Consumer complaint received 2025-02-03 00:00:00
Product: Checking or savings account — Checking account
Issue: Problem with a lender or other company charging your account — Transaction was not authorized
Company: BMO BANK NATIONAL ASSOCIATION
State: WI

Complaint narrative:
Counterfeit checks discovered on XXXX, Affidavit signed and submitted on XXXX, police report submitted XXXX. Checks totalling {$16000.00} withdrawn from account. Checks were not properly payable ( incorrect routing number, no mention of my name or business, no endorsement ), nevertheless they were withdrawn from account, with no holds placed. 

Reimbursement denied on XXXX, only 2 days after submission, including items paid out within BMOs 30-day period. The letter was not mailed, was not placed in my electronic mailbox, no calls or emails about this resolution. I only found out about it because I inquired with the bank manager. No appeals process was offered on the decision. 2 Days in my estimation is not sufficient time to have properly investigated this instance, I was not contacted which I would have expected. 

Their reasoning was that they were not informed inside of their imposed 30-day period, aligned with UCC 4-406 subsection C-D, therefore I was precluded from reimbursement, and in fact, no mention was made that some of the transaction occurred inside of their window, it was a blanket denial. 

However, UCC 4-406 E states that the customer can not be precluded from reimbursement and subsections C & D do not apply if the bank did not exercise ordinary care and that failure substantially contributed to the loss. 

It is my contention that these counterfeit checks, ( omitting every major piece of legitimate information save the account number ) were not properly payable, and BMO is at fault for processing them and not exercising a basic measure of care. How can a check with the incorrect routing number be processed without being flagged, regardless of the name and signature on the check, absent as they were? 

While I sincerely wish I had noticed the checks on my statement, this occurred during a particularly stressful time. My XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXXXXXX due to XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. Doing a full review of my statement wasnt atop my mind after never having had cause for concern in 24 years of being a BMO ( and formerly XXXX XXXX XXXX  ) customer. 

Further to the actual fraud itself, the customer response from BMO was severely lacking. 
The notice of denial was not transmitted electronically or delivered by mail, and as of this morning, when I had asked the manager to elevate my complaint, no response had been offered. I do not believe adequate consideration and examination was conducted into the situation, and it was essentially a rubber-stamped denial. Since submitting the affidavit on XXXX no representative from BMO had followed up of their own accord. 

As a self-employed business owner, this financial loss is not unsubstantial and I have no recourse beyond what BMO will offer. I am bitterly underpowered beyond lodging these complaints, as BMO is seemingly refusing to own up to their lack of care in having withdrawn almost {$17000.00} from my account on the basis of flimsy, fraudulent checks that clearly demonstrate no duty of care to the trust we place in a bank. 

I have attached copies of the fraudulent checks as well as the 'reply ' from BMO.

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