Why was the Chase Bank ATM ‘hack’ considered fraud?
Chase is calling the ATM ‘hack’ circulating on social media a clear case of fraud and warns that such actions will have consequences.
Recently, rumors of an online banking glitch that supposedly allowed customers to withdraw up to $50,000 or even more from Chase Bank ATMs with no consequences began circulating widely on social media.
Many individuals have been enticed by the notion of getting “free money” and have reportedly attempted to capitalize on the purported glitch. However, those who engaged in the ‘hack’ should know that the incident is being treated as fraud, and here’s why.
Explaining the glitch
According to pop culture website Complex.com, the so-called glitch is a form of check fraud where people deposit fake checks for large amounts of money, allowing the depositor to withdraw the cash at the ATM. The checks are not initially flagged, allowing the withdrawal to push through.
According to the site, Chase has taken action to rectify the situation. Those who tried to take advantage of the alleged glitch were penalized with seven-day holds or ended up with massive negative account balances.
Complex.com adds that Chase “has not acknowledged the virality of the fraudulent transactions.” In a statement to NBC News, a Chase representative said that the case was a clear case of fraud, arguing that “regardless of what [a customer] sees online, depositing a fraudulent check and withdrawing the funds from your account is fraud, plain and simple.”
The difficulty of taking advantage of a bank glitch
While checks have fallen out of favor with most bank customers in the US, they form the crux of the glitch and make it seem more plausible. However, other websites have sought to clarify that reports on the “Chase Bank glitch” are unsubstantiated.
According to MalwareTips.com, a community-based platform that provides information on cyber threats, there is no evidence of such a glitch. The site points out that big banks like Chase have systems that would prevent such fraudulent transactions.
The site also points out that in the unlikely event that someone does manage to withdraw money that is not theirs, the bank will be able to detect the mistake and try to recover the amount, and perhaps add on some fines in the process.
Scammers promote rumors of bank glitches
These so-called viral bank glitches are often fabricated by scammers who use greed to lure their victims. The notion of getting rich quickly could push people into making bad decisions.
People who fall for scams such as the “Chase Bank glitch” could fall victim to phishing and malware, giving their account details to the wrong hands.
The smart thing to do is report glitch claims to your bank. Remember that there is no such thing as free money. If you need a reminder, scroll up to the images of the negative account balances that allegedly belong tothose who engaged in this ‘trick.’