Consumer complaint received 2025-11-18 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Funds not handled or disbursed as instructed
Company: U.S. BANCORP
State: CA

Complaint narrative:
1. Summary of the Fraud I issued Check # XXXX payable to XXXX Treasury as an IRS tax payment. 
The check amount was {$2800.00}. 
The check posted to my U.S. Bank account on XX/XX/year>. 
US Bank issued my statement on XX/XX/year>. 
I reviewed my account online and confirmed the correct check number and amount, which matched exactly. 
The banks online system does not show the payee name unless you click into the check image. 
Because the check number and amount matched, I had no reason to suspect anything was wrong. 
Months later, I received an IRS notice stating they did not receive my payment. 
Only then did I discover the check had been altered to a different payee after I wrote it. 
The check I intended to pay to the XXXXXXXX XXXX  was criminally altered after issuance, and US Bank paid the altered item. 
2. US Bank Denied My Claim Improperly US Bank denied my reimbursement claim citing customer duty to examine statements within XXXX days. 
This denial is improper and contradicts the UCC, banking regulations, and reasonable consumer standards.

3. The check was materially altered therefore not properly payable ( UCC 4-401 and 3-407 ) Changing the payee name is a material alteration under UCC 3-407.

A bank may not charge a customers account for a materially altered check, because such an item is not properly payable under UCC 4-401.

US Bank charged my account for a check that was not the check I issued.

4. US Bank can not use the XXXX rule ( UCC 4-406 ) if the bank failed ordinary care Even if a customer delays reporting an issue, UCC 4-406 ( e ) ( f ) clearly states : A customer is NOT precluded from asserting an alteration If the bank failed to exercise ordinary care Or if the banks failure substantially contributed to the loss US Bank failed to detect an obvious alteration, despite having imaging systems and fraud-detection duties.

5. US Bank does NOT display the payee name unless the customer clicks deeper into each individual check image This is critical.

US Banks online system displays only : - check number - amount - posting date The payee name is NOT shown in the statement or transaction list. 
A customer must click and open the check image manually to see the payee something the UCC does NOT require, and something no reasonable customer is expected to do absent suspicion.

I verified the : check number ( matched ) check amount ( matched ) There was no visible discrepancy.

It was not reasonably possible for me to detect the alteration based on the information US Bank provided.

Expecting customers to click open every check image to discover what U.S. Bank itself failed to detect is unreasonable and contradicts the UCCs allocation of responsibility.

6. US Bank is improperly shifting liability for a criminal act onto the customer US Bank : Paid a materially altered check Failed to detect the alteration Provided no warning or system to help customers detect payee fraud Then denied my claim based on a technicality that does not apply to altered items This contradicts : UCC 3-407 UCC 4-401 UCC 4-406 ( e ) ( f ) OCC expectations for fraud handling General consumer protection principles

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