Bank of America class action claims Zelle glitch caused customers financial hardship

Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.

Bank of America Zelle glitch class action overview: 

• Who: Bank of America consumers who use Zelle are suing both companies. 
• Why: The plaintiffs allege the bank was negligent in allowing Zelle to suffer a glitch. 
• Where: The Bank of America Zelle glitch class action lawsuit was filed in an Arizona federal court. 

Bank of America customers who use Zelle have hit both companies with a class action lawsuit, alleging they were unable to access their funds and saw their balances go into the red during a recent glitch. 

Plaintiff Lesly Lezcano filed the class action lawsuit against Bank of America and Zelle’s parent company, Early Warning Services LLC, on Jan. 18 in an Arizona federal court, alleging violations of state and federal consumer laws. 

According to the lawsuit, Bank of America suffered a glitch Jan. 18 in which the bank experienced delays in posting Zelle transactions from the prior three days.

The plaintiffs who were affected say they suffered “immense hardship” as a result.

“During defendants’ service malfunction, consumers did not have access to their funds, causing immense hardship, including the inability to pay for basic necessities, such as food, rent, electricity, gas and medicine,” the lawsuit states. 

“Consumers were unable to pay their household bills, resulting in the assessment of late fees.”

Customers allege lasting damage from glitch

Plaintiffs affected by the glitch are still dealing with the fallout, the lawsuit alleges. 

“Consumers (the large majority of whom live paycheck to paycheck) were left with damages including overdraft fees, late fees, and extreme anxiety and stress as to whether they would be able to meet their financial obligations,” the plaintiff alleges.

Lezcano alleges she saw her own Bank of America account balance dip into the red Jan. 18 and was unable to make certain payments as a result.

“Defendants have failed to meet their duties to their customers who relied upon defendants to ensure the availability of their funds and the accuracy of their account statements.” 

Lezcano seeks to represent all Zelle customers in the United States whose funds were affected by the Jan. 18 glitch. She is suing for negligence, unjust enrichment and breach of contract and seeks damages, fees, costs and a jury trial. 

Meanwhile, Bank of America is facing a class action lawsuit alleging it does not notify account holders it does not protect them from fraud through payment platforms like Zelle and Venmo.

Were you affected by the Bank of America glitch? Let us know in the comments. 

Lezcano is represented by John A. Yanchunis, Ra O. Amen and Krystal Flores of Morgan & Morgan.

The Bank of America Zelle class action lawsuit is Lezcano et al., v. Early Warning Services LLC et al., Case No. 2:23-cv-00115, in the U.S. District Court for the District of Arizona. 

Read About More Class Action Lawsuits & Class Action Settlements:

• JPMorgan Chase class action alleges bank does not help customers victimized by Zelle fraud
• Sen. Warren encourages increased oversight of Zelle following fraud cases
• Navy Federal class action over Zelle fraud seeks dismissal; plaintiff files opposition memo
• Zelle class action alleges company erroneously advertises as safe, secure