Bank Act (S.C. 1991, c. 46)

Marginal note:Liability for unauthorized use

• 627.33 (1) The maximum liability of a borrower for the unauthorized use of a credit card issued to them in Canada, the account information of the credit card or the personal authentication information created or adopted in relation to the credit card or credit card account is $50, unless the borrower has demonstrated gross negligence or, in Quebec, gross fault, in safeguarding the credit card, the account information or the personal authentication information.

• Marginal note:Report of unauthorized use

  (2) If a borrower reports to an institution that a credit card issued to them in Canada, the account information of the credit card or the personal authentication information created or adopted in relation to the credit card or credit card account has been lost or stolen or is otherwise at risk of being used in an unauthorized manner, the borrower shall not be liable for any unauthorized use of the credit card, the account information or the personal authentication information after the report is received.

• Marginal note:Personal authentication information

  (3) The unauthorized use of a credit card issued to a borrower in Canada, or of account information of the credit card, by means of the personal authentication information created or adopted in relation to the credit card or credit card account does not by itself establish that the borrower demonstrated gross negligence or, in Quebec, gross fault, in safeguarding the personal authentication information.