EFT transfers can sometimes be reversed, but it is not guaranteed, and they are generally considered final once processed. Reversals depend heavily on the type of transfer, with ACH payments having limited windows for error correction (e.g., duplicates) and wire transfers being almost impossible to reverse. Action must be taken quickly, as success often requires the recipient's consent or proof of fraud.
While e-transfers are a common way for people to send and receive money, these digital transactions are also targeted and used by scammers to steal money. E-transfers are favoured by scammers because they're difficult to recover. Once they've been deposited, e-transfers cannot be reversed, even when fraud is involved.
An Electronic Funds Transfer (EFT) return occurs when your bank or the Government Travel Charge Card (GTCC) vendor receives a payment that contains inaccurate information. When this happens, the institution rejects the payment.
Bank transfers and EFT transactions
If the recipient has not yet received the money sent via bank transfer or EFT, you can call your bank and request the cancellation of the transaction. However, if the transaction is already completed, it may not be possible to cancel it.
Under "Electronic Funds Transfer (EFT)", select Manage Payments. Next to the payment file you want to recall, select Actions. Choose Recall. Note: This option is only available if you're entitled to request a recall and the payment hasn't already been deposited.
Payment reversals can cost more than the original transaction amount when you factor in fees, lost products, and administrative costs. Different payment methods have vastly different reversal risks – credit cards and PayPal are high-risk while wire transfers and Zelle are nearly irreversible.
By any chance, if you have wrongly transferred the payment to the beneficiary whom you don't know, immediately request your bank to look into the matter for transaction reversal. While the bank cannot reverse the amount that has been transferred, you can always file a written complaint with the bank.
Common reasons why payment reversals occur include:
Feedback on the reversal attempt will be provided after 10 (ten) working days as from the bank receiving the form.
Reversals are not guaranteed and are attempted on a best effort basis. Authority must be obtained from the recipient before a reversal can be attempted. A Reversal attempt is charged per transaction and is non-refundable. Reversals can only be attempted within 30 calendar days from the date that the payment was made.
Did you pay with a credit card or debit card? Contact the company or bank that issued the credit card or debit card. Tell them it was a fraudulent charge. Ask them to reverse the transaction and give you your money back.
You've been scammed or defrauded – some transfers may be recoverable. The bank made a mistake – banks can reverse a payment if they made an error while processing it.
Once an Interac e-Transfer has been accepted by the recipient, it can no longer be cancelled. You can cancel a transfer only if the recipient has not yet accepted the funds, but some fees may apply.
As long as the recipient hasn't accepted the transfer and deposited the funds, you have 30 days to cancel an Interac e-Transfer before it expires.
EFTs are widely secure, using encryption and tokenization, but users should still watch for fraud. You can make international EFTs, but they may have higher fees and must follow international regulations.
An EFT reversal is when a transaction is reversed or undone due to issues such as incorrect bank account details, wrong amounts, or customer disputes. EFT reversals can be initiated during the clearing and settlement window, or after the payment has cleared in the receiver's account.
A transaction reversal is the process of canceling or refunding funds from a transaction that was previously considered successful. Simply put, money that has already entered a recipient's account can be withdrawn or reversed for certain reasons.
If you've sent money to the wrong person you should be able to get it back, provided they don't dispute it. You'll need to contact your bank as soon as you realise a mistake has been made, and should get a refund within 20 working days.
The earlier you report the mistaken transaction, the more rights you have. If the money is still in the other person's account, and both banks agree it was a mistaken payment: If you reported it within 10 business days, the money must be returned to you, usually within 5 business days.
If you used a money transfer service
It's unlikely you'll be able to get your money back if you've paid through a wire service such as MoneyGram, PayPoint or Western Union. Even if you can't get your money back, there are other things you can do – like reporting the scam and getting financial or emotional support.
Generally speaking, banks have 10 days to complete an investigation into an account error. But it is possible the investigation could take as long as 45 days. You can take a look at your deposit account agreement to find out how long it should take your bank.