Infinite money glitch: TikTokers withdraw $660,000 from ATMs, now JP Morgan is suing them
The glitch went viral on TikTok in August, prompting customers to flock to Chase Bank ATMs to access 'free money.' Many even posted videos demonstrating how to withdraw large amounts of cash from Chase ATMs shortly after depositing bad cheques.
JPMorgan Chase, the largest bank in the world, is suing customers who exploited an 'infinite money glitch' to withdraw hundreds of thousands of dollars from its ATMs. The 'infinite money glitch' allowed customers to deposit counterfeit cheques and then withdraw the cash before the cheque bounced.
CREDIT: CHASE BANK
Infinite money glitch
The glitch went viral on TikTok in August, prompting customers to flock to Chase Bank ATMs to access 'free money.' Many even posted videos demonstrating how to withdraw large amounts of cash from Chase ATMs shortly after depositing bad cheques.
According to reports, due to a technical vulnerability, customers were allowed to withdraw the full amount on the cheque immediately, rather than the usual practice where a customer can only access a fraction of its value before it is cleared.
How the bank reacted
After the glitch gained attention on social media, JPMorgan closed the loophole, and those who attempted to exploit it were warned that they were committing fraud.
CREDIT: REUTERS
While the exact amount JPMorgan Chase lost due to the fraud has not been revealed, the bank has filed lawsuits against customers who withdrew money fraudulently.
Lawsuits against customers
On Monday, the bank filed lawsuits in at least three federal courts against two individuals and two businesses, seeking to recover the stolen funds, plus interest, overdraft fees, and legal expenses.
According to JPMorgan, the lawsuits were filed after its security team reached out to the alleged fraudsters, asking them to repay the amount. They failed to do so, violating the deposit agreement that customers sign when opening an account with the bank.
CREDIT: CHASE BANK
¡°We are aware of this incident, and it has been addressed. Regardless of what you see online, depositing a fraudulent cheque and withdrawing the funds from your account is fraud, plain and simple,¡± the bank said in September.
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Bobins Abraham is the Assistant News Editor at Indiatimes. He has more than twelve years of experience in TV and digital journalism. An avid student of history and geopolitics, he is a conservationist and environmentalist at heart. He writes on environment, sustainability, human-animal conflict and more.
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