Consumer complaint received 2020-06-08
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: MA
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement
Sub-issue: Credit card company isn't resolving a dispute about a purchase on your statement

Complaint:
Id like to bring to your attention facts of a fraud dispute I filed with Bank of America ( BofA ) where I have a credit card account in dispute. Bank of America failed to honor their Zero Liability policy, as advertised, and further posted fraudulent charges on my account multiple times, which far exceeded the originally disputed transactions. 

Timeline of events follows : XX/XX/2020-XX/XX/2020 - multiple fraudulent charges all via XXXX XXXX posted on my credit card account ending in XXXX XX/XX/2020 - I notice fraudulent charges on my statement and contact BofA immediately via phone number and explain that I did not place any of the orders, BofA reverses the charges crediting my account and blocks the credit card XX/XX/2020 - BofA informs me that they revising the dispute because the merchant provided proofs of delivery XX/XX/2020 - BofA posts another charge to my account to reverse the previously issued credits from XX/XX/2020 XX/XX/2020 - BofA posts yet another charge to my account to reverse the previously issued credits from XX/XX/2020, effectively charging me for the 3rd time for the same transaction, fraudulently XX/XX/2020 - BofA send me electronic statement showing the above charges XX/XX/2020 - I contact BofA to inquire about the situation via phone, the customer service agent is unable to explain why the dispute was reversed and why they fraudulent charges have been posted 3 times by the bank, she opens another investigation XX/XX/2020 - I receive mail via USPS stating BofA declines my fraud claim without further clarifications or explanation. 


In the letter sent following the initial dispute reversal on XX/XX/2020 BofA explained that the merchant provided proof of delivery of ordered items. However, I clearly explained to the customer service agent that Im disputing the fact that I ordered items in the first place. The fraud scheme involving unordered packages called brushing is well known and documented in multiple online sources. It involves a stolen credit card number with a billing address where the scammer sets up a marketplace account via XXXX or other marketplace and places fraudulent orders for cheap merchandise at inflated prices using stolen credit cards and ships it to the credit card owners billing address. Because the billing address matches the shipping address, the merchants fraud detection mechanism is less likely to flag the order as fraudulent. The merchant in fact ships to flight the eventual dispute when its filed by the credit card owner. 

BofA failed to honor their zero liability policy in this clearly fraudulent case of brushing but they also reversed the fraud charges twice, effectively charging my account three times ( one during the original fraudulent order transaction and twice during their incorrect reversal ). BofA failed to respond to multiple questions about these charges. 

Thank you. 

Sincerely, XXXX XXXX

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with monetary relief