At least two major banks have reported that the Consumer Financial Protection Bureau is examining how they handle customer disputes about Zelle transfers.
The online-payment platform Zelle is extremely popular with consumers, which helps explain why it's also become a hit with scammers. Another reason: Zelle payments can't be reversed once they're sent. They're a nearly instantaneous transfer of cash from your account to someone else's, and if that someone else is a scammer, you can't simply stop the payment or dispute it .
Chance said that, under Zelle's rules for participating banks, whenever a consumer reports a scam or fraudulent transaction, the bank has to report that to Zelle, which will in turn inform the receiving bank of the complaint. That's true even for transfers within the same bank. The receiving bank is then required to conduct a fraud investigation on the recipient and report back to Zelle.
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