A Chase ATM “glitch” that allowed customers to deposit counterfeit checks and then withdraw large amounts of cash has prompted TikTok users to post videos online bragging about their ill-gotten gains, but experts warn that this is not a harmless trick – it's an outright check scam that could have serious legal consequences.
Daily Mail Reports Over the past few days, social media has been flooded with videos of people who appear to have exploited a flaw in Chase's ATM system. By writing counterfeit checks for exorbitant amounts and depositing them, some customers have been able to withdraw tens of thousands of dollars that weren't actually theirs. On platforms like TikTok, users have been calling it the “infinite money hack” and gleefully showing off the piles of cash they've gained.
One of the most eye-catching clips to come out of the trend shows a man exiting a Chase Bank branch in Yonkers, New York with some friends, all of whom are cheering and unfurling stacks of $100 bills. Other videos show long lines of people outside Chase Bank branches, presumably trying to take advantage of the glitch before it was fixed.
Chase Bank experienced a glitch in its systems yesterday that allowed customers to withdraw funds they were not entitled to, leading the bank to place a seven-day hold on affected accounts.
As a result, Chase account holders affected by this glitch are now facing significant repercussions… pic.twitter.com/T0M1FULvoW
— Open Source Intel (@Osint613) September 1, 2024
But financial experts warn that this practice is neither smart nor harmless. What at first glance seems like a sneaky lifehack is actually a classic example of check fraud: the money initially appears in the customer's account and can be withdrawn, but a check issued without sufficient funds will inevitably bounce once it is fully processed by the bank.
“We are aware of the incident and have addressed it,” a Chase spokesman said. Daily Mail“Regardless of what you may have seen online, depositing fraudulent cheques and withdrawing funds from your account is fraud, plain and simple.” The bank declined to provide further details about how some customers were able to circumvent standard security protocols.
It didn't take long for Chase to crack down on the fraud. Many TikTok users who had gleefully posted about their gains were soon sharing grim updates showing their accounts now tens of thousands of dollars in the negative because of canceled fake checks. “They literally said they were going to take it out of my account. It was supposed to be taken the next day. Look at my account,” one confused man said, pointing to a nearly $40,000 shortfall.
Depending on the specific circumstances and the amount involved, check fraud can be charged as a felony at the state or federal level. In more serious cases, it can carry fines of up to $1 million and up to 30 years in prison. Far from making some easy money, those who took part in this viral stunt may be exposing themselves to serious legal risk for posting their revealing confessions online.
Chase acknowledges that the loophole has since been fixed, but it's a cautionary example of how a social media trend can quickly lead to the spread of illegal activity. Financial institutions are urging customers to report any funds mistakenly deposited in their accounts and not use them under any circumstances. The old adage remains true: if it sounds too good to be true, it almost always is.
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Lucas Nolan is a reporter for Breitbart News covering free speech and online censorship.
