Zelle, bank scams cost customers millions each year. This senator wants reimbursements

Consumers are losing millions of dollars every year due to financial scams in the fast-growing world of electronic money transfers, U.S. Sen. Richard Blumenthal, D-Connecticut, said Tuesday, calling for an end to loopholes allowing the problem.

The average loss to the consumer is in the range of $500, but that can be $3,000 to $5,000 for larger money transfers through Zelle, a financial payments network that is owned by major banks and is a competitor of the popular Venmo transaction service.