Quora Answer: Does the Bank Need My Permission before Removing Funds Credited into My Account by Mistake?

The following is my answer to a Quora question: “A deposit was credited to my account by mistake.  Does the bank need my permission before removing the funds?”

No.  The account is still the banks, not yours, and all funds in the account technically still belong to the bank.  The bank is obligated to guarantee you that amount you put in, a promise of delivery.

If the bank mistakenly credits monies to your account, they can take immediate action to remove those monies.  Should you spend that, you are legally liable, and the bank can and most likely will make a police report.  This would either be considered theft or criminal misappropriation.

If someone else mistakenly credits monies to your account, it gets a bit more complicated.  Since the account is owned by the bank, not you, they have to correspond with the bank to get their monies back.  There is a verification process, and you, as the account holder will be part of it.  Otherwise, people can pay and then claim it was mistaken, leading to all sorts of shenanigans.  Again, should you spend those monies, and you have no right to it, there are legal consequences.