Consumer complaint received 2022-06-05
Company: REGIONS FINANCIAL CORPORATION
State: LA
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Deposits and withdrawals

Complaint:
About three weeks ago on XX/XX/XXXX, I opened an account with Regions Bank online/through their app. There was a {$50.00} fee required to open the account, but I received an email from them shortly after opening the account telling me that I would have 30 days from opening to pay the {$50.00} fee, so I did not do so at that time. I noticed that I was unable to use any functions of the new account through the app or on their online banking site, but I did not know why. On XX/XX/XXXX, I tried to deposit a {$400.00} check from a local business that I had received for selling my old vehicle, and it was rejected via mobile deposit, but it did not explain why. I contacted their mobile customer support via chat on their app, and they notified me that I would need to wait 72 hours before I would be able to use mobile check deposit, since the account was new. I ended up depositing it through another bank. After the 72 hours had passed, which I assumed was some kind of " new customer waiting period '', I still could not use the app to add money, request a debit card, or do literally anything other than look at my {$0.00} balance. I was never informed as to why, nor did I receive any other correspondence from the bank at all about anything. 
About two weeks later, I had returned from a trip out of town, and I received a check in the mail from the U.S. Treasury from my tax refund from XXXX, which I had amended ( this is why it took two years for me to receive the check ). This was on XX/XX/XXXX. I knew that Regions had the option to mobile deposit checks with the options of either having immediate access to the funds ( for a fee ), or having access to the funds " available tonight '' ( no charge ), and since it was past closing time for all local banks by the time I retrieved the check from my mailbox, I figured this would be a better option than waiting until the following day to try to cash it. I was able to use the mobile deposit feature since it had been more than 72 hours since I opened the account, and I followed the instructions in the app, endorsed the check and wrote " for Regions mobile deposit '' on the back of it, and took the necessary photos of the check and clicked " submit ''. My check was rejected immediately, with no reason given. I realized I had entered the wrong amount in the mobile app, and it didn't match the check ( I had switched two numbers around, instead of the amount being {$3.00}, XXXX, I entered {$3.00}, XXXX ), so I entered the correct amount and submitted it again. Once again, it was rejected. I tried twice more, thinking that the lighting was bad or maybe my hands were shaking the camera too much. Rejected both times. By now, it was past the XXXX p.m. cut off time for mobile check deposits, and I knew that I would have to wait until later that night at least before my funds were available. At this point, I contacted Regions Bank customer service via their mobile chat option within the app. After waiting 15 minutes, a customer service representative responded to my message and informed me that the check had been rejected for immediate availability, and she advised me to re-submit the check and select the " Funds available tonight '' option. She did not elaborate on why the check was rejected for immediate availability, but I figured that waiting a few hours wasn't much difference and I submitted it as instructed. It was accepted, and according to the app, my funds would be available that night before midnight. I could see that my deposit was pending for the full amount, and my " projected balance '' was {$3800.00}, but my available balance was still {$0.00}. I received no further correspondence from Regions Bank, and my functionality within the app and online banking was still limited. 
Later that night around midnight, I checked the progress of the deposit within my app. It still said pending ; it did not clear that night as I had been told it would. I still had limited functionality within the mobile app, so I logged onto my account on my laptop, and was able to finally order a Regions check card to be mailed to my address on file. I went to sleep, thinking that my check would surely have cleared in the morning. 
However, when I woke up that morning around XXXX a.m., my check hadn't cleared and no funds were available. I hadn't received any notifications or alerts from Regions as to why. Next to my deposit amount and balance in the app, it said " pending ... deposited item on hold '' with no date or further explanation. I contacted support immediately, and she said " You should receive a notification in the mail within 5-7 business days explaining the reason for the hold. Unfortunately, through this channel we are unable to determine the reason for the hold or expedite the release of the hold. I sincerely apologize for any inconvenience. If you have any additional questions regarding this hold, please visit your local branch. '' Within 15 minutes of this conversation, another message appeared next to my deposit in the app, which said " pending - deposited item hold thru XX/XX/XXXX - {$3800.00} '' underneath " XX/XX/XXXX mobile deposit {$3800.00} ''. 
The following day, XX/XX/XXXX, I visited my local branch like I was told to, and I brought with me the check, my ID, and a print out from my IRS transcript showing the date the amount was credited to me and the date the check had been written by the Treasury, in case there was any questions as to the validity of the check. The first person I spoke with at the bank, the teller, told me that the reason my check was being held was because my account had been closed out since I had not made the initial {$50.00} deposit when I opened the account. I told her that I thought that I had 30 days to make the initial deposit, and I pulled up the only email I had received from Regions thus far, where it clearly states that I " have 30 days to make the initial {$50.00} deposit before the account is closed ''. She told me I would have to wait and speak with a banker, so I did. I spoke with XXXX XXXX XXXX XXXX? ) at the branch in her office. I explained to her what the issue was with depositing my check and also the limited functionality within the mobile app, and she assured me that my account had not in fact been closed out, but that the issues were due to the fact that since I created the account online, they did not have my signature on file at the branch and that all I needed to do was provide them with my driver 's license and my signature on a form and my problems would be solved. I did so, and she informed me that once she had my signature and ID on file, she could provide me with a Regions check card right then rather than me having to wait for it in the mail. In addition, because she could clearly see the check in front of her, and because it was a U.S. Treasury check, and it was not made out to anyone else but to me ( the account holder ), if I would leave the check in her possession at the branch, she would scan it into the computer and the bank would take responsibility for the check, therefore lifting the hold and allowing me to access my funds ( in her words ), " either later this evening around XXXX p.m., or if not then, then first thing in the morning ''. I agreed to do so after she assured me multiple times that my funds would be available that same day or the following morning, although my original intention when I arrived at the branch that afternoon was to ask them to cancel the deposit so that I could re-deposit my check elsewhere or cash it elsewhere, because I needed the funds immediately. 
Needless to say, my funds were not available that night, nor were they available the following morning, or the morning after that. On XX/XX/XXXX, after my funds were not available as promised and there were no additional updates from Regions, I called the bank branch I had visited the previous day to ask what the problem was. I was put on hold for several minutes before being told that the banker I had spoken with the previous day was not in at all that day ( XXXX ). I explained my issue and the woman I spoke with told me that one of the other bankers in that day would call me back to discuss things, but that everyone at the bank was extremely busy with " customers in front of them '', and apparently there was no one who could speak with me at that time ( even though I am also a customer, and while I may not have been physically in front of them, I would have been had it not been for the fact that my funds were being held for no reason and I literally didn't have the gas in my vehicle to make it to the branch that day ). I left my contact information with her and hung up. 
After about an hour and a half, with only 30 minutes left before the branch closed for the weekend, I tried to call Regions ' customer service phone number. After explaining my issue to the representative, she told me that she didn't know why the banker would have told me that my funds would be available the night before or that day, because no one is able to release or expedite a hold on a check, and there was literally nothing that anyone could do about it, but that she apologized that " the banker had given me false information ''. She claimed that she could not see the reason for the hold on my check, and that I would need to speak with someone at the branch to solve the issue. I sarcastically thanked her for her time and hung up. 
With only 15 minutes left until closing, I still had not heard from the branch, so I called once again. The same woman I had previously spoken with answered and had an attitude with me, cutting me off when I asked if there was anyone who could help me. She told me that the reason no one had returned my call was because " everyone has customers, there are customers everywhere, in front of everyone '' and that because the banker I worked with on Friday was not in that day, I would have to wait until Monday to speak with anyone and nobody could help me at all until then. I hung up on her. 
As of today, XX/XX/XXXX, my check still has not cleared. Not only that, but because it is in the banker 's possession, I am unable to cash it anywhere else. There has been no further correspondence from Regions and no updates in my app or online. Clearly their customer service is unable or unwilling to help, and I doubt they would be of much help anyway due to their shocking incompetence and obvious willingness to lie to get me off the phone/out of their office. I still don't understand why my check is being held, when it is a government check, it is less than {$5000.00}, and I have provided them with every piece of identification and information they have requested in a timely manner. If there is some legitimate reason for my check being held for ( according to the app ) TEN CALENDAR DAYS AFTER IT WAS ORIGINALLY DEPOSITED, I believe they should communicate that clearly and with conviction, because to me, it sounds like they are just making up excuses to keep me from being able to take my check and cash it elsewhere, and I believe this is wrong and possibly illegal. I am sick of banks taking advantage of customers this way, and I see it literally all the time. Something needs to be done.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation