Consumer complaint received 2024-05-16 00:00:00
Product: Checking or savings account — Savings account
Issue: Managing an account — Deposits and withdrawals
Company: GOLDMAN SACHS BANK USA
State: NY

Complaint narrative:
***WARNING re : Marcus by Goldman Sachs Security & Accessing Funds for House Down Payments*** I am in the process of buying a house, and had the money intended for the down payment in my Marcus by Goldman Sachs account XXXX 

On XX/XX/XXXX, I called Marcus to inform them that I would be needing to make a large transfer out of the account ( {$140000.00} ) to an attorney 's escrow account in the next few days. " No problem, just call us and tell us the account when you're ready '' they said. Great! 

On XX/XX/XXXX I called to request the transfer. I was told I couldn't do it, as the destination account was not in my name. Nobody told me this earlier -- but in need of the funds being transferred ASAP, I authorized a transfer to my XXXX XXXX  XXXX account and would then wire them from there into escrow. The same XXXX XXXX XXXXXXXX account has been linked to Marcus for years, with dozens of transfers in and out. 

A little while later, a Marcus rep called to confirm that I had indeed authorized the transfer. I confirmed and provided my authentication details. A few hours after that, another rep called to tell me that actually, they couldn't complete the transfer because another account was linked to Marcus that wasn't in my name. The other account is my wife 's account, and has similarly linked to Marcus for quite a while with a history of transfers in and out. This was not the account we were transferring to... it was just there. 

They then informed me that the only solution was to send the money in Marcus 'back to the original accounts '. This meant ~90 % ( $ XXXX ) of it to my XXXX and XXXX % ( $ XXXX ) to my wife 's XXXX. Fine -- the 90 % could cover the urgent down payment needed. I stressed the importance of this transaction going through quickly as these hurdles were not made clear to me and I was assured the funds would be available quickly when needed. 

On XX/XX/XXXX, I called to check on the status of the transfers. The one to my XXXX XXXX XXXX account had been reversed, my wife 's transfer was still pending. I called repeatedly to get the transfer unreversed, begging them as we were at risk of losing the house. It finally went through after about a dozen phone calls ( XXXX from the fraud support team was the ONLY one who was actually able to provide competent answers out of the countless others who fed me nonsense ). 

On my XXXX the transfer to my wife 's account was reversed without providing us with a reason or a verification. Just reversed. 

On XX/XX/XXXX and XXXX, I restarted the effort to transfer the remainder out. Online transfers tell me an issue has occurred and to call the support number. After authenticating over the phone with my birth date, last 4 of social, and secret word, I was told that the phone number on file had been " imported into their new system, and they can not send authentication codes to it. '' I have a New York driver 's license, and they can not authenticate with that either. 

So ... they asked me for a new phone number to send an authorization code to. I CAN NOT STRESS enough what a MASSIVE security flaw this is. I was told I could provide just any secondary cell number that wasn't the one on file. In no way, shape or form does this help verify my identity and is in fact a huge security flaw in and of itself. A user should never ever provide their own second factor of authentication, it makes XXXX sense to ask me to provide an arbitrary phone number that deliberately is *not* the one on file. Wholly unacceptable. 

Anyway... the money is still in my account, and they will not let transfers through, and they can't authenticate me over the phone because they can't send a 2 factor auth code to my phone and they can't verify New York drivers licenses. My money is locked and they will not authenticate me over the phone to transfer it, and attempting online transfers tells me to call.

Company response to consumer: Closed with explanation