Consumer complaint received 2023-08-22
Product: Checking or savings account — Checking account
Issue: Closing an account — Funds not received from closed account
Company: JPMORGAN CHASE & CO. (KY)

Reference accompanying document with for dates, transactions and amounts. 

While financial institutions have a duty to monitor and prevent fraudulent activities, they must also ensure that legitimate business transactions of their customers aren't unnecessarily impeded. The incident with Chase Bank is a glaring example of how a bank 's overzealous actions can lead to significant inconvenience, potential financial loss, and loss of trust. 

Argument 1 : Unjustified Account Lock and Inconsistent Customer Service : After notifying Chase of an impending international wire transfer, the account was locked immediately after the transaction. Subsequent calls to the bank led to multiple verifications of identity and transaction intentions. Shockingly, this tedious process was repeated three times, despite consistent confirmations from Chase that everything was in order.

Question : Why does a bank, after being pre-informed of a transaction and repeatedly verifying the same, continue to disrupt its customer 's business activities?

Argument 2 : Unauthorized Account Closure and Financial Delays : Post successful business dealings, including a legitimate sale of scrap aluminum, Chase abruptly closed the account. The subsequent letter cited " suspicious activity '' as the reason without any substantial evidence. Moreover, the promised check reflecting the account 's balance was never delivered, despite the bank acknowledging its possession.

Question : On what grounds does a bank withhold a customer 's funds, especially after acknowledging that they owe the said amount? How can a bank justify such prolonged financial delays, particularly when the client 's business operations are at stake?

Argument 3 : Lack of Transparency and Communication : Chase 's repeated assurances of investigating " suspicious activity '' and their commitment to reaching out post-investigation have remained empty promises. The bank 's refusal to provide a clear timeline further adds to the XXXX  and uncertainty faced by the customer.

Question : Why is there a lack of transparent communication from the bank 's end? How can a bank expect to retain trust when it fails to deliver on its assurances?

Argument 4 : Questioning the Validity of Wire Transfers : The bank 's request for 'registered phone numbers ' related to incoming wire transactions is baffling. Not only should the bank already possess this information, but it's also unreasonable to expect customers to have such details for their business clients. The inherent trust associated with wire transfers is being undermined by the bank 's actions.

Question : Why should customers trust wire transfers if banks can reverse or invalidate them weeks later? If this remains the case, why not shift to other modes of transactions, like credit cards?

Conclusion : The actions of Chase Bank reek of unjustified suspicion, lack of transparency, and potential theft. By holding onto funds that rightfully belong to their customer, they are not only causing financial distress but also undermining the very essence of trust that should exist between a bank and its clients. This complaint underscores the urgency with which the CFPB must intervene to ensure justice and restore faith in the financial system.

I implore the CFPB to investigate this grievance thoroughly and ensure that due measures are taken against such arbitrary and detrimental banking practices.