Consumer complaint received 2025-05-14 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Funds not handled or disbursed as instructed
Company: JPMORGAN CHASE & CO.
State: GA

Complaint narrative:
I am writing this letter to file a formal complaint against Chase Bank for its predatory and unlawful practices. I have been a customer with Chase for several months before opening the business account. On XX/XX/XXXX, I deposited XXXX XXXX Treasury checks into my business account. The receipt said the funds would be available by XX/XX/XXXX. The banker who assisted me showed me how to call the number XXXX to have the funds lifted. I called on XX/XX/XXXX, the agent told me the checks had to be verified by the IRS. 

I called into the provided Chase phone line on XX/XX/XXXX. The agent mentioned there was absolutely nothing wrong with the account, the funds just needed to be verified. The agent said I needed to call the IRS to verify that the funds are not being held on their end. From there, the agent told me to call back with the IRS on the line, and they could verify the funds to get the hold lifted. I called the IRS using the phone number XXXX, which is provided on the XXXX Treasury XXXX provided with the checks. I was able to get an agent from the IRS, and she confirmed that there were no holds or anything on their end that would prevent the bank from releasing the funds. The agent allowed me to call the number provided by Chase to verbally confirm the funds for them. The chase agent got on the line and was extremely agitated that the IRS was on the call. Despite what the previous Chase agent mentioned, he said they had to call the IRS on their end and said the IRS agent on the line wasnt necessary. The IRS agent mentioned that there were no issues on their end with the funds, and this is on XXXX end before exiting the call. The chase agent proceeded to say that the funds werent the problem. The account was restricted because it was a new account, and they were waiting for the back office to lift it. He said they had until XX/XX/XXXX, to release everything, but the funds could be released before then. According to the XXXX Funds Availability Act, under the XXXX Accounts ( XXXX ( a ) ), an account is not considered new if each customer on the account has had, within XXXX calendar days before the account is established, another account at the bank for at least XXXX calendar days. As previously mentioned, I have other accounts with Chase that have been established over 30 days. 

I had a company event scheduled in XXXX predicated on the guarantee that Chase provided that my funds would be released on XX/XX/XXXX. My vendors were lined up, and the event was scheduled to begin on XX/XX/XXXX. Every agent previously mentioned that the funds would be released on XX/XX/XXXX. I called again on XX/XX/XXXX, before my workers and I flew out to XXXX, and the guy said everything would be released on XX/XX/XXXX, but I might have to call in to lift the restriction. 

On XX/XX/XXXX, the funds were released into the account. Seeing the funds in my account, I proceeded to create a wire transfer to secure the payment owed to my main vendor. Chase denied my wire and immediately restricted my account again and completely locked me out of the app. At XXXX AM, I went to the branch located at XXXX XXXX XXXX XXXX, XXXX, FL XXXX. The banker reached out to the same phone number provided. The agent on the line said there was a XXXX wait to reach the IRS, and they told me I needed to get the IRS on XXXX phone and call in with them. The banker told me to try again on XX/XX/XXXX at XXXX AM. 

I called the IRS using the phone number XXXX and got an agent in XXXX minutes. I told her the scenario, and she allowed me to call the chase line again. The agent got on the line and reconnected to an escalation XXXX. The agent said they couldnt accept the IRS agent on the phone, and they had to call from their end. He said they had to make sure that the funds were payable to me. He asked the IRS agent for the phone number for them to use to call back in. She provided the number XXXX. The agent called, and I remained on hold for over XXXX minutes before the call dropped. I didnt receive any call back from Chase or that agent. I called the line again, and the previous agent claimed they couldnt reach a live person with the number provided. I provided the phone number XXXX, and the agent said it wasnt a number registered to the IRS. I said the number is on their website. She said their system doesnt go by websites, but it goes by public record. I provided the number XXXX, which the previous agent had. She tried to call and said she couldnt reach a live agent. I requested that she create a three-way call so I could try to reach an agent. She tried twice, but due to the feedback on the phone line, the IRS automated system couldnt hear the responses and hung up the phone. I asked if there was a website or API that they used to verify XXXX Treasury checks. The agent said, No, we need verbal confirmation from the IRS that the funds can be verified and payable to you. She got agitated and rushed me off the phone and said I needed to call the IRS to see how they could get in touch to a live person. 
I called the IRS using the number XXXX and figured out the sequence to get to a live agent. The agent I was speaking to said she didnt understand what else the bank could need to verify the funds. She suggested taking the treasury letters to the bank. Around XXXX PM, I went up to the branch located at XXXX XXXX XXXX, XXXX XXXX, FL XXXX. XXXX XXXX was able to help me tremendously. XXXX scanned in the XXXX Treasury letters. From there, he called into the back office line to get an agent. That agent received verbal confirmation from the IRS and verified the funds, she verified I was the business owner, she requested the restriction on my account be lifted. This phone conversation took approximately XXXX hours. They said the restriction should be lifted within XXXX minutes, and they will notify me when it is completed. I went back to the branch after an hour, and my account was still restricted, and by this time, nobody wanted to further assist because it was time for the branch to close. They told me to give it overnight to resolve. 

On the morning of XX/XX/XXXX, my account was still restricted. I called into the chase line around XXXX XXXX XXXX, and the supervisor I spoke with said the account reinstatement request was submitted yesterday but the request was denied due to an address change that caused the account address not to match the check address. She was willing to help because she could see in the notes that the address change was required by a banker. She mentioned that they had already verified the legitimacy of the checks. She said she had to verbally verify the funds with the IRS, she asked what the checks were for, and asked other questions that were mentioned the day before to verify the funds. She couldnt get an IRS agent on the line, so she said it might be too early and to call back later. I went into the branch located at XXXX XXXX XXXX, XXXX XXXX, FL XXXX. I was assisted by XXXX XXXX, and he called the back office and got the agent XXXX. XXXX said the account reinstatement request was submitted yesterday, and everything was verified with the IRS. He mentioned that the account reinstatement was denied but it wasnt simply due to the address on the account. He said the higher office that processes these requests wont accept a verbal confirmation from the IRS ; they want to see documentation. He said it takes XXXX business days for them to receive. The XXXX Treasury letters were uploaded to the system, but they havent been added to the account. They told me to give it XXXX business days to receive the uploads and put in another request to have the account unrestricted. 

According to the Expedited Funds Availability Act, General Rules ( XXXX ( a ) XXXX ( c ) ), XXXX Treasury checks must receive next-day availability. Even for large deposit checks, under the new account exceptions, at least {$5500.00} should be released the next day and the XXXX business day for the remaining portion of the deposit. None of the regulations of this act have been followed by Chase Bank when it comes to my account and many others. 

On XX/XX/XXXX, I filed a formal complaint with the XXXX office, XXXX XXXX, XXXX XXXX, XXXX XXXX, XXXX XXXX, XXXX XXXX, and XXXX XXXX. On XX/XX/XXXX, a representative from the XXXX office contacted me to say that they would investigate this issue. On XX/XX/XXXX, the same representative reached out to say that Chase didn't accept XXXX Treasury letters and blamed the IRS for not verifying the funds. Despite getting verbally verified by the IRS in front of a banker and on the recorded line with a Chase back office representative, I'm still being told that the funds aren't verified, even though they have already been fully processed into my account. The representative had no further explanation other than to say they were going to continue to see what they could do. 
This whole ordeal has jeopardized my business partnerships, caused unnecessary mental and emotional distress, lost time, and a financial loss for my company. As I write this letter, the issue is still not resolved, and I continue to get the runaround. Even when my funds are released, I still have to pay vendors, and no work was accomplished because of the unethical practices of Chase Bank. I opened my business in XXXX, I have never had such a horrific experience with a bank since Ive been operating my business. This is a small business, and this has been detrimental to the daily operation of my business. The bank employees I spoke with admitted that this happens all the time, and funds have been held for XXXX or more days. Several employees said it was weird what was happening with my account but they didnt have the power to do anything. Every employee I spoke with, had different instructions for the same processes. The initial hold was meant to verify the funds but nothing was done to ensure that the money for my company was released in a timely fashion. I was never once asked to submit the XXXX Treasury letters at any point in the verification process. 

The system Chase Bank has in place is flawed and jeopardizes the lives of their personal and business customers. A simple XXXX search will show numerous customers who had their accounts locked without receiving their money. There needs to be an investigation into how these accounts are being mishandled and the lack of accountability/urgency in the fund verification process.

Company response to consumer: Closed with explanation