Consumer complaint received 2024-04-10 00:00:00
Product: Money transfer, virtual currency, or money service — Money order, traveler's check or cashier's check
Issue: Problem with customer service — 
Company: NAVY FEDERAL CREDIT UNION
State: FL

Complaint narrative:
On XX/XX/2024 I deposited a XXXX cashier 's check from XXXXXXXX XXXX into my checking account with Navy Federal Credit Union using their ATM. On XX/XX/2024, Tuesday, I received an email re information regarding my deposit. They were placing a hold on most of the money because they had " reasonable cause to believe that the check ( a cashier 's check made out to me going into my checking account ) is uncollectible from the paying bank based on confidential information that indicated that the check may not be paid. '' If the bank pays I can access the money 5 days after I deposited it. 

Not only do I object to the longer hold but the explanation states that there is some problem with this specific check and essentially says the check is suspicious. It sounds like they are accusing either me or the bank of passing bad check. 

I called the information number XXXX XXXX. First person could not say why the hold was place or what the language meant. She asserted it was generic or routine, which it is not because I have received other notifications without this " reasonable cause '' and confidential information '' etc. I spoke to a supervisor who said all checks took 5 days to clear and that this was generic and routine. I kept referring her to the language addressing the suspiciousness of this check. She said she would hang up because I kept asking the same question and that I was rude as I probably was raising my voice in frustration. She hung up. I called back later. Initially I was directed to the banks disclosure material which explained that most holds were 2-3 days and listed reasons for longer holds such as depositing checks in one day for > about XXXX. She transferred me to supervisor when I again asked why for this check. I was disconnected I sent an internal email twice asking for the reason and to be referred to their legal department because this language should be removed and replaced with the reason for automated extended hold. No help I visited my NFCU. They said that they could not say why and that this is all automated and they can not access this information. Referred me to legal department. 

Legal replied they do not have time to respond to me. 

I want this language to be removed and not used except when there is specific reason for suspicions regarding a check. If the extended hold is applied, the notification should state the reason such as redepositing a check, large deposits etc. 

This has been very distressing to be accused of passing bad checks and having everyone say it is routine. And it is not true ; NFCU neither received a tip from an informant nor investigated this check for its authenticity. In fact they all say this is automatic and no one has access to information. So please request that they use appropriate language in their notifications and that they provide a reason if a check is suspicious.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation