Venmo, Zelle, Cash App Leaving Users Vulnerable to Fraud: Manhattan DA
Manhattan District Attorney Alvin Bragg has written letters to the companies that own Venmo, Zelle, and Cash App, stating that these financial apps are leaving consumers vulnerable to fraud and theft. Bragg demands that the companies increase protections to prevent unauthorized access and fraudulent activity.
Growing Number of Incidents
According to Manhattan District Attorney Alvin Bragg, there has been a growing number of incidents involving fraud and theft through the exploitation of Venmo, Zelle, and Cash App on personal electronic devices like iPhones.
Peer-to-peer payment services now handle around $1 trillion in payments, and as usage climbs, so does the occurrence of frauds and scams.
Numerous cases of theft have been reported across the United States, with thieves gaining unauthorized access to unlocked devices and draining bank accounts of significant sums of money.
Calls for Additional Security Measures
Manhattan DA Alvin Bragg is urging Venmo, Zelle, and Cash App to adopt additional security measures to prevent unauthorized access and fraudulent activity.
Bragg suggests implementing limits on transactions, requiring secondary verification, and better monitoring of unusual activity.
He expressed concern over the rise in illegal behavior resulting from insufficient security measures connected to these financial apps.
Response from Venmo, Zelle, and Cash App
Square Inc, the owner of Cash App, and Paypal, the owner of Venmo, have not immediately responded to the Manhattan DA's request for comment.
A spokesperson for Early Warning Services, LLC, the network operator of Zelle, stated that they were aware of isolated criminal incidents described in the Manhattan District Attorney's letter.
The spokesperson emphasized their commitment to providing a safe and reliable service and highlighted that only a small percentage of transactions are reported as fraud or scams.
