With Bank of America already in hot water with state elected officials for allegedly draining money out of thousands of EDD bank accounts, a Crestline woman is now sharing her experience after having it happen to her.
CRESTLINE, Calif. (KABC) -- With Bank of America already in hot water with state elected officials for allegedly draining money out of thousands of EDD bank accounts, a Crestline woman is now sharing her experience after having it happen to her.

It's frustrating, very frustrating, said Sharpe, who had been fighting with Bank of America to get her money back for two months. They told me this is very quick. But it's not quick. It's been nearly two months since they took the money.
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Sharpe is self-employed, working to clean commercial buildings and residential homes. But she lost most of her work at the onset of the pandemic.
Some of the businesses I was providing services for closed due to COVID, and they did not want me to come back.
Sharpe said she applied for unemployment benefits with the state Employment Development Department in late April and she was issued a debit card by Bank of America. Every two weeks, she had $300 deposited into her account. For several months, there weren't any problems.
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Everything was fine, and then on Aug. 22, I checked the balance on my card. And it said a cash withdrawal in the amount of $1, 000 had been made, she said.
Sharpe said she immediately called Bank of America to report the transaction as fraud and was told that it was an ATM withdrawal made in Fountain Valley. The bank credited her account with $1, 000 and sent her a follow-up letter stating that the investigation had been completed, and the credit was permanent.
But she then received another letter in October stating that the claim would be closed and the $1, 000 credit would be removed from her account. She followed up several times with Bank of America, with no success.
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I have gotten up three times at 5 a.m. to reach Bank of America because the number you have to call is on the east coast, said Sharpe. One time I waited on hold for an hour and a half. An agent came on and said that they're sorry we can't take your call right now and then immediately disconnected the call.
As unemployed workers' unemployment benefits are frozen or drained by Bank of America, the bank that issues the EDD's debit cards, lawmakers are demanding answers.
Last week, dozens of state assembly members and state senators signed a letter addressed to Bank of America demanding answers to several questions, claiming hundreds of thousands of constituents have reported that they have had funds taken from their cards or their cards frozen.
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Unfortunately, there has been billions of dollars of fraud during this pandemic in state unemployment programs, including California, said media relations spokesperson William Halldin. We are working with the state and law enforcement to identify and take action to fight fraud, protect taxpayer money and ensure that legitimate recipients can access their benefits.
For Sharpe however, the situation is now finally resolved. On the same day Eyewitness News reached out to Bank of America requesting information on her case, she said the bank reinstated the $1, 000 credit to her account.
Why did Bank of America supposedly complete its investigation and return her money, only to take the money back a month later and close the claim? Why did it take nearly two months for her claim to finally be resolved? And who made the fraudulent ATM withdrawal in the first place and how were they able to do it?
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One San Francisco man had a shock when the EDD clawed back thousands of dollars in benefits -- a mistake stemming from their fight against scammers.SAN FRANCISCO (KPIX 5) - Fighting to get unemployment compensation has been hard enough for so many since the pandemic. So, imagine how it feels once you finally have money coming in, to see it all stolen away.
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KPIX was the first to expose what appears to be a massive fraud problem involving the use of unemployment debit cards issued by Bank of America. Since then, we have received more than 60 emails from people who say their EDD debit card was hacked and they lost thousands of dollars.
Brooke Suchomel described her reaction a few weeks ago when she went online to check her Bank of America EDD card balance. Two charges, one for $1500 at Neiman Marcus and another for $1200 at the online luxury vendor Intermix had wiped out her account.
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She says she was on hold for hours, two days straight before she was finally able to file a claim. She's still fighting to get all her money back.
Suchomel reached out to KPIX after seeing our previous reports about others caught in the very same predicament. Since then, we've received even more emails, everyone desperately crying out for help. So, we invited them to a group interview.
First we asked how much money they have lost. Luis Harbottle told us he lost $1000. Tina Lee lost $2000, in two transactions of $1000 each. Paula Xiao told us her mother lost $4806 and Paul Camera told us he lost $5, 998.
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I'm a widow I have three kids. Rent is coming up soon, I work in the food industry, so I got hit hard, said Lieza Sy.
I actually went into the bank myself twice to try to get help in person and they were like oh don't talk to us! Call the number on the wall, said Tina Lee.
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And they say once you do get through, Louis Harbottle says, Basically what they do is try to make you feel guilty saying no this is a valid withdrawal.
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I sent them my police report and the FTC report, receipts I used the same day they were withdrawing in a different city, said Maria Ramirez.
The letter was dated the 20th, I didn't make the initial claim until the 19th, so nothing was investigated. The letter was generated as soon as I hung up the phone, said Erica Young.
I actually called this morning at 7 a.m. They gave me a new claim number. But what use is that if we can't even check the status of that claim? said Paula Xiao.
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I know I am not exempt from fraud, I know it's just the time we are living in people are going to get more desperate. But when you have an institution as large as Bank of America and they're refusing to do anything about it and the state is aware of it too, I just don't think that's fair, said Erica Young.
Bank of America once again turned down our request for an interview. The bank won't tell us how many customers are affected, how much has been stolen or when if ever victims will get their money back.
Saunders says the real problem is forcing people to use the debit card that, as we have reported, does not have a security chip.

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She says the California Employment Development Department may be doing a run around federal law by offering only paper checks as an alternate, but not allowing direct deposit, something most other states offer.
What California does is really force people into these cards, where under the law, you have the right to choose how you receive your unemployment benefits, said Saunders.
The Employment Development Department's exclusive contract with Bank of America may have something to do with it. It's a revenue-sharing agreement, in which EDD gives the bank the taxpayer funds to distribute and the bank in return pays EDD for the privilege of handling the money. So it's profitable for both Bank of America and EDD.
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I think that's part of the reason California is pushing people into using the cards rather than using direct deposit, said Saunders.
I don't even understand why Bank of America has this long-standing contract with EDD. It doesn't make sense to me. It's a horrible situation, said Tina Lee.
I just wanted to say that to all of you don't give up, there is protection under that Visa logo that Bank of America puts on that prepaid card. I will get my money back. I'm not going to stop. I'm not gonna let it go, said Erica Young.
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EDD told us if the fraud is happening on the card, then it is up to Bank of America to resolve it and pay victims back. But when we asked Bank of America about that, the answer came back, No comment.
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KPIX has been giving the names of victims that have contacted us to Bank of America. So far, 13 got their money back. If your EDD debit card has been hacked send us an email and we will submit your name as well.
Unfortunately, there has been billions of dollars of fraud during this pandemic in state unemployment programs, including California. We are working with the state and law enforcement to identify and take action against fraudulent applicants, protect taxpayer
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