Dictionary of Banking Terms: inadvertent error
inadvertent error
clerical or billing error that, although a technical violation of consumer protection laws, does not give cause to a civil liability complaint if a bank can assert the error was unintentional, was made in good faith despite safeguards to prevent such mistakes, and then corrects the error. For example, a lender may assess a late charge on a mortgage payment even though the payment was received during the allowed grace period.
