Consumer complaint received 2023-05-21
Company: Netspend Corporation
State: OK
Product: Credit card or prepaid card
Sub-product: General-purpose prepaid card
Issue: Problem getting a card or closing an account
Sub-issue: Trouble closing card

Complaint:
I am requesting to have my account closed due to the fact that the company appears to have outdated and risky security policies in place. However, I have been unable to close my account and I can't access my funds because they have placed a fraud alert on my account. 

The following details the situation and my concern for their consumer base as I believe the bank is negligent in how they receive sensitive and confidential information. 

1. In XX/XX/2023 I discovered that I was unable to access my account online. After a few calls trying to resolve the situation I was informed I needed to submit my drivers license and social security card to unlock my account. I was told to email my information. I email my drivers license on XX/XX/XXXX, however I was not going to email my Social Security card as it is common knowledge that email accounts are often hacked and that it is extremely risky to share sensitive or confidential documents over email. The reference number tied to that was # XXXX XXXX. After submitting my drivers license I was still unable to access my account. Since I am not very knowledgeable about financial issues I asked my husband to help me resolve my situation. He contacted the Corporate Customer Response Team via email. There were attempts to connect but every time I or my husband called we received a voice message. To the banks credit they did call back a couple of times but because of our busy schedules we were unable to take the phone calls. We had requested to schedule a set time to talk but that never gained any traction and we have been left to contact the general customer service line which hasn't been helpful. XXXX XXXX Re : Security Risk - Urgent Ext XXXX ; XX/XX/2023 XXXX. Since I was unable to gain online access to my account I decided to close the account with the hope of gaining access to my money. On XX/XX/2023 I contacted the bank again and asked to have my account closed. I was told I would receive a check. However, that check never came. 

4. On XX/XX/XXXX I followed up as I never received my funds. I spoke to XXXX and was told again that I would receive a check and I could expect to receive the funds in 10 business days. The check never came. 

5. On XX/XX/XXXX I called to inquire and asked to speak with a manager. I spoke to XXXX and he informed me that there was a fraud alert on my account. He instructed me to send multiple documents ( My social security card, utility bill, along with my husbands drivers license and social security card ). However, my husband is not on the account so that was a big concern. XXXX informed us to send these documents via email. My husband works in cyber security and it is common knowledge that email is not secure as it can be easily comprised. Therefore, we asked to fax the information. I faxed over the documentation on XX/XX/XXXX. Ref # XXXX XXXX. On XX/XX/XXXX I was informed by email that my information was received but my husbands info was not needed. I was also told that my social security card was insufficient as it was only in black and white. They requested a color copy and informed me to email or fax. Fax does not provide a color copy so the only option is to email. Again, this creates a major security concern and I am unwilling to email my social security card. 

7. XX/XX/XXXX I am submitting an email to ask for senior leadership to give me a few time options to discuss this further. I am also submitting this formal complaint as a way to escalate this further. Beyond my issue I am concerned that this institution is negligent in their management of consumer information and that their actions are putting others financial lives at risk.

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