Consumer complaint received 2020-06-25
Product: Checking or savings account — CD (Certificate of Deposit)
Issue: Closing an account — Can't close your account
Company: BBVA FINANCIAL CORPORATION (RI)

BVA Compass Bank, in a long-running scheme, fails to disclose actions required to close matured CD account, employs delaying tactics to cause required actions to be late, allowing them to impose penalties effectively not paying their advertised rate. 

I opened an online CD account ( XXXX ) with BBVA on XX/XX/XXXX. The terms were one year at 2.80 % APY. I funded this new {$5000.00} CD account electronically from an online savings account I have at another bank.

BBVA did not disclose before or at any time during the opening process that in order for me to get my money back at maturity XXXX XX/XX/XXXX ) I would need to send a notarized letter with a picture of my driver 's license, front and back, within 7 days of the maturity date or the account would be automatically renewed at a rate of their choosing and any closure then would result in a substantial penalty XXXX {$25.00} plus 1 % ). 

Had I known this, I would NEVER have opened this account, given BBVA Compass Bank any personal information, or done any business with them whatsoever. This is not an expected or reasonable requirement since the account was funded electronically and my identity was thoroughly verified by them at that time and I had a secure ( password protected ) online account with them. Had I known of this requirement, it would have been obvious they were not acting in good faith and did not intend to pay the full interest rate to everyone. 

There were no choices electable or information available on their site regarding CD account maturity. In fact, unlike every other CD I have ever held at other banks, no interest was ever accrued or posted during the entire year the CD was open. Another part of the scam. 

Just before the CD was coming up on its maturity date, I received a letter from BBVA explaining my two options for this account : 1 ) add money to it and roll it over into another term with a rate they will determine at a later date or 2 ) do nothing and it will automatically roll over into another term with a rate they will determine at a later date.

What if I wanted to close the account and get my money back? I sent a message to them via my online account on XX/XX/XXXX asking how I could get my money and waited for a response. I did not get one so I sent another message on XX/XX/XXXX and days later still had not gotten a response. I got worried. This started to look like a scam and I was thinking I had lost my money. 

I did some research online and saw all the complaints about how BBVA runs this scam : they don't disclose what you need to do to get your money back and then ignore your inquires and use other delaying tactics so that by the time you find out what you have to do and do it to their satisfaction, it's too late and you've missed the window and lost the full interest! 

I was checking my account every day waiting for a response and then I started calling the customer service number every day until finally I got through. I was told what I had to do to get my money back ( the notarized letter with picture of my driver 's license front and back, etc ) and when I asked for these instructions to be emailed to me, I was told " we are not allowed to do that. '' Subsequent to talking to customer service, I got a reply back on my online account basically telling me what I was told on the telephone. Oddly, a different address to send the letter to was given. Also, I just noticed ( I took a screenshot ) that they pre-dated their response so it appears they responded the same day to my first message : NOT! 

Luckily I knew a notary and was able to generate a letter to their specifications and have it notarized and mailed to them just in time. Not many people could've. 

I finally did get my money back with the promised interest on XX/XX/XXXX when their check cleared. It took persistence and luck. I know many must not have gotten their full, advertised interest rate, through no fault of their own. 

I believe BBVA does not act in good faith and has designed this scheme so that they don't have to pay the high rate that they advertise and hook people with. Apparently, they have been getting away with this for years. For shame!

Question : How does BBVA Compass Bank pay such high rates on their CDs? 
Answer : They don't. 
Question : Where are the regulators? 

Please do your job and protect hard-working, honest people from deceptive and predatory scams like this. This is an obvious, transparent scam. 

PLEASE : REQUIRE BVAA to DISCLOSE their requirements for closing a CD account BEFORE a new account is opened. People would not do business with this bank if they knew about this. This scam would effectively be shut down. 

PLEASE : Find out how many people were caught up in this and REQUIRE BVAA to give REFUND + INTEREST to everyone who did not receive the full interest rate because of their undisclosed, unreasonable requirements and documented delaying tactics.