Electronic Funds Transfer Rights & Error Resolution

Updated February 6, 2024

By executing the Betterment at Work Master Services Agreement (“MSA”), you, the Client, authorize Betterment and Betterment Securities (collectively “us” or “we” or the “Company”) to electronically transfer funds via Automatic Clearing House or other form of electronic transfer (collectively “Transfer”) to/from the Account or a Participant Account to/from a checking account designated by you (or by a Participant) via Betterment’s website. In the event an entry is incorrect, Betterment Securities reserves the right to submit correcting entries. This authorization is simply to establish the Transfer relationship; any recurring Transfer must be established through other mechanisms within the Betterment website.
You understand that the Transfer activation process may take as many as ten business days from the date of Betterment Securities’ receipt of these instructions and may require your further interaction to complete. You understand that recurring Transfers, if applicable, will initiate no later than the next business day assuming availability of funds. You also understand that funds must be readily available in the checking account or there is a possibility the Transfer will be delayed or cancelled, and the Account may incur a non-sufficient funds or overdraft fee from the institution holding your checking account.
You agree to notify us of any willful closure of the checking account referenced herein. Furthermore, this authorization shall remain in full force and effect until instructions to terminate or alter are received in writing by Betterment. You understand that Betterment and/or Betterment Securities reserve the right to willfully terminate this Transfer relationship at their discretion upon sixty days’ written notice, unless a shorter period is required for regulatory or legal reasons.
You agree to hold Betterment and/or Betterment Securities and their agents free of liability for compliance with the instructions set forth in this document, and for compliance with any Electronic Funds Transfer Rights and Error Resolution document agreed to between a Participant and Betterment and Betterment Securities.
It is very important that you contact us at once if you believe your user ID or password has been compromised, or if someone has transferred or may transfer money from your account without your permission. Under applicable federal regulations, the extent of your liability for an unauthorized Transfer is largely determined by your promptness in notifying us or the institution holding your checking account if someone has gained access to your account, or if a transfer or withdrawal in your account statement is incorrect or unauthorized. Notifying us quickly limits your liability:

  1. You can inspect your transaction history at any time by logging into the Account on the B4B website. If your transaction history shows Transfers that you did not initiate or authorize, notify us at once. If you notify us within two business days after you learn that your password or other means to access your account may have become known by an unauthorized person, you can lose no more than $50 USD if an unauthorized person uses your password or other means to access your account without your permission to initiate a Transfer. If you do not notify us within two business days, and we can prove that we could have stopped someone from using your password or other means to access your account without your permission if you had told us, you could be liable for as much as $500 USD or more if you do not notify us within 60 days. If you do not notify us within 60 days after the transaction date, you may not recover any money you lose after the 60 days if we can prove that we could have stopped someone from taking the money if you had notified us in time. If a good reason (such as a long trip or hospital stay) kept you from notifying us, we may extend the time periods at our discretion.
  2. In case of errors or related questions about your account, you should notify Betterment immediately. Contact us by sending an email to PlanSupport@bettermentforbusiness.com or by calling 855-906-5280 as soon as you can if you think your account record or statement is wrong or if you need more information about a Transfer shown on your account record or statement. If you tell us by telephone, we may require that you submit your issue in writing within ten (10) business days. When submitting a Transfer related issue you must: 1) Tell us your name and primary email address; 2) Describe the error or the transaction you are unsure about, and explain as clearly as you can why you believe it is an error or why you need more information; and, 3) Tell us the dollar amount of the suspected error. We will tell you the results of our investigation within ten (10) business days after you submit a Transfer related issue, and will correct any error promptly. If we need more time, however, we may take up to forty-five (45) business days to investigate the complaint or question. If we decide to do this, we will provisionally credit your account within ten (10) business days for the amount you think is in error, so that you may have the use of the money during the time it takes for us to complete our investigation. If we ask you to put your complaint or question in writing and we do not receive the signed writing from you within ten (10) business days, we may not provisionally credit your transaction account. If we determine there was no error, we will email you a written explanation within three (3) business days after we finish the investigation. You may ask for copies of documents that we used in our investigation.
  3. For purposes of this disclosure, our business days are Monday through Friday except legal holidays.
  4. You may review your transaction history anytime by logging into your account. Each time you complete a Transfer, Betterment will send you an e-mail confirmation with a reminder to check your account history. If you have not performed any transactions in 90 days, we will provide a reminder to check your account history. 
  5. We will be liable for your losses if we do not properly complete a scheduled Transfer. However, we are not liable under certain circumstances, including but not limited to:
    1. If, through no fault of ours, your account does not contain enough money to make the Transfer after the provision of fees due to us are subtracted.
    2. If the money in your account is subject to a collateral pledge or other lien to us, or subject to a legal process, such as a lien, levy, seizure, attachment, or IRS backup withholding.
    3. If circumstances beyond our control (such as fire, flood, electrical, software systems, computer or telephone failure or malfunction of a central data processing computer or facility) prevent the completion of the Transfer.
    4. If the account from which the Transfer is to be made will be overdrawn by the transaction.
    5. If there are other exceptions established by Betterment or by law.
  6.   Betterment will disclose information to third parties about your account or Transfers you make:
    1. When it is necessary to complete Transfers or transactions.
    2. In order to verify the existence or condition of your account for a credit or risk reporting agency or other third party entitled to such information.
    3. In order to comply with State or Federal laws or government agency or court orders.
    4. When you otherwise grant us permission in written form.

This resolution is incorporated in the Advisory Services Terms and the Brokerage Services Terms. Your authorization and consent to these terms as well as to all State and Federal laws and regulations regarding electronic funds transfers is delivered by electronic signature of the MSA so received within the account application process or elsewhere within the Betterment website.