CFPB Sues Zelle and 3 Owner Banks, Alleging Insufficient Safeguards

The Consumer Financial Protection Bureau sued Zelle operator Early Warning Services and three of its owner banks — Bank of America, J.P. Morgan Chase and Wells Fargo — alleging that they failed to protect consumers from “widespread fraud” on the peer-to-peer payment network.The agency’s complaint alleged that the defendants violated consumer financial protection laws by failing to implement safeguards on the payment network and denying assistance to consumers who filed fraud complaints, the CFPB said in a F ...