Consumer complaint received 2023-05-11 00:00:00
Product: Checking or savings account — CD (Certificate of Deposit)
Issue: Managing an account — Banking errors
Company: CATHAY BANK
State: CA

Complaint narrative:
I am writing to bring to your attention an issue that happened to me with the XXXX XXXX XXXX Cathay Bank. On XX/XX/XXXX, I visited the bank to inquire about the promotional CDs rate of 2.75 % APY that was being offered for three years. My banker, XXXX XXXX XXXX XXXX, and the branch manager, XXXX XXXX XXXX, advised me to wait for the XXXX New Year in XXXX to get a better promotional rate of 3 % APY for 3 years. The another banker XXXX XXXX XXXX went ahead and canceled the transaction that I requested. 

I followed their advice and waited patiently until the XXXX XXXX XXXX in XXXX. When I revisited the bank, I was shocked to find out that the CD rate was only XXXX APY. I felt cheated and mislead by the bank employees. I immediately felt my chest pain and felt shame to believe my banker and her XXXX XXXX XXXX XXXX. But theres no one care about my family lost, until XX/XX/XXXX, when the Assistant Vice President and Branch XXXX, XXXX XXXX XXXX, called me and he wants to met me. He admitted his involvement in the misleading con on my familys money that took place in XXXX with XXXX XXXX XXXX and XXXX XXXX XXXX XXXX. He apologized for his mistake and acknowledged that it was not my fault. ( XXXX XXXX XXXX is working at XXXX XXXX now ). 

I could not believe that no one cared about my familys lost until XXXX XXXX XXXX sent the text message to me to confession. It was even more shocking to learn that Cathay Bank hired XXXX XXXX XXXX to be the assistant vice president and branch manager for years, despite knowing his involvement in the misconduct. 

As a loyal customer of Cathay Bank for over 10 years, I felt betrayed, ashamed, and depressed. That is why I am writing this to inform you that this is not just an isolated case. There may be other customers out there who have gone through the same ordeal as I did. 

Cathay Bank owes its customers the utmost trust and transparency. However, in my case, the actions of its employees resulted in financial loss of my family for {$110000.00} and emotional distress. I urge you to take action and investigate this matter further to ensure that this does not happen again to any of Cathay Banks customers. 

The details are showing below : When I was passing Cathay Bank in XXXX, CA, I saw a big poster that advertised the CD rate of 2.75 % APY for 3 years on Cathay banks window I was very happy because I thought that was a great interest rate for CDs. It was a lot better than what my family got before. 

I walked in to Cathay bank immediately. The only thing on my mind was getting the good interest rate for my sister and her daughter. 

I had no idea the horrible XXXX that was waiting for me. 

After I walked in, the banker XXXX XXXX XXXX XXXX was first to greet me. 

( Image # XXXX ) She said : Can I help you. I pointed to the big poster promotional advertising on the window and said : I want XXXX Banks promotional rate of 2.75 % APY, for 3 years, for my sister XXXX XXXX and her daughter XXXX XXXX ( For Which I Have General Power of Attorney ) for all XXXX of their CDs in the total amount of XXXX XXXX dollars.. 

( Image # XXXX ) XXXX XXXX XXXX XXXX also asked me : What is your social security number?. 
After I told her my SSN and then she looked my familys accounts. 

XXXX XXXX XXXX XXXX said : It is all going to be matured next XXXX new year.. 

I said : All of the XXXX CDs interest rate is too low. I dont want to wait for next year. I want to get XXXX Banks new promotion rate for all XXXX CDS now!. 

After my banker XXXX XXXX XXXX XXXX checked all of XXXX XXXX and XXXX XXXX 's XXXX CD accounts again, she said that I would have to deposit {$100000.00} to qualify. I informed her that I did not have the additional funds today. She explained that I could close XXXX of the existing CDs and deposit it later as the new money. After making the deposit, she said that she would be able to offer me the 2.75 % APY, for XXXX years for all XXXX CDs for XXXX XXXX and XXXX XXXX. 

XXXX XXXX closed XXXX of XXXX CDS. The Account number is : XXXX. 

It is highlighted in yellow below : ( Image # XXXX ) After she filled out the withdrawal form for the account of XXXX, XXXX XXXX XXXX XXXX and the Banks XXXX XXXX XXXX XXXX both initialed the front of withdrawal form. After that, she asked me to sign my name : XXXX XXXX. 

( Image # XXXX ) There are 3 Boxes in front of the withdrawal slip. 
( XXXX ) The PREPARED BY box was My bankers Ms . Sunny Qians initial. 

( XXXX ) The APPROVED BY box ( in the middle ) was the Banks Manager XXXX XXXX XXXX initial. 

( XXXX ) The DATE box ( on the right ) was where the actual date was supposed to go. 

However, my banker XXXX XXXX XXXX XXXX put the wrong date on the withdrawal form, but the computer shows the actual Posted Date as XX/XX/XXXX. 


( Image # XXXX ) XXXX XXXX then asked me to take the withdrawal form to get the cashier check from the teller. I followed her directions and went to the teller to get the cashier check. See copy below. ( There is the initial e which is from another banker : XXXX XXXX at the front of the cashier check. ) ( Image # 6 ) As I was walking out of the bank, XXXX XXXX XXXX, the Branch Manager, approached me and said : " Don't do it now ; come back after XXXX 's New Year. We will be offering 3 % APY for three years! ". He shouted, " Come back in XXXX for 3 % APY for three years! ". He then shouted again in front of me and XXXX XXXX XXXX XXXX, for the teller to Put the check back in her account. ". 

XXXX XXXX XXXX XXXX said He is the Banks Manager. You should listen to him..

I was very surprised and frightened. 

The banker put the account number on the back of the cashier check and deposited. I didnt sign for it. 

( Image # XXXX ) In the XXXX XXXX new year, I went to Cathay Bank, XXXX XXXX XXXX XXXX told me that the CD APY rate was only 0.5 %. 
I also find out XXXX XXXX XXXX became the assistant of the vice president and XXXX branch manager of Cathay Bank. 

I felt a pain in my chest immediately. I thought the pain was going away later, but it was getting worse and worse. 

Later, I found the a large amount of fresh XXXX  came out from my XXXX XXXX Immediately, I went to XXXX XXXX XXXX, XXXX room. And I received my first XXXX in my life. 

After XXXX, I was diagnosed with a particularly aggressive form of XXXX XXXX and my life has been consumed since then with another XXXX XXXX, XXXX, and XXXX XXXX. 

I felt shame and was depressed because I trusted XXXX XXXX XXXX XXXX XXXX and the Banks manager XXXX XXXX XXXX, and they both lied to me about the CD rate. 

XXXX XXXX XXXX and my banker XXXX XXXX XXXX  XXXX were completely misleading me on the XXXX rate. Cathay Bank should be held accountable for their employee 's ruinous financial directive, which resulted in my sister XXXX XXXX and her daughter XXXX XXXX 's loss of {$110000.00}. 

My banker XXXX XXXX XXXX XXXX did not warn me about the potential risks involved in believing the manager 's statements. Instead, She agreed with him. 

I acted in reliance on the truth of the representation and was justified in relying on the representation from my banker XXXX XXXX XXXX XXXX. 

The false representation was a direct cause of my familys financial losses. 

XXXX XXXX XXXX XXXX knew the representation was false at the time it was made. She intended to deceive me. 


I did not sign the back of the cashier check for the account number : XXXX. 

XXXX XXXX XXXX XXXX heard what Manager XXXX XXXX XXXX was guaranteeing for year XXXX, and she did not challenge, stop or disagree with XXXX XXXX 's costly directive. 

In fact, she fully supported him. XXXX XXXX XXXX XXXX said XXXX is the manager. You should listen to him.. 

XXXX XXXX XXXX XXXX is my banker, she has a duty to prevent extremely risky speculations to be made to her customers at the bank. 

Cathay bank should be held accountable for their employee 's ruinous financial miscalculation. 

The banker XXXX XXXX XXXX was there and was a witness to the events. 

XXXX XXXX texted me and indicated that it was not my fault. His text is shown below : Hi XXXX, I like to thank you for being my value customer for so many years. You have been great at managing your sisters and XXXX XXXX acct. I know the previous XXXX XXXX XXXX had offer you a 3 years CD 2.75 %. And he assumed the CD rate will go up to 3 % when it ( all 18 CDs ) matured in XXXX, when you came in the branch that day unfortunately XXXX matured the rate was not at 3 %. It was not your fault, but I hope to continue service you and your family, and I value your business. I will try to offer you the best and highest rate within my ability. Thank you again for your business. 

XXXX XXXX XXXX XXXX XXXX 's text It means all 18 CDs. 





My banker XXXX XXXX XXXX XXXX knew there was a risk, she should have let me know that this was only an estimation and she should take responsibility for what my sister and her daughter lost. 

My banker XXXX XXXX XXXX XXXX and banks manager XXXX XXXX XXXX both worked against bank regulations. Even if XXXX XXXX said that he was speaking on his own behalf the bank is still liable for his words and his actions as he is representing the bank in his position. 

The fact is that the banker and the branch manager acted against regulations. 

XXXX XXXX XXXX XXXX is my banker who started my familys CDs transactions, and ended with XXXX XXXX XXXX XXXX 's false information. She is obligated to protect her clients like me. She did not explain or warn me. She caused my sister XXXX XXXX and her daughter XXXX XXXX to lose {$110000.00} on 3 years interest. 



It is my understanding that there are federal rules and regulations that require banks to clearly, accurately and fully disclose all information around the services and products they have, around the way their banking products work, as well as, how they post and execute the transactions that are applied. 

If a bank misrepresents or does not disclose this information. They can be held liable for damages. 


I am asking that Cathay Bank compensate my sister, XXXX XXXX, and her daughter : XXXX XXXX in the amount of {$110000.00} for the interest they would have earned if Cathay bank employees had properly protected their customer 's money. 

Thanks XXXX XXXX

Company response to consumer: Closed with explanation