Consumer complaint received 2022-07-18
Company: WELLS FARGO & COMPANY
State: MI
Product: Checking or savings account
Sub-product: CD (Certificate of Deposit)
Issue: Managing an account
Sub-issue: Funds not handled or disbursed as instructed

Complaint:
My godmother passed away on XX/XX/2022 and I am XXXX of XXXX beneficiaries on XXXX accounts she had with Wells Fargo- a checking account, savings account, and XXXX CDs. XXXX beneficiaries collected their portions first, and I was the third to attempt in person in XXXX, NC on XX/XX/2022. I was told at this appointment that a Wells Fargo employee had distributed an incorrect amount to the first beneficiary, and they could not distribute funds to me on XXXX of the accounts. We were able to contact that beneficiary at this appointment who said she would return the funds immediately so the mistake could be corrected. Wells Fargo insisted they would not be able to disburse funds to me or the fourth beneficiary ( despite it being their mistake ) until the funds were returned. I do not live in XXXX or near a Wells Fargo branch but was told they would disburse the remaining funds as soon as the money was returned and I would receive checks in the mail within 10-11 business days. 

The funds were returned by the first beneficiary the next day but I never received a check. I called Wells Fargo the next month and was told it showed on their end the funds had been returned and that they had already disbursed my portion. I made it clear I had not received any money and had to be very persistent, but was finally told they " after looking into it further '' they could see they marked my portions paid out in error but they did still clearly have the money, and they would send out XXXX checks immediately. I finally received a single check for XXXX of the accounts in XXXX. 

I have called multiple times on the final account and have spent hours on the phone. Each time I am told they are not sure what happened and will either send out a check immediately ( never received ), or the most recent time I was told they didn't have funds in the fourth account so had nothing to disburse. I was told repeatedly there was nothing they could do, and they thought the first beneficiary must not have returned the funds ( when I know for a fact she did and had been told on previous calls with Wells Fargo that she had ). I had to demand to speak with a manager ( after being told there was no one they could possibly transfer me to and being hung up on twice, I was finally transferred to someone ). This person told me there was an internal error and that they could see the first beneficiary had in fact returned the funds in XXXX, but they could not figure out where the money had been lost between the local bank and the estate. They said they would have a team look into it and call me back by the end of the week, it has now been another month and I have heard and received nothing. 

I have asked repeatedly since XXXX if it is legal or acceptable for them to withhold money from me and the fourth beneficiary because of errors made on their end. I am told that it is and if they don't have the money, regardless if they are the ones who lost it, they don't have to give it to us. We did not mishandle and give out too much money and we are not the ones who then proceeded to lose it, yet Wells Fargo has continued to refuse to disburse the money we are owned for the last four months, provide us any updates on the status of the account, or give us any information on how this is being handled. I have no idea how to proceed from here, as I am unable to get any information from them, and am honestly unsure if it is in fact legal for them to just refuse to disburse these funds because they lost the money and can't figure out where.

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 monetary relief