Consumer complaint received 2021-10-06
Company: Bread Financial Holdings, Inc.
State: OR
Product: Checking or savings account
Sub-product: Savings account
Issue: Managing an account
Sub-issue: Deposits and withdrawals

Complaint:
I recently sold my home. Because the proceeds were going to be significant ( over {$250000.00} ), I researched options for high-yield savings accounts. XXXX XXXX claimed to provide " highly competitive rates and access to your funds any time you need them. '' Because I am remodeling my new home, I needed to be able to access large amounts to pay contractors. I opened a high-yield savings account with them on XX/XX/21, transferred {$100.00} from my checking, and set up my online account. I also went through their process to link the new account with my primary checking account at XXXX XXXX. On XX/XX/21, the sale of my home closed. The title company wired the proceeds to my new XXXX XXXX account on XX/XX/21. It was my understanding that I would be able to transfer the urgently-needed funds back to my primary checking account to pay contractor bills. However, XXXX delayed posting the wire to my account until XX/XX/21. Once it showed up in my account, I logged in with their app and tried to transfer {$50000.00} only to find out that I was limited to accessing only {$2000.00} per day. I initiated a transfer in that amount and then called their customer service line to find out what I could do to access more of my money faster. The person I spoke with ( XXXX ) told me the only way to access the money faster was to close the account and have the money moved to my primary checking. I confirmed that I wanted to close the account. When I didn't see anything happening in the app, I called their customer service line again. This time, the guy I spoke with told me that because my accounts were already linked, the funds would be moved the same day and available within 1-2 business days. When I still didn't see anything happening in the app, I called the customer service line again. At that point, the person I spoke with ( I don't recall the name ) told me the closure my take several days, and that the only way to get the funds faster was to submit a wire transfer request, which I did on XX/XX/21 around XXXX Central Time, ahead of their XXXX cutoff. I immediately called their customer service line again and asked them to verify that they had received my wire request and had everything they needed to complete the transaction that day. He told me they did. That night, I received a call from Comenity 's fraud department. The woman said it was very unusual for someone to close an account so quickly after opening it and that it had triggered questions about why. I answered all of her questions and explained that I didn't realized when I opened the account that there would be such restrictions on accessing my funds. She noted my answers and thanked me for my time. On XX/XX/21, when I didn't see any activity in either my Comenity account or primary checking account, I called their customer service line again. They said the account was on hold due to a fraud investigation. I asked when that would be resolved and when I would have my money. He had no answer. A little later on the morning of XX/XX/21, I received another call from the same woman in the fraud department asking me why there were logins to my account with a URL in Utah. I explained that I had no idea. I am not a tech person. I am just me. I am the only person accessing the account. I do not live in Utah. I once again explained why I opened the account and why I asked to close it. I asked when this would be resolved and when I would have my money. She said she didn't know, but that deposits in new accounts were subject to a 10-day hold, which would mean the wire wouldn't happen until XX/XX/21 at the earliest. I told her that was unacceptable and that there was nothing in the new account setup process or communication that mentioned a 10-day hold on new accounts. If I had known that was a condition, I would never have opened the account, and would have had the title company wire the funds to my primary checking account. At this point, I am in the process of remodeling my new home and need the funds to pay contractors. Those bills are coming due. Without access to the funds being held hostage by XXXX XXXX, I will be unable to meet my obligations to the contractors who will likely place construction liens on my new home. As of XXXX ( PDT ) on XX/XX/21, I still have no idea when I will have access to my money. They seem to find reason after reason to keep me from my money. This seems like a scam to me. Please help!

Company response to consumer: Closed with explanation