Consumer complaint received 2024-03-01 00:00:00
Product: Checking or savings account — Savings account
Issue: Problem with a lender or other company charging your account — Transaction was not authorized
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: GA

Complaint narrative:
Subject : Consumer Complaint Against Bank of America To Whom It May Concern, I am writing to file a formal complaint against Bank of America regarding a right-to-offset withdrawal taken from my personal savings account to make a payment on my business credit card account, which is currently in collections. The offset has significantly exacerbated my financial hardship, particularly regarding my mortgage payments. 

In XXXX, I experienced severe financial difficulties, causing me to fall behind on payments to my XXXX XXXX, Bank of America credit card, and a personal mortgage account I have with XXXX. Bank of America withdrew {$580.00} from my personal checking account ending in XXXX on XX/XX/XXXX, to satisfy XXXX XXXX XXXX XXXX closed credit card account currently in collections with Bank of America. The bank did this just before I could make the past-due mortgage payment. This payment was initially rejected by the bank on XX/XX/XXXX. I finally got enough money to pay the mortgage payment, but was not notified that a right to offset would be initiated. When they took the money from that account I contacted the collections department informing them of my hardship. I explained, the money was allocated for an overdue mortgage payment. I asked that they reverse the debit, so I could make mortgage. Each agent informed me they were within their right to offset my checking account to pay the overdue business credit card account. I informed the last agent I spoke to that I did not want them to take any monies from my account, because I was suffering a hardship that their withdrawals exacerbated. Paying the business credit card debt associated with XXXX  XXXX XXXX XXXX caused me to miss the mortgage payment altogether. I was unable to recover from the expense of the offset, so I requested a modification with my mortgage company. 

Subsequently, on XX/XX/XXXX, Bank of America withdrew an additional {$670.00} from my savings account ending in XXXX for XXXX XXXX XXXX XXXX  business credit card, leaving me unable to fulfill my mortgage trial modification payment obligations. I tried to contact the bank a few times, but never received notice in either instance by phone or mail that they would take this course of action. Despite my pleas for reconsideration, Bank of America remained adamant about their actions. I was informed by Bank of America 's collections department that the offset would not be reversed, citing their right to do so. Despite explaining the hardship it caused, including the risk of foreclosure, they refused to reconsider even after I told them its illegal for a bank to create a hardship for their customers to satisfy a credit card debt, and its also illegal to withdraw funds from a bank account once the customer rescinds permission to do so. They explained that they were still within their rights since I signed documents pertaining to withdrawing funds to offset the business credit card account. 

On XX/XX/XXXX ( today ) I spoke with XXXX XXXX an executive escarions rep for Bank of America who confirmed the banks decision not to reverse the funds taken. I requested a copy of the signed agreement. She advised me to call card services. Ive attached my XXXX bank statement along with a screen shot of the savings account showing the XXXX offset. ( The date shows the XXXX, but Id checked my accounts multiple times each day and did not notice the debit until the XXXX ), and a screen shot of the checking account from the XXXX as proof that there would have been enough to satisfy the trial modification mortgage payment. 

Furthermore, in a separate dispute with a XXXX wholesaler, I faced a similar lack of consideration from the Bank of America 's credit card dispute department. Despite providing ample evidence and complying with their requests to provide photos and interaction between myself and the merchant, the credit applied to my account was reversed six months later, ignoring a thirty-day resolution. According to the notice received, they required further proof, requesting I obtain an appraisal on the merchandise by an uninterested third party on company letterhead. This incident was unexpected, causing additional fees and exceeding the credit limit. 

I am deeply distressed by Bank of America 's actions, which have pushed me further into financial instability and jeopardized my home, which is in danger of being foreclosed due to a required payment of {$2100.00} to be made on XX/XX/XXXX, of which {$670.00} was taken from my personal savings account on XX/XX/XXXX, causing me to default on my mortgage obligations a second time. I urge you to investigate this matter thoroughly and take appropriate action to rectify the situation. 

Please find my contact information below : XXXX XXXX XXXX ( XXXX ) XXXX Thank you for your attention to this matter. 

Sincerely, XXXX XXXX

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