Consumer complaint received 2023-04-20 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: WELLS FARGO & COMPANY
State: MT

Complaint narrative:
I opened a Wells Fargo checking account on XX/XX/2023, by depositing a {$2500.00} check written from my checking account with XXXX XXXX. I was told that {$220.00} of the check would be available immediately and that the remaining balance of the check would be available on XX/XX/2023. 

On XX/XX/XXXX, I realized that there were {$0.00} in my Wells Fargo account. Wells Fargo issued a notice that same day, stating that the account was " inactive. '' I called customer service, and they told me that " the Federal Reserve placed a hold on [ my ] check. '' I asked for more information on the hold, but they were not able to help me because it was a Saturday, and none of the bankers were working. 

In the meantime, I logged onto my online XXXX XXXX  account and noticed that the {$2500.00} check to Wells Fargo had cleared. Wells Fargo had in fact taken that money from my XXXX XXXX  account but was not releasing it into my Wells Fargo account. 

I called Wells Fargo customer service again on Monday, XX/XX/2023. They told me that my XXXX XXXX  account was flagged as " inactive '' and that they were not able to confirm the validity of the account. They said my funds would be on hold " at least '' until XX/XX/2023. I asked what would happen on XX/XX/2023, that would cause the funds to be released, and they said the funds would not necessarily be released -- that was just the soonest date that the hold could be lifted. Upon further questioning, it was clear they did not understand why the check was placed on hold and were just repeating some script they had for this type of situation. 

I contacted XXXX XXXX  that same day ( on XX/XX/2023 ), and they assured me that my XXXX XXXX  account was not inactive, that the check had been cleared since XX/XX/XXXX, and that any delays with the disbursement of funds was due to Wells Fargo, not XXXX XXXX. 

On XX/XX/XXXX, I contacted Wells Fargo again, and they transferred me to their loss prevention unit. They said that I needed to ask XXXX XXXX  to fax them a letter stating that my XXXX XXXX  account was " active. '' The following day, XX/XX/XXXX, I went to XXXX XXXX, and I personally watched the branch manager fax a statement to the Wells Fargo loss prevention unit. Four hours later, I called Wells Fargo 's loss prevention unit because Wells Fargo had not yet released the funds into my account. Wells Fargo 's agent told me that the reason for the hold was not that the XXXX XXXX  account was flagged as " inactive, '' but because my Wells Fargo account is new and they need to verify all new checks that get deposited. I explained that what she was saying contradicted everything I had been told up to that point. I tried explaining to her that I faxed in a statement from XXXX XXXX  four hours earlier, as the previous Wells Fargo agent had instructed me to do. After telling me that she was transferring me to another agent because I had exceeded her " 5-minute limit, '' she hung up on me. 

I called the Wells Fargo loss prevention unit back again on XX/XX/2023. This time, the agent said they reached out to XXXX XXXX  but were not able to verify that the account was active. I told the agent that I did not believe her because I had personally been to XXXX XXXX  and watched the branch manager fax a statement to Wells Fargo 's loss prevention unit verifying the validity of the account. She then contacted the loss prevention unit 's " executive office '' and was able to locate the fax that XXXX XXXX  had sent. She then told me that the fax was not sufficient. They needed to speak to the XXXX XXXX  branch manager who sent the fax to verify its authenticity. I waited on hold while she called the branch manager, and she told me she was not able to reach her because it was slightly after XXXX XXXX local time. She told me she left a voicemail with the branch manager, and she advised me to call Wells Fargo back the following day. 

In the meantime, someone from a local Wells Fargo branch had called and left a voicemail on my phone, responding to a dissatisfied customer survey I took after opening the account. She said in her voicemail that the check was on hold because there were " insufficient funds '' in the XXXX XXXX  account. She said she personally called XXXX XXXX  and verified that there were insufficient funds. There were never insufficient funds in the XXXX XXXX  account, so this person was clearly lying to me. 

The following day, XX/XX/2023, I called Wells Fargo 's loss prevention around XXXX XXXX They told me they were unable to reach the branch manager at XXXX XXXX. I asked them to keep trying to call her. They said they tried again and were unable to reach her because she was " helping another customer. '' They then explained to me that they were holding my check pursuant to Regulation CC. I told them that they could not hold my funds for more than a reasonable time and that they needed to have reasonable cause to do so. She was not able to explain what the reasonable cause was, so she transferred me to someone from the Executive Office. 

The Wells Fargo agent from the Executive Office said she tried calling XXXX XXXX  but the branch manager was " not in '' today. I told her that was a lie because the last agent who just transferred me said the branch manager was helping other customers. She then told me Wells Fargo placed my check on hold because it was a " new account '' and because my XXXX XXXX  account was flagged as " inactive. '' I explained the account was not inactive and asked her to call the branch manager again. She put me on hold to purportedly call the branch XXXX. When the Executive Agent of Wells Fargo returned from placing me on hold, she said : " Ok, I released your funds. It was only {$2500.00}, so I released it as a courtesy to you! '' And she hung up the phone. 

I then spoke to the branch manager at XXXX XXXX  ( the one they were purportedly trying to reach ), and she told me she spoke to the Wells Fargo agent on the morning on XX/XX/2023, and she assured Wells Fargo that my XXXX XXXX  account was active and that the check had cleared.

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