Consumer complaint received 2025-11-14 00:00:00
Product: Checking or savings account — Checking account
Issue: Closing an account — Funds not received from closed account
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: CA

Complaint narrative:
Dear Consumer Financial Protection Bureau, I am filing an official complaint against Bank of America , N.A . for unlawfully freezing and withholding my business funds, closing my account without proper notice, and refusing to return {$47000.00} in legitimate deposited check funds that are not connected to any merchant activity. 

1. Summary of the Issue I held a Bank of America business checking account linked to a merchant services account. My verified balance at the moment of closure was {$87000.00} : {$40000.00} came from merchant transactions. 

{$47000.00} came from a separate check deposit, unrelated to merchant processing. 

Bank of America froze the entire {$87000.00}, including funds that have no connection to merchant transactions or chargebacks. After freezing the funds, the bank closed my account and stated they would mail me a check for the balance. I have not received any funds, and the bank is unlawfully holding both the merchant deposits and my separate check deposit. 

2. Why Bank of Americas Actions Are Unlawful A. Improper Freezing of Non-Merchant Funds Even if the bank claims to investigate merchant activity, they can not legally freeze deposited check funds that are not related to merchant transactions. 

Under : 12 CFR 1005 ( Regulation E ) Financial institutions must give written notice, specific reasons, and legally valid justification when restricting access to funds. 

The bank did not provide any written explanation for freezing the {$47000.00} in check deposit funds. 

B. Violation of UCC Article 4 Duties Regarding Deposited Checks Under the Uniform Commercial Code, Article 4, once a deposited check has cleared, the bank must : Make funds available OR return them to the account holder upon account closure A bank may not permanently confiscate or hold cleared deposits without a government seizure order, court order, or lawful restriction notice. 

Bank of America provided none of these. 

C. Violation of FDIC Rules on Account Closures and Fund Disbursement Per FDIC guidance, when a bank closes an account : It must notify the customer It must return the remaining balance promptly Funds can not be held indefinitely without legal justification Bank of America closed my account and has failed to disburse any portion of the {$87000.00}.

D. Violation of Consumer Financial Protection Act ( 12 U.S.C. 5531 ) UDAAP Bank of Americas conduct constitutes : Unfair practices : Freezing all funds without cause Deceptive practices : Claiming they would send my check but never doing so Abusive practices : Blocking access to the {$47000.00} check deposit that has nothing to do with merchant processing This is a direct violation of federal standards prohibiting Unfair, Deceptive, or Abusive Acts or Practices.

E. Failure to Provide Required Adverse Action Notice When a bank closes a business account due to alleged risk, they must provide a written adverse action or risk notice. 

Bank of America did not provide : Any written explanation Any investigation record Any legal basis for holding the {$47000.00} check deposit 3. Harm To My Business Bank of Americas actions have caused significant financial harm : The entire {$87000.00} remains frozen without explanation The {$47000.00} deposited check, which is not merchant-related, is being illegally withheld The bank closed my account without properly disbursing my funds My business operations have been severely disrupted

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