Consumer complaint received 2020-05-25
Company: TD BANK US HOLDING COMPANY
State: NY
Product: Money transfer, virtual currency, or money service
Sub-product: Money order
Issue: Lost or stolen money order

Complaint:
In XXXX, I purchased a {$1000.00} money order for {$1000.00} using my debit card at the post office to pay someone. It wasnt until a couple of weeks later that I found out that the money order bounced when deposited in the bank of the person I gave it to because it wasnt activated properly before being handed to me. 

I immediately opened a dispute with my bank ( TD ) and the post office to get my money back. TD gave me a provisional credit while they opened their investigation.The post office also opened an investigation and then escalated it to tier 2. They were of little help besides saying it was strange and the person at the physical post office saying they were having computer issues that day. They even confirmed it hasnt been cashed yet, its just in the ether. I called a week later to ask for an update and the person on the phone opened another investigation and escalated it to tier 2.

After about a month, TD asked for more proof and I faxed them all my correspondence with the post office, copies of my statement before and after the transaction and the money order stub but they said that wasnt enough. I even told them it wasnt even cashed. They asked if I had a voided receipt but you dont get that with money orders, only the stub. I couldnt give them the actual money order as the bank that cashed it wouldnt give it to the person I gave the money order to. They probably destroyed it by then. I was told the one investigating my case would call me with more information because what they wanted didnt exist. They never did.

I called the post office again a couple weeks later but the customer service rep didnt know what to do and offered to open a new investigation and escalate it to tier 2 ( sound familiar? ) and said someone would call me. They never did. After 90 days ( XXXX ), TD closed the investigation by default for lack of evidence on the weekend and took back their provisional credit, making me overdraft twice. 

The next day, the post office emailed me saying they were able to obtain a photocopy of the money order in question but they couldnt just give me my money back because they didnt have the actual money order, I had to fill out a completely new form for refunding money orders that could take up to 60 days to get my money back. 

The following Monday, I went to a TD branch in person and explained the situation again and the banker sided with me after I showed her everything I had including the new photocopy from the post office. She used all the info to open another new 90 day investigation which allowed me to get a new provisional credit. 

Its been almost 3 months since Ive heard from either and Im beyond frustrated with both of them. Im still out {$1000.00} ( MO + two overdraft fees ), stressed out and still no closer to a resolution. In less than a month, TD will automatically close their second investigation retaking back their provisional credit. 

XXXX incident number : XXXX TD Bank claim number : XXXX

Company response to consumer: Closed with monetary relief