Consumer complaint received 2026-01-06 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Cashing a check
Company: JPMORGAN CHASE & CO.
State: CA

Complaint narrative:
I am filing a complaint against JPMorgan Chase Bank for refusing to reimburse funds lost due to obvious check fraud involving two stolen and materially altered checks drawn on our business account. 

I am writing on behalf of XXXX. XXXX XXXX XXXX XXXX XXXX, regarding our Chase business account ending in XXXX. 

The following checks were fraudulently negotiated via mobile deposit after being stolen from the mail and altered to pay unrelated individuals : Check No. XXXX {$8000.00} Originally payable to XXXX XXXX XXXX ( XXXX ), altered and deposited via mobile deposit into a XXXX XXXX XXXXXXXX account under the name XXXX XXXX XXXX XXXX XXXX XXXX 

Check No. XXXX {$6500.00} Originally payable to XXXX XXXX ( XXXX ), altered and deposited via mobile deposit into a JPMorgan Chase account under the name XXXX XXXX XXXX XXXX 

Both checks were issued on XX/XX/XXXX, mailed in XXXX and then stolen from the mail, and altered to pay individuals we do not know and have never done business with. The formatting, capitalization, and handwritten address information on the altered payee lines are plainly inconsistent with our normal business practices and would appear suspicious even to a casual observer. 

Our company does not issue checks to individuals ( other than payroll ), and our vendors do not use mobile deposit. 

We did not discover the fraud until XX/XX/XXXX, when our long-standing vendor contacted us regarding unpaid invoices. Due to our decades-long relationship and consistent payment history, the vendor did not raise concerns earlier. Upon learning of the issue, we promptly investigated and notified Chase. 

Under XXXX XXXX, a bank XXXX only charge a customers account for items that are properly payable. An altered check or a check bearing a forged or altered payee is not properly payable. Under XXXX XXXX, while customers have a duty to review statements, banks are also required to exercise ordinary care and act in good faith. Where alterations are obvious and should reasonably have been detected, a bank may not shift the entire loss to the customer solely based on timing.

In this case, Chase : Paid checks altered to unrelated and nonsensical individual payees ; Accepted the checks via mobile deposit despite this being inconsistent with our historical payment patterns; Failed to detect what appears to be classic check-washing fraud, including altered payee lines, crude address notations, and obviously fraudulent personal names. 

Despite timely notice after discovery and substantial supporting evidence, Chase has denied reimbursement and has not provided a legally sufficient explanation for how these items were deemed properly payable or how Chase met its ordinary care obligations. 

I escalated this matter through XXXX XXXX XXXX and filed a complaint with the XXXX XXXX XXXX Comptroller of the Currency, which initially prompted contact from Chase. However, Chase has since ceased communication and has not resolved the matter. 

I have also filed reports with appropriate authorities, including the FTC, IC3, and local law enforcement, and have initiated reporting with the U.S. Postal Inspection Service due to mail theft.

Chase has failed to exercise ordinary care under UCC Articles 3 and 4 and has improperly denied reimbursement for forged or altered instruments. 

I am requesting that Chase : Reimburse the full amount of the fraudulent checks totaling {$14000.00} ; Provide a written explanation citing the specific legal and contractual basis for denial, as the passage of time alone is not a sufficient basis under the UCC ; and Document how Chase satisfied its ordinary care and good-faith obligations in processing these items.

I am seeking assistance from the Consumer Financial Protection Bureau to ensure compliance with federal consumer banking protections and fair dispute-resolution standards.

Company response to consumer: Closed with explanation