The Consumer Financial Protection Bureau (CFPB) has dismissed its lawsuit against Early Warning Services, the operator of the Zelle payments network, along with JPMorgan Chase, Bank of America, and Wells Fargo. The lawsuit, filed in December, accused these entities of failing to adequately investigate fraud complaints or reimburse victims. In its filing, the CFPB stated it was dismissing the action against Early Warning Services, LLC, Bank of America, N.A., JPMorgan Chase Bank, N.A., and Wells Fargo Bank, N.A., with prejudice. Since Acting Director Russell Vought assumed leadership of the CFPB, the agency has dropped several cases initiated by his predecessor, Rohit Chopra. The CFPB noted that customers of the three banks have lost over $870 million since Zelle’s launch in 2017. Zelle was introduced as an alternative to other peer-to-peer payment platforms like PayPal. Last year, Zelle surpassed $1 trillion in total transaction volumes, marking a significant milestone for peer-to-peer payment systems. This story is still developing. Please check back for updates. — news from CNBC
