Bank of America class action claims bank fails to properly investigate fraud claims

Bank of America class action overview: 

• Who: Plaintiff Kimberley Dennie filed a class action lawsuit against Bank of America. 
• Why: The lawsuit claims Bank of America does not legitimately investigate fraud claims, instead sending out form letter denials making customers responsible for banking fraud.
• Where: The Bank of America fraud claims lawsuit was filed in federal court in North Carolina.

A consumer filed a class action lawsuit against Bank of America saying the bank does not legitimately investigate fraud claims, instead sending out form letter denials arguing its customers are responsible for banking fraud.

The lawsuit alleges that the company often denies Bank of America fraud claims — even when they are submitted properly — by claiming that fraudulent payments were actually made by an authorized card user.

“Despite Plaintiff’s request for an explanation and further review, and submitting a police report for the stolen card and fraudulent transactions, Bank of America mechanically rejected Plaintiff’s claim without performing a reasonable investigation and instead, issued form denial notices devoid of any factual findings or documentation from its alleged investigation,” the Bank of America class action says.

Bank of America class action: Legitimate fraud claims must be covered, lawsuit says

Congress determined that banks are required to pay for financial fraud reported by consumers in a timely manner, unless the bank can determine the charges were not fraud, the lawsuit says. Banks must write a detailed explanation and provide all available documentation to prove the charges are not fraud, allowing consumers to dispute the conclusions.

The Bank of America fraud claims responses attempt to flip the responsibility of proof and financial loss on the consumer, the lawsuit claims.

“Bank of America denies fraud claims for transactions it unilaterally deems to be ‘authorized’ by Plaintiff without providing any substantive explanation as to how or why it has satisfied its burden of demonstrating that the disputed charges were in fact authorized,” the lawsuit says.

A consumer filed a class action lawsuit against Bank of America claiming the company did not send required monthly statements to customers who fell behind on their home equity lines of credit.

Have you encountered fraud on your Bank of America card? Let us know in the comments.

The plaintiff is represented by David M. Wilkerson of The Van Winkle Law Firm, Andrew J. Shamis and Edwin E. Elliott of Shamis & Gentile PA, Sophia Goren Gold of Kalielgold PLLC and Scott Edelsberg of Edelsberg Law PA.

The Bank of America class action lawsuit is Dennie v. Bank of America Inc., Case No. 3:24-cv-454, in the U.S. District Court for the Western District of North Carolina Charlotte Division.

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