Consumer complaint received 2026-04-07 00:00:00
Product: Money transfer, virtual currency, or money service — Domestic (US) money transfer
Issue: Other transaction problem — 
Company: AMERICAN EXPRESS COMPANY
State: NY

Complaint narrative:
I am submitting this complaint against American Express regarding ACH transfers initiated in XX/XX/year> from a XXXX account ending in XXXX ( owned by XXXX XXXX ) to an American Express High Yield Savings account ending in XXXX ( owned by XXXX XXXX XXXX ). American Express allowed the XXXX account to be linked and verified through micro-deposits. Based on that verification, the transfers were accepted. The transfers were authorized, made in good faith, and represented repayment of a legitimate obligation to XXXX XXXX XXXX. At the time, American Express did not disclose or enforce any requirement that the linked external account be under the same name as the American Express account holder. After the funds were received in the American Express account, the account holder, XXXX XXXX XXXX ( my friend ), attempted to access the funds. At that point, American Express restricted the account and blocked access. Only after imposing that restriction did American Express state that the transfers could not be validated under its internal requirements. There is no fraud or unauthorized activity involved. American Express accepted the transfers but did not properly complete or apply them, and has retained the funds instead of returning them to the originating XXXX account. If the transfers did not satisfy American Express requirements, the linked account or the transfers should have been rejected before acceptance of funds. Once American Express determined the transfers could not be validated, it should have promptly reversed or returned the funds rather than continue to hold them. As a result, the funds remain in limbo : they have not been made available through the American Express account and have not been returned to the originating XXXX account. American Express is retaining funds without completing or reversing the transaction and, in communications, has indicated that action by the originating bank is required for return, while not returning the funds itself. I request that this matter be reviewed and that communication with American Express be facilitated to reach a clear and lawful resolution. Specifically, American Express should return the funds to the originating XXXX account without delay or coordinate directly with XXXX to complete that return. This situation raises concerns under established banking and consumer protection standards. Under XXXX XXXX XXXX for XXXX transfers, when a receiving institution can not properly complete or validate a transfer, the expected remedy is to return the funds rather than retain them indefinitely. In addition, the continued retention of funds that were not properly credited may raise concerns under Section XXXX of the Dodd-Frank Act relating to unfair or unreasonable practices. To the extent this matter involves an electronic funds transfer, it may also implicate obligations under the Electronic Fund Transfer Act ( Regulation E ) regarding proper handling and resolution. For these reasons, I request that this complaint be reviewed and that American Express resolve the matter by returning the funds or by taking immediate steps with XXXX to do so.

Company response to consumer: Closed with explanation