Consumer complaint received 2026-07-19 00:00:00
Product: Checking or savings account — Checking account
Issue: Closing an account — Funds not received from closed account
Company: CITIBANK, N.A.
State: NY

Complaint narrative:
Consumer Financial Protection Bureau ( CFPB ) Complaint Subject : Complaint Regarding Citi 's Continued Withholding of {$9500.00} Following Account Closure I am submitting this complaint regarding Citi 's continued withholding of {$9500.00} from my closed checking account ( XXXX ). While I understand that banks may close accounts for fraud prevention or risk management purposes, I believe Citi has failed to provide a clear explanation or lawful resolution regarding the remaining funds in my account despite repeated attempts to resolve the matter. Background I opened my personal Citi checking account on XX/XX/year>. On XX/XX/year>, I deposited Check # XXXX in the amount of {$4500.00}. This check was a personal gift from an individual. On XX/XX/year>, I deposited Check # XXXX in the amount of {$5000.00}. This check represented payment for services performed by my uncle, which he then gifted to me. After depositing the second check, Citi restricted and eventually closed my account due to suspected fraudulent check activity. What Happened From my understanding, the issue arose because the issuer of Check # XXXX initially told Citi that they did not recognize the check or my name. However, this was later determined to be a mistake. The issuer subsequently contacted Citi again and confirmed that : The check was legitimate. The check was issued by them. The funds were intended for me. The check cleared successfully from their account. The issuer of Check # XXXX also confirmed that their check was legitimate, intended for me, and cleared their account successfully. Both check issuers have confirmed that the checks were valid and are willing to provide signed statements verifying these facts. Funds Being Withheld The total balance in my account was {$10000.00}. On or about XX/XX/year>, Citi returned only {$1000.00} to me. The remaining {$9500.00} continues to be withheld. Attempts to Resolve the Matter After discovering that my account had been closed, I contacted Citi multiple times in an effort to resolve the issue. Although I did not keep records of every call, I made numerous attempts to obtain information about my remaining funds. During these conversations, I received several different and conflicting explanations from Citi representatives, including : The Fraud Department was still reviewing the matter. Because my account had been closed, I no longer had any authority to access the remaining funds. The check issuers would need to contact Citi to claim the funds. The remaining funds were being held by Citi 's Fraud or Account Risk Department. After the review was completed, the funds might be transferred to the state as unclaimed property, and the issuers would then have to claim the money from the state. These explanations are inconsistent and have left me unable to determine who is legally entitled to the funds, why they continue to be withheld, or what process is required to recover them. Neither I nor the check issuers have ever been provided with : A written explanation of Citi 's decision. A case or investigation number. The legal basis for withholding the remaining funds. The status of the fraud investigation. A timeline for resolving the matter. Clear instructions explaining how the funds can be recovered. Why I Am Filing This Complaint I am not challenging Citi 's decision to close my account. I understand that banks have discretion to close customer accounts when they believe fraud or other risks may exist. However, my concern is that Citi continues to withhold {$9500.00} even though : Both deposited checks were legitimate. Both checks cleared successfully from the issuers ' accounts. Both issuers have confirmed that the checks were valid and intended for me. One issuer corrected the initial misunderstanding directly with Citi after mistakenly stating they did not recognize the check. Citi has provided multiple conflicting explanations regarding the status and ownership of the funds. Citi has not provided me with a written explanation or identified the legal authority under which my funds continue to be withheld. Requested Resolution I respectfully request that the CFPB ask Citi to conduct a formal review and provide a written response addressing the following : Why is Citi continuing to withhold the remaining {$9500.00}? What is the current status of the fraud investigation? If the investigation has concluded, what was the outcome? What legal authority allows Citi to continue withholding these funds? Who does Citi consider to be the legal owner of the remaining {$9500.00}? If Citi believes the funds belong to the check issuers, why have the funds not been returned to them? If Citi intends to transfer the funds to the state as unclaimed property, under what legal authority and according to what timeline? Why have I received conflicting information from different Citi representatives? What department currently has custody of the remaining funds? What specific steps are required for the lawful owner to recover the remaining {$9500.00}? I have made every reasonable effort to resolve this matter directly with Citi. Unfortunately, despite multiple phone calls and cooperation from both check issuers, I still have not received a clear explanation or access to the remaining funds. I respectfully request the CFPB 's assistance in obtaining a complete written explanation from Citi and helping ensure that this matter is resolved fairly and in accordance with applicable banking laws and regulations. Thank you for your time and consideration.

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 monetary relief