Consumer complaint received 2018-07-21
Company: TCF NATIONAL BANK
State: MN
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Deposits and withdrawals

Complaint:
My husband and I owned a catamaran that was in a charter fleet in the XXXX XXXX XXXX. Our boat was destroyed during Hurricane Irma last XXXX. Because of our boats location after the storm, it took several months for it to be surveyed. Finally, in early XXXX, it was declared a total constructive loss by our insurance company, XXXX USA. XXXX specializes in yacht insurance. 

In XXXX, XXXX sent me a check for the hull value of the boat minus our storm deductible. The amount of the check was roughly {$310000.00}. When I received the check, I immediately contacted XXXX XXXX, who carried the mortgage on the boat. At the time of my phone call, we owed approximately {$200000.00} on our loan. XXXX XXXX instructed me to do a wire transfer of the funds as sending a check for that full amount was not ideal, and they provided me with their routing info. 

The next day, I deposited the check into my account at TCF Bank. I told them I needed to do a wire transfer but they told me Id have to wait until the funds cleared which could take up to a week. 

I contacted XXXX XXXX again to tell them the wire transfer would be slightly delayed. At the time, they encouraged me to make my next scheduled payment ( which was in a couple of days ) so I wouldnt accrue additional interest for non-payment. 

A week later, someone from TCF Bank contacted me and said there was a problem with the deposit. I didnt have correct endorsement so they couldnt release the funds. It turns out that the check XXXX sent to me was written out to both me, and XXXX XXXX  because they held the loan. TCF Bank gave me an affidavit and instructed me to have someone at XXXX XXXX sign and send back so they could clear the check. 

I went to my locaXXXX XXXX XXXX  branch with the affidavit. They refused to sign but contacted someone in their loan department and sent the paperwork to him/her. 

I contacted my insurance agent at XXXX to explain the situation. They told me it would be easier to get the original check back from TCF Bank and send it back to them. Then they would reissue the check to either me or XXXX XXXX  but not both. I went back to TCF Bank and was told that the original check had been destroyed. There was nothing to give me. 

Meanwhile, the affidavit floated around XXXX XXXX until mid-XXXX before I finally found out that they refused to sign it. Apparently, they were worried that I would run off with their money and not pay back the loan. Even though the first thing I did when I received the check was to contact them about paying it off. 

At this point, I contacted my insurance agent at XXXX again and asked if they could stop payment on the check. XXXX contacted their bank, XXXX XXXX, to explain the situation. On XX/XX/XXXX, someone at XXXX XXXX contacted my bank, TCF, and told them to release the funds. 

During this entire time, none of the parties involved in this issue could clearly explain the situation to me, despite repeated attempts to get some information. Finally, my insurance agent at Pantaenius contacted me and said that TCF Bank  had still not released the funds. During the first week of XXXX, I contacted my branch manager directly and asked for an update. On XX/XX/XXXX, I received an email saying that TCF Bank was cutting a check to XXXX XXXX. They would not accept a wire transfer. 

At that point, TCF Bank had access to {$310000.00} of my money for over four months. Meanwhile, I have spent countless hours dealing with this situation when I should have been working. In addition, we had plans for our portion of the insurance money. We put a down payment on a cottage on XXXX XXXX, XXXX, back in XXXX when we received the check. Fortunately, we had a contingency written in the offer about this or we would be in a worse situation. 

Clearly, there were many people at fault in this story. XXXX should not have written the check to both me and XXXX XXXX. I should have realized the check was written out to both me and XXXX XXXX before I tried to deposit it. TCF Bank should have realized the check didnt have proper endorsement. But, the biggest issue is that TCF had access to these funds for almost five months, they have caused me countless hours of time, they caused me to lose out on an investment opportunity, I lost out on the interest I wouldve made on that money had I not purchased property. Meanwhile, I have continued to be responsible for the original loan amount and have spent thousands of dollars in interest over the past six months.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation