Consumer complaint received 2021-11-14
Company: CAPITAL ONE FINANCIAL CORPORATION
State: NH
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Deposits and withdrawals

Complaint:
On XXXX XXXX, XXXX, I opened a Home Equity Line of Credit with XXXX XXXX XXXX with a limit of {$50000.00} to consolidate 2 of my credit cards- XXXX XXXX XXXX XXXX ( at 8.9 % ) and my Capital One credit card ( at 20.9 % ) - along with my XXXX XXXX XXXX XXXX XXXX ( 8.49 % ). The HELOC I opened is at a 4.99 % XXXX so this only made sense to me to save money on interest. 

XXXX XXXX XXXX told me the 2 payoff checks for the credit cards would come in the mail within a week of closing but it took about 3 weeks to finally receive them and according to my Loan Officer, they were experiencing a lot of issues with the mail as of late. This made me feel concerned about mailing out my 2 payoff checks to XXXX XXXX and Capital One in case they were lost in the mail so I decided to just do mobile check deposits, to be safe. My XXXX XXXX mobile check deposit went through fine and the funds were applied to my credit card within a couple of days. When I tried to do a mobile deposit directly to my Capital One credit card, it wouldn't go through. I realized that I most likely needed to have a Savings or a Checking account opened to be able to do mobile deposits so I decided to open a Checking account with Capital One at that point. I transferred {$50.00} from my XXXX XXXX XXXX XXXX to the new account as an initial deposit. Once opened, I did the mobile deposit. There was a hold on the check, which was fine and expected due to the fact that it was a new account and the check was in the amount of {$3800.00}. I deposited the funds to Capital One Checking account # XXXX on Sat, XX/XX/XXXX and the hold was to be in place until XXXX, XX/XX/XXXX. On XXXX, XX/XX/XXXX, the hold was released and I transferred {$3800.00} from the Capital One Checking account # XXXX to my Capital One credit card # XXXX. The next day, Capital One reversed the {$3800.00} I had applied to my credit card and put it back into the Capital One Checking account with a hold on it. I called them the next morning on Fri, XXXX, to find out what had happened. The representative I spoke to said that it was most likely due to the fact that the check was made payable to Capital One with my name only in the memo section noted " S.Guide '' and it wasn't made payable to myself. She said she would just need to call the originating credit union that issued the check, XXXX XXXX XXXX, and confirm the authenticity of the check to release the hold. I was on hold for about 5 - 7 minutes and assumed she was calling XXXX XXXX XXXX. When she came back on the line, she said that Capital One has the made the decision to terminate the banking relationship with me and that I would never be allowed to open an account with them in the future. She didn't explain if she had called XXXX XXXX XXXX or what would happen with the money I had sent in. I was so surprised and asked why but her response was that " ... for security reasons, I can not release this information to you. '' I asked her what would happen to the money I sent in and she said it would remain on hold for now as they investigated it but she did not have a timeline as to how long this would be. I was flabbergasted as I couldn't imagine what would be the cause for concern but figured I just needed to wait. I called back about twice a week at this point for the next couple of weeks just to check in on the investigation but received no answers or explanations. I left voicemails for the Risk Department where I was being transferred to each time because the representatives said they are handling the investigation and would know more ; however, nobody ever called me back. 

Then I thought that maybe because it's a new account, they wanted to keep the funds on hold for at least 30 days so I stopped calling and waited until the XXXX day after they had cashed the check ( cashed on XX/XX/XXXX ) and called them on Mon, XX/XX/XXXX. I was directed to the " Risk Department '' of Capital One and spoke to a representative there. I explained to her the situation and told her I could provide all of my identifying documentation to prove my identity and to support my situation, that she could check my credit report to see the HELOC had been opened - whatever they needed to conclude their investigation and release my funds, I would be able to provide. To this, she responded that " Capital One is NEVER going to release those funds to you. You need to have XXXX XXXX XXXX request the funds back. '' I asked her what would happen if they couldn't and she said " They will know how to do it. They will be able to override the system to pull the funds back. '' I then asked her about the {$50.00} that I had transferred over from XXXX XXXX when I first opened the account - if that could be sent back. She said " No, that won't be released until XXXX XXXX XXXX pulls back the funds that are on hold. '' So, I called XXXX XXXX XXXX directly after this and explained this situation to XXXX XXXX there, a financial services representative. She spoke with her supervisor and the accounting supervisor to see if there was anything they could do for me. She informed that because Capital One had already cashed the bank check on XX/XX/XXXX, there was no way for XXXX XXXX XXXX to request the funds back as this item had already been negotiated. So, I called Capital One back after I hung up with XXXX and spoke with who I believe was a supervisor of some sort, XXXX ( XXXX ID # XXXX ), and he was sympathetic but could not do anything regarding the hold. He told me that I should have received written notice about why the funds were being held and what the funds hold policy was but I have never received anything in email or in standard mail. He apologized profusely and said that he would get this notice mailed out but warned me that even receiving this notice would take as long, if not longer, than how long my funds had been on hold ( which at this point was over 30 days ). I was really upset at this point and he explained that the investigation on my check was " almost '' over but he couldn't give me a timeline or a reason for the hold either. It has now been 51 days since Capital One cashed my check and I still have no idea why it was placed on hold or when the funds will become available. 

I have attached the following as evidence to support : - My XXXX - XX/XX/XXXX XXXX XXXX XXXX bank statement so you can see that the HELOC was opened on XX/XX/XXXX and the 2 checks to XXXX XXXX XXXX XXXX ( {$1700.00} ) and Capital One ( {$3800.00} ) were cut on XXXX. 
- Front and back of the cancelled check made payable to Capital One cashed on XX/XX/XXXX - Copy of my driver 's license - Copy of the Closing and Disbursement page from the XXXX XXXX XXXX proceeds and to show the check was made payable to Capital One from here - XXXX XXXX XXXX XXXX Credit Agreement Thank you for any help or clarification you can provide in this matter. 

XXXX XXXX

Company response to consumer: Closed with explanation