Good morning,
We have a member who is disputing a $5,000 charge made on her debit card via Cash App. She is stating that her boyfriend initiated the charge without her permission. He was able to do this because they once shared the Cash App account and he had her code which she never changed after their relationship ended.

Both our processor and our internal investigators want to deny the dispute based on the fact that our member supplied her log-in credentials but I do not believe that to be a viable denial reason. I am likening this to an ATM dispute where even if the PIN number is on the back of the card, we have to honor the dispute.

Very interested in your thoughts.
Thanks in advance.

I think the difference from your scenario with the PIN number would be if the boyfriend ever used her code with her permission prior to this transaction. If she gave him authorization in the past, she needed to rescind that authorization by either contacting you (or changing the code).

Good to know. Thank you.

This sounds more like a Cash App issue if the PIN you are talking about was issued by Cash App.

I agree with Randy. You can invoke Reg E section 1005.14 and tell the customer their beef is with CashApp, not the bank.

Appreciate the additional insights. Thank you!