Elizabeth Bernas and her husband had planned to use the proceeds from their home sale to renovate their new house in Ajax, Ont., to pay for their children’s university tuition and to go on a family vacation.
But before they could, they say someone accessed their Bank of Montreal account without authorization in late 2022 and withdrew more than $63,000 through a series of transfers that the bank won’t reimburse.
“We were shocked,” Bernas said. “We almost dropped on the floor.”
BMO told Bernas it won’t compensate them because it appeared the transfers were done on their device, there were no failed login attempts to the account, and a malware scan of the computer didn’t show any irregularities, according to a letter from the bank CBC News has viewed.
“We were just so depressed; sleepless nights,” Bernas said. “We all want our money back.”
CBC News first reported on similar unauthorized transfers among BMO customers two years ago and has since heard from around another two dozen.
Now, more than 140 customers with similar experiences from across the country formed a group with the plan of filing a class-action lawsuit against the bank. Collectively, they’ve lost more than $1.5 million, according to organizer Lisa Wong.
“We have people from all walks of life,” she said. “We have new immigrants, we have professionals like doctors, engineers and we have business owners.”
“[BMO’s security] is not protecting us against the growing, sophisticated cybercrime,” said Wong, who lost $15,500, according to bank documents.
Toronto teacher Joe Jacobs and his wife lost $20,000 when a cybercriminal seemingly accessed their line of credit, banking documents show.
Now, they’re responsible for the monthly payments, plus interest. In order to afford it, Jacobs says his family is renting out a room in their home and they’ve had to delay sending one of their children to university.
“It’s really difficult,” he said.
BMO spokesperson Jeff Roman says, like other banks around the world, BMO continually adapts to help customers stay ahead of cybercrime.
“In the digital world we live in, these scams are fast evolving and are becoming more sophisticated, targeting millions of Canadians with malicious texts and phone calls,” Roman said.
“We realize how difficult it is when a customer unfortunately falls victim to these criminals, and we provide support based on the specifics of their individual cases and circumstances.”
He says BMO is focused on detecting and preventing these situations when possible, but can’t share details for security reasons.
Wire and e-transfer fraud growing
E-transfer fraud in general is a “significant increasing concern,” according to the…
Read More: 140 BMO customers say they lost $1.5M in transfer frauds, plan to sue bank
