Information Technology at a Glance
Chasidy K. Cummings
BIS220
August 29, 2012
Charles Waller

Information Technology at a Glance
The electronic fund transfer act was voted in by congress in 1978. The act was signed by the then president Jimmy Carter. The purpose of the act was to establish the rights accorded to consumers and the liabilities they face in conducting electronic transactions ("Electronic fund transfer," 2011). The act also set out to outline the responsibilities of all those who participated in activities involving the transfer of electronic funds. The main function of the electronic fund transfer act is the clarification of the rights and liabilities of consumers. The act was necessitated because the consumer protection legislation of the time was not clear enough. In light of recent technological advancements legislation needed to be modified to include new mediums of transaction, namely electronic fund transfers. Although the act gives consideration to those who participate in the transfer of electronic funds its primary focus remains the protection of individual consumers (Emerson, 2009).
The act eliminates the need for most transactions that originate through paper instruments. Examples of such instruments include a check or a draft. The focal point of focus is electronic transactions. Electronic transactions in the act include an electronic terminal, a telephonic device, a computer, or even magnetic tape. Automated teller machines are covered by the act, as are direct deposits or withdrawals, point of sale transfers, and telephone transfers. In short the type of transaction covered by the act is one in which a financial institution receives requests and orders to debit or credit an account (Emerson, 2009).
In short it was advancement in information technology that made the creation of the act necessary. Technological advancement and