Consumer complaint received 2025-02-01 00:00:00
Product: Checking or savings account — Other banking product or service
Issue: Managing an account — Deposits and withdrawals
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: CA

Complaint narrative:
Dear Consumer Department, I am writing to express my concerns regarding my previous complaint to your office case # XXXX which I made concerning fraudulent charges on my account. After filing the complaint, I received a call from Bank of America, and the investigation concluded in my favor. However, my access to my account has since changed, particularly in how I conduct my transactions. 

On XX/XX/year>2025, I deposited a check issued by our insurance company, XXXX, made payable to an auto body shop ( XXXX XXXX XXXX ) and endorsed to us, as we had already settled payment with the auto body shop. After making this deposit into my Bank of America checking account, I was informed by XXXX on XX/XX/year>2025, that the funds had been withdrawn from their account and confirmed that the check was validly endorsed and deposited into my account. 

When I contacted Bank of America, a representative assured me that the deposit would clear by XXXX XXXX, 2025. On XX/XX/year>2025, the check cleared and appeared in my available balance. However, I was unable to access my account. Upon further inquiry, I learned that my checking account was closed on XX/XX/year>2025, due to the deposit of a check not made payable directly to me, despite the fact that it had been properly endorsed to me. 

The representative informed me that I could no longer use my account, and the remaining balance would be returned to the issuer on XX/XX/scrub> 2025. I sought clarification on why Bank of America cleared the check while withholding my funds for over 30 days, rather than rejecting or returning the check initially. The response I received was unsatisfactory, as it simply stated that the funds would be held and returned to the issuer without clarifying how the recipient would understand the purpose of the funds without any reference. 

This situation raises serious concerns about Bank of America 's practices. The bank cleared the check and withdrew funds from the issuer 's account, which is also with Bank of America, yet they held my funds for an extended period before closing my account. I believe this violates their own terms and conditions regarding check endorsements. Furthermore, on XX/XX/year>2025, Bank of America closed my credit card account, which is unrelated to my checking transactions, without providing any reason. They also sent me a letter indicating that this would be reported to the XXXX XXXX, XXXX XXXX XXXX XXXX, XXXX XXXX XXXX and other credit agencies ) potentially preventing me from opening accounts with other financial institutions. My credit record is clean, with no negative reports or bad checks has ever been reported. 

I urge Bank of America to rectify their actions, as I am prepared to pursue legal action if necessary. I believe that my previous complaint to your agency prompted Bank of America to issue a refund and conclude the investigation in my favor. However a retaliatory action, to a current situation by restricting my ability to conduct transactions, including deposits, withdrawal, utilizing XXXX, and closing my credit cards measures taken by Bank of America have severely impacted my financial activities. 

1. **Improper Account Closure** : Closing my checking account after I made a deposit to a properly endorsed check violate banking regulations regarding account management and customer rights. Banks are generally required to provide clear and valid reasons for closing an account which Bank of America failed to provide. 

2. **Withholding Access to Funds** : Bank of America 's decision to withhold access to your funds for an extended period after the check cleared is a violation of standard banking practices. Banks guidelines dictate how long they can hold funds after a check has been processed. 

3. **Lack of Clear Communication** : The failure to provide clear and satisfactory explanations regarding the clearance of the check and the closure of my account indicate a violation of consumer protection laws related to transparency and customer service.

4. **Inconsistent Handling of Endorsed Checks** : If Bank of America allows checks to be endorsed, refusing to honor my deposit based on the check 's endorsement status may not align with their stated policies, potentially constituting a violation of fair banking practices.

5. **Retaliatory Action Against My Credit Card** : Closing my credit card account without providing a valid reason and reporting it to a consumer checking agency I considered this retaliatory and that will harm my financial standing. This action is a violation of my consumer rights, especially if it was taken in response to my previous complaint.

Bank of America has not acted in accordance with proper banking regulations and consumer rights.

I respectfully request your assistance in resolving this matter, as I feel I have been treated unfairly and that Bank of America has not adhered to proper banking practices. Thank you for your attention to this issue. 

Sincerely, XXXX 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