JPMorgan Chase is reacting to viral social media posts about some of its customers attempting to exploit a “bank glitch” that amounts to simple checking fraud.
“We are aware of this incident, and it has been addressed,” a spokesperson for Chase said in a statement to PEOPLE and other news outlets.
The spokesperson did not comment on the extent of the fraud or the penalties for accounts and customers involved.
But, they warned, “Regardless of what you see online, depositing a fraudulent check and withdrawing the funds from your account is fraud, plain and simple.”
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In recent days, social media platforms like X and TikTok have included many users discussing a so-called “glitch” at Chase in which customers could take out vastly more money from their accounts than they actually had by depositing bad checks and then immediately withdrawing the money from a Chase ATM before the check had bounced.
(The practice is similar to check kiting.)
It’s unclear how many Chase customers actually attempted to withdraw money using the “glitch” based on the bad checks.
Some social media users also claimed that they then suffered massive negative account balances — in the tens of thousands of dollars — as a result of attempting to take out cash this way.
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