BofA’s “$0 Liability Guarantee” – Is It As Good As it Sounds?

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We support reforms to the financial marketplace that protect consumers from unscrupulous banks and lenders.

By Consumers Union on Thursday, September 23rd, 2010

Bank of America has begun publicizing a new security policy – the$0 liability guarantee – which applies to all BofA credit and debit cards.

Under their policy, consumers who discover unauthorized transactions or billing errors are not liable for those charges so long as they report the problem within 60 days. If the consumer waits until after 60 days, then the consumer may be on the hook for any charges made after the 60th day and up until the consumer reports the problem. (To read the full service agreement, click here.)

But this is generally nothing new…it’s what BofA is already required to do under federal law. Federal laws give you the right to dispute, and not have to pay, unauthorized transactions or billing errors that you discover on your credit or debit card statements.
• Regulation E, which governs debit cards, states that a consumer has 60 days to report a billing error/unauthorized transaction and prevent any liability.
• Regulation Z, which governs credit cards, states that a consumer has 60 days to report a billing error/unauthorized transaction and prevent any liability.

BofA also claims that it will usually recredit your account by the next business day if you dispute a transaction. However, if you look at the fine print, it says that it may take up to 10 business days – again, this is just like the federal standard for debit transactions. In the case of credit cards, consumers cannot be charged for a transaction if they dispute it, at least while an investigation into the dispute is underway.

However, BofA does not make it clear whether their “$0 liability guarantee” would apply to instances where you lose your card or your card is stolen. Under federal law, you have the following protections:
• If you report a lost/stolen card within 2 business days, your liability for fraudulent charges is limited to $50. If you report it within 60 days, your liability is limited to $500.
• If you report a lost/stolen card, your liability is limited to $50.

For more information on credit and debit card protections, check out the tips in this past blogpost.

Have you tested out BofA’s “$0 liability” policy? If your credit/debit card was lost/stolen, did they extend their “$0 liability guarantee” to you? Submit your comments below.

12 responses to “BofA’s “$0 Liability Guarantee” – Is It As Good As it Sounds?”

  1. First, I would like to express how helpless these ruthless bankers make one feel. They are at the top of the food chain. And control the game with their data entry on one end of a computer screen and are compabative with their final decision without a care as to the implactions it may have on a families life. My mother was a victim of fraud on her credit card. It was not a great deal of money, but what is astonshing is the lack of evidence they do not provide us after the claim that the investigation was provided. Pure fraud. I am on a quest to go after these bankers, and it is not the money that drives me it is pure retaliation for their inhuman way of conducting business with individuals. I am leaving my contact information if I may be of service to anyone in this situation, or vise versa. It is time we all take a stand to these bankers. After all we are the consumer, they have no business if we do not provide them the opportunity to hold our business. We hold greater power over these matters than what we allow ourselfs to believe. Thank you for reading.
    Milennys Lahera

  2. First, I would like to express how helpless these ruthless bankers make one feel. They are at the top of the food chain. And control the game with their data entry on one end of a computer screen and are compabative with their final decision without a care as to the implactions it may have on a families life. My mother was a victim of fraud on her credit card. It was not a great deal of money, but what is astonshing is the lack of evidence they do not provide us after the claim that the investigation was provided. Pure fraud. I am on a quest to go after these bankers, and it is not the money that drives me it is pure retaliation for their inhuman way of conducting business with individuals. I am leaving my contact information if I may be of service to anyone in this situation, or vise versa. It is time we all take a stand to these bankers. After all we are the consumer, they have no business if we do not provide them the opportunity to hold our business. We hold greater power over these matters than what we allow ourselfs to believe. Thank you for reading.
    Milennys Lahera, Milennys1@gmail.com 786-514-5025

  3. Connie says:

    I had $2250.00 bill pay check fraudulent cashed out of my checking account in Nov 2017. Is been 110 business days (6 months) and I still haven’t received a refund from BoA. Matter of fact I cant even get a straight answer as to when I can expect the refund. The investigation by BoA clearly shows that it is fraud, but they keep putting me off.

    • Yessica says:

      My husband had $500 stolen and BOA has not credited while they investigate. That money was from unemployment , so three weeks later and still waiting. We reported to the beater business bureau and federal reserve claims. We received a lower today stating that there was no “error”. We’re sure they haven’t investigated and we provided a police report. We’re thinking of either taking to small claims or doing a class action against them for not giving back the money they said we would not be liable for. They are a bunch of crooks. We usually bank with a credit union but unemployment has. A contract. We’re trying to contact the California government to cancel they’re contract since they are just a horrible bank that does not support clients.

      • Scarlett says:

        Hi ! I’m going through the same thing. There were $3000 taken from my disability account using atm withdrawals and they denied my claim 3 times.. last one I submitted through the FDIC and federal reserve but it’s useless!! If you need me to file a law suite with you let me know! Or if you have received a positive response!
        Thank you!
        Scarlett

  4. Napoleon Z Davis says:

    Im letting everyone know I’m to a victim of being defrauded though my bank account with Bank of America. I had a false lender by the name of Thomas Dorsey pretending to work for Cash net USA. This guy calls Bank of America and file claims against debit card transactions that I made as well as debit card transactions I didn’t make . Bank of America credited my account the fraudulent funds and this false lender takes the a available funds this being credited to my account. Bank of America is holding my accountable for the funds taking by the falls lender. Current and future customers beware of Bank of America.

  5. Andy says:

    BofA notified me that a fraud transaction charged a few hours before on my credit card account and we agreed to file a fraud claim on this transacation. Then BofA closed my credit card # and re-issued a new credit card. In that late evening my wife found out that her BofA and Citi credit cards were stolen. After about two months, BofA replied that the transaction was charged with the credit card with chip so BofA won’t credit the amount back, and closed the fraud claim. It is not “$0 Liability Guarantee” with BofA. However, when we reported this to Citi in that late evening, Citi just handled it without even filing a fraud claim at all. Citi does have “$0 Liability Guarantee”.

  6. I immediately notified Bank of America of foreign transactions (china & London. The gentleman I spoke with even stated I had called these in quick enough as to where payment would be stopped. Large purchases over 14k. I felt better after speaking with him. Ok, they refund me 700 dollars from London. All the china transactions are still being denied, over 13k. They close the case, I call them and they reopen to close again. We’ve done this a few times now. I’m not wealthy, this had been a hardship. I know what my reg e rights are. I’ve tried to be courteous and professional but it appears I’m going to be forced another route. Shame on Bank of America.

  7. Mike Sisson says:

    I went into the local Laguna Hills, CA BofA to deposit 4 bags of quarters. I asked the teller if this was safe and was assured the deposit of $170.00 (in 4 different bags) would all be in my account within 7 to 10 days. I told her I had a large bag of pennies also and after I had time to count them would also bring them back and she noted there was only silver in my deposit at this time. I received a deposit from my $170.00 worth of quarters for $69.39!!!!! I immediately called BofA customer resolution and explained the discrepancy. They told me they would contact the manager of the branch and I should go there to have them fill out a report and the problem would be taken care of. I went to the branch and after waiting an hour finally got a person who filled out a form and he told me in another 10 days the situation would be taken care of. I waited another 10 days and called BofA resolution again and was told they had filed out the wrong form and I would need to go back and have them fill out the proper form. I went thru the same son and dance again and was assured AGAIN the problem would be resolved. After another 10 days I received a call from the manager at the branch that said there was nothing they could do because the firm that counts the change they send in said the amount was correct! I asked how do you get $69.39 from 4 bags of quarters? They simply replied well it is what they said so there is nothing we can do!!!! It is obvious (and stated by the BofA people I met with) that either they inadvertently switched deposit bags or someone had stolen $100. This is obviously a severe problem that BofA is not willing to address so the customer (Me) is just out of luck because all they keep saying is “we’re following our procedures so sorry”.

  8. Rebecca A Brusseau says:

    I am embarrassed to post but I had an injury, head, and found out my caretaker friend signed for purchases and took out over 24k from my injury settlement. I called boa and got someone named Sophia. I explained my disability and she said I had to file claims it turned out to be a mess. I told her I had a hard time doing papers and no faxcimi machine.

    So the next day, some of it was in account while investigating is done.. I started getting notices that clame was over and dnt give any reports. The caretaker lady haf a crime and drugs history so I told Sophia I was scared of her. She said they will help me.

    Bank said all clames were fine..Each clame had many charges which I don’t understand.

    I kept trying to get Sophia and they don’t care or know her so I quit and don’t care what they do. Too many different phone calls and I really after my injury talking slow and idiotic having to explain all over soany time. If I made this charges then please show proof. They’d cant. I hate boa

  9. Toni Thornton says:

    I bought Xmas gifts, online, but the next day, I received am email, from the company stating that my order was canceled! I was confused since I didn’t cancel my order, so I immediately contacted the business, only to find out, that this business, in the UK, didn’t have Phone number, only way to contact them Was through email! My first response, took a couple of days, but didn’t give me any clear understanding as why order was canceled! The next day, I noticed that $260.00 was processing, out of my checking account from this business! I email them again, explaining what is happening, I wait a couple of days for a response and the email stated, that they did not Take out money account from my account! I check account and $260.00 was paid to this company! I finally call B of A, I knew that give you a temp credit, while they investigate the problem! Now, I have another problem, B of A told me, that I must wait 10,business for any credit to be placed in my account! At this point it’s only 7 days to Xmas, I’m out $260.00, no gift, and my bank(who has said they give immediate credit), didn’t help me! These were gifts I could Have replaced, but not without the money taken illegally from me! Bank of America promises a service, then lies to you about it! After 10 business days, Xmas is over and I Have to live with the disappointed from children (no gift) and my own anger of being cheated out of my hard earned money! Guess, B of A doesn’t value me as a customer…I’m sure another bank would!

  10. Denise Vance says:

    My purse along with my id & debit card was stolen and I reported it the same day over $800 BofA did NOT credit me 1 single dollar. So BofA’s $0 liability policy is a lie. There reason they gave me was because of geographic area! All of the fraudulent charges were made 35 miles from were I live. It doesn’t make any sense, one of the merchants I contacted credited me back $76. I am closing my account with them. B of A is a fraud!!

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