Bank of America is facing another lawsuit over the difficulty in obtaining unemployment benefits after a data breach. The suit was filed by an employee who claims that she couldn’t find work because her online identity had been compromised with sensitive personal information accessing sites like Facebook and Twitter, which makes it difficult for potential employers to see past the fraud reports since they are typically not verified.
The “bank of america lawsuit update 2020” is a new lawsuit that has been filed against Bank of America. The plaintiff claims the bank violated the Fair Credit Reporting Act by not providing accurate information about its unemployment benefits program.
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UPDATE:
- Another class action complaint was filed against Bank of America in federal court in California on April 6, 2021, alleging that a customer could not obtain her unemployment benefits via the bank. In a message to reporters, Bank of America reacted by stating that it had increased customer care employees to handle phone calls and examine allegations.
A rising number of litigants in at least two class action lawsuits are challenging Bank of America’s handling of unemployment compensation.
According to a recent lawsuit filed in California, the bank is failing to safeguard the unemployment benefit accounts it manages and is neglecting to compensate the thousands of people whose funds have been blocked.
The plaintiff in the most recent class action case filed against Bank of America is Christoper Mosson. After his Bank of America unemployment account was hacked and emptied of all its funds last year, he’s suing for negligence and breach of contract, among other things.
According to the lawsuit, the Oakland homeowner discovered unauthorized transactions on his account in December and contacted Bank of America customer care to report the fraudulent charges.
Mosson was unable to access the remaining money when Bank of America blocked the account, ultimately returning the full amount to California’s unemployment agency.
According to Mosson, Bank of America gives out debit cards without a chip to unemployed people, leaving them vulnerable to skimming and other techniques used by hackers to obtain sensitive financial information.
According to Mosson, this violates Bank of America’s policy, which pledges to offer goods that are safe to use.
Mosson further claims that Bank of America breached its responsibility guarantee by leaving him without money throughout the experience.
Mosson claims he isn’t the only one dealing with the problem. In the class action complaint, he cites Bank of America customer care employees who confess to hearing about the problem on a frequent basis.
The employee stated, “We’re really no longer permitted to give them a timetable because we have no idea,” according to the lawsuit, referring to reimbursements of stolen money. “Every day, I speak with 30 individuals who all have the same narrative to tell. To be honest, I simply pray for them after my shift.”
In the lawsuit, Mosson goes on to say that there was a lack of communication. Many Bank of America jobless account customers, he claims, were never informed of the scam.
According to this new class action complaint, Bank of America began freezing roughly 350,000 jobless accounts in October due to rampant fraud.
According to ABC 7 News, state legislators discussed the matter during a hearing on Tuesday.
Mosson wants to create a group of people who have or have had a Bank of America unemployment benefits account.
The class action complaint charges Bank of America of carelessness, breach of contract, and violations of the Electronic Funds Transfer Act and the California Consumer Privacy Act.
A second class action complaint against Bank of America was filed only last week with identical allegations. In that instance, the named plaintiff claims that $400 was taken from her unemployment benefit account.
Another customer has filed a class action complaint against Bank of America, alleging that her unemployment payments were stolen. Deaniesha Lawrence of San Diego says she and others were left with “pennies” in their accounts after fraudsters stole their unemployment payments in this class action filed in federal court in California in April.
Bank of America allegedly utilized “antiquated” technology for jobless benefit claimants, according to a newly filed class action complaint. It also points out that, although the bank has lifted the hold it imposed on accounts with fraud complaints, no action has been done to refund the stolen money. According to Lawernce, the bank “almost made it impossible for people in need of assistance to obtain their much-needed help.”
A Bank of America spokesman informed Law360 in reaction to the new class action lawsuit:
“For the parts of the program for which we are responsible, we have increased hundreds of agents to answer phone calls and investigate claims, and as a consequence, our average caller wait time has decreased significantly. While the overwhelming majority of unemployment fraud is perpetrated by individuals who file fake applications, we examine fraudulent transactions on benefit cards and return money to genuine recipients.”
Do you have a Bank of America account? Have you ever had problems with a hacked Bank of America unemployment account? Please let us know in the comments section below.
P. Terry Anderlini, Joseph M. Goethals, and Jackson D. Morgus of Anderlini & McSweeney LLP are representing the plaintiffs in this class action case.
Mosson, et al. v. Bank Of America, N.A., Case No. 3:21-cv-00743 in the United States District Court for the Northern District of California is the name of the Bank of America Unemployment Account Hack Class Action Lawsuit.
Bank of America has been sued for a second time by an employee who claims they were not paid their full unemployment benefits. The lawsuit, filed in January 2020, alleges that the company violated the Fair Labor Standards Act and California law. Reference: bank of america edd class action lawsuit 2020.
Frequently Asked Questions
Is there a class action lawsuit against Bank of America?
A: There is no class action lawsuit against Bank of America. You can find more information about this here https://www.consumeraffairs.com/businesses/bank-of-america
What happened to Bank of America lawsuit?
A: The lawsuit was dismissed on March 26th, 2018.
Why did Bank of America take my EDD money?
A: The bank took your money because you failed to adhere to the terms of the loan agreement. Bank of America does not have a problem with people defaulting on their loans, but they do require that borrowers sign and agree to follow all guidelines before receiving an EDD in order for them to be able to keep up with their obligations and repayments.
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