Consumer complaint received 2020-12-03
Company: RIA FINANCIAL
State: MD
Product: Money transfer, virtual currency, or money service
Sub-product: International money transfer
Issue: Other transaction problem

Complaint:
I have also attached this complaint in pdf form for easier reading. 

Complaint about Ria XXXX XXXX XXXX Continental Exchange Solutions , Inc., doing business as Ria Financial Services This is a complaint about the money transfer service, Ria Financial Services. On XX/XX/XXXX I initiated a cash transfer of {$120.00} with Ria Financial Services ( Ria ). I am in the United States, and the money was intended to go to a school in XXXX. 

I used the Rias website and mobile phone app to initiate the transaction. First I entered the recipients name and banking account IBAN number. Rias screen did not say they were not authorized to send money to business accounts even though I had entered an IBAN number for a business account. Ria accepted the information and gave me directions for funding the transaction. I funded the transaction by paying {$120.00} cash to the Ria agent, which was a XXXX store in Maryland, United States. Ria then failed to deposit the money into the receivers account, claiming they are not authorized to transfer money to businesses, and Ria has also refused to refund my money unless I meet unreasonable and expensive paperwork requirements, which they altered after I submitted what they requested. 

The transaction is Ria order number : ( see receipt ) ( Attachment 1 is the receipt ). 

The money was intended to be deposited as Euros into a business account in XXXX. After Ria failed to deposit the money, I used additional funds to complete the transaction with a different money transfer service. As a result of needing additional funds, I had to pay two overdraft bank fees here in the United States at two different bank, and I would not have needed to pay additional funds or overdraft fees if Ria Financial Services had not handled the transaction fraudulently and with willful neglect and if the Ria website had been initially transparent about their lack of authorization to send money to business accounts. 

Until I called, no one at Ria conveyed any problem to me. The status of my transfer remained in review much longer than reasonable, and twice I attempted to contact Ria online but no one answered my question or conveyed a problem. Finally I called Ria for more information. Only then, on XX/XX/XXXX, did I learn the company had no intention of sending my cash to the recipient. Yet, within 24 hours of funding my transaction, so by XX/XX/XXXX, someone at Ria would have known they were not able to complete my transaction. No one notified me. 

The customer service representative, XXXX, cancelled the transaction ( Attachment 2 ). He emailed me a Direct Deposit Authorization Form. The form shows the following directions : I told XXXX I do not have checks, so I could not give them a voided check. As the directions are worded, he explained that the Direct Deposit Authorization Form was the Bank Deposit Authorization Form, so I could just fill it out and send it back, and I did not need to send a voided check. Indeed, the directions do state that the form is an acceptable supporting document on the list of acceptable supporting documents. The directions do not state that both documents are required, only that the deposit authorization is an acceptable form of documentation. 

Please see attachments 3 and 4, XXXX email and attachment. 

Attachments : 1 XXXX Receipt dated XX/XX/XXXX 2 Transaction cancelled 3 Email from XXXX dated XX/XX/XXXX 4 Attachment from XXXX email 5 Emails to/from XXXX XXXX 6 Bounced emails from the Ria compliance department 7 Email Communication with XXXX at Ria I completed the form and sent it to XXXX. 

At this point, I had completely met the requirements as provided to me by the Ria customer service representative and I was waiting for a refund via ACH transfer from Ria. 

The next day, XX/XX/XXXX, I received an email from a Ria customer service specialist, XXXX XXXX. She said she needed a voided check to process the transaction. 

In communication over a few emails ( Attachment 5 ), she asked me to send a bank statement in lieu of a voided check, which I did. She said she would let me know when the bank ( their bank ) approved the ACH transaction to transfer my refund to my bank account. I thought that statement was odd because the only reason their bank would decline the transaction would be if Ria didnt have the funds. 

I attempted to cc Rias compliance department at the email address listed on their website : XXXX, but I only received multiple bounced emails in response ( Attachment 6 ). 

On XX/XX/XXXX I followed up with an email to the same Ria customer service specialist, XXXX XXXX. I asked her, Are you able to confirm that the bank is in the process of sending the funds to my bank, and also what day I should expect to receive the funds? 

She never responded. 

A week later, on XX/XX/XXXX, I received an email from XXXX, a Ria customer Service representative ( Attachment 7 ). He said they need a voided check from me in order to issue a refund. He also said Ria is not authorized to send money to business accounts but offered to send my money to a person in XXXX, just not a business. Thats ridiculous. The money needed to go to a business. And now that I have already paid the business with a different service, Ria should have refunded money without unreasonable roadblocks and time delays. 

Again, I told the Ria customer service representative, XXXX, I do not have checks, I write so few checks that it is not worth the cost for me to purchase checks. On the few occasions where I need a check, I just pick up a money order at the grocery store. This is typical. Americans nowadays largely pay for transactions with a credit card and then pay the credit card monthly from a bank account transfer. According to The Federal Reserve XXXX XXXX XXXX ( Attachment 8, page 7 ) twenty-two percent of bank consumers overall do not keep paper checks on hand, and young people are least likely to own paper checks. In the Federal Reserves XXXX survey, no respondent under the age of XXXX made payments with paper checks. 

I suggested that Ria send a refund check to my house instead. Rias representative XXXX said, the check refund service is suspended, we can not send checks for refund. His statement should raise red flags with the government agencies that issued Rias license to handle money transfer transactions.

Rias representative offered to send my money to a random person in XXXX instead. Thats an unacceptable solution for a number of reasons, but also its unacceptable because when I pay a bill, I want documentation that I paid it. I have the receipt from XXXX, and I would want confirmation of the deposit into the recipients account, which isnt possible if Ria demands I redirect my money to a person instead of a business. It would be a bizarre, uncomfortable, and unprofessional request for me to make of the recipients employees. 

I asked for the contact information for Rias legal department, and neither he nor anyone else responded. 

Its obvious to me that Ria has the ability to refund my money. I have never had a company require a voided check from my bank before issuing a refund. Ria could have credited my account on the app and allowed me to transfer the money to my bank account, I am a person after all, but to avoid doing that they demanded the person receiving the money be in XXXX. 

I would like a full refund for {$120.00} immediately. 

At this point I would also like payment for my two bank fees : {$28.00} and {$35.00} And I am requesting the company double that amount to compensate me for the amount of time I have had to devote thus far to fixing their negligence, and I will donate this portion to a migrant rights organization. 

In total, I am now requesting : XXXX + XXXX + XXXX = XXXX * XXXX = {$380.00} This amount is more than reasonable considering the amount of negligence and lack of communication on Rias part. 

If I need to go through the court for my refund, I will request payment for the two overdraft fees and compensation for my time, expense, and legal fees. 

I would prefer a refund via certified check from Ria immediately. 

Now, the second part of my complaint addresses my concern about Rias ethics and motives and the impact on their customer base.

As I have learned, Rias customer base is obviously not individuals who need to pay a bill to a business account. 

The companys base seems to be hard working XXXX  who want to send money to their families in their countries of origin. This customer base likely includes undocumented XXXX  who most certainly do not have a checking account and paper checks to void, and Ria knows this. By demanding a voided check to issue a refund, Ria is attempting to keep their customers money when they are unable to complete a transaction. This is fraud, and it is especially heinous because they are targeting the most vulnerable people who would likely just consider the money lost to avoid drawing attention to their undocumented status with a complaint about the money transfer service. I happened to stumble upon the Ria service. The fact that Walmart and XXXX are agents for the service added legitimacy, so I decided to try the Ria service with a small bill I needed to pay. I am not their typical customer, but now that I have legitimate concerns about the company defrauding migrant workers, i am obligated to not turn a blind eye on evidence of Rias financial crimes against undocumented migrants. 

When Ria customers initiate a money transfer on the website or in the app, they can choose to have the recipient pick up cash at a bank or they can send money directly to a persons bank account and at no point in the transfer process does Ria require a voided check from the recipient or disclose that the company will not deliver funds to a business. Its only when Ria fails to complete the transaction that they demand a voided check to refund the customers money, and its an obvious excuse to keep money that doesnt belong to them. I would think the company would have wanted to avoid drawing attention to their practices over a small refund, but apparently not. 

Ria Financial Services, as a money transfer company, needs to transfer my money back to me. If they are as incapable at transferring money as their employees have claimed, they should shut down their business.

Company response to consumer: Closed with explanation