I was swindled out of $720k by a scammer – my entire life savings vanished and Chase Bank did nothing to help

It took less than a month for Alice Lin to be swindled out of $720,000 by an online scammer, leaving the small business owner contemplating taking her own life.

Two years ago, the 80-year-old lost her entire life savings to what she believed was a legitimate crypto investment after a stranger befriended her on Chinese social media app WeChat.

“We talked about everything including business, religion, and he kept saying we had a lot of things in common. He was trying to gain my trust,” Lin told The U.S. Sun.

“This was his tactic, trying to gain my empathy.”

The California woman fell victim to what is known as ‘pig-butchering’ where scammers build trust over a period of time, often using social media apps, with the phrase alluding to the practice of fattening a hog before slaughter.

SCAM WATCH

Over a series of seven payments over three weeks, Lin wired the stranger over $720,000 by going into her local Pasadena Chase branch in August 2022.

She realized she was being scammed when he convinced her to ask her sister for more money, with the scammer telling her she would get an even higher return if she invested more.

At that point after the fraud I thought about suicide as I felt like my children were all grown up, I could just leave, but I knew I couldn’t go down that route but it was very hard

“I first realized when almost all my money was gone and the scammer was still trying to get me to borrow money from my sister,” Lin said.

“She started to question me, as she felt something was wrong and she told me to stop that night.

“The next morning we went straight to the federal investigations agency.”

Reflecting on the time now, the grandmother says she was suicidal for a period of many months after the scam.

In her darkest time, Lin spent time growing roses in her garden and speaking with friends in an attempt to get back into a positive mindset.

“At that point after the fraud I thought about suicide as I felt like my children were all grown up, I could just leave, but I knew I couldn’t go down that route but it was very hard,” she said.

RED FLAGS MISSED

She is now suing JP Morgan Chase after it failed to consider she might be a victim of elder fraud.

Lin’s lawyer Anne Marie Murphy, a civil litigation attorney from Cotchett, Pitre & McCarthy, said there were multiple red flags the bank missed, including the fact Lin’s daughter was listed on the account as a trusted contact who should have been notified.

Lin’s legal team is arguing that the financial institution should have known their customer was a victim of a scam and should have protected her from elder abuse.

“The bank had a longtime relationship with Alice and as we have alleged the bank would have seen this as completely out of character for the types of transactions she had previously engaged in,” Murphy told The U.S. Sun.

“Chase should have known that this was atypical behavior and part of a scam.”

A Chase spokesman said the bank could not comment on specific litigation but told consumers to “ignore” internet requests for money.

“We urge all consumers to ignore phone or internet requests for money or access to their computer or bank accounts,” the spokesman said.

“Legitimate organizations or companies won’t make these requests, but scammers would.”

Lin and her legal team recently defeated Chase’s attempt to have the case dismissed and it will now proceed to trial.

In June, Lin gave evidence to the California Assembly’s Banking and Finance Committee as part of a new bill aimed at preventing elder fraud scams like the one she fell victim to.

The Senate Bill 278 would require financial institutions to delay transactions of more than $5,000 by at least three days if they suspect an elderly person is the victim of fraud.

Two years on, Lin hopes her case will protect other older people from getting hurt.

“I think this bill would be good for elders in California and if I can help save at least one person then I will feel good for helping others.”

The U.S. Sun has reporter on various banking blunders.

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