808 KAR 1:060. Automated teller machines

      Section 1. Definitions. (1) "Financial institution" means a state-chartered bank, savings and loan association, or credit union.

 

      Section 2. A financial institution may receive and act upon a communication from a customer transmitted through an automated teller machine. The communication may:

      (1) Request the withdrawal of funds either from the customer's deposit account or from a previously authorized line of credit;

      (2) Instruct the institution to receive funds or to transfer funds for the customer's benefit;

      (3) Make a balance inquiry;

      (4) Instruct the financial institution to receive cash or a check; or

      (5) Request the financial institution to dispense cash to the customer at the location of the automated teller machine.

 

      Section 3. A transaction initiated by an automated teller machine shall be subject to verification by the financial institution.

 

      Section 4. The commissioner may require information from a financial institution concerning the operation of an automated teller machine or other information that the commissioner believes to be in the public interest.

 

      Section 5. A financial transaction effected by use of an automated teller machine shall be deemed to be transacted at the institution and not at the automated teller machine. The automated teller machine shall not be considered to be a branch or branch office. (2 Ky.R. 140; Am. 266; eff. 11-12-75; 8 Ky.R. 19; eff. 8-5-81; 12 Ky.R. 40; eff. 8-13-85; 25 Ky.R. 1182; eff. 1-19-99; TAm eff. 4-17-2007.)

Notation

      RELATES TO: KRS 286.3-180, 286.5-061, 286.6-055

      STATUTORY AUTHORITY: KRS 286.1-020, 286.5-702, 286.6-070

      NECESSITY, FUNCTION, AND CONFORMITY: This administrative regulation provides for the use of an automated teller machine by a financial institution and specifies that an automated teller machine is not a branch of the financial institution.