Consumer complaint received 2023-05-16
Company: TransferWise Ltd
State: NY
Product: Money transfer, virtual currency, or money service
Sub-product: International money transfer
Issue: Money was not available when promised

Complaint:
My name is XXXX XXXX XXXX and I am a costumer of a finantial institution called Wise, former Transferwise, registered in the US as Wise Payments Ltd. Wise Payments Limited provides financial services. The Company offers personal and business money abroad with account details and convert multiple currencies for businesses as well as provides consulting services. 
On a recent transaction, XXXX XXXX sent XXXX  US dollars from her Wise account opened in the USA to my Wise GBP bank account via the Wise app. Unfortunately, an error occurred when selecting the currency for conversion, and she mistakenly chose euros instead of GBP, which was the correct currency for the transaction. 
The transaction number associated with this transfer is XXXX. 
Despite both parties receiving written confirmation that the transaction was successfully completed and the money was paid into my account, the amount in question has never reached my account. It has come to my attention that the funds are being held illegally by the institution. 
I would like to highlight the inconsistent responses we have received from Wise representatives whenever we have reached out for assistance. Initially, we were informed that the money was in my bank account and that I should contact my bank to resolve the issue, despite the fact that Wise app is my bank and my Wise GBP bank account is the intended recipient. 
Subsequently, we were informed that the payment would be returned to her bank account within a period of up to two months. I must emphasize that such a prolonged holding of someone else 's money is both illegal and unacceptable. It is essential that Wise systems are updated to implement measures to prevent situations like this from occurring. For instance, the app could be programmed to reject transactions where the selected currency and the destination country do not match. Instead, they are unlawfully holding the funds and refusing to return them either to the sender or to the intended recipient. This behavior constitutes robbery and bank fraud. 
Over the past week both the sender and I have contacted the company a number of times. I am dissatisfied with the response received and I have serious concerns regarding the legality of the procedure they are following. Wise representatives mentioned that transfers need to go through correspondent banks until they reach the recipient, but I believe this statement is inaccurate. From my understanding, there is only one bank involved, and the funds have remained solely with Wise throughout the entire process. I chose to transfer the funds to my Wise account via the Wise app, ensuring that the money has been in Wise possession since it left the sender 's bank account. It appears that Wise is unlawfully holding onto the funds. 
Additionally, the timeframe of up to 2 months that you provided for the return of the funds is both unreasonable and contrary to the law. Regardless of tthe company 's procedures, clauses, or terms and conditions, they can not supersede legal requirements. Furthermore, the companys insistence that the money was sent somewhere else raises concerns of potential bank fraud. For instance, the sender received a written email stating that the funds would be returned to them when Wise receives the money back. However, as Wise was the intended recipient, claiming that the money was sent elsewhere implies fraudulent activity, as the client never authorized or intended such action. 
Now I am escalating this issue to CFPB hoping you will address these concerns promptly and rectify the situation within the bounds of the law.

Company response to consumer: Closed with explanation