Sam Did Not Keep Track of His ATM Card

question 7

Multiple Choice

Sam did not keep track of his ATM card. One day he realized that he had not seen the card in a while, and, after looking for it, realized that it was missing. Unfortunately, over $1,000 had been fraudulently purchased using the card by the time Sam reported it missing. The first fraudulent charge was made 45 days before Sam reported to his bank that the card was missing. Which of the following is Sam liable for?

• A) $0
• B) $50
• C) $300
• D) $500
• E) $1,000

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Definitions:

Mobile Banking

A banking method that allows the bank customer to perform banking actions on his or her cell phone or other mobile device.

Banking Transactions

Financial activities conducted through a bank, such as deposits, withdrawals, transfers, and payments.

Smartphone

A smartphone is a mobile device that combines cellular connectivity, computing capabilities, and internet access, along with other functionalities.

MICR Numbers

A line of numbers printed at the bottom of checks using a special magnetic ink; includes bank routing number, account number, and check number, used for electronic processing.