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.
Zelle fraud class action lawsuits overview:
- Who: Bank customers recently filed class action lawsuits against Capital One, Bank of America, Wells Fargo, Navy Federal Credit Union and Zelle.
- Why: Customers claim the financial institutions do not do enough to protect them from fraudulent activity on Zelle’s digital peer-to-peer payment platform.
- Where: The class action lawsuits have been filed in U.S. federal courts.
Consumers filed a number of class action lawsuits recently against financial institutions accused of not protecting account holders who were financially injured after being defrauded while using the digital peer-to-peer payment platform Zelle.
An influx of scams targeting Zelle users prompted a pair of U.S. senators to write a letter in April to the owner of Zelle, warning it about the amount of fraud perpetrated on the platform.
Sens. Elizabeth Warren, D-Mass., and Robert Menendez, D-N.J., accused Zelle owner Early Warning Services LLC of not doing enough to prevent fraud from occurring on the platform.
The Democratic senators also placed blame on Zelle’s owner banks, including Capital One, JP Morgan Chase, Bank of America, Wells Fargo and Truist.
“We seek to understand the extent to which Zelle allows fraud to flourish and the steps your company is taking to increase consumer protection and help users recover lost funds,” the senators wrote.
Consumers, meanwhile, have since begun going after financial institutions, claiming they are not doing enough to protect them from falling victim of Zelle fraud.
Capital One class action accuses bank of refusal to reimburse Zelle fraud victims
Earlier this month, a Capital One customer who claims he was the victim of a Zelle scam filed a class action lawsuit against the bank, arguing it declines to reimburse account holders who are scammed or exposed to fraud on Zelle.
“Despite the plaintiff’s timely alerting Capital One of the fraud, Capital One refused to reimburse him for the losses,” the class action lawsuit states.
The consumer behind the class action lawsuit claims Capital One told him it would be unable to put a stop payment on a money transfer made through Zelle that ended up falling into the hands of a scammer.
Wells Fargo class action alleges company fails to protect customers from fraud
Also this month, a consumer filed a class action lawsuit against Wells Fargo and Zelle over claims the companies fail to protect them from scammers who target Zelle mobile payment app users.
The consumer behind the class action lawsuit claims he was scammed out of $7,500, with Wells Fargo eventually reimbursing them for $3,500, after a scammer pretending to be with the bank convinced them to send funds.
In addition to allegedly initially declining to reimburse him, the consumer argues Wells Fargo and Zelle aren’t willing to put more protections in place that would help prevent their customers from becoming fraud victims.
“The immediacy of Zelle’s service has made it a favorite primarily among consumers, but that has made it a favorite among criminals, who can access bank accounts directly,” the class action lawsuit states. “Once scammers can scare or trick their victims into sending money via Zelle, they can siphon away thousands of dollars in seconds.”
Bank Of America class action claims financial institution fails to disclose risks of Zelle
A consumer also hit Bank of America with a class action lawsuit this month that alleges the financial institution fails to disclose to its account holders the risks of using Zelle for money transfers.
Further, the consumer behind the class action lawsuit argues Bank of America declines to reimburse customers who are victims of fraud through Zelle and that there is “virtually no recourse for consumers to recoup losses due to fraud.”
Navy Federal class action accuses credit union of failing to keep reimbursement promise
Navy Federal Credit Union, meanwhile, faces claims that it fails to keep its promise that it will reimburse account holders who lose money from fraudulent activity on Zelle.
Further, the Navy Federal class action accuses the credit union of misrepresenting to its customers the safety of using Zelle for money transfers.
“(Navy Federal) misrepresents and omits a key fact about the service that is unknown to accountholders: that there is virtually no recourse for consumers to recoup losses due to fraud,” the class action states.
The consumer behind the complaint claims Navy Federal has a “secret policy” of not reimbursing account holders who suffer financial losses due to fraudulent activity on Zelle, regardless of whether or not it is reported right away.
Has your bank refused to reimburse you after you suffered financial losses due to fraud on Zelle? Let us know in the comments!
Don’t Miss Out!
Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!
Read About More Class Action Lawsuits & Class Action Settlements:
629 thoughts onZelle fraud cases mount as consumers file class action lawsuits
I was scammed out of $450 and $540. Someone closed as me and told me that I was receiving a payment that was due me from a while back when they posed as me they called the Wells Fargo and told them that they had some claims that were not valid in my account. Wells Fargo did not reimburse me.
Yes, I was scammed out of $3,000 dollars but Bank of America refused to reimburse me.
I was scammed out of $500 dollars from Alibaba.com , never got my product file complaint with bank USAA they refuse to reimburse me saying they have no jurisdictions over zelle
I lost $500 from Zelle trying to purchase something from Alibaba.com as was scaled out of my money and USAA sent me a letter refusing to refund me saying they have no jurisdictions of Zelle policies
I lost $1,100.00 thru zelle chase gives one the runaround on everything.
Ass me please
Scammed out of 14k bank of the west watched my account get over drafted then closed and bank did not care
I Was Scammed Over $36,000 met another local Spokane Valley Women Who Claims She accounts Was Frauded or Accounts Taken Over As Boa Claims No Fraud Altho Victims Are NEVER In the Clear We are ALWAYS PICKING UP THE PIECES OF A SHITTIER FRAUD THEN A BAN NOT KNOWING HOW TO TELL U AFTER 3 MONTHS OF NEGLECT AND HARRASING PHONE CALLS FROM OPENING BANKER INSTEAD OF PROTECTING MEE. THEY ASSISTED IN STEALING FROM MEE JUS FOREVER SADDENED ANS LOST BETTER DAYS IM HOPEFUL JUSTICE WILL FIND A WAY ONE DAY MEE OR MINES WILL HAVE WHAT WAS ONCE OURS BEFORE IT WAS SHORTLY LIVED AND LEFT MEE FOREVER UNTRUSTING
Capital One refused to help me. I’ve never had any issues but had a scammer steal someone’s identity and then my money. As soon as I realized it, less than 2r hours later, I reported it. I’ve never had this happen before. I guarantee I won’t let it happen again. I really wish they would have done something to help.
Every one of these comment/reports is tragically misleading. What are you reporting?
You’re simply letting the world know how miserable your life must be. You’re saying there’s no need for someone like YOU to pay attention. You probably claim you were pushed every time you step in a hole, which is obviously every day.
Part II of this story would reveal that the majority of Zelle users are satisfied with all their transfers.
And OMG why?
Because they PAY ATTENTION!!!
If your a 4 and online a 10 says they love you, just Zelle them $2k so they can come see you or if someone online is “selling” a $25k car for $2500 and you Zelle them the money, that’s not the banks fault. Do you file a fraud claim with the bank if after using the ATM you get robbed? Or for you people more like someone comes up to you after you use the ATM and say their car broke down and they have a needy kid at home could they borrow $500 to get home and you willingly give them money. Being scammed is not zelle or the banks fault. It’s personal responsibility, which we seem to have lost now in our society.
Lmao if y’all had half a brain you’d know that zelle is a cash payment… CASH. MEANING IF YOU GIVE SOMEONE CASH YOU CANT GET IT BACK. If it sounds too good to be true it probably is. Zelle is intended to send money to people you know and trust. But I mean Please tell go off on how you gave someone money and think your bank is responsible to give it back to you.
Exactly!