Michigan Compiled Laws Act 322 Of 1978 Electronic Funds Transfers (488.1 - 488.31)

AN ACT to authorize financial institutions to make electronic funds transfer terminals available to their customers; to protect the privacy and security of customers; to prohibit unfair discrimination among financial institutions and monopolistic practices in the use and availability of electronic funds transfer terminals; to prescribe remedies; and to prescribe penalties.

History: 1978, Act 322, Eff. Jan. 1, 1979

Section 488.1 Meaning Of Words And Phrases.
For the purposes of this act, the words and phrases defined in sections 2 to 5 have the meanings ascribed to them in those...
Section 488.2 Definitions; A To C.
(1) "Available" means all deposit account functions that are performed from time to time by the particular electronic funds transfer terminal. (2) "Bank" means...
Section 488.3 Definitions; C To E.
(1) “Credit union” means a domestic credit union as that term is defined in section 102 of the credit union act, or a federal...
Section 488.4 Definitions; F To M.
(1) “Financial institution” means a bank, savings and loan association, consumer finance company, credit union, and includes a corporation wholly owned by a financial...
Section 488.5 Definitions; P To U.
(1) “Person” means an individual, sole proprietorship, corporation, partnership, association, joint stock company, trust, or unincorporated organization. (2) “Reasonable fees” means transaction, rental, or...
Section 488.6 Terminals, Facilities, Or Functions To Which Act Inapplicable.
This act shall not be applicable to terminals, facilities, or functions which are subject to regulation by the Michigan public service commission or which...
Section 488.7 Funds Transfer Facility On Merchant's Premises; Establishment, Ownership, Or Operation; Access To, Connection To, Or Use Of Facility; Reasonable Fees; Nondiscrimination; Additional Facilities; Equality Of Fees.
(1) This act shall not be construed or interpreted to prevent a merchant from establishing, owning, or operating 1 or more funds transfer facilities...
Section 488.8 Funds Transfer Facility; Reliable Service; Protection Of Privacy; Safety And Soundness Of Funds; Compliance With Antitrust Laws.
(1) A funds transfer facility shall provide reliable service to the person with protection of privacy of personal financial information. (2) A funds transfer...
Section 488.9 Funds Transfer Facility; Restrictions.
A person may not establish, operate, or make available a funds transfer facility in this state, except as provided in this act. History: 1978,...
Section 488.10 Electronic Funds Transfer Terminals; Number; Availability; Transfer Of Funds Into Deposit Acccount.
(1) A financial institution may make available to its customers 1 or more electronic funds transfer terminals anywhere in this state subject to this...
Section 488.11 Funds Transmission Facility; Establishment, Operation, Or Availability; Exemption Of Internal Computer System.
(1) A person may establish, operate, or make available a funds transmission facility anywhere in this state subject to this section and sections 12...
Section 488.12 Providing Information About Customer's Deposit Account Or Customer's Transaction; Furnishing Credit Information; Verifications; Liability For Violation.
(1) To protect the privacy of customers using funds transfer services, a person providing services of a funds transfer facility and a financial institution...
Section 488.13 Issuance Of Card Or Means Of Access To Customer's Account; Requirements.
A financial institution shall not issue to a customer a card or means of access to a customer's account for the purpose of initiating...
Section 488.14 Liability For Unauthorized Use Of Account; Proof; “customer Negligence” Defined; Failure To Notify Depository Financial Institution Of Unauthorized Use; Reporting Lost Means Of Access Or Violation Of Security.
(1) A customer shall not be liable for an unauthorized use of his or her account through an electronic fund transfer unless the depository...
Section 488.15 Notification Of Electronic Fund Transfer Error; Investigation; Report; Notification Requirements; Requirements Of Report To Customer; Meaning Of Electronic Fund Transfer Error; Placing Hold On Funds In Account; Closing Account; Report; Correction Resulting In Credit To Account; Crediting Account With Interest.
(1) If a customer notifies a financial institution orally or in writing within 60 days after receipt of the statement, that an electronic fund...
Section 488.16 Reversal Of Electronic Fund Transfer And Recrediting Customer's Account; Requirements; “normal Business Hours” Defined.
(1) The financial institutions which are parties to an electronic fund transfer shall reverse an electronic fund transfer initiated by a customer to a...
Section 488.17 Receipt Evidencing Electronic Fund Transfer; Time; Costs.
An electronic fund transfer made by a customer of a financial institution shall be evidenced by a receipt provided to the customer at the...
Section 488.18 Statement Of Customer's Account; Frequency; Contents.
A financial institution shall provide each customer with a statement of the customer's account accessible through an electronic funds transfer terminal. The statement shall...
Section 488.19 Written Agreement Of Terms And Conditions Governing Account; Time; Contents.
A customer of a financial institution whose account with the financial institution is accessible through a funds transfer facility shall be provided with a...
Section 488.20 Options To Promote Security Of Electronic Fund Transfers.
In order to promote the security of electronic fund transfers, financial institutions shall make available to customers: (a) Options to limit the total amount...
Section 488.21 Civil Action For Violation; Liability.
(1) A person may bring a civil action against a person violating section 13, 14, 15, 16, 17, 18, 19, or 20 in any...
Section 488.22 Monitoring And Analyzing Developments Within Field Of Electronic Fund Transfers; Report; Effecting Provisions Of Section.
The commissioner of the financial institutions bureau shall monitor and analyze developments within the field of electronic fund transfers and shall 1 year after...
Section 488.23 Restraining Trade Or Engaging In Anticompetitive Practices.
A person providing services of a funds transfer facility and a financial institution using a funds transfer facility shall not contract, combine, conspire, or...
Section 488.24 Unauthorized Transactions Prohibited.
A funds transfer facility shall not be used to facilitate or effect a transaction with a financial institution, which transaction the financial institution is...
Section 488.25 Applicability Of Antitrust Laws.
This act shall not be construed or applied to preclude the enforcement of, exempt from, or otherwise immunize a person subject to this act...
Section 488.26 Application Of State Or Federal Statute To Credit Or Deposit Account Relationships.
In the application of any state or federal statute to credit or deposit account relationships, the transfer of funds by use of a funds...
Section 488.27 Unjust Denial Of Access; Unfairly Discriminatory Sharing Requirements; Arbitration; Judgment; Redress In Circuit Court.
A financial institution seeking to share a funds transfer facility pursuant to this act, and believing that it has been unjustly denied access or...
Section 488.28 Violation Injurious To Business Or Property; Action For Treble Damages, Costs, And Attorneys' Fees.
A person who is injured in his or her business or property by another person who violates section 9, 10, 11, 23, or 24,...
Section 488.29 Wilful Violation As Misdemeanor; Penalty.
A person who wilfully violates this act is guilty of a misdemeanor, punishable by a fine of not more than $10,000.00. History: 1978, Act...
Section 488.30 Conditional Effective Date.
This act shall not take effect unless House Bill No. 4554 of the 1977 regular session of the legislature is enacted into law. History:...
Section 488.31 Effective Date.
This act shall take effect January 1, 1979. History: 1978, Act 322, Eff. Jan. 1, 1979

Last modified: October 10, 2016