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  • Geebo 8:00 am on May 5, 2023 Permalink | Reply
    Tags: , , Chase,   

    Bank to scam victims: You have to prove it wasn’t you 

    Bank to scam victims: You have to prove it wasn't you

    By Greg Collier

    Previously, we told you about a scam that happens at ATMs. The way we were told about is scammers put glue in the card slot of ATMs. The bank customer would then use the tap to pay feature on the ATM. The tap feature on the ATM uses the RFID chip in the card to verify the transaction. If an ATM has an RFID reader placed near it, scammers would be able to steal the card’s details and duplicate the card.

    That is definitely one version of the scam. However, there’s an even simpler version of the scam. In this version, the scammer still puts glue in the ATM’s card slot. Except, instead of using an RFID reader, the scammer hangs around the ATM acting as a good Samaritan. When a customer tries to use the ATM, the scammer will tell the customer to use the tap feature. The problem with the tap feature on some ATMs is that it doesn’t automatically sign the customer out when the transaction is finished. This allows the scammer to use the ATM while the customer is still logged in. Of course, this has resulted in many having their bank accounts emptied.

    If you’ve been a frequent reader here, you won’t be surprised to learn that one of the nation’s leading banks is allegedly refusing to assist scam victims. Chase Bank has had a number of their customers fall victim to this scam, and much like they did with the Zelle scam, Chase is reportedly putting the onus on the customers.

    When Chase looks at their records, they only see it as a customer transaction and have told scam victims that the victim must have taken the money. One customer was even told, “Well, you have to prove it wasn’t you.”

    You might assume that since ATMs have cameras, Chase could easily verify if the customer made the transaction. According to one customer, they were told that Chase cannot pull the footage unless they’re subpoenaed by law enforcement.

    But also, much like the Zelle scam, Chase refunded the scam victims once their local media got involved.

    If you go to an ATM and the card reader is not functional, consider going into the bank or trying another ATM situated elsewhere. Additionally, if you possess a credit card, it might be a wise decision to utilize that instead. This is because credit cards have a built-in safety measure that aids in preventing such fraudulent activities. Moreover, credit cards provide more consumer protection than debit cards.

     

  • Geebo 8:00 am on March 15, 2023 Permalink | Reply
    Tags: , Chase, , , ,   

    Bank tells scam victims they gave ‘consent’ to scammers 

    Bank tells scam victims they gave 'consent' to scammers

    By Greg Collier

    Bank customers are being scammed on an almost daily basis. At least the ones who report the scam anyway, It’s more likely that the majority of recent bank scams aren’t reported to the police or media out of embarrassment. It seems that reports of banks not helping their customers who have been scammed has emboldened the bank scammers to fins more victims since they know the bank won’t do anything about it.

    For example, CBS 2 out of Chicago has done a follow-up story on five local bank customers who lost a total of $100,000 to bank impersonation scams.

    Scammers often follow a typical approach where they contact their targets through calls or messages, asking about their recent transactions. They then use coercive tactics to convince victims that transferring their funds to a different account is the only way to protect their bank accounts. Unfortunately, the account to which the money is transferred is usually controlled by the scammer. These accounts are usually regular checking accounts available through major banks and not offshore accounts.

    Out of the five Chicago victims who CBS 2 spoke with, all five were customers of Chase Bank, and only one of them has been reimbursed. The rest of the victims were told by the bank that since they gave personal information to the scammers, the bank considers that the consent of the customer.

    It also doesn’t help that the legislation designed to protect bank customers doesn’t protect victims from wire fraud. If someone uses the victim’s credit or debit card to commit fraud, customers can be reimbursed for that, but victims of wire fraud are out of luck due to a gap in the regulations. We might also add that these regulations were written in the 1970s. Electronic banking has changed a lot in the past 50 years, but the regulators haven’t kept up with the times. We knew that lawmakers are slow when it comes to updating the law to reflect current technology, but we didn’t realizer they were this slow.

    Some consumer advocates recommend that the banks should require some kind of digital ID before a wire transfer could be made. Others suggest the banks should institute a 24-48 hour delay for wire transfers. While these may sound like good ideas, practical application of them could be a headache for customers.

    What these banks really need to do is to prevent scammers from opening the accounts where the victims’ funds are being wired to. They could even institute a delay when an account tries to close out suddenly.

    At least for now, it’s up to the consumer to protect themselves from these scams.

    In case you receive a text message that appears to be from your bank inquiring about fraudulent activity, avoid using the callback feature provided in the message. Similarly, if someone calls you claiming to be from your bank and asks about fraudulent transactions, it’s best to end the call and directly contact your bank through the phone number provided on the back of your debit card.

    If you’ve been the victim of this scam, don’t hesitate to file a police report. While it’s not a guarantee of getting your money back, it does go a long way in helping.

     

  • Geebo 9:00 am on March 1, 2023 Permalink | Reply
    Tags: , Chase, , , ,   

    Bank to scam victim: “This is on you. We’re out.” 

    By Greg Collier

    Just the other day, we posted a story about how banks are reluctant to reimburse scam victims. This was after stories we posted about how one bank accused a scam victim of being the scammer, and another where scam victims were suing their bank for failing to protect their accounts. The question we keep asking is why can’t the banks stop or reverse these transactions?

    The usual M.O. of scammers involves contacting their targets through calls or messages, inquiring about recent significant transactions. Subsequently, the scammers coerce the victims into believing that transferring their funds to a different account is the sole method of safeguarding their bank accounts. Invariably, the account that the money is relocated to is under the control of the scammer. The bank accounts utilized by scammers are typically not offshore accounts. Instead, they are often regular checking accounts that are available through major banks.

    In a recent bank impersonation scam, two of the nation’s major banks were used. A woman from Seattle got a text that appeared to come from Chase Bank. The text asked her if she had just made a $99 purchase in Florida. The woman called the number back where the text came from and thought she was talking to Chase, but was actually talking to a scammer. The scammer told that to protect her account, she would need to make two $15,000 wire transfers to a Wells Fargo account.

    After realizing she had been scammed, she immediately called Chase Bank and was transferred between eight different departments before someone could help her. By the time she got somebody on the line, the transactions to Wells Fargo had already gone through. Chase told her she would need to fill out paperwork before they could investigate, and that would take at least a week. Chase then allegedly passed the buck, no pun intended, to Wells Fargo. The victim was essentially told that it would depend on Wells Fargo on whether she would get her money back. When she asked Chase for some documentation, she was reportedly told, “We don’t provide that, and we’re out. This is on you.”

    Banks contact customers all the time if they believe a fraudulent purchase or transaction has been made. So, why weren’t either bank suspicious about two wire transfers that totaled $30,000? Why aren’t these transactions being put on hold when a customer claims they’ve been defrauded? And again, why are the banks allowing scammers to open and close bank accounts so quickly?

    If you get a text that looks like it came from your bank asking about a fraudulent transaction, don’t use the callback feature in the text. If someone calls you claiming to be from your bank about fraudulent activity, hang up. Then dial your bank directly at the phone number on the back of your debit card.

    The only way to try to prevent financial loss from these scams is to protect yourself, since it doesn’t appear the banks will go out of their way to help.

     

  • Geebo 9:00 am on January 27, 2023 Permalink | Reply
    Tags: , Chase, , ,   

    Scam victims sue bank for failing to protect accounts 

    By Greg Collier

    In the past year or so, some of the nation’s largest banks have been notoriously ambivalent when it comes to helping their customers who have been scammed. For example, many of the victims who were scammed through Zelle have been told their money can’t be recovered since the customer authorized the transfer. Although, some of the victims have gotten reimbursed after going to their local media.

    One bank that seems particularly obstinate in helping their customers is Chase bank. A number of incidents have been reported in the media lately where Chase customers have been scammed in a similar way to the Zelle scam. Chase customers have reported receiving phone calls that appear to come from Chase, but are spoofed calls from scammers. The scammers tell the customer there’s been some kind of fraudulent activity on their account before getting the customer to transfer the money in their account to the scammer. This is typically done through the guise of ‘protecting’ the customer’s account. Not only has Chase refused to assist some customers, but in at least one instance have accused the customer of being the scammer themselves.

    Now, two customers from the Dallas area have decided to take Chase to court. One of the customers lost $51,000 in a tech support scam. She went to her local Chase branch for assistance, and they allegedly told her that the transfer was caught in time, and she won’t lose the money. A few weeks later, the money was gone from her account.

    The other victim lost $3500 to a fake Chase representative who also claimed they were trying to protect the account. This caller was said to have the customer’s account information already. Like the first customer, she went to her local Chase branch and closed her account and opened a new one. She was told the bank would launch a fraud investigation. A week later, she was told the claim was denied since she authorized the transfer.

    So, even after notifying the bank of the scams and being told the transfers have been caught, Chase allegedly failed to protect their customers. Instead, they’re unintentionally, at least, supporting the scammers.

    While you may have been a loyal customer to your bank for decades, these days, most of us are just numbers to them. They’re not in the business of trying to protect you. If you receive a call from your bank asking about fraudulent charges, hang up, and call them back at their customer service number from the back of your debit card. If you receive a text message, don’t respond. Instead, call your bank or go to your local branch.

     

  • Geebo 9:00 am on January 13, 2023 Permalink | Reply
    Tags: , , Chase, , , JPMorgan Chase,   

    Bank accuses customer of being scammer 

    By Greg Collier

    A man from Spokane, Washington had been running a one-man business making out of his home making skis and snowboards. However, his business recently took a financial hit after the man fell victim to what sounds suspiciously like a Zelle scam.

    He received a text message that appeared to come from his bank, JPMorgan Chase. The text message stated that someone was trying to withdraw a large amount from his bank account and asked if it was him. The man responded no to the text and received another text that said someone from Chase Bank will call you.

    The call appeared on the man’s caller ID as Chase Manhattan Bank. The man was told by the caller that he would need to fill out to keep his money in his account. The man was directed to open his Chase Bank app and was walked through several steps until a form popped up. The man agreed to the form, and before he knew it, scammers had transferred $29,000 out of his account to a couple of banks in Florida.

    We can’t say for sure that this was a Zelle scam, but most Zelle scams start out the same way, with scammers posing as the victim’s bank. Coincidentally, JPMorgan Chase is part owner of Zelle’s parent company Early Warning Services, along with several other major banks.

    And Chase is said to have reacted similarly to when a customer of any bank is scammed through Zelle. Actually, according to the victim, Chase went beyond just denying the man a refund. According to him, the bank accused him of being the actual scammer. His local branch manager allegedly accused the man of setting up the scam with the man’s buddies, so they could make a claim on the lost money.

    Victims of similar scams are usually told since they authorized the transfer of funds, even under false pretenses, they would not be eligible for a refund. But to be accused by your bank that you’re trying to scam them is just reprehensible. The man had no choice at this point to go to his local media to try to get some form of recompense. After such an accusation, one might think that legal proceedings will begin at some point against Chase.

    Even though you may have been using the same bank for however many years, they are not your friend. Their main goal is to be profitable, even if that means losing a loyal customer now and again. To put it bluntly, they’re looking after themselves.

    To best protect yourself from this scam is to not respond to any text messages that claim to be from your bank or any other financial institution. If you do receive one of these texts, call your bank directly at their customer service number from their website or the back of your debit or credit card.

     

  • Geebo 8:00 am on May 24, 2022 Permalink | Reply
    Tags: , , Chase, ,   

    You don’t have to be scammed to lose money through Zelle 

    By Greg Collier

    We’ve been discussing the problems with Zelle for the better part of over six months now. When we started, we were bringing attention to a very specific scam that took place through the money transfer app. This was when the scammers pose as a victim’s bank and gets the victim to transfer money to the scammers through Zelle under the guise of protecting their bank account from hackers.

    Then, as the months passed, we started seeing more reports of Zelle being used in more and more scams. Where the scammers used to ask for money in gift cards, they were now telling their victims to use Zelle.

    To compound matters, the victims’ banks have largely been refusing to refund the victims’ money when lost in a Zelle scam. Then add to the fact that Zelle offers little to no protection to its users in general.

    More recently, we’ve come across a report from Florida where a man claims to have lost $9000 from his bank account through Zelle, and the man did not fall for a scam. The man claims that he was looking at his bank account and saw his money being transferred out of his account to someone he doesn’t even know.

    He called his bank, which was Chase Bank, and asked that they stop the Zelle transfers. He also requested to move money into a new account that was not attached to Zelle. According to reports, that new account was also hit for the sum of $4000 through Zelle. Chase Bank allegedly denied any refunds, stating that the transactions appeared to come from the man’s device.

    It’s unclear how the thieves were able to gain access to the man’s accounts. It almost sounds like a SIM Swapping attack, since the transactions looked like they were made by the victim. Or it could have been an old-fashioned phishing attack.

    However, the most disturbing part of this story is that if thieves can access a bank account through Zelle without the user noticing, a large portion of banking customers could be vulnerable. Zelle is attached to many of the most popular banking apps without many users even knowing.

    To make matters worse, there isn’t anything account holders can do proactively to prevent these losses through Zelle. If you lose money through Zelle either in a scam, or like the instance mentioned above, the only thing you can really do is file a police report and hope the bank deems you worthy enough to be given a refund.

     

  • Geebo 8:00 am on May 18, 2022 Permalink | Reply
    Tags: , , Chase, , , ,   

    Is Zelle siding with scammers? 

    Is Zelle siding with scammers?

    By Greg Collier

    As we’re sure you’re well aware of, Zelle is a money transfer app that’s co-owned by several large banks in America. Its primary purpose is to transfer money between friends and family directly from your bank account. The most popular example given about these apps is splitting the check at a restaurant. Rather than several different people pulling cash out of their pocket, they can instead just send their portion of the bill to one person who picks up the tab. However, since it involves sending money online, scammers are using every opportunity to use Zelle, so they can steal from their victims. The banks that own Zelle aren’t helping matters either, since they tend to tell scam victims that their money is lost forever, even if the bank is the one who noticed the scam.

    A woman in New Jersey recently fell for a rental scam. She was sending money to a phony landlord for a rental property the landlord didn’t own. At first, she was asked to send a $160 through Zelle for an application fee to someone with a Wells Fargo bank account. She was then asked to send $1000 through Zelle, to the same person as a deposit. The scammer then asked her to send $1000 as another deposit and an additional $1000 as first month’s rent. This time, the money was sent to two different Zelle users, the first one mentioned and a new one with a Chase bank account. Again, all done through Zelle.

    When sending the last $1000 through Zelle, the woman’s phone locked up, and she wasn’t sure if the payment went through. The fake landlord told her to call her bank to resolve the issue. When she called her bank, Bank of America, they notified her that this was a scam. The bank representative put in a request to have the payments stopped. The woman then did the proper thing and notified both the police and the FBI. Six weeks later, Bank of America denied the request, allegedly claiming that Chase and Wells Fargo did not want to give the money back.

    All three of the banks mentioned in this post are co-owners of Zelle. Since they all share a payment transfer system, you might think that there’s a way to get money back from scammers. Instead, the banks claim that since sending money through Zelle is like sending cash, users should be careful who they send money to. No refund was offered to the victim by any of the three banks.

    While it is true that apps like Zelle should only be used between family and friends, why are the banks so reluctant to help scam victims? The bad press they’ve been receiving over Zelle can’t be helping, so why not put in protections that help the users instead of the scammers? The more these scams get reported on, the less Zelle will end up being used. So, which one would be more costly to the banks, helping scam victims, or shuttering Zelle?

     

  • Geebo 9:00 am on January 3, 2022 Permalink | Reply
    Tags: , Chase, , ,   

    Victim loses $25K in Zelle scam 

    By Greg Collier

    It’s been a few weeks since we last talked about the Zelle scam. Unfortunately, that doesn’t mean the scam has stopped. For those who may need a reminder, scammers are posing as bank customer service departments. They’ll text you asking if you’ve made a large purchase or withdraw recently. If you text them back, you’ll receive a call from the scammers. They’ll then instruct you that you need to move your money through the payment app Zelle to protect your account. What you’re actually doing is taking money out of your own account and sending it straight to the scammers. This scam has been an ongoing problem since at least this past fall.

    Recently, in Texas, a victim is said to have lost $25,000 to scammers through the Zelle app. Her story is much like the others. Except, instead of a text, she had a voicemail that was claiming to be from Chase Bank asking her if she had recently made a $5000 payment. She called the number back and the scammer told her that there had been fraudulent activity on her account and that she needed to use Zelle to reverse the fraudulent payment. Usually, that’s when the scammers disappear, but in this victim’s case they kept the scam going. They called her back in successive days, telling her the fraudulent activity happened again and that she needed to reverse the payment though Zelle again. This happened a total of five times for a total of $25,000 before she realized she had been scammed.

    In many of these cases, the banks try to wash their hands of the matter by saying that they’re not responsible for money lost through the Zelle scam. Some victims have gotten their money back but only after getting their local news media involved.

    If you receive a text asking you about fraudulent activity on your bank account, do not respond to it. Instead, call the customer service number listed on your debit card or bank statement. You can also visit your bank’s local branch, and they should also be able to assist you.

    If you end up being a victim of this scam, do not hesitate to take action. Notify your local police and bank immediately. This isn’t a guarantee that you’ll get your money back, but it goes a long way in helping. The longer you wait, the less of an opportunity there will be to reclaim your loss.

     

  • Geebo 8:00 am on October 28, 2021 Permalink | Reply
    Tags: , Chase, , , ,   

    Veteran loses college fund to nationwide bank scam 

    By Greg Collier

    A naval veteran from Southern California recently lost $19,000 to bank scammers. This particular bank account that was targeted by scammers was for his daughter’s college tuition. The man is a customer of Chase Bank and says the scam started with a text message that appeared to come from Chase. This was followed up by a phone call from someone claiming to be a Chase representative. The phone number the call came from was even said to have matched Chase Bank’s customer service number.

    The representative identified the man by name and also reportedly knew the last four digits of the man’s Social Security and debit card number. The man was told that there was fraudulent activity on his account. Before the man knew it, he was locked out of his bank account. When he got a hold of an actual Chase representative, he was told that wire transfers had been made from the account to a recipient in Florida. The entire account had been depleted.

    If you’ve been a reader of our blog for at least the past couple of weeks, this scam may sound familiar to you. This scam has a lot of the same hallmarks of the Zelle scam that’s been affecting bank customers nationwide. The difference here is that this is the first time we’ve heard of the scammers having a victim’s identifying information. With that information, they’d be able to bypass using Zelle, and access the account directly. It’s possible that the information was gained from some form of data breach and the call was made to confirm the information was up-to-date.

    If you receive a text from yours or any bank about fraudulent activity, do not respond to that text. Instead, call the bank from the customer service number that’s on your debit card or on the bank’s website. If you respond to the text, scammers may know that they’ve reached a live number where they can target a vulnerable consumer.

     

  • Geebo 8:00 am on October 22, 2021 Permalink | Reply
    Tags: , , Chase, , , , ,   

    Zelle scam keeps making victims out of bank customers 

    By Greg Collier

    Reports are still coming in about the scam that uses the Zelle payment app to drain victims’ bank accounts. In case you’ve missed our previous posts about the scam, scammers are posing as nationwide banks while sending text messages to victims asking them if they’ve made a large purchase. When the victim replies back, they’re then called by the scammers posing as the bank’s fraud department. The scammers tell the victim that someone is fraudulently using their account. The victim is then instructed to make a transfer through Zelle to ‘protect’ their account. Instead, the scammers are directing the money to their own accounts.

    Bank of America has taken the brunt of the criticism in this story, since it seems mostly B of A customers who have been affected. The bank has been seemingly resistant to either issue refunds or recover their customers’ money. Many times they’ve only done so after scam victims have contacted their local media. The scam has become so prevalent across the country that even the New York media is warning consumers about the scam.

    However, it’s not just Bank of America that is seeing their customers get taken for a ride. A number of Chase Bank customers have also reported falling victim to the scam. Recently, an Ohio woman lost $13,000 to the scam, and she was a Chase customer. As of the time of this writing, Chase has not commented on whether or not the woman will be getting her money back.

    The company that runs Zelle is jointly owned by is owned by Bank of America, BB&T, Capital One, Navy Federal Credit Union, JPMorgan Chase, PNC Bank, Ally, US Bank, and Wells Fargo. There are other banks that also use Zelle even though they don’t hold ownership in it.

    If your bank uses Zelle and you receive one of these scam texts, do not reply to it. Instead, call your bank’s customer service number from the back of your debit or credit card. That way, you know you’re talking to a legitimate customer service representative. They’ll be able to tell you if there is any real fraudulent activity on your account.

     

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