Consumer complaint received 2018-06-14
Company: CITIBANK, N.A.
State: CA
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Deposits and withdrawals

Complaint:
Approximately on XX/XX/XXXX I received a letter via XXXX from CitiBank requesting I confirm the business ownership for our business, XXXX XXXX That day I filled out the form and mailed it back via First Class USPS Mail. 
Approximately two weeks later, I received, again via XXXX, exactly the same form from CitiBank. This time I went into a branch with the paperwork and one of the bankers on staff, XXXX XXXX in the XXXX Branch, faxed the form in on my behalf and confirmed via e-mail that he had done so ( e-mail attached ). 
On XX/XX/XXXX our two employees let me know that they had attempted to deposit their paychecks but the funds had been frozen. I tried to check online what was going on and i saw a note letting me know the account was frozen. I called on Friday XX/XX/XXXX and they confirmed that the reason the account was frozen was that although they had received the business ownership form, they had not yet processed it. I was of course incensed that they could freeze my funds because they had failed to process a form i had submitted 6 weeks earlier. I was assured that the freeze would be lifted within 24 hours. I asked him to confirm that I was not able to access my funds due to the banks failure to process a form I had submitted 6 weeks prior, and he confirmed. I said I would be closing the account as soon as I would be able. 
On the morning of Monday XX/XX/XXXX, I checked my account again online and saw that freeze had not been lifted. I attempted to call the branch where the account had been opened, supposedly this is where to freeze lift had to originate, and after multiple attempts to contact them failed, I went into a branch ( XXXX XXXX ) and spoke with a banker there. After checking and calling he confirmed the account was frozen because the form had not been processed, there was nothing I could do, I could not access my funds, they would not be able to refund any fees due to the frozen funds of our employees paychecks, and the freeze would be lifted in 2 additional days at XXXX. 
I decided I would close all the other accounts I have with CitiBank on the spot, and they gave me my funds for my personal account and an account for another business I had with them. The banker and the teller were kind and apologized, but I did let them know that it was unacceptable that I still did not have access to my account for something the bank had failed to do, and that I would be closing the frozen account as soon as I was able to do it. 
It is now Thursday, XX/XX/XXXX and the account is still frozen. I called again and was told again that the freeze would be lifted in 24 hours. I was told that the paperwork had been escalated to top priority on XX/XX/XXXX, but it is clear that it is not true. I have now been told the account would be released with 3 different timelines, and none of those timelines have been met. 
The account continues to accept deposits from our online shop ( though I diverted those daily deposits on Tuesday when at wits end I opened a second account for the business ), but it has frozen all withdrawals. This includes tax payments that are due and already scheduled to be deducted from the account tomorrow, XX/XX/XXXX. I now suspect that those payments will not be made, in addition to all other bill payments that have been set up from this account. 
I am at a loss of what I can do to regain access to my funds. I have complied with all the bank requests, and yet my accounts are frozen and every assurance and timeline I have received that the accounts would be available have not been met.

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