350K California EDD Benefit Cards Frozen Over Fraud

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350,000 EDD benefit cards have been frozen in California due to suspected fraud.

The California Employment Development Department reported that the debit cards were frozen for reasons including too many claims at one address.

According to the Los Angeles Times, the debit cards that were frozen by the state Employment Development Department and Bank of America counts for billions of government money paid out during the pandemic.

“The Department’s top priority is to quickly verify the identity of any claimants in this group that may have been impacted by scammer attacks, while we work to shut down the potentially fraudulent claims,” the agency said.

The EDD office is also implementing a new system to deal with applicants and their concerns.

The changes will “increase the EDD’s ability to serve Californians during this unprecedented pandemic, as the department continues to also bring new staff online after training.”

Many who are in desperate need of their benefits are also finding that their cards are shut off.

“Our offices have been hearing complaints from constituents with legitimate claims who have had their EDD debit cards frozen as a part of this fraud prevention measure,” Chiu said. “Again, EDD seems unable to address fraud without harming Californians who are depending on them for benefits.”