Bank of America – Victims Of EDD Debit Card Rip-off Preventing Bank of America To Get Cash Again – CBS San Francisco

SAN FRANCISCO (KPIX 5) – Preventing to get unemployment compensation has been laborious sufficient for thus many because the pandemic. So, think about the way it feels when you lastly have cash coming in, to see all of it stolen away.

KPIX was the primary to show what seems to be an enormous fraud drawback involving the usage of unemployment debit playing cards issued by Bank of America. Since then, we now have acquired greater than 60 emails from individuals who say their EDD debit card was hacked they usually misplaced hundreds of {dollars}.

“I sort of shouted out, oh my god, almost all of my unemployment has been hacked!”

Brooke Suchomel described her response a couple of weeks in the past when she went on-line to examine her Bank of America EDD card steadiness. Two expenses, one for $1500 at Neiman Marcus and one other for $1200 on the on-line luxurious vendor Intermix had worn out her account.

“It had been drained overnight, the day before rent was due,” mentioned Suchomel.

She says she was on maintain for hours, two days straight earlier than she was lastly capable of file a declare. She’s nonetheless preventing to get all her a refund.

“Bank of America isn’t taking this significantly,” mentioned Suchomel. “It absolutely feels like we are being treated like second-class citizens.”

ALSO READ: Outrage Mounts After Bank of America Denies Claims From Victims Of EDD Bank Card Scammers

Suchomel reached out to KPIX after seeing our earlier stories about others caught in the exact same predicament. Since then, we’ve acquired much more emails, everybody desperately crying out for assist. So, we invited them to a gaggle interview.

First we requested how a lot cash they’ve misplaced. Luis Harbottle instructed us he misplaced $1000. Tina Lee misplaced $2000, in two transactions of $1000 every. Paula Xiao instructed us her mom misplaced $4806 and Paul Digicam instructed us he misplaced $5,998.

Everybody within the group misplaced their jobs due to the pandemic and is dependent upon their unemployment advantages to outlive.

“I’m a widow I have three kids. Rent is coming up soon, I work in the food industry, so I got hit hard,” mentioned Lieza Sy.

“It’s unfair because I’m a single mother. I have a son,” mentioned Erica Younger.

However they are saying making an attempt to get Bank of America to assist is sort of not possible.

“On the phone on hold two to three hours, click, call again,” mentioned Maria Ramirez.

“Can I put you on hold? Click!” mentioned Kris Quinn.

“I actually went into the bank myself twice to try to get help in person and they were like oh don’t talk to us! Call the number on the wall,” mentioned Tina Lee.

They usually say when you do get by means of, Louis Harbottle says, “Basically what they do is try to make you feel guilty saying no this is a valid withdrawal.”

The victims imagine the entire transactions had apparent purple flags.

“We can see it happened at two ATMs, miles away from me in the middle of the night,” mentioned Kris Quinn.

“How did I make two transactions in San Diego and Arizona within minutes of each other?” requested Heath Medeiros.

Regardless of offering proof, victims say Bank of America did nothing for them.

“I sent them my police report and the FTC report, receipts I used the same day they were withdrawing in a different city,” mentioned Maria Ramirez.

“And they have cameras on those ATM machines,” mentioned Lieza Sy.

As an alternative, days after submitting claims, they are saying they obtained letters that say, “The above listed claim has been closed.”

“The letter was dated the 20th, I didn’t make the initial claim until the 19th, so nothing was investigated. The letter was generated as soon as I hung up the phone,” mentioned Erica Younger.

Bank of America’s letter goes on to say “you may request that we re-open your claim.”

However victims say that too appears to go nowhere.

“I actually called this morning at 7 a.m. They gave me a new claim number. But what use is that if we can’t even check the status of that claim?” mentioned Paula Xiao.

“I do know I’m not exempt from fraud, I do know it’s simply the time we live in persons are going to get extra determined. However when you’ve gotten an establishment as giant as Bank of America they usually’re refusing to do something about it and the state is conscious of it too, I simply don’t assume that’s honest,” mentioned Erica Younger.

Bank of America as soon as once more turned down our request for an interview. The bank gained’t inform us what number of clients are affected, how a lot has been stolen or when if ever victims will get their a refund.

“They can’t just deny claims that they know are probably fraudulent,” mentioned Lauren Saunders with the Nationwide Shopper Regulation Middle.

Saunders says the true drawback is forcing folks to make use of the debit card that, as we now have reported, doesn’t have a safety chip.

She says the California Employment Growth Division may be doing a run round federal legislation by providing solely paper checks as an alternate, however not permitting direct deposit, one thing most different states provide.

“What California does is really force people into these cards, where under the law, you have the right to choose how you receive your unemployment benefits,” mentioned Saunders.

The Employment Growth Division’s unique contract with Bank of America may have one thing to do with it. It’s a revenue-sharing settlement, by which EDD provides the bank the taxpayer funds to distribute and the bank in return pays EDD for the privilege of dealing with the cash. So it’s worthwhile for each Bank of America and EDD.

“I think that’s part of the reason California is pushing people into using the cards rather than using direct deposit,” mentioned Saunders.

“I don’t even perceive why Bank of America has this long-standing contract with EDD. It doesn’t make sense to me. It’s a horrible scenario,” mentioned Tina Lee.

“I simply needed to say that to all of you don’t hand over, there may be safety below that Visa emblem that Bank of America places on that pay as you go card. I’ll get my a refund. I’m not going to cease. I’m not gonna let it go,” mentioned Erica Younger.

EDD instructed us if the fraud is occurring on the cardboard, then it’s as much as Bank of America to resolve it and pay victims again. However after we requested Bank of America about that, the reply got here again, “No comment.”

KPIX has been giving the names of victims which have contacted us to Bank of America. Thus far, 13 obtained their a refund. In case your EDD debit card has been hacked ship us an e mail and we’ll submit your title as effectively.

Assertion from Bank of America (William Halldin):

Sadly, there was billions of {dollars} of fraud throughout this pandemic in state unemployment packages, together with California. We’re working with the state and legislation enforcement to determine and take motion in opposition to fraudulent candidates, shield taxpayer cash and be sure that official candidates can entry their advantages.

We have now elevated our name heart staffing for our pre-paid playing cards almost 20-fold because the pandemic started and proceed so as to add workers to serve folks calling in. We encourage anybody with a declare to contact us and supply supporting paperwork, if potential, so we will overview their scenario as rapidly as potential.

Assertion from EDD (Loree Levy):

Funds from doubtlessly fraudulent accounts presently stay with B of A. Below the phrases of the contract, funds on inactivated playing cards stick with B of A for greater than a yr earlier than the cardboard is closed and funds are returned to EDD in May of the following yr.

There are some restricted direct deposit choices out there below the present contract, and the contract did ponder EDD transitioning to direct deposit in the course of the time period of the contract. If in case you have a debit card, although, you’ll be able to prepare to your advantages to be deposited instantly into your bank account robotically. As an illustration, claimants can arrange their account up in order that, as soon as EDD transfers funds to their card, relatively than load the cardboard, Bank of America deposits it into the claimants bank account. Nevertheless, this service isn’t out there with out having a card.

Right here’s a hyperlink to the B of A FAQ’s which solutions how folks can provoke this feature: https://pay as you go.bankofamerica.com/EddCard/Program/FAQ#q8

The contract is about to run out in July 2021 and the EDD will probably be reviewing all choices out there after we solicit new proposals.