Chase Sues Over 400 Customers in 'Infinite Money Glitch' ATM Scandal

JPMorgan Chase is aggressively pursuing customers who exploited a system error in its ATMs in August 2024, known as the 'infinite money glitch.' The bank has filed over 500 individual lawsuits across multiple states, seeking to recover over $20 million from those who deposited fake or empty checks through ATMs and then withdrew cash before the checks bounced.

Chase's system temporarily credited accounts before verifying the checks were legitimate. Once checks bounced, the bank froze accounts and began its legal response. The lawsuits typically allege fraud, unjust enrichment, and conversion, with Chase seeking full repayment plus interest, attorney fees, and court costs.

While some defendants have assumed that Chase would not bother with smaller amounts, the bank has sued people for as little as $1,500. Being a first-time offender or claiming ignorance does not stop Chase from suing, as the bank views these lawsuits as deterrence against future fraud attempts.