Consumer complaint received 2024-03-08
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: JPMORGAN CHASE & CO. (CO)

On either XX/XX/XXXX or XXXX, 2024 I deposited a check into my local Chase bank ( Colorado ). The check was paid from XXXX XXXX  ( Georgia ) from a family members account. The check was for {$20000.00} and was written to my name and my husband 's name- however my husband 's name was not his legal name, but was instead a family nickname ( an error on the issuer 's part, we concede ). My husband signed the check and then signed beneath him and deposited into my account ( his name is not on this account ). 

XXXX days after depositing this check, I get a notice that my checking account has been restricted and that the {$20000.00} check is on hold. I immediately called the bank and found out that they have held this check because of this second name on the check that they can't verify. It is worth noting that over the last 5 years I have deposited at least a few checks written the exact same way with no issues. I was told at that time, that since they couldn't verify my husband 's name as written on the check that the payor bank would need to issue a stop payment on the initial check. 

I contacted the family member who notified their bank to start that process. However on the payor bank 's end the check was showing as already cashed and unable to be " recalled. '' So at this point ( around XX/XX/2024 ), my family member is out $ XXXX, and I don't have it either. Chase bank has the $ XXXX and is sitting on it in some " suspension '' department. Everyone I spoke with keeps saying the same thing - that the ONLY way to release the funds is to be able to verify this " nickname '' through his cellphone number ( i.e., a cellphone that shows registered to this name- which also isn't going to happen because it's not his legal name ). 

On XX/XX/2024 I was able to get a call escalated to a manager. That manager sought and was given approval to call the payor ( family member ) and verify that my husband was the person the check was intended for and that the legal name and the nickname were the same person. Assuming that verification happened, they would be able to release the money to me in 3-5 business days. At that time, they tried to call the family member and he was unavailable. The manager advised me I would have to call back later and have them try again.

Approximately 1 hour later, I called back and requested a supervisor. That supervisor ( a different one from the first one ), confirmed that she could do that same thing. She placed me on hold, called the family member, conducted all verifications and was back on the line with me after about 10 minutes. She told me the funds would be cleared but that I would have to go to Chase bank and open a new checking account so that they could transfer funds ( or have a cashier 's check mailed ). They also advised that after I open that account that I would need the local bank representative to call them and give them the account number to facilitate this transfer. 

I went to my local branch on XX/XX/XXXX and followed all of their steps. Once my new account was opened, the local branch bank associate called the same department and gave the same information and spoke to a THIRD supervisor. Who confirmed the same thing. Approval was complete, funds will be transferred in XXXX business days. 

On XX/XX/2024 - XXXX business days later - nothing has been deposited in my account. I call the local branch representative and she contacts the same department and is told today that the 'approval ' process that they did was not sufficient to approve release of these funds. Despite what XXXX different supervisors told us on the XXXX. 

On the phone today, I am once again told that the ONLY way to release these funds is to be able to verify this " nickname '' - and the ONLY way they can verify is through a telephone number ( what if someone doesn't have a telephone?! ). They have told me there is NO mechanism for the payor bank or account holder ( my family member ) to request the funds be returned to them either.

Today I was told that Chase would hold the funds for " 2-3 years and then they would escheat to the state as unclaimed property. '' So it is my understanding that Chase can hold {$20000.00} that is not theirs ( and likely earn interest on it ) for 2-3 years and then turn it over to the state but can not return it to the initial payor.

In addition to what seems like a completely unethical, if not illegal, business practice, they also froze my personal checking account during this time. They " accepted '' two ACH deposits into my account, but would not let any auto debits come out of it. So they rejected all of my bills that were set to auto pay resulting in late charges, credit card accounts getting frozen, reports to credit agencies and more. Even though I had the money in the account ( aside from the {$20000.00} ) to cover the bills that were trying to be paid. 

I was able to remove the money they had in the bank that belonged to me by having them transfer it to savings then withdrawing it from there. At that point I closed my remaining account with Chase and moved my banking business elsewhere. However, it is now one month later and Chase still has {$20000.00} that does not belong to them and they are refusing to issue it to me or return it to the payor.