A new class action lawsuit alleges that Zelle and Wells Fargo failed to protect their clients from fraudsters who used Zelle’s mobile payments app to steal customers’ accounts.
Plaintiff Luke Hartsock filed a lawsuit against two financial giants in Washington federal court on June 1, alleging negligence and infringement of consumer protection law.
According to the lawsuit Hartsock was defrauded $7,500 by thieves using Zelle to target Wells Fargo customers.
Hartsock claims that a scammer impersonated Wells Fargo’s identity, and used the phone calls and messages the bank uses to contact customers regarding fraud cases on two occasions. Hartsock claims that the scammer even tried to imitate Wells Fargo’s customer service employees and asked him for money.
Hartsock challenged transactions with Wells Fargo. However, the bank initially refused to compensate Hartsock. Hartsock claims that he still owes $4,000.
Wells Fargo & Zelle know about rampant fraud according to class action lawsuits.
According to the lawsuit, Wells Fargo and Early Warning Services LLC (which manages Zelle) are accused of failing to take enough steps to protect their customers’ banking accounts.
He asserts that corporations know about the fraud, and Zelle is a target of con artists. However, they are not willing to invest in additional protection.
According to the class action lawsuit, “The convenience of Zelle’s services has made them a favorite among consumers but also made them a darling among thieves who can gain access to bank accounts.” Scammers can quickly siphon thousands of dollars from their victims by convincing them to pay money via Zelle.
The lawsuit alleges carelessness and violations of the Washington Consumer Protection Act as well as the Electronic Fund Transfer Act.
Hartsock seeks class certification, damages and fees, as well as costs and costs. Hartsock also wants a jury trial. Hartsock wants to represent all Wells Fargo accounts holders who have challenged withdrawals from Zelle.
A customer filed a class-action lawsuit against Navy Federal Credit Union. He claimed that the credit union failed adequately to inform its account holders about any financial losses that Zelle fraud could cause.
Hartsock is represented by Nathan L. Nanfelt and Laura R. Gerber of Keller Rohrback LLP.
Luke Hartsock v. Wells Fargo & Co. et al., Case No. 2:22-cv-01759 is the Wells Fargo Zelle Class Action Lawsuit that was filed in the United States District Court for Washington.