Consumer complaint received 2026-01-23 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Unauthorized transactions or other transaction problem — 
Company: Block, Inc.
State: NC

Complaint narrative:
On XX/XX/year> ( {$48.00} ), XX/XX/year> ( {$190.00} ), and XX/XX/year> ( {$240.00} ), funds were transferred from my Cash App account to a bank account that does not belong to myself or anyone I know, the bank account belongs to a hacker.

I initiated the fund transfer under the reasonable belief that my own bank account was linked to my Cash App account. I use cashapp for my job so when I transfer funds it always is linked to my bank acc. Why would it be linked to a new bank account, I had no reason to believe my bank info was changed. I had no reason to believe otherwise, as Cash App did not notify me that a new or different bank account had been added. Cash App later confirmed to me that they were aware when the other bank account was added and that no notification was provided to me. This is weird to me because cashapp always is supposed to notify me if my banking information is changed.

The final transfer took unusually long to process, which caused me to become suspicious. During this delay, I contacted Cash App multiple times to inquire about the status of the transaction. At no point did Cash App inform me that any suspicious activity was occurring, that a different bank account was linked, or that my account may have been compromised. Instead, I was repeatedly told to wait for the deposit to complete.

Because Cash App failed to notify me of the added bank account and failed to alert me to suspicious activity despite my repeated inquiries, I was unaware that the funds were being transferred to a third partys bank account. Had I been notified of either the account change or the suspicious delay, I would not have initiated or continued the transfers.

After discovering the unauthorized activity, I promptly reported the issue and submitted a fraud dispute. Cash App informed me that they attempted to recover the funds by contacting the third partys bank but were unsuccessful. Cash App then closed my case, stating that because the other bank would not return the funds, no reimbursement would be provided.

Cash App required me to resubmit my claim, but later denied it again using inconsistent explanations. They repeatedly asserted that because the device was in my possession and I initiated the transfers, the transactions were authorized. This position ignores the fact that the transfers were made without my knowledge that a third partys bank account had been added, and that this lack of knowledge resulted directly from Cash Apps failure to notify me and failure to alert me to suspicious activity despite my inquiries.

Cash Apps handling of this matter is not compliant with Regulation E ( 12 CFR Part 1005 ) for the following reasons : 1. Failure to notify of account changes Under 12 CFR 1005.4 ( a ) and 1005.4 ( b ), financial institutions must provide timely notice of changes that affect how an account operates. The addition of a linked bank account is a material change. Cash App acknowledged awareness of this change but failed to notify me.

2. Failure to warn of suspicious activity despite consumer inquiry Despite an unusually delayed transfer and my repeated contacts with customer support, Cash App failed to disclose that a different bank account was linked or that suspicious activity was present, preventing me from mitigating further loss.

3. Improper classification of unauthorized electronic fund transfers Under 12 CFR 1005.2 ( m ), an electronic fund transfer is unauthorized when the consumer lacks actual knowledge of the true recipient of the funds or when the transfer results from account takeover or deception. Although I physically initiated the transfers, I did so without knowledge that the linked bank account belonged to a third party, due to Cash Apps failures described above. These transfers therefore meet the legal definition of unauthorized electronic fund transfers.

4. Failure to conduct a reasonable investigation and wrongful denial Under 12 CFR 1005.11 ( c ) and ( d ), Cash App was required to conduct a reasonable investigation and base its determination on whether the transfers were authorized. Instead, Cash App relied solely on device possession while disregarding the unauthorized bank account, lack of notice, suspicious delay, and my repeated attempts to seek clarification.

5. Improper closure of dispute and refusal to escalate Cash App closed my case without reimbursement despite acknowledging the unauthorized bank account and refused my request to speak with a supervisor or escalation team, denying me a meaningful dispute resolution process. 

Additionally, Cash App has refused to correct tax reporting related to these funds, even though the money was never received by or retained by me.

I am requesting : a full and proper investigation in compliance with Regulation E, reimbursement of the disputed funds,

Company response to consumer: Closed with explanation