US senators led by Democrats Bob Menendez, Elizabeth Warren, and Jack Reed told seven of the country’s biggest banks they must do more for consumers defrauded by scammers on Zelle, the person-to-person payments network the firms jointly own.
“Frauds and scams have proliferated,” the senators said in letters Thursday to firms including JPMorgan Chase & Co., Bank of America Corp. and Wells Fargo & Co. “One of Zelle’s biggest selling points to consumers -- the ability to immediately transfer money -- makes the platform a ‘favorite of fraudsters’ because consumers have no option to cancel a transaction, even moments after authorizing it.”
