14.04 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; am. (1) (b) and (c), cr. (1) (d),
Register, February, 1978, No. 266, eff. 3-1-78.
DFI-Bkg 14.05
DFI-Bkg 14.05
Discriminatory rates or services prohibited. A customer bank communications terminal will not be deemed available for use on a nondiscriminatory basis unless:
DFI-Bkg 14.05(1)
(1) User fees. The fees charged to a financial institution for the use of the terminal by the institution or its customers are equitably apportioned and reasonably reflect the cost of the services actually provided to the institution or customer. Such fees may provide for the amortization of development costs and capital expenditures over a reasonable period of time.
DFI-Bkg 14.05(2)
(2) Customer services. Each financial institution making use of the terminal may permit its customers to make use of all of the functions performed by the terminal at each location of the terminal or only those functions and locations that such institution elects to make available to its customers.
DFI-Bkg 14.05(3)
(3) Technical information and specifications. Each supplier provides at reasonable cost such technical information and specifications as may be necessary to enable a financial institution that is eligible to use the terminal, or any data processor serving the accounts of such an institution, to obtain interface with the terminal.
DFI-Bkg 14.05(4)
(4) Other requirements. No financial institution eligible to use the terminal is required to purchase from any supplier any goods, equipment or services not reasonably necessary to complete a transaction through the terminal.
DFI-Bkg 14.05 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76.
DFI-Bkg 14.06
DFI-Bkg 14.06
Confidentiality and security requirements. No bank may directly or indirectly acquire, place or operate a customer bank communications terminal, and no bank may participate in the acquisition, placement or operation of a customer bank communications terminal, unless precautions acceptable to the administrator of the division of banking are provided to:
DFI-Bkg 14.06(1)
(1) Precautions against unauthorized access. Prevent unauthorized access to, or use of, the terminal.
DFI-Bkg 14.06(2)
(2) Precautions to assure confidentiality. Prevent information regarding a transaction conducted through the terminal from being disclosed to any person other than:
DFI-Bkg 14.06(2)(b)
(b) Any other person who is a party to the transaction or is necessary to effect the transaction, but only to the extent that the information disclosed is necessary to effect the transaction;
DFI-Bkg 14.06(2)(c)
(c) Those persons lawfully authorized to have access to the records of the bank or of parties to the transaction.
DFI-Bkg 14.06(3)
(3) Unsolicited access to customer bank communications terminal prohibited. Ensure that the plastic card or other means providing its customers access to the terminal is issued only:
DFI-Bkg 14.06(3)(b)
(b) As a renewal of, or in substitution for an accepted card or other means of access, whether issued by the initial issuer or a successor.
DFI-Bkg 14.06 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76.
DFI-Bkg 14.07(1)
(1)
Between bank and third parties. Each activity authorized under s.
221.0303, Stats., shall be conducted in accordance with a written agreement between the bank and any participating merchant, service center, data processor or other third party, setting out the manner in which liability from errors, malfunctions or the unauthorized use of a customer bank communications terminal will be allocated between the parties.
DFI-Bkg 14.07(2)(a)(a) The liability of a customer of a bank for the unauthorized use of a plastic card or other means providing the customer access to a customer bank communications terminal may not exceed the lesser of the following:
DFI-Bkg 14.07(2)(a)2.
2. The amount of any money, property or services obtained by its unauthorized use prior to the time the bank is notified of, or otherwise becomes aware of, circumstances which lead to the belief that unauthorized access to the customer's account may be obtained. Notice is sufficient when the customer takes such steps as may reasonably be required in the ordinary course of business to provide the bank with the pertinent information.
DFI-Bkg 14.07(2)(b)
(b) A customer furnishing another person with a plastic card or other means of access to the customer's account through a customer bank communications terminal shall be deemed to authorize all transactions that may be accomplished by that means, until the customer has given actual notice to the bank that further transactions are unauthorized.
DFI-Bkg 14.07 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; correction in (1) made under s. 13.93 (2m) (b) 7., Stats.,
Register October 2001 No. 550.
DFI-Bkg 14.08
DFI-Bkg 14.08
Customer service and disclosure requirements. DFI-Bkg 14.08(1)(1)
Periodic statements. A bank shall provide each customer with a periodic statement of each account of the customer accessible through a customer bank communications terminal. The statement shall be provided on a monthly basis for each month in which a transaction occurs, or once every 3 months, whichever is more frequent. The statement shall identify the date, location, and nature of each transaction. An account statement issued under this subsection may include transactions made through a customer bank communications terminal or otherwise.
DFI-Bkg 14.08(2)
(2) Transaction documentation. Every transfer of funds through a customer bank communications terminal made by a customer of a bank shall be evidenced by a written document made available to the customer at the time of the transaction. The document shall indicate with reasonable specificity the identity of any third party to whom funds are electronically transferred, the identity of the customer's account, the amount of funds transferred, the type of transaction, and the date of the transaction. A customer may be required to re-enter an access device, such as a card, at a terminal in order to receive transaction documentation if all of the following conditions are met:
DFI-Bkg 14.08(2)(a)
(a) The terminal simultaneously controls the distribution of products at several locations on the same site to more than one customer;
DFI-Bkg 14.08(2)(b)
(b) Each customer must remove the access device from the terminal and move to another location in order to complete the transaction; and
DFI-Bkg 14.08(2)(c)
(c) The terminal cannot produce transaction documentation for a particular transaction until the customer completes distribution of the product and the amount of the transaction is known.
DFI-Bkg 14.08 Note
Note: Paragraphs (a) to (c) apply, for example, to a terminal which monitors a series of gasoline pumps. Each customer must remove the card from the terminal in order to pump the gasoline and then re-enter the card in order to obtain a receipt.
DFI-Bkg 14.08(3)
(3) Written disclosure of services and charges. Each customer of a bank whose account with the bank is accessible through a customer bank communications terminal shall be provided with a written statement of the terms and conditions governing the account. Such a statement shall be provided at the time that the customer is issued a card or other means affording access to the customer bank communications terminal, and whenever the terms and conditions governing the account are amended. The statement shall set out:
DFI-Bkg 14.08(3)(a)
(a) Applicable limitations on the customer's liability for unauthorized use of the means providing access to the customer bank communications terminal, and the address and telephone number of the person to be notified in the event that the means affording the customer access to the customer bank communications terminal is lost or stolen or the customer otherwise believes that unauthorized access to the account may be obtained.
DFI-Bkg 14.08(3)(b)
(b) The customer's right to a periodic statement of transactions affecting the account.
DFI-Bkg 14.08(3)(c)
(c) An initial disclosure of the specific transactions which, subject to the capabilities of individual terminals, may be performed through the customer bank communications terminal.
DFI-Bkg 14.08(3)(d)
(d) Any charges to the customer for account maintenance or for the use of the customer bank communications terminal.
DFI-Bkg 14.08(3)(e)
(e) Any limitation imposed on the number of customer bank communications terminal transactions permitted within any given period of time.
DFI-Bkg 14.08 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; renum. (2) to be (2) (intro.) and am., cr. (2) (a) to (c),
Register, July, 1984, No. 343, eff. 8-1-84; am. (2) (intro.),
Register, October, 1988, No. 394, eff. 11-1-88.
DFI-Bkg 14.09
DFI-Bkg 14.09
Chargebacks. When any sale of goods or services is paid directly through a terminal and involves an aggregate transfer of funds of $50 or more from an account of a customer to the account of another person, but does not involve a check or draft, the bank shall reverse the transaction and recredit the customer's account upon receipt of oral or written notice by the customer within 3 business days after the date of the sale. "Business day"means that part of any day on which a bank is open to the public for carrying on substantially all of its business functions.
DFI-Bkg 14.09 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76.
DFI-Bkg 14.10
DFI-Bkg 14.10
Advertising restrictions. If use of a customer bank communications terminal is restricted under
s. DFI-Bkg 14.04 (2) to designated financial institutions, all advertisements regarding the terminal shall clearly state that use of the terminal will be available to customers of other financial institutions at the end of the period of restricted use authorized by the administrator of the division of banking.
DFI-Bkg 14.10 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; am.
Register, March, 1996, No 483, eff. 4-1-96.
DFI-Bkg 14.11
DFI-Bkg 14.11
Filing of supplemental information. Each bank engaging in an activity authorized under s.
221.0303, Stats., shall file with the administrator of the division of banking such additional information regarding its activity as the administrator of the division of banking may from time to time require.
DFI-Bkg 14.11 History
History: Cr.
Register, November, 1976, No. 251, eff. 12-1-76; correction made under s. 13.93 (2m) (b) 7., Stats.,
Register October 2001 No. 550.
