Consumer complaint received 2024-01-31
Company: SYNCHRONY FINANCIAL
State: CA
Product: Checking or savings account
Sub-product: CD (Certificate of Deposit)
Issue: Closing an account
Sub-issue: Funds not received from closed account

Complaint:
My mother had an online CD account with Synchrony Bank. Shortly after her passing in XX/XX/XXXX, I notified Synchrony Bank and provided all the documentation and they subsequently updated the account profile in XX/XX/XXXX to reflect my name as a successor trustee. Fast forward to one year later in an attempt to close this account and distribute all funds remaining in her estate. Each time I called, they did not have on record that I was the successor trustee until they did further digging. It was very frustrating to have to explain this each and every time as some of the reps would be argumentative that they were still showing my mother as the account holder even though she was deceased, and I had provided her death certificate the previous year. 

Even though I have since received the funds that Synchrony Bank was holding, I have NEVER experienced such a long delay in receiving the monies that were due to us by closing her CD account. I feel that there must be some regulatory obligation for a financial institution to release these funds in a timely matter. It took an unreasonable amount of time ( 6 weeks ) from the time I had a fax confirmation ... and potentially an additional 2 weeks for the mailed hard copy to arrive ... which it never did. Apparently, the preprinted address on the envelope was wrong and the post office did not have a forwarding address so XXXX returned the mail to me which I did not receive until XX/XX/XXXX. When I inquired Synchrony Bank told me they changed XXXX XXXX XXXX in XX/XX/XXXX. That is a whole different issue which I feel should not have happened. 

In the end, I received the funds but I feel this delay needs to be reported to a regulatory agency as it seems extremely unreasonable to have to wait in excess of 42 calendar days for a financial institution to close out a CD account and I wasn't sure who could help me during that time. 

Here is a record of my call log to Synchrony Bank : XX/XX/XXXX XXXX PST - contacted Synchrony Bank to initiate closing a trust CD account. Was advised to call back to trust dept since they were closed. 
XX/XX/XXXX XXXX PST - spoke to XXXX and was provided forms to complete and have notarized for distribution of funds. The only acceptable method to return the notarized forms was either by mail or by fax. 
XX/XX/XXXX - Completed forms, took to a notary and mailed to Synchrony Bank in a pre-address stamped envelope provided by Synchrony Bank. 
XX/XX/XXXX XXXX PST - contacted Synchrony Bank XXXX verify if forms had been received... no record of forms. 
XX/XX/XXXX XXXX PST - contacted Synchrony Bank XXXX verify if forms had been received... no record of forms. 
XX/XX/XXXX XXXX PST - located a fax and received fax confirmation of successful transmission. 
XX/XX/XXXX XXXX PST - spoke to XXXX who confirmed paperwork had been received but could not provide an ETA other than the standard 7-10 mailing days. 
XX/XX/XXXX : XXXX PST - spoke to XXXX again who stated that the check was being issued and I needed to give it another week for it to arrive. 
XX/XX/XXXX XXXX PST - Called to find out the status and was transferred to XXXX in the Beneficiary DepXXXX. She also could not give me any additional information other than everything was in order and they were incredibly backed up due to the holidays. 
XX/XX/XXXX - finally received a distribution check via XXXX dated XX/XX/XXXX.

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