Dear Dr. Per Cap:

I have a story…

Earlier this year I went to my credit union down the street from where I work.  Banks and other businesses are extremely busy the 1st of the month and I had $400 that I needed to deposit.  So I went to the credit union’s ATM to deposit the cash because of the long line.  Well, I put my card in the ATM and then the cash.  Then my worst nightmare began…the ATM machine shut down.  It kicked out my card but no receipt.  I waited there but the screen went blank.  I went inside the bank, told the teller, and she said “It should be straightened out by the end of the day.”

I left the bank but the deposit never showed up that evening or the next morning.  I returned to the bank the following day and talked to a customer service rep who told me the ATM was owned by a third-party operator, and they would have to do an investigation which could take up to 30 days.  

Weeks later, I hadn’t heard anything so I called the credit union and was told the paperwork was lost, so she did another report and gave me a provisional credit of $400.  However, a few weeks after that I received a letter which stated “Our investigation shows there was no error in the transaction(s).  This is an advisement that there is no record of a cash deposit attempt and the ATM was in balance.  Therefore, no credit will be made as a result. The provisional credit that was issued to the account will be reversed.”

I was blown away…I was out $400 just like that.  Luckily I was able to move up the chain and contacted the credit union’s business relations manager who in turn contacted the director of fraud & security.  They asked me to confirm the date, time and location of the ATM transaction and ordered the surveillance video from the ATM camera to do their own investigation.  

A few days later I got a call from the fraud director.  He said they reviewed the video and “Sure enough, you were right there making a deposit, and we will make you right.”  He also mentioned a few other people had trouble with the ATM machine.  I got my $400 back!  And I put it in savings.

I kept my cool the entire time because I knew I was going to get my money back sooner or later.  I told my boss and he said, “I don’t know how you remained calm through this whole thing.  I would have been madder than a hornet.”

Signed, Panic-Stricken in New Mexico

Dear Panic-Stricken

Thank you for this very captivating story!  I’m really happy that because of your persistence the story had a happy ending.  You handled the whole situation perfectly.  Moreover, this is great information that readers will appreciate.   Who knew some ATM’s are owned and operated by third party operators independent of the actual bank or credit union?

I did a little research online and it looks like ATM glitches like this are not that uncommon.  Moreover the Electronic Funds Transfer Act, a federal law that regulates debit transactions protects consumers from this type of machine error or fraud.  Provided of course you’re using a debit card at an ATM as opposed to a credit card.  But who knows who long anther claim process would have taken along with your lost time and stress?

You’ve shared how it’s wise practice to be careful using ATM’s, especially with cash deposits.  It’s very easy to take technology for granted and just assume machines won’t make mistakes.  You kept a paper trail – very smart!  I’m also glad you didn’t have to get madder than a hornet and you put that extra cash in savings! 

Ask Dr. Per Cap is a program funded by First Nations Development Institute with assistance from the FINRA Investor Education Foundation. For more information, visit www.firstnations.org. To send a question to Dr. Per Cap, email askdrpercap@firstnations.org.