Consumer complaint received 2022-09-24
Company: JPMORGAN CHASE & CO.
State: CA
Product: Money transfer, virtual currency, or money service
Sub-product: Mobile or digital wallet
Issue: Unauthorized transactions or other transaction problem

Complaint:
On XX/XX/2022 I was stopped by a man I did not know on the sidewalk near my apartment. He needed help and didn't have a phone. He said he needed to make a phone call. I agreed to let him make a phone call. 

He took the phone from my hands and called somebody. He told me he was locked out of his apartmentXXXX and need to call his sister and/or XXXX host to get into the building. 

While he is holding my phone, he hacked and/or gained unauthorized entry into my Chase Mobile banking app without my knowledge or consent. He then sent himself or someone he knew an unauthorized XXXX payment from my account in the amount of {$5000.00}. The XXXX payment was sent to a user " XXXX XXXX ''. I do not know this person/user. Again, this transaction was not authorized by me nor did I have any knowledge that it was happening. I was not holding my phone when this unauthorized transaction was made. I did not press any buttons or keys to initiate the sending or receiving of this transaction. 

When I got my phone back, I learned that this individual had uninstalled my Chase Banking app from my phone during the time he was holding my phone. This I assume was to slow down my response time in noticing the fraud had taken place. 

I called Chase immediately and reported the fraudulent, unauthorized transaction. I also filed a fraud claim with Chase to get my {$5000.00} returned. I had Chase put a freeze on all my accounts. I went into my local Chase branch the next morning and relayed the information about the unauthorized transaction, fraud, and identity theft. It can be corroborated there with the individual ( s ) that helped me. I closed my accounts out of an abundance of caution, as this individual had access to sensitive financial and personal information when inside my banking app and phone. I opened all new accounts with Chase and I also filed a police report with my local police department. I have attached the police report. 

On XX/XX/2022 I called Chase to get an update on my fraud claim. They informed me that they had chosen to deny my claim and that they believe no fraud had taken place. This assessment of my claim is false. I was the victim of fraud. I never willingly gave anyone access to my XXXX chase, or other financial accounts. I have read and understand the Electronic Fund Transfers Act and Regulation E. According to Regulation E, " An unauthorized EFT is an EFT from a consumers account initiated by a person other than the consumer without actual authority to initiate the transfer and from which the consumer receives no benefit. 12 CFR 1005.2 ( m ). Unauthorized EFTs include transfers initiated by a person who obtained a consumers access device through fraud or robbery and consumer transfers at an ATM that were induced by force. Comments 2 ( m ) -3 and 4. '' Recall that the fraudster obtained access to my phone via indisputable fraud. 

Based on these regulations, it is clear that Chase Bank is the institution accountable for the funds that were fraudulently stolen from my account. Any assistance regarding how I can recoup the funds that Chase has unjustly withheld from me would be appreciated. 

Chase Bank has also informed me that I will be receiving notice by mail of their decision on the matter. I intend to file an appeal. I also intend to file complaints with the XXXX and the OCC. I will continue to work with the police until this fraudster is caught. 

Please see the attached police report and a screenshot of the fraudulent transaction initiated by an individual that I do not know.

Company response to consumer: Closed with monetary relief