Consumer complaint received 2024-04-30
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: BANK OF AMERICA, NATIONAL ASSOCIATION (IL)

Dear CFPB, I hope all is well. Im writing to you as you have been my longtime bank for many years. I closed my account at XXXX XXXX  Tuesday morning and they only gave me a cashiers check - and wouldnt allow wire transfers for account closures. I had a horrible banking experience with them. 

I went directly to my local Bank of America branch on Tuesday morning to deposit the check. I have been told cashiers checks are like cash, and certified, so I was shocked when I was told there would be a 7 day hold period ( until XX/XX/XXXX ) to clear. Lawyers Ive spoken to have said its usually a one to three business day process for a cashiers check to clear. 

My main concern is that my partner and I have been trying to close on a house ( that was due XX/XX/XXXX ) and its been long overdue. And we were supposed to be out of our apartment on XX/XX/XXXX. We generously had our landlord extend our lease THREE separate times. And our final lease extension is expiring at the end of this month ( XX/XX/XXXX ) - and have been stuck paying 3x the daily rent as a result. 

This truly can not go any longer and we are desperate to get the funds to the appropriate place before we leave XXXX. Is there any way you could please expedite this process since its been 4 business days already? At least have it cleared 24 hours earlier than the stated hold time of XX/XX/XXXX ( so on XX/XX/XXXX - the day our lease ends )? 

But now this process has me even more stressed out. As of Friday, I tried buying something on my debit card and was told it got rejected, despite funds being well there and available. I called in, the branch manager said shed call me back by XXXX Friday, which she never did. Called Bank of America to see what was going on and they said the risk management team has put a hold on your account - so credits only no debits- until your check clears. 

Im extremely worried that my entire assets and account is frozen all of the sudden. And the branch manager left me hanging on a Friday when she said youd call back and now Ive been panicked over the weekend. This is insane. 

I went on social media and posted a question to people that work in Banking about the cashiers check hold time, and the hold on the account. Over XXXX views in 3 days and nearly 300 replies from top bankers and they said the hold on the check is reasonable and not worrisome - but what is worrisome is the fact that they froze all assets and made the account credit only and this decision was made by the risk department. 

Bankers that have worked at BofA ( and the branch manager when I spoke to her today ) said that when theyve seen accounts credit only it means that theyve already been deemed too risky and are in the process of being frozen/ closed down for good. Is this true? Do I have to find another bank account in the meantime? I have no idea what I did wrong nor whats going on. But I cant lose Bank of America- its my only bank account and Ive had you guys for years. I need the current funds in order to do my job. 

And can you explain what did I do wrong? Depositing a cashiers check for XXXX was wrong? How so? Why are you guys freezing everything and making my life XXXX right now? Ive trusted you guys as my go to bank, and youre one of the biggest in the country. Everyone is saying on social media your first mistake was depositing that check at Bank of America - one of the worst of the major big banks. 

Please help me. My partner and I are stuck in XXXX until this gets resolved. We cant stay any longer than the next few days, weve already been through the ringer with our last XXXX bank, and have extended the lease 4 times now and have to pay 3x the daily rent. Its a lot of money and we just want it back safely and securely. Please try to resolve and reassure this because were freaking out. We cant have our money just sitting on hold or frozen for an un-Godly amount of time. Or be ghosted by your representatives in the risk management department or branch managers that fail to respond to calls and tell me whats going on. 

The bankers on social media said it has to clear XXXX checks, IRS, department of the treasury for amounts over {$50000.00}. And that the 7 day hold was generous because it could be 2 weeks or longer. Thats fine - Im not worried about any of that. But others have stated that they just took out XXXX in a cashiers check and cashed it at XXXX XXXX and the branch said the money will be able by the very next day because its bank to bank. So why is this happening? They said the freezing of your assets and accounts by the risk management team is not a good nor normal indication. 

Do I have to open up a bank account elsewhere- which is what the bankers on social media were recommending. One of which worked at BofA and said every time I saw an account with credits only or frozen it meant that the risk team had already made up their minds and decision and the account is in the process of being closed. Looks like youre going to need to find another bank.

This is insane! Which is why Im reaching out to the CFPB, XXXX, FTC, and Office of the Comptroller of Currency. I can not lose Bank of America as my bank. So I hope this is just standard operating procedure- please I love Bank of America and have had you guys from years. 

I just need to know if everything is going to be cleared/ the hold is over by XX/XX/XXXX or if youre going to extend it and make it even longer or freeze my accounts for additional time. I need to know whether or not to contact attorneys to get my money released, other government regulatory agencies, the media, or something because this is insane. To be clear, I dont care about the 7 day check hold - what I care about is what bankers are telling me is irregular to have my ENTIRE ACCOUNT FROZEN to credits only until the check clears. And if possible deciding to end the business relationship with me, this needs to be made well in advance so I have time to find another bank. Sorry Im just freaking out over this because this has never happened to me before and I need my money. This has just been an absolutely insane process. 

Id really appreciate it if you can make this happen sooner and just let me know whats going on because this doesnt seem to be legal. Im going in at XXXX XXXX  to speak with the branch manager at the XXXX XXXX Bank of America branch in XXXX who said she can help call the back office and see if theyll give her more information as to why they froze my accounts. 

The branch manager said : this isnt good Ive seen this only happen ( credits only ) when theyre closing down an account and Ive never seen this happen to someones account before, not even with large checks like this so something is going on.

She said she can speak to the back office and they can give her sometimes more information as to whats going on, but theres nothing she can do if the back office is the one that put the fraud/ hold on the account. 

She recommended emailing the execs at BofA and filing a CFPB report, which I am doing now. 

And if they are planning on closing your account she can see if theyll give her a cashiers check or allow a wire out to whatever bank you want to, but its up to them. They may allow her to give a cashiers check for all the funds in the account, or they may mail it. Its their discretion. Please I hope this all is truly normal. I know the check hold is normal. But the credits only, is not. 

Please have someone in the executive office get back to me tomorrow as soon as possible. 

Thank you. 

Very Respectfully, XXXX XXXX ( XXXX ) XXXX