Consumer complaint received 2024-05-06 00:00:00
Product: Checking or savings account — Checking account
Issue: Problem caused by your funds being low — Bounced checks or returned payments
Company: U.S. BANCORP
State: KS

Complaint narrative:
I am again writing to you about US Bank Reliacard. I am writing again about their deceptive practices. I am writing again because although I continue to report to you what they are doing, you have done nothing to assist me or regulate US Bank. 

US Bank froze my account and my wife 's account and denied access to those accounts. This created a great hardship on me. In a letter from US Bank they acknowledge this hardship and apologize for it. This letter is an admission of guilt on the part of US Bank and this admission of guilt and the letter is evidence that I qualify to receive payment. In fact your own director stated : " At a time when unemployment was close to 15 %, many out-of-work Americans throughout the country had little choice but to rely on U.S. Bank for their unemployment benefits. U.S. Bank blocked access to accounts and demanded burdensome paperwork in order for consumers to regain access to their frozen benefits, '' said CFPB Director Rohit Chopra. " U.S. Bank must comply with the law, and the CFPB and OCC are making the bank pay for its conduct. '' Well I am still waiting on you to act and make the bank pay for all the losses I have experienced at their hands. I have seen no cooperation from the CFPB or US Bank. When exactly do you plan on enforcing these things and not just talk about them?

To make matters more insulting, US Bank issued two checks that they then rejected, that were issued from the funds in my wife and my bank accounts. So after waiting all that time for unemployment benefits that were locked up in frozen bank accounts, the false hope in the form of a paper check was offered and then not provided. US Bank claims that the checks that were deposited at a bank in XXXX KS on XX/XX/XXXX and then rejected had been previously digitally deposited else where. This was not a fact. 

US Bank sent copies of the checks that they claim were previously paid out. I noticed firstly that the back of the checks were not signed. My signature was not present on these check copies. There was only a stamp on the back saying XXXX XXXX XXXX  and the name, XXXX XXXX XXXX XXXX. I have never held a bank account at XXXX XXXX XXXX XXXX. The lack of signature and the bank where US Bank claims these checks were allegedly cashed show no connection to me. These funds that were issued by US Bank to me, that were not deposited by me, until XX/XX/XXXX, that were for the balance remaining in my account and my wifes account, are still owed to me. 

As mentioned, I have never held a bank account at a XXXX XXXX XXXX XXXX XXXX XXXX XXXX excuse of the checks being paid out is not a good excuse. I once held an account at a different bank branch that existed under XXXX XXXX XXXX XXXX, but this particular bank I held an account with was not named XXXX XXXX XXXX XXXX  To further point out US Banks ridiculous claims I will mention the timeline of all of this. US Bank claims that one of these checks that are still owed to me had been cashed on XX/XX/XXXX and another on XX/XX/XXXX. The only bank account I have ever held with any branch that was remotely affiliated with XXXX XXXX XXXX XXXX, which again, bears a different name, was not even in existence at the time US Bank claims the checks were cashed prior. My bank account, the only XXXX ever affiliated with a XXXX XXXXXXXX XXXX XXXX was not opened until Thursday XX/XX/XXXX at XXXX. I have verification of this. 

I would like to hear what US Bank has to say about the fact that a check bearing no signature on the back, being deposited to a bank I have never had an account at, is somehow my loss or responsibility? I would like to hear what US Bank has to say about the fact the the only account I have ever held that was somewhat affiliated with a XXXX XXXX, was not in existence at the time they claim these checks they owe me were cashed. If an account did not exist with a XXXX affiliate until XX/XX/XXXX, how exactly am I responsible for unsigned electronic checks that were cashed in XXXX and XXXX earlier in the year? The answer is simply, I am NOT. 

The one and only time I deposited these XXXX checks was on XX/XX/XXXX. They were deposited with the XXXX XXXX XXXX  and that is where the money stayed until a later date when part was withdrawn. Shortly after the withdraw, US Bank rejected the very same checks that they had issued to me, the very same checks that they funded using my account and my wife 's account, the very same checks with tracking numbers verifying the validity, the very same checks that US Bank wrote me a letter indicating that they wrote these checks because they owed this money to me and they apologized for their poor service. 

In summary, US Bank was guilty of deceptive practices in the past. The frozen assets that they refused to provide when necessary caused the loss of my home and even my state residency. US Bank was called out for these poor practices on XX/XX/XXXX when the CFPB made an order against them for doing exactly this. The letter I received from US Bank in which they admit doing these things to me is proof enough that I should be paid a great deal from their deceptions in addition to the amount they owe from the checking accounts, totaling {$3800.00}. I expect the CFPB to actually hold US Bank accountable and see to it that I am paid the amount of {$3800.00} for the account funds and more for all the hardships this has caused. To continue the summary, US Banks excuse for rejecting the checks they wrote to me is a weak attempt to weasel out of what they owe. The checks bore no signature by me and were said to be cashed at a bank I held no account. Even an affiliate account held by me did not come into existence until 8 months after the check was said to have been cashed, making this an obvious impossibility. 

I am fed up with the lack of honesty and cooperation by US Bank, and nearly as fed up with the CFPB and the inability to act or enforce these things. Should US Bank decide yet again to deny me what they owe me and not issue my money promptly, the following will occur : I intend to file suit against US Bank Reliacard in an amount that far exceeds any amount we have discussed here. I have contacted a highly reputable banking and finance attorney from XXXX  XXXX and I we will see to it that US Bank pays and pays greatly. The wheel is in motion to recuperate what US Bank owes me, so I offer you only one chance here and now to pay what you owe or you will pay what you truly owe for all the hardships and losses you caused. What's it gon na be US Bank Reliacard? Are you going to own up to your ridiculous attempts do dodge paying what you owe, or are we going to war for the long haul? I am a consumer needing redress and am owed as such. US Bank owes me a civil money penalty payment of large amounts and the CFPB had better enforce the payment to me. 

As a reminder for US Bank and the CFPB, the order made was something like this : On XX/XX/XXXX, the XXXX issued an order against U.S. Bank in connection with its administration of prepaid debit cards that held unemployment insurance benefits. U.S. Bank has offered prepaid debit cards to eligible consumers in at least XXXX states and the District of Columbia to distribute unemployment insurance benefits through its ReliaCard program. In the summer of XXXX, U.S. Bank implemented new freeze criteria to determine whether to freeze a card due to suspected fraud. Using these new fraud controls and its expanded criteria used for freezing accounts, U.S. Bank froze the accounts of tens of thousands of cardholders eligible for benefits. The Bureau found that U.S. Bank engaged in unfair acts or practices in violation of the Consumer Financial Protection Act of XXXX by failing to provide those eligible ReliaCard prepaid debit cardholders whose accounts U.S. Bank froze with adequate means to verify their identities and timely regain access to their benefits. For freezes that U.S. Bank imposed in XX/XX/XXXX through XX/XX/XXXX, on average it took a month or longer for consumers to unfreeze their ReliaCard accounts. And for freezes that U.S. Bank imposed in XX/XX/XXXX through XX/XX/XXXX, on average it took multiple weeks for consumers to unfreeze their ReliaCard accounts. The XXXX also found that U.S. Bank violated the Electronic Fund Transfer Act, and its implementing Regulation E, by failing to timely investigate ReliaCard prepaid debit cardholders ' notices of error concerning alleged unauthorized electronic fund transfers ( EFTs ). The order requires U.S. Bank to provide {$5.00} XXXX in redress to consumers and to pay a {$15.00} XXXX civil money penalty. The order also requires U.S. Bank to take measures to ensure future compliance. The OCC concurrently issued an order against U.S. Bank addressing U.S. Bank 's conduct relating to administration of the ReliaCard program, separately fining it {$15.00} 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