Consumer complaint received 2026-06-03 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Managing, opening, or closing your mobile wallet account — 
Company: Block, Inc.
State: GA

Complaint narrative:
# # # WHAT HAPPENED : I am filing a brand-new complaint against Block, Inc. ( Cash App ) for a severe breach of their own corporate Terms of Service , gross merchant underwriting negligence, and systemic violations of Federal Regulation E ( 12 CFR 1005.11 ) and the Unlawful Internet Gambling Enforcement Act ( UIGEA ). 1. The Core Violation : Commercial Network Exploitation This issue stems from Cash Apps failure to police its own proprietary commercial network, Cash App Pay. Over a continuous period, an unlicensed, offshore online gambling ring operating on XXXX extracted a total of {$3400.00} from my account across 348 separate transactions. Because online gambling is heavily restricted, these illegal operators committed transaction laundering to access the U.S. financial system. They registered as commercial businesses with Cash App Pay under fraudulent Merchant Category Codes ( MCCs ), disguising gambling transactions on my statements as everyday retail apps and video games under names like XXXX XXXX XXXX XXXX and XXXX XXXX XXXX. 2. Cash App Breached Its Own Terms and Conditions Under Cash Apps official Merchant Terms and Acceptable Use Policies, Cash App explicitly prohibits merchants from utilizing Cash App Pay for unlicensed gambling, deceptive billing, or processing falsified transactions. By actively approving, white-listing, and assigning commercial retail processing codes to illegal offshore casino operations, Cash App violated its own legally binding terms and underwriting standards. Furthermore, Cash App allowed these companies to deploy automated, high-velocity draining loops that hit my ledger dozens of times within the exact same minutea clear operational failure of Cash App 's real-time transaction monitoring and anti-money laundering ( AML ) controls. 3. Actual Notice and Retaliatory Account Closure Both myself and my partner directly contacted Cash App support to place them on actual notice, identifying these specific merchants and the transaction laundering scheme. Despite our explicit warnings, Cash App exhibited willful blindness and continued to clear and accept these illicit payments in real-time. Instead of freezing the fraudulent merchants and initiating the mandatory error-resolution investigation required by Federal Regulation E, Cash App abruptly terminated both of our personal accounts under the guise of a " Terms of Service '' violation. 4. Remedy Demanded Cash App is weaponizing account closures as a deceptive corporate shield to suppress consumer disputes, bury evidence of an exploit in their commercial network, and avoid liability for processing illegal gambling funds. An unexpected account termination does not waive my federal consumer rights. Because Cash App breached its own compliance terms and facilitated systemic merchant fraud via Cash App Pay, I demand that Block , Inc. be compelled to review the attached 348 audited transactions, recognize their underwriting failure, and issue a full financial restoration of {$3400.00}.

Company response to consumer: Closed with explanation