Consumer complaint received 2024-06-19
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: FIRST INTERSTATE BANCSYSTEM, INC. (NE)

The lack of adherence to Know Your Customer ( KYC ) rules, failure to adhere to The Uniform Commercial Code, and the inability to prevent financial crimes have deeply shaken my trust in First Interstate Bank. I have been a loyal customer of First Interstate Bank since they acquired Great Western Bank, and I have always trusted in the bank 's commitment to safeguarding its customers ' assets and ensuring compliance with regulatory guidelines. However, the recent unauthorized transactions in my account and others, including those of vulnerable customers such as my elderly mother and uncle, have resulted in substantial funds being lost. 

These incidents highlight a serious breach of trust and a failure to fulfill your obligations in preventing financial crimes and protecting the financial interests of your customers. It is evident that the bank 's systems and procedures to prevent fraudulent activities and protect the interests of vulnerable customers are inadequate and have failed in this instance. As a result, my family has suffered significant financial losses and emotional distress due to the negligence of the institution. I've provided a detailed statement below outlining how First Interstate Bank failed to protect these accounts and contributed to the loss of {$31000.00}. 
Incident : On XX/XX/year>, unauthorized transactions totaling {$31000.00} were made in all First Interstate Bank accounts associated with my mothers account. XXXX XXXX, Chief Compliance Officer at First Interstate Bank, claimed that two internal transfers were initiated by my mother through online banking. This information is incorrect, as she did not authorize or initiate any internal online transfers to the affected accounts. XXXX suggested that these internal transfers may have been linked to an overpayment scam. First Interstate Bank failed to adhere to strict regulations and procedures to prevent financial crimes and protect vulnerable customers. Additionally, the bank did not comply with Know Your Customer rules or prevent financial elderly abuse. 
- On XX/XX/year>, my mother ( an elderly XXXX XXXX XXXX women ) physically entered First Interstate Bank on XXXX XXXX XXXX XXXX in XXXX, XXXX requesting to withdrawal {$9800.00}. The First Interstate Bank representative did not ask what the withdrawal was for, request to see a government issued ID, or discuss/inquire about any of the web transfers between the separate accounts. The same day, less than 30 minutes after leaving the XXXX XXXX branch, my mother physically entered First Interstate Bank on XXXX XXXX XXXX XXXX, XXXX requesting with a handwritten note stating, Please withdraw {$9500.00} from account XXXX. The First Interstate Bank representative did not ask what the withdrawal was for, request to see a government issued ID, or discuss/inquire about any of the web transfers between the separate accounts. Additionally, First Interstate Bank did not inquire or question the suspicious transactions going in/going out of her accounts or why she was withdrawing high amounts from different locations in such a short time period. 
- On XX/XX/XXXX, my mother physically entered First Interstate Bank on XXXX XXXX XXXX XXXX, XXXX requesting with a handwritten note stating, Please withdraw {$4400.00} from account XXXX  The First Interstate Bank representative did not ask what the withdrawal was for, request to see a government issued ID, or discuss/inquire about any of the web transfers between the separate accounts. Again, there were no questions or inquiries about the online suspicious transactions going in/out of her account or why she was withdrawing high amounts from different locations. 
First Interstate Bank did not take any steps to prevent future fraud, regardless of the suspicious activity demonstrated on each separate account, none of the primary account holders were notified of the suspicious activities going on in their bank accounts. 
First Interstate bank was negligent by not requesting a government ID to verify identity, not asking questions/inquiring the purpose of the withdrawal, or questioning/inquiring about the online transactions from multiple separate accounts or inquiring why she was visiting multiple locations the same day. Additionally, no notice was provided by First Interstate Bank to other parties listed on the account informing of web transfers/withdrawals. These incidents clearly demonstrate bank negligence by bypassing KYC and AML rules, not adhering to the Uniform Commercial Code, and overlooking signs of potential elderly abuse.

-On Monday, XX/XX/year>, I was made aware of the fraudulent activity on my account and contacted XXXX in the First Interstate Bank Fraud department to discuss my case/report it and left a message to return my call. XXXX did not return my call. Additionally, my brother called XXXX to speak regarding his case. My brother lost his temper while on the phone and communicated to XXXX the Bank will receive requests from our lawyer. Regretting how the call ended, he called her back to request more information but no response has ever been received. The same day I went to First Interstate Bank to freeze my compromised account and request contact information for the manager of the Frauds department to discuss my case. I worked with XXXX XXXX, and she requested this information via chat from the fraud department and was told via chat she could not give me contact information because there was nothing they could do. 
At this point, there was fraud on my account and I was denied to discuss my case with First Interstate Bank. By law, I have this right to discuss fraud on my account and request a comprehensive investigation. After the first denial by First Interstate Bank, I requested to speak to XXXX Manger, XXXX to get contact information for First Interstate Banks Fraud Department to discuss my case. XXXX went into his office to make calls and then came out to the floor to tell me he was instructed that there was nothing they can do. They already talked to my mom and since its my moms case they could not speak to me. I told XXXX I wanted to speak to someone to discuss MY CASE. He again went into his office to make phone calls. He came out and I was denied again. At this time, I requested to get it in writing I was being denied by First interstate Bank to discuss my fraud case with First Interstate Banks Fraud Department. XXXX proceeded into his office again to make a call. It was then I was able to speak to XXXX in the fraud department about my case. 
-On XX/XX/year> my mother, requested First Interstate bank to complete a comprehensive investigation and she was declined by XXXX XXXX XXXX the XXXX XXXX XXXX XXXX XXXX My mother as a fraud victim has the right to request a comprehensive investigation and as the bank you are required under law to provide this in writing to her within 30 days upon her request.