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JPMorgan Chase Bank will soon block Zelle payments that originate from social media platforms and messaging apps, aiming to combat a surge in online scams. This policy change, set to take effect on March 23rd, 2025, is a direct response to the increasing fraudulent activities exploiting peer-to-peer payment services. Chase emphasizes that Zelle is intended for transactions between trusted contacts like friends and family, not for payments to unfamiliar individuals encountered through social media.

The bank will decline or block payments identified as stemming from social media interactions. In addition, Chase may request further information from users when setting up payments or adding recipients, including the payment purpose and contact method. This move follows scrutiny from the Consumer Financial Protection Bureau (CFPB), which has criticized Zelle for its limited safeguards against fraud and scams, and a lawsuit filed in December by the CFPB.


References :

• 9to5Mac: 9to5Mac article reporting that Zelle scams are leading Chase Bank to block payments to social media contacts.
• BleepingComputer: BleepingComputer article reporting that JPMorgan Chase Bank will soon start blocking Zelle payments to social media contacts to combat a significant rise in online scams.
• Techmeme: Techmeme article reporting Chase's plan to stop users from making Zelle payments originating from social media contacts.
• The Verge: The Verge article detailing Chase's decision to start blocking Zelle payments originating from social media.

Classification:

• HashTags: #Zelle #Scams #PaymentSecurity
• Company: Zelle
• Target: Zelle users
• Product: Zelle
• Feature: social media payments
• Type: News
• Severity: Medium