Bankers’ Rights to Debit/Reverse Credit Entries in Customers Accounts without their Consent
The center point of the above mentioned case refers to the principles highlighted in the case of Nedbank v Pestana (142/08) [2008] ZASCA 140, as will be the focal point of this article.
The case highlights that as a general rule in banking, no banker is permitted to debit her customer’s account and reverse the entry, once a remittance has been initiated to the credit of that customer’s account without the latter’s mandate or consent.