Consumer complaint received 2015-10-29
Product: Bank account or service — Savings account
Issue: Account opening, closing, or management — 
Company: ALLY FINANCIAL INC. (CT)

I had XXXX accounts with Ally Bank. XXXX was a checking account, which I used for my small business, and the other was a savings account held jointly with my wife. 

In XXXX I received a substantial tax refund from the IRS, which I deposited in the savings account. A few days later, I noted that the account had been frozen and I called Ally Bank to ask why. The Customer Service rep told me that my wife and I were suspected of fraud, based on information received from the IRS. As directed by the rep, I called XXXX XXXX ( ( XXXX XXXX XXXX ) of the Loss Prevention Department. She told me that the funds were being sent to the IRS, but she refused to give me any information on which department of the IRS had requested this, who I should contact, or how I should go about getting the funds returned. 

After many hours of calling different IRS departments, I finally located the responsible division of the IRS - the Identity Theft Department in XXXX, TX. They told me that, while they agreed I was entitled to the money, they wanted to make sure that I was actually the person who had filed the return and deposited the money. After a XXXX minute conversation, I managed to verify my identity to their satisfaction and they agreed to re-send me the check. 

However, the next time I checked on my Ally account, I found that the savings account had been closed. I called XXXX XXXX again, and she was unable to say any more than that Ally had decided to close the account because of the involvement of the IRS. I asked to speak to a supervisor and she transferred me to XXXX XXXX ( XXXX XXXX XXXX ). He told me that Ally could close any account they wanted, for any, or for no reason. I asked him whether he felt that Ally had a duty to act reasonably in dealing with their customers, and he replied that they did not and that they could do whatever they wanted with regard to customer accounts. I asked him who had authorized the account closure and he declined to identify any individual, saying only " the Loss Prevention Department ''. I then asked him for the name of Ally 's primary regulator, in case I wished to make a complaint. He refused to say and suggested that if I had a complaint I should take it to the XXXX. Finally I asked him whether my wife and I could open a new account to deposit the check being sent by the IRS and he said he would get back to me. 

Later on he called me to say that Ally had decided to close the checking account as well. Once again he declined to give a reason, said that Ally did not need a reason. Again I requested the name of the primary regulator and he declined to disclose it. Obviously these account closures have caused and will cause a considerable inconvenience to me and to my business. It is shameful that Ally cose to close my checking account in retaliation for my making a complaint.. In addition, I am very disturbed by Ally 's attempts to prevent their customers from reaching the appropriate regulators. Fortunately, I have worked in the financial services business for more than 30 years and so have the requisite knowledge to find this information without Ally 's assistance, I worry that Ally 's behavior will unfairly impede customers without similar experience and thus prevent them from obtaining the redress so clearly required by Ally 's capricious and unreasonable actions.