Consumer complaint received 2022-07-26
Company: CITIBANK, N.A.
State: NY
Product: Checking or savings account
Sub-product: Checking account
Issue: Closing an account
Sub-issue: Company closed your account

Complaint:
On XX/XX/2022, I opened a checking and savings account with Citibank at a local branch location located at XXXX XXXX, XXXX XXXX NY XXXX. 
The branch banker, XXXX, had no issues opening my account and depositing XXXX  large checks in the amounts of {$37000.00} and {$7200.00}. The checks were addressed to me, the account holder, however, the first name on the checks had a spelling error. 

The next day, my accounts were flagged for check fraud because of the spelling error on the checks. I was sent an email on XX/XX/2022 stating my account ( s ) will be closed. 
The company that issued the checks contacted Citibank to verify the checks multiple times. The Citibank reps in the Fraud Prevention office did not attach the notes to my account. 

On July 5th-6th, 2022 " The company who issued the check to me called the Citibank Fraud Prevention Department at the number you provided. They spoke with someone named XXXX and gave him the check numbers, amounts, and payee names and explained that these were valid checks. XXXX told the company that he would be recommending that the flags be removed from the checks. Unfortunately, XXXX would not provide the company with any other information, including the timeframe for funds to be released if his recommendation is approved, and said any other information could only be released to the account holder. The company then checked its bank account. The funds are showing as debited, which means they havent been returned to the company 's account but perhaps that they are still being held at Citibank. '' I called the Citibank Fraud Prevention department ( XXXX Option 4 ) on XX/XX/XXXX to confirm if the checks are verified, they said they do not see any notes on the account. 

On XX/XX/2022 " The company rep who issued the check called Citibank again today and spoke with XXXX ( she confirmed the spelling ) just over an hour ago. She repeated to XXXX that the checks are good and the company wants them to be released to the Citibank account holder. XXXX told her that he could not give her any further information because she is not the account holder, other than to say the resolution process usually takes two to three business days and that the account holder can call, provide her account number, and check the status. '' I called again to the Citibank Fraud XXXX department ( XXXX Option 4 ) and Citibank claimed they had no record of the company calling to verify the checks. 

On XX/XX/2022 the Citibank branch @ XXXX XXXX was able to unblock my account. I walked in and spoke to XXXX. 
I provided tax documents, past pay stubs from the company, and other bank transaction history proving that I have been paid by the company that issued the checks before. XXXX called the back office and inputted notes and error codes to restore my access. 

I was able to make purchases and withdrawals using my account. I tried to set up XXXX XXXX and it triggered a fraud issue. I called Citibank on XX/XX/XXXX to regain access and was told that my accounts were being set to close. I was told to call XXXX, Option 7. 

On XX/XX/XXXX, my accounts were flagged for review because the back office claims the checks are not verified. 

On XX/XX/XXXX, I received an email stating my accounts will be closed. 

I spoke to a branch manager the same day and was told that my accounts will be closed and there is nothing I can do about it. I have to wait for a letter and within 30-60 days of account closure, Citibank will issue a check for the funds in my account.

The branch manager also stated that I will not be able to open another account with Citibank and if I do I will be flagged by the bank. 

I called Citibank Customer Service today and was told that the funds on my checking accounts were noted as fraudulently acquired and will be sent back to the company that issued the funds within 30-60 days. The checking account was closed on XX/XX/XXXX. The savings account is still open but is completely restricted and is in process of closure.

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