Consumer complaint received 2026-05-20 00:00:00
Product: Checking or savings account — Checking account
Issue: Problem caused by your funds being low — Non-sufficient funds and associated fees
Company: TD BANK US HOLDING COMPANY
State: NY

Complaint narrative:
Medical & Financial Crisis I am a TD Bank customer of 14 years facing a severe medical and financial crisis. I was just hospitalized, and TD Bank had frozen my account and seized 100 % of my last two weekly Department of Labor unemployment checks to cover an overdraft balance/negative balance. Under the New York Exempt Income Protection Act ( EIPA ) and federal banking guidelines, unemployment benefits are exempt income and are legally protected from being completely seized or offset by the bank. Local branch managers have refused to assist me, leaving me with XXXX dollars to purchase my life-saving discharge medications. I demand an immediate emergency provisional credit for the seized exempt funds Wednesday XXXX- I cant afford to eat. TO : TD Bank ACCOUNT ISSUE : Illegal seizure of government unemployment benefits in violation of New York Exempt Income Protection Act ( EIPA ) I have been a TD Bank customer for over 14 years. In XX/XX/XXXX, I experienced a medical emergency requiring hospitalization and XXXX XXXX. While managing this crisis, TD Bank 's actions made my situation significantly worse. Upon discharge to date I have been unable to afford prescriptions ( XX/XX/XXXX ) and have little to no food. I am becoming more ill. On Monday, XX/XX/XXXX, TD Bank placed a fraud hold on my account after the auto system called & I didnt recognize 2 trans -they did this without my authorization and canceled my debit card. I called but was unable to get a manager and I was told a replacement card would be expedited. However, I did not receive the replacement card until Saturday, XX/XX/XXXX XXXX days later. I activated this card on Monday, XX/XX/XXXX at the branch location at XXXX XXXX XXXX, XXXX. During this same period : * * Week 1 ( approximately XXXX XXXX ) : * * I received an {$860.00} unemployment benefit deposit from the New York Department of Labor . TD Bank seized this entire deposit to cover a negative balance. ( Receive every Tuesday next one is XX/XX/XXXX, I cancelled direct deposit to TD with DOL today due to these past 2 weeks. I MUST get these funds asap as next Tuesdays may take longer on an unemployment card, but I could not go through this again. Its HIGH EMERGENCY * * Week 2 ( XX/XX/XXXX ) : * * I received another {$860.00} unemployment benefit deposit from the New York Department XXXX XXXX. TD Bank seized this entire deposit as well. In multiple written communications to TD Bank branch staff & higher ups, I explicitly stated that these deposits were government unemployment checks. Despite this clear notice, TD Bank seized both deposits a total of {$1700.00} in exempt income without providing any emergency assistance, provisional credits, or overdraft reversals. On XX/XX/XXXX, I visited the TD Bank branch at XXXX XXXX XXXX in person and spoke with staff member XXXX XXXX who did not help me -but told me to send an emailto him and XXXX XXXX VP & Branch Manager about this situation. I requested : 1. Emergency provisional credits to preserve my government benefits ( or just preserve it- please need meds has XXXX papers- not how it works XXXX said ) 2. Asked if he could call TD Fraud manager, CS Manager w me there would not 3. Asked if could call XXXX bc emergency 4.Reversal of overdraft fees charged during the fraud hold period 5.Any assistance available given my medical emergency All requests were denied. I submitted a written email documenting this conversation. To date, no one from TD Bank has responded to this email or taken any action. -- - LEGAL VIOLATION : Under the New York Exempt Income Protection Act ( EIPA ), unemployment benefits are classified as " exempt income. '' Banks are legally forbidden from seizing, offsetting, or freezing accounts based on exempt government benefits. Federal banking guidelines reinforce this protection. TD Bank 's seizure of {$1700.00} in unemployment benefits after being explicitly told these were government checks constitutes a violation of EIPA and federal banking regulations. -- - WHAT I AM REQUESTING : 1. Immediate restoration of {$1700.00} in seized unemployment benefits 2. Reversal of all overdraft fees charged during the XXXX XXXX fraud hold period 3. Investigation into why TD Bank 's systems are illegally seizing exempt income 4. Confirmation that my account will not be subject to further illegal setoffs of government benefits DOCUMENTATION : - Fraud hold placed : Monday, XX/XX/XXXX - Replacement card received : Saturday, XX/XX/XXXX - Card activated : Monday, XX/XX/XXXX - In-person branch visit : Monday, XX/XX/XXXX ( XXXX XXXX XXXX XXXX XXXX ) - First unemployment deposit seized : Week of XXXX XXXX XXXX ( {$860.00} ) - Second unemployment deposit seized : XX/XX/XXXX ( {$860.00} ) - Written emails XXXX XXXX to branch ( was there upon arrival XX/XX/XXXX Tuesday all wanted was my XXXX any way transfer to savings? Something? XXXX XXXX replied 2x no help nothing cando fraud hold- 6-10 days then 60-90 all wanted was my govt check had no DC no funds - digital DC I locked bc ACH payments going through making me negative and OD fees of {$100.00} and {$70.00} while hospitalized- I got more sick with this stress and no one helping to date - Written email submitted to branch : XX/XX/XXXX ( no response received ) - Staff contacted : In person & email XXXX XXXX, XXXX XXXX email, XXXX XXXX email phone ( got ill couldnt make appt- last emails added XXXX XXXX and forwarded to XXXX XXXX said was in hospital -no one has replied I am currently facing severe financial hardship as a result of TD Bank 's actions during my medical crisis. I am requesting immediate federal intervention to restore my protected government benefits and prevent further illegal seizures.

Company response to consumer: Closed with explanation