JP Morgan Chase Sues Customers Over Infamous ‘Infinite Money’ ATM Glitch
US banking giant JP Morgan Chase is taking legal action against customers who exploited an ATM glitch to illegally withdraw thousands of dollars. The bank has filed lawsuits in courts across Houston, Miami, and Los Angeles, targeting two individuals and two businesses who are alleged to have taken advantage of the ATM glitch.
The "Infinite Money" Cheque Glitch
The infamous "infinite money" scam allowed Chase’s customers to repeatedly deposit large cheques into their accounts and withdraw cash before the banks could verify and stop the transactions. This exploit was quickly dubbed the "infinite money" glitch after it gained popularity on platforms like TikTok.
The Lawsuits
Two individuals and two businesses are facing lawsuits for their alleged involvement in the ATM glitch. According to court filings, on 29 August, a masked man deposited a cheque worth $335,000 into a defendant’s Chase account and began withdrawing the funds despite the cheque being returned as counterfeit. The defendant still owed the bank over $290,000.
The total amount of money kept by the defendants in the four lawsuits sums to more than $660,000, as claimed by JP Morgan Chase’s lawyers. The bank maintains that banks usually allow customers to withdraw only a fraction of the value of a cheque before it is fully cleared, making the excessive withdrawals suspicious.
Chase’s Commitment to Fraud Prevention
In the court filings, JP Morgan Chase emphasized its commitment to combating fraud and ensuring the safety of its banking systems. "Chase takes its responsibility to combat fraud seriously and prioritizes protecting the firm and its customers to make the banking system safer," the bank stated.
"Part of that responsibility is to hold people accountable when they commit fraud against Chase and its customers. Simply put, engaging in bank fraud is a crime," Chase representatives added.
Timely Identification and Closure of the Loophole
Last month, Chase closed the ATM glitch loophole after several social media posts and videos detailing the exploit went viral. The bank was investigating thousands of potential cheque fraud incidents during this period.
The Bigger Picture: Combating Online Banking Fraud
Banking fraud is a serious issue in the digital age, with savvy criminals constantly exploiting loopholes in online banking systems. Banks worldwide are investing in advanced technologies and procedures to identify and prevent such fraudulent activities.
Call-to-Action
If you or someone you know has been involved in transactions involving bank fraud or any suspicious activities, it’s crucial to disclose the issue to financial authorities immediately. For more updates on the latest developments in banking and cyber security, follow our channel on Instagram: @BankNews_Hub.
Stay filed on legal proceedings against bank fraud and ensure your banking systems are secure by following our insights.