Consumer complaint received 2025-08-31 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Funds not handled or disbursed as instructed
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: MI

Complaint narrative:
NATURE OF COMPLAINT Bank of America has engaged in dishonor of duly executed negotiable instruments and commercial discrimination, in direct violation of both federal consumer protection laws and banking regulations. 

On XX/XX/year>, I lawfully tendered Bills of Exchange, Promissory Notes, and Security Agreements for the purpose of settling pending real estate purchase agreements in XXXX  and XXXX  ( supporting documents attached ). These instruments were properly executed, recorded, and presented for processing and are valid negotiable instruments under well-established state and federal law, including : UCC Article 3 & 4 ( as enacted in XXXX XXXX XXXX XXXX ) : MCL 440.3104, 440.3110, 440.3501, 440.36033604, 440.4202, 440.4214. 

12 U.S.C. 24 ( Seventh ) : National banks have a statutory duty to receive, discount, and negotiate Bills of Exchange and promissory notes.

12 U.S.C. 342, 345 ( Federal Reserve Act 13 ) : Federal Reserve banks and member banks are authorized and obligated to accept bills of exchange for collection.

12 C.F.R. Part 229 ( Regulation CC ) : Governs presentment and requires acceptance and timely processing of negotiable instruments.

12 C.F.R. Part 210 ( Regulation J ) : Mandates settlement of cash and noncash items through Federal Reserve clearing channels. 

31 C.F.R. 328.5 ( b ) : Explicitly recognizes bills of exchange and drafts as acceptable for deposit and collection.

Despite these mandatory statutory obligations, Bank of America refused or unreasonably delayed processing my instruments. At no point did the bank provide a written notice of dishonor specifying a defect, nor did it indicate what corrections, if any, were required to cure. This silence and obstruction constitutes multiple violations : Commercial Dishonor Under UCC 3-501, dishonor occurs when a drawee refuses to pay or accept after valid presentment. Bank of Americas refusal, without cause, constitutes dishonor.

Unlawful Discrimination Under the Equal Credit Opportunity Act ( 15 U.S.C. 1691 ; 12 C.F.R. 1002.4 ( a ) ), it is unlawful to discriminate against a consumer in a credit transaction. Refusal to process trust-issued instruments, or imposing conditions that elite institutional clients are not subjected to ( such as requiring pre-existing USD balances ), constitutes disparate treatment and discrimination.

Breach of Statutory Banking Duty Under 12 U.S.C. 24 ( Seventh ), and reinforced by 12 C.F.R. 229.30, 229.36 ( b ), and 210.12, FDIC-insured member banks do not have lawful discretion to reject properly tendered negotiable instruments. Bank of Americas conduct represents a breach of that duty.

Obstruction of Consumer Opportunity By unlawfully refusing to process my instruments, Bank of America directly caused the collapse of pending real estate transactions. The purchase agreement for one property expired on XX/XX/year>, and I was deprived of the opportunity to complete a lawful purchase. 

Bank of Americas conduct stands in stark contrast to its treatment of elite and institutional clients, who are routinely permitted to process similar instruments through securities desks, credit facilities, or Federal Reserve channels without being required to maintain pre-existing USD balances. The discriminatory treatment directed toward me, as an individual trust fiduciary, underscores a pattern of commercial bias and unlawful obstruction. 

HARM TO CONSUMER Financial Loss : I lost the opportunity to purchase real estate in XXXX  ( $ XXXX ) and California ( $ XXXX ). These properties were secured under valid contracts, but Bank of Americas refusal caused the contracts to collapse. 

Regulatory Injury : I was denied access to lawful credit and clearing facilities guaranteed under the Equal Credit Opportunity Act, the National Bank Act, and Federal Reserve regulations. This exclusion is a direct violation of consumer financial protections.

Litigation Burden : Bank of Americas obstruction has forced me into unnecessary and costly litigation in both state and federal courts. This diverts resources that would otherwise be used to complete lawful real estate transactions. 

Reputational Harm : By treating my instruments as though they are non-negotiable, despite clear statutory authority, the bank has harmed my credibility with counterparties, sellers, and legal authorities. 

Emotional Distress : The discriminatory treatment and resulting loss of lawful opportunities have caused substantial emotional and personal distress, including stress from the imminent collapse of real estate transactions due to arbitrary bank action.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation