Consumer complaint received 2020-11-27
Company: Netspend Corporation
State: MS
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Problem using a debit or ATM card

Complaint:
I filed a dispute with my bank about a transaction that was in error I paid by other means ( cash ) However I sent in my dispute in writing to the bank on XXXX XXXX and I never received any response what so ever on XX/XX/2020 I received a provisional credit to my account in the amount of {$340.00} the amount of the dispute. And Again I never received any information about my dispute. On XXXX XXXX they decided to reverse that provisional credit of {$340.00} and Again no information was ever sent to me about the provisional credit the status of my claim the reversal of the provisional credit. On XXXX XXXX. I was to receive my unemployment benefits to this account however at this time my account was {$340.00} in the negative and they just took my whole unemployment deposit and put it towards the negative balance on my account. XXXX XXXX a provisional credit was posted to my account for a later dispute in the amount of the {$61.00} and they also used that to pay towards the negative balance on my account. And I still have received any information about the disputes I have filed. In REGULATION E it states that a financial institution must inform the account holder 3 day before a provisional credit is posted and the status of your dispute that never happened so I believed since I never received any information and it took them longer then 10 days to credit my account i assumed it was settled. So I used it not know that the investigation was on going. Then when they came and reversed that same Credit they never informed me they was going to debit my account for the amount of the provisional credit so I had no idea that this would happen had I known the investigation was on going I would had never used the provisional credit until the investigation was completed. I missed out on having XX/XX/XXXX dinner with my kids and family because I was counting on my unemployment benefits to pay for it and when they took them without any communication what so ever it really hurt me. I'm doing without and suffering because a financial institution failed to honor the terms of a Federal Regulation E which violated my right to be informed about what was happening with my dispute and my account. They took more then 10 days to provide me a provisional credit they failed to tell me when and why they are going to reverse the provisional credit. They only sent me a copy of the receipt that the merchant sent to them only when I called and try to explain to them that I need my unemployment benefits and how can you just debit my account without me knowing how can you continue the investigation without informing me about what was going on and the support member told me that they didn't have to inform me of anything that I dispute so at that point I asked to speak with a support supervisor so I could get some help and she just informed me that there was no one at that time to talk to that someone would call me. And no one has and from the looks of it probably won't. I would like to move forward in legal action.

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