Ask Terry Questions Chase fraud

Chase fraud

By Terry Savage on January 12, 2024 | Wild Card

Hello Terry,
My Dad recommended I reach out to you. My Apple Pay was hacked without using my device or my debit card. On December 10, the person was able to wrack up $1100 at two different Costcos (of which I am not an account holder). I reported the charges to Chase immediately, called them, removed the card from Apple Pay, all while I was home super sick in bed with my two year old. They said they would put the money back in my account in 10 business days.

I’ve never had them take so long for past fraud incidents. I called at 10 days and they said “there is no evidence of fraud and your claim is being closed”. I went to a Chase branch and they called the claims department with me…they were not able to do anything either except recommend me to go to the police and then appeal to Chase. They did however, file an escalated complaint with Chase.
I didn’t know what to do, I went to the police in both towns where the charges were made (two separate costcos, in the same area). I made police reports and they were able to identify the person who made the charges because of their Costco account.

I got a call from the Chase escalated complaints department, I told them the situation, and they told me that “there is no evidence of fraud, even with police reports your claim will not be reopened”
They were so rude and hung up the phone! I was so upset. I’ve been a Chase customer for 15 years.
Clearly they have a serious lapse in security regarding Apple Pay.
I also called Apple, they said that since my debit card was technically linked to Apple Pay, they were not responsible.
So I need to take Chase to small claims court I guess? I really have no idea what to do. It seems like I have no where to turn to hold Chase accountable.
Please let me know if you have any advice.

Terry Says

You are not alone. I just went through the Chase bureaucracy on this very topic. The result was this column, published two weeks ago:

They are taking a VERY tough line on refunding money that they deem was caused by any “participation” such as the “use” of your phone — even if it was hacked! I’m not giving up on this story. It’s happened to too many people!

But I have a feeling it will go all the way to the Consumer Financial Protection Bureau before these hair-splitting definitions of “fraud” get resolved.

Do call 800-CALL-FBI to report this, though it won’t get your money back. And watch this space, as I will continue to write on this topic.



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