CFPB v. Block

Block allegedly employed weak security protocols for Cash App and put its users at risk. According to CFPB, while Block is required by law to investigate and resolve disputes about unauthorized transactions, the company’s investigations were woefully incomplete. Block allegedly directed users — who had suffered financial losses as a result of fraud — to ask their bank to attempt to reverse transactions, which Block would subsequently deny. Block also allegedly deployed a range of tactics to suppress Cash App users from seeking help, reducing its own costs.

Summary generated from official Consumer Financial Protection Bureau press release