Chase closed my accounts and banned me and I don’t know why

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Topic Author
Aguilar
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Chase closed my accounts and banned me and I don’t know why

Post by Aguilar »

Two weeks ago I opened checking and savings accounts with Chase online. Found out a few days ago they needed me to go to the local branch to show ID. Then I found out today that they closed my accounts. The branch agent told me on the phone. I called Chase customer service and another agent confirmed my accounts were closed. She also said Chase has banned me as a customer. She didn’t give an explanation why. I asked to speak with a supervisor and she transferred me but instead hung up on me. I was on hold for an hour before the lady got on the line in the first place.

I have great credit. Never had an issue with fraudulent banking activity. Nada. My Chexsystem report also shows no issues.

Can a bank ban you? Do you have any recourse?
Last edited by Aguilar on Sat Aug 29, 2020 2:04 pm, edited 1 time in total.
sciliz
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Re: Chase closed my accounts and banned me and I don’t know why

Post by sciliz »

I don't think you have recourse, unless maybe if you suspect discrimination based on a protected class.

Instead, I think this is probably algorithm failure. I will say the last time I opened an account at Chase I found it to be a bit of a hassle in terms of having to get authorization for some of the steps. That said, they were the only bank I could open to get a Medallion signature guarantee for a stock transfer form, so it is possible they are just taking more steps or different ones to "know their customers".
theplayer11
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Re: Chase closed my accounts and banned me and I don’t know why

Post by theplayer11 »

probably has to do with credit card point gathering..manufactured spending?
Topic Author
Aguilar
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Aguilar »

OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
Last edited by Aguilar on Sat Aug 29, 2020 2:08 pm, edited 1 time in total.
Mike Scott
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Mike Scott »

you will find much info if you google "chase shutdown"
Topic Author
Aguilar
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Aguilar »

The chase shutdown info all seems to be for people who open a ton of chase credit cards. I have one. I just opened bank accounts and got banned. I can’t even get into the website now to access my credit card.
arf30
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Re: Chase closed my accounts and banned me and I don’t know why

Post by arf30 »

Somewhat common with Chase, they're known to be trigger happy with account shutdowns. Wouldn't waste time trying to get it reversed, just move on.
Topic Author
Aguilar
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Aguilar »

Are these bans permanent?
MikeG62
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Re: Chase closed my accounts and banned me and I don’t know why

Post by MikeG62 »

Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
Perhaps they can see this activity on your ChexSystems report? Could be banks are going to start cracking down (taking a harder line) on those churning bank accounts for bonuses they way they did several years ago on people churning credit cards.

It is surprising they won't give you more information, especially since your have one of their credit cards. Have you tried calling the number on the back of your Chase CC? I closed two different credit cards last week (one was with Barclay's and the other with Citibank) and the hold time to speak to a rep was minutes at most. I called during the day on a weekday.
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celia
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Re: Chase closed my accounts and banned me and I don’t know why

Post by celia »

Did you go to a branch to show your ID within 30 days? If not, they possibly consider you as a "fake" customer. Did you put at least the required minimum amount into each account to keep them open?

My sister has been a long-time Chase and JPMorgan client whereas I have never used them. We recently became co-trustees of a special needs trust and decided to open the trust checking account with them to make it easy for my sister. She had her branch rep open it but I had 30 days to go into any branch local to me to put my signature on the signature card. Due to covid, each branch seemed to be following different "rules". None wanted to talk to me unless I made an appointment, but no-one would answer their phones since all spare reps were busy spraying disinfective and wiping down railings and counters every time a customer moved into the teller window area! Some branches insisted my sister come in with me (which is ridiculous if we had lived in different states, for example). Since I didn't hop on the request soon after I was asked, the 30-day window closed and I was no longer able to add my signature to the account, even though I was listed as trustee! (Eventually, we were both able to meet at another branch, open a new checking account and transfer the funds. This was really a waste of time and effort for everyone involved.)
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ResearchMed
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Re: Chase closed my accounts and banned me and I don’t know why

Post by ResearchMed »

Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
I think you may have just answered the question: The banks probably share certain information, such as opening/closing accounts. So if you've been opening several within the last (one?) year, that's probably going to cause a flag to go up somewhere.

Although this could easily happen with charge cards, I haven't heard of it with bank accounts. But why wouldn't they have similar concerns/restrictions, etc. Plus in this day and age, anything "unusual" may well trigger internal "know your customer" rules. Or perhaps it's worse than that (in general, not just for you), and this "behavior" is known by the banking/financial industry sometimes to be associated with money laundering or other "unwanted" behaviors, etc.

As someone said above, as long as they are not discriminating against you because of your membership in some protected class, they don't have to take you as a customer. And if there is any hint of "trouble", they probably would err on the side of caution, rather than start asking you for more details, spending time, and still not being sure...

I think I'd cool it in terms of the "new account" behavior for a while.

RM
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Topic Author
Aguilar
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Aguilar »

The 30 day window hasn’t passed yet and I had an appointment to go to my branch today. Somehow they still closed my account already.
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Doom&Gloom
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Doom&Gloom »

Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
You probably don't look like a desirable banking customer to them. Chase seems to be very risk averse when it comes to these things.
srt7
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Re: Chase closed my accounts and banned me and I don’t know why

Post by srt7 »

Do you dabble in crypto-currencies?
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Grt2bOutdoors
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
Yes, you are opening multiple bank accounts - that is what people who may wash money do. What is your purpose of opening multiple bank accounts?
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srt7
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Re: Chase closed my accounts and banned me and I don’t know why

Post by srt7 »

Aguilar wrote: Sat Aug 29, 2020 2:16 pm Are these bans permanent?
Nope. It is not like a law or something. "Permanent" means nothing in the financial world where everything has a price :D
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anon_investor
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Re: Chase closed my accounts and banned me and I don’t know why

Post by anon_investor »

Aguilar wrote: Sat Aug 29, 2020 2:24 pm The 30 day window hasn’t passed yet and I had an appointment to go to my branch today. Somehow they still closed my account already.
Did you go to your appointment and try to talk to someone?
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susa
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Re: Chase closed my accounts and banned me and I don’t know why

Post by susa »

Grt2bOutdoors wrote: .. purpose of opening multiple bank accounts?
I think OP already wrote that reason was taking advantage of bank promos. We (family) opened more than dozen bank accounts last 12 months, including the $600 (300+300+100) Chase bonus for Savings and Checking, parked funds for 3 months, moved everything out except mandatory 1500+300 and finally closed at 6 months with zero balance.
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

susa wrote: Sat Aug 29, 2020 2:51 pm
Grt2bOutdoors wrote: .. purpose of opening multiple bank accounts?
I think OP already wrote that reason was taking advantage of bank promos. We (family) opened more than dozen bank accounts last 12 months, including the $600 (300+300+100) Chase bonus for Savings and Checking, parked funds for 3 months, moved everything out except mandatory 1500+300 and finally closed at 6 months with zero balance.
Makes no difference- chase wants no potential problems with regulators. If they are sensitive to this, they will not open the account
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whodidntante
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Re: Chase closed my accounts and banned me and I don’t know why

Post by whodidntante »

Banks are not required to tell you why they ended their relationship with you, and the people who make these decisions are typically not in any customer facing role. So the people you are asking likely do not know why. And the people who do know why likely do not see any upside to explaining it to you.

However, it's rather odd to be shutdown and not have any inkling about why. Chase operates in areas of the United States that have significant issues with money laundering and other illegal cash based activities. As a result, they are more sensitive than other banks to certain activities they believe are indicative of those illegal activities. There are numerous reports online that depositing a small number of money orders will cause Chase to end their relationship with you, for example. Unusual volume of cash transactions in a personal account may also result in a shutdown.

About a month after I opened a business account with Chase, they sent me a request for documentation, which I produced within a couple of days. They shut the account down anyway. I do have an inkling about why, but I'll never really know why. I did not call or visit a branch since I am 99% sure that will be a waste of time. I just moved on. Ironically, they left my business credit cards and all personal accounts active.

The ban is likely permanent, though you have nothing to lose by trying to open an account again in a decade or so.

I recommend to get a copy of your Early Warning Services report and your ChexSystems report and review it for accuracy. If everything there is accurate, my advice is to not think about this anymore. Just enjoy your Chase free existence.
H-Town
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Re: Chase closed my accounts and banned me and I don’t know why

Post by H-Town »

Grt2bOutdoors wrote: Sat Aug 29, 2020 2:53 pm
susa wrote: Sat Aug 29, 2020 2:51 pm
Grt2bOutdoors wrote: .. purpose of opening multiple bank accounts?
I think OP already wrote that reason was taking advantage of bank promos. We (family) opened more than dozen bank accounts last 12 months, including the $600 (300+300+100) Chase bonus for Savings and Checking, parked funds for 3 months, moved everything out except mandatory 1500+300 and finally closed at 6 months with zero balance.
Makes no difference- chase wants no potential problems with regulators. If they are sensitive to this, they will not open the account
What's potential problems with regulators? It's a free market. Are you saying a person can have only 1 bank account? How do you supposed to test out if other banks provide better services and less expensive?
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Nate79
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Nate79 »

It's possible that they are shutting down your credit card and your bank accounts were casualties of that shutdown. Give it some time and see if your credit card gets shutdown. There is a laundry list of things that will get your Chase CC shutdown, some of which seem innocent.
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Jack FFR1846 »

Banks DO have to tell you why they closed your account. Go onto the MrMoneyMustache forums and look for member "the points lawyer". He's worked with people whose accounts were closed and the notification of closure did not meet legal muster. The banks have paid lots of money for each mistake they make.
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Grt2bOutdoors
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

H-Town wrote: Sat Aug 29, 2020 3:14 pm
Grt2bOutdoors wrote: Sat Aug 29, 2020 2:53 pm
susa wrote: Sat Aug 29, 2020 2:51 pm
Grt2bOutdoors wrote: .. purpose of opening multiple bank accounts?
I think OP already wrote that reason was taking advantage of bank promos. We (family) opened more than dozen bank accounts last 12 months, including the $600 (300+300+100) Chase bonus for Savings and Checking, parked funds for 3 months, moved everything out except mandatory 1500+300 and finally closed at 6 months with zero balance.
Makes no difference- chase wants no potential problems with regulators. If they are sensitive to this, they will not open the account
What's potential problems with regulators? It's a free market. Are you saying a person can have only 1 bank account? How do you supposed to test out if other banks provide better services and less expensive?
Read my earlier comment. I’m not going to get into it because I don’t work for chase but I can see why they took the action they took, whether you agree with my assumption or not.
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JackoC
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Re: Chase closed my accounts and banned me and I don’t know why

Post by JackoC »

ResearchMed wrote: Sat Aug 29, 2020 2:24 pm
Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
I think you may have just answered the question: The banks probably share certain information, such as opening/closing accounts. So if you've been opening several within the last (one?) year, that's probably going to cause a flag to go up somewhere.

Although this could easily happen with charge cards, I haven't heard of it with bank accounts. But why wouldn't they have similar concerns/restrictions, etc. Plus in this day and age, anything "unusual" may well trigger internal "know your customer" rules. Or perhaps it's worse than that (in general, not just for you), and this "behavior" is known by the banking/financial industry sometimes to be associated with money laundering or other "unwanted" behaviors, etc.
...
I think I'd cool it in terms of the "new account" behavior for a while.
I think this is why it's worth some effort to try get more inkling why they did this, before doing something likely unnecessary like stop opening a few new accounts per year at different places for bonuses as OP said is all they are doing. Some people go hog wild with this and I've never heard of one bank banning anyone for trolling for bonuses with another bank.

The thing to worry about here IMO is whether it's triggered by wrong information. It's not to get 'back into Chase's good graces', screw Chase would be my attitude on that aspect. You want to find out if possible if it's based on something that might be wrong.

And if you can't find out, I personally would continue trolling for bonuses if it's actually a few a year unless/until more evidence banks are banning people for signing up for a few accounts per year elsewhere. Again, anything is possible but that's quite unlikely IMO and if you have a long relationship with some bank I believe it's extremely unlikely that bank would 'ban' you for trying to get a few bonuses with other banks and leave you with no bank account.
Katietsu
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Katietsu »

According Doctor of Credit:
Some financial institutions won’t open a new account for you if you’ve opened too many new accounts recently as it can be a sign of possible fraud and they also want to limit people like us chasing bank account bonuses.
I have also heard that they may be more likely to not want you if you close the bank accounts right after meeting the bonus requirements. I have no personal knowledge of any of this. I have done bank and brokerage bonuses but only infrequently. Even at that, I do not close the account right away even though I may remove most of the funds.
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Re: Chase closed my accounts and banned me and I don’t know why

Post by JackoC »

Katietsu wrote: Sat Aug 29, 2020 3:47 pm According Doctor of Credit:
Some financial institutions won’t open a new account for you if you’ve opened too many new accounts recently as it can be a sign of possible fraud and they also want to limit people like us chasing bank account bonuses.
I have also heard that they may be more likely to not want you if you close the bank accounts right after meeting the bonus requirements. I have no personal knowledge of any of this. I have done bank and brokerage bonuses but only infrequently. Even at that, I do not close the account right away even though I may remove most of the funds.
Some banks will claw back the bonus if you close the account too soon after qualifying, that will generally be in the fine print though. And not a bad idea to keep an account open for months after the requirement if it's not costing a significant proportion in lost interest of what you gained. For example I have a Citi checking bonus 'in the oven' right now, $15k required for 60 days but bonus won't be posted for ~120 and there's a monthly fee more expensive than the lost interest if less than $10k balance. So I'll keep $10k till I get the bonus and I factored that into my cost/benefit analysis, but I'm not going to keep it open at $10k 0% for a year past that for fear of becoming a banking system pariah. With checking accounts I can drain down to $500 or something I'll keep them open for a more 'gracious' period. I'd want more evidence that a 'ban' is actually about bonuses with other banks before I change my approach.

No direct experience with a bank account at Chase, but on credit cards they seem more skittish recently. I responded to offer they sent me for a business car and they turned it down with form letter verbiage suggesting it was for no prior relationship. I assume this might be regulator-induced worry that companies would try to open new relationships and credit lines when in newly dire financial shape due to COVID, and they just got their wires crossed to turn it down when they knew no corporate entity of mine had any prior relationship with them when they sent the offer (I have cards with them personally, my credit score is very good besides actual creditworthiness being AAAA :happy ). It doesn't have to make sense, which also means it could be one bank's bureaucratic nonsense that might not have any implication beyond them.
Jags4186
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Jags4186 »

OP,

Congratulations and welcome to the club. I can assure you that this is a positive, not a negative, as long as you don’t actually need a deposit account at Chase.

A little history, I had probably for 6 years running done the $300 checking, $200 savings bonus. As soon as the 6 months clawback period would expire I would close the account and then open again come 12 months. One time they had an “enhanced offer” that was I believe either $400 checking and $200 savings or $300 checking $300 savings, but regardless, whatever it was, you had to apply in branch. I waltzed over and opened the account. The person opening the account called the manager over to look at his screen. They had some words I couldn’t hear and they said your account is open and sort of rushed me out.

I go home, link all my online accounts, push my $1500 to the checking account for the direct deposit bonus and $15,000 to the savings account for the savings bonus.

A week later I get in the mail “your accounts have been closed and we are terminating our relationship with you” letter. So I’m all ticked off because now they have $16,500 of my money and who knows when I’ll get it back. I called and nobody would give me a good answer, much like you.

Low and behold, a week later a check in the mail shows up for $16,800. Even though the accounts had been frozen, they still paid me the $300 direct deposit bonus. Now, every year (well now it’s two years with new terms), I continue to open a Chase checking account only online, immediately push a direct deposit, and then in a week or two they close my account and send me a check for my direct deposit +$300 bonus. I have done this 3 times now. So while I have lost the ability to get the savings bonus (which really isn’t that good), I’ve gained the ability to get the $300 bonus and not have to worry about keeping a minimum balance, or remembering to close it, etc. They do it all for me automated!

I should also note that while they closed all of my deposit accounts, they didn’t do anything to my credit card accounts.
TropikThunder
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Re: Chase closed my accounts and banned me and I don’t know why

Post by TropikThunder »

For those saying a possible closure reason is due to bonus chasing, why didn’t that come up during the account opening stage? What do they look at AFTER you open an account that they didn’t look at WHILE you opened the account?
arf30
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Re: Chase closed my accounts and banned me and I don’t know why

Post by arf30 »

TropikThunder wrote: Sat Aug 29, 2020 4:25 pm For those saying a possible closure reason is due to bonus chasing, why didn’t that come up during the account opening stage? What do they look at AFTER you open an account that they didn’t look at WHILE you opened the account?
The fraud matching and disqualification systems aren't real time, they're processed in batch a few times per month as they pull data from various 3rd parties.
retire2022
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Re: Chase closed my accounts and banned me and I don’t know why

Post by retire2022 »

Op

I would write a letter to NYS Department of financial services, banks do not like to have a complaint on their record:

https://www.dfs.ny.gov/consumers/banking_money
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whodidntante
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Re: Chase closed my accounts and banned me and I don’t know why

Post by whodidntante »

Jags4186 wrote: Sat Aug 29, 2020 4:16 pm I continue to open a Chase checking account only online, immediately push a direct deposit, and then in a week or two they close my account and send me a check for my direct deposit +$300 bonus. I have done this 3 times now. So while I have lost the ability to get the savings bonus (which really isn’t that good), I’ve gained the ability to get the $300 bonus and not have to worry about keeping a minimum balance, or remembering to close it, etc. They do it all for me automated!
LOL, well done!
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Mudpuppy »

This wasn't Chase, but it's another possibility for the OP to consider. I was turned down for a bank account with bonus offer at Citibank because they couldn't get my Equifax report. I didn't have my Equifax report frozen at the time, and I still don't know why they weren't able to get the report. The call center representatives refused to give me a reason on the phone until I had the referral code from the denial letter. Only then was I able to find out the reason and get assurances it wouldn't affect my Double Cash card.

My understanding is Chase is even more hard-core about these things. If they think you've participating in manufactured spending on their credit cards, they shut all your accounts down (bank and credit cards). If they get the slightest bit "spooked" in their algorithms, they shut down everything. Even if you can get them to admit they made a mistake, short of suing them, there's not much avenue for remedy.

That said, you should be receiving a letter. It might not say much other than a scripted reason sentence/paragraph, but the letter reference code might make your experience calling the customer service representatives easier.
jmw
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Re: Chase closed my accounts and banned me and I don’t know why

Post by jmw »

Very surprised nobody has mentioned EWS (Early Warning Services). I bet dollars to donuts that there is significant derogatory data in the report that makes the OP look like a money launderer or bonus chaser. Order the comprehensive report. It lists ALL of your ACH activities at some financial institutions.
Grt2bOutdoors
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Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

jmw wrote: Sat Aug 29, 2020 11:28 pm Very surprised nobody has mentioned EWS (Early Warning Services). I bet dollars to donuts that there is significant derogatory data in the report that makes the OP look like a money launderer or bonus chaser. Order the comprehensive report. It lists ALL of your ACH activities at some financial institutions.
I voted early on that he was marked as a serial washer of money. He could also be on a “list” related to the Patriot Act and if so it will be difficult to get new bank accounts elsewhere but then again they’d likely place a hold on his current accounts too.
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bob60014
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Re: Chase closed my accounts and banned me and I don’t know why

Post by bob60014 »

Aguilar wrote: Sat Aug 29, 2020 2:11 pm............. I just opened bank accounts and got banned...........
Agree, Think "money laundering" as the reason.
chw
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Re: Chase closed my accounts and banned me and I don’t know why

Post by chw »

Aguilar wrote: Sat Aug 29, 2020 2:07 pm OP here.

The only thing I could imagine is I’ve opened a few bank accounts with other banks in the last year to get some promos.

Is that grounds for being banned?

I’ve had a Chase credit card for a while now. They say I can keep it but can’t open any bank accounts.
This is likely the problem. Try Ally Bank, better platform, better rates.

If need local bank, use a credit union.
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whodidntante
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Re: Chase closed my accounts and banned me and I don’t know why

Post by whodidntante »

jmw wrote: Sat Aug 29, 2020 11:28 pm Very surprised nobody has mentioned EWS (Early Warning Services). I bet dollars to donuts that there is significant derogatory data in the report that makes the OP look like a money launderer or bonus chaser. Order the comprehensive report. It lists ALL of your ACH activities at some financial institutions.
Very surprised that I mentioned it and you didn't see it. :P
JackoC
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Re: Chase closed my accounts and banned me and I don’t know why

Post by JackoC »

Jags4186 wrote: Sat Aug 29, 2020 4:16 pm OP,

Congratulations and welcome to the club. I can assure you that this is a positive, not a negative, as long as you don’t actually need a deposit account at Chase.
...
Low and behold, a week later a check in the mail shows up for $16,800. Even though the accounts had been frozen, they still paid me the $300 direct deposit bonus. Now, every year (well now it’s two years with new terms), I continue to open a Chase checking account only online, immediately push a direct deposit, and then in a week or two they close my account and send me a check for my direct deposit +$300 bonus. I have done this 3 times now. So while I have lost the ability to get the savings bonus (which really isn’t that good), I’ve gained the ability to get the $300 bonus and not have to worry about keeping a minimum balance, or remembering to close it, etc. They do it all for me automated!

I should also note that while they closed all of my deposit accounts, they didn’t do anything to my credit card accounts.
Cool. I once again wonder if Chase shut OP's account because of bonus chasing *at other banks*. Yes, Chase is known as being relatively skittish and strict about bonus chasing with *Chase accounts*, though funny they let it backfire on them like that. But a bank closing an account because a depositor got a few bonuses elsewhere I'd like to see more evidence that really happened.

And IMHO it's fear mongering to suggest that chasing bonuses within any reason is going to make you unbankable or put you on a Patriot Act watch list. That's a huge extrapolation from OP's anecdote.
khram
Posts: 103
Joined: Sat Dec 16, 2017 1:36 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by khram »

I opened a savings account to take advantage of sign-up bonus. They specifically emailed me an offer for this. They blocked my transfer. I called them a few days later to ask them wtf is going on, they said they block transfers for new customers (even though I was a targeted customer, and had multiple CCs and a checking account with them).

They tried to send me an SMS for some kind of verification without me going into a bank. When I read it off to him, I got hung up on. Called back and wasted some more time. I told the woman on the phone if I have to go into a branch, I'm doing so to close my account. So I did. I wasted a couple hours out of my work day to do so. I suspected they were trying to delay me so I couldn't deposit within the first 20 days (needed for bonus) or so they could start charging me maintenance fees.

I'd just move on and bank with someone else. No point in starting a financial relationship with someone who treats you that way on day 1.

I am thinking about closing all my Chase accounts, they are just a bit of a pain to deal with. The only one that adds value IMO is the Amazon Visa for 5% off -- but the store card adds the same value. Considering the Amazon Visa is a poor choice to use off of Amazon, no big deal. Other than whatever minor hit I take from reduction in total credit and average age of account.
ThreeBears
Posts: 162
Joined: Mon Nov 28, 2016 11:13 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by ThreeBears »

Ideally, the OP would post exactly how many new checking accounts were opened up in what time frame.

Ive seen this happen before. It took roughly 4 new checking accounts in 6 weeks.

The ban (at a different institution) was for life.

Financial Institutions do NOT have to tell you why they are closing a deposit account. They have to tell you why you are denied for credit (Regulation B).
Grt2bOutdoors
Posts: 23051
Joined: Thu Apr 05, 2007 8:20 pm
Location: New York

Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

JackoC wrote: Sun Aug 30, 2020 10:45 am
And IMHO it's fear mongering to suggest that chasing bonuses within any reason is going to make you unbankable or put you on a Patriot Act watch list. That's a huge extrapolation from OP's anecdote.
You can go on a watchlist for a multitude of reasons and it has nothing to do with bonus chasing. For all you know, you are being provided with one explanation from the OP but it could be many other things about the OP's specific transactions that are driving the ban. There could also be other external factors as the reasons that both the OP and the collective forum knows absolutely nothing about. If you were on a list, no external service is going to tell you because even they don't know about it. That's how secretive it is with strict legal and punitive penalties for those who willingly or unwillingly disclose information to anyone outside of the regulatory agencies. Go look it up, it's all public information on just how serious they are with this stuff.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions
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fortfun
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Re: Chase closed my accounts and banned me and I don’t know why

Post by fortfun »

Pretty sure I'm banned from Barclays. I don't think their algo likes my bonus chasing. Oh well...
Grt2bOutdoors
Posts: 23051
Joined: Thu Apr 05, 2007 8:20 pm
Location: New York

Re: Chase closed my accounts and banned me and I don’t know why

Post by Grt2bOutdoors »

khram wrote: Sun Aug 30, 2020 1:34 pm I opened a savings account to take advantage of sign-up bonus. They specifically emailed me an offer for this. They blocked my transfer. I called them a few days later to ask them wtf is going on, they said they block transfers for new customers (even though I was a targeted customer, and had multiple CCs and a checking account with them).

They tried to send me an SMS for some kind of verification without me going into a bank. When I read it off to him, I got hung up on. Called back and wasted some more time. I told the woman on the phone if I have to go into a branch, I'm doing so to close my account. So I did. I wasted a couple hours out of my work day to do so. I suspected they were trying to delay me so I couldn't deposit within the first 20 days (needed for bonus) or so they could start charging me maintenance fees.

I'd just move on and bank with someone else. No point in starting a financial relationship with someone who treats you that way on day 1.

I am thinking about closing all my Chase accounts, they are just a bit of a pain to deal with. The only one that adds value IMO is the Amazon Visa for 5% off -- but the store card adds the same value. Considering the Amazon Visa is a poor choice to use off of Amazon, no big deal. Other than whatever minor hit I take from reduction in total credit and average age of account.
Ironically, you don't like Chase but guess who issue the Amazon Visa card? Yep....it's Chase! :P
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions
Katietsu
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Joined: Sun Sep 22, 2013 1:48 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by Katietsu »

khram wrote: Sun Aug 30, 2020 1:34 pm I suspected they were trying to delay me so I couldn't deposit within the first 20 days (needed for bonus) or so they could start charging me maintenance fees.
I probably should just stay out of this but....do you really think Chase is so good at pulling the puppet strings as to manipulate you in this way to avoid paying a bonus many days away? I almost wish there was a major bank that was organized and competent enough to pull off intentionally evil plans like this.
JackoC
Posts: 1735
Joined: Sun Aug 12, 2018 11:14 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by JackoC »

Grt2bOutdoors wrote: Sun Aug 30, 2020 10:02 pm
JackoC wrote: Sun Aug 30, 2020 10:45 am
And IMHO it's fear mongering to suggest that chasing bonuses within any reason is going to make you unbankable or put you on a Patriot Act watch list. That's a huge extrapolation from OP's anecdote.
You can go on a watchlist for a multitude of reasons and it has nothing to do with bonus chasing. For all you know, you are being provided with one explanation from the OP but it could be many other things about the OP's specific transactions that are driving the ban. There could also be other external factors as the reasons that both the OP and the collective forum knows absolutely nothing about. If you were on a list, no external service is going to tell you because even they don't know about it. That's how secretive it is with strict legal and punitive penalties for those who willingly or unwillingly disclose information to anyone outside of the regulatory agencies. Go look it up, it's all public information on just how serious they are with this stuff.
Yeah all kinds of stuff could be going on that is known by the OP but not mentioned, or isn't known, or could happen but hasn't yet, in every thread asking about a personal situation. I still think it's kind of overwrought to talk about general bans from banking as suspected money launderer etc. when somebody mentions *one* bank which closed their account and the only activity they are aware of is is signing up for a few bonuses at other banks.

Seems to me the reasonable supposition is that Chase shutting down an account at Chase probably isn't related to the customer signing up for a few bonuses at *other* banks if that's all there is. I guess that's a sliver of common ground there. Otherwise if OP is leaving out information a reasonable person should know might be significant it's a useless thread. But assuming that's not true, a form letter from Chase may come and give some hint of the reason, further follow up by OP might also, or maybe not. But beyond that, there would be no use in worrying about it IMO based on the facts as given and known. The thread isn't 'a bunch of banks have all closed my accounts! what can I do?'.

The key to my comment on the more dire responses is as you quoted: "huge extrapolation from OP's anecdote", which I'll stick with. It wasn't saying there's no such thing as financial watch lists etc. so I have to go look it up. :happy
sschoe2
Posts: 525
Joined: Fri Feb 24, 2017 4:42 pm

Re: Chase closed my accounts and banned me and I don’t know why

Post by sschoe2 »

A lot of threads about this have come up on reddit as well. Chase seems to have a hair trigger on closing accounts and banning customers based on risk algorithms. So far noone has reported any issues getting a new account elsewhere after Chase gave them the boot. I have had Chase for a while and have had no issues but I am a pretty boring customer and my transactions are very regular.
khram
Posts: 103
Joined: Sat Dec 16, 2017 1:36 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by khram »

Grt2bOutdoors wrote: Sun Aug 30, 2020 10:04 pm
khram wrote: Sun Aug 30, 2020 1:34 pm I opened a savings account to take advantage of sign-up bonus. They specifically emailed me an offer for this. They blocked my transfer. I called them a few days later to ask them wtf is going on, they said they block transfers for new customers (even though I was a targeted customer, and had multiple CCs and a checking account with them).

They tried to send me an SMS for some kind of verification without me going into a bank. When I read it off to him, I got hung up on. Called back and wasted some more time. I told the woman on the phone if I have to go into a branch, I'm doing so to close my account. So I did. I wasted a couple hours out of my work day to do so. I suspected they were trying to delay me so I couldn't deposit within the first 20 days (needed for bonus) or so they could start charging me maintenance fees.

I'd just move on and bank with someone else. No point in starting a financial relationship with someone who treats you that way on day 1.

I am thinking about closing all my Chase accounts, they are just a bit of a pain to deal with. The only one that adds value IMO is the Amazon Visa for 5% off -- but the store card adds the same value. Considering the Amazon Visa is a poor choice to use off of Amazon, no big deal. Other than whatever minor hit I take from reduction in total credit and average age of account.
Ironically, you don't like Chase but guess who issue the Amazon Visa card? Yep....it's Chase! :P
That's the point of closing the card, because it's Chase. Just to close my entire banking relationship with Chase. The store card is just as useful as the visa IMO, since I would never use the Visa off of Amazon, as I said.
khram
Posts: 103
Joined: Sat Dec 16, 2017 1:36 am

Re: Chase closed my accounts and banned me and I don’t know why

Post by khram »

Katietsu wrote: Sun Aug 30, 2020 10:25 pm
khram wrote: Sun Aug 30, 2020 1:34 pm I suspected they were trying to delay me so I couldn't deposit within the first 20 days (needed for bonus) or so they could start charging me maintenance fees.
I probably should just stay out of this but....do you really think Chase is so good at pulling the puppet strings as to manipulate you in this way to avoid paying a bonus many days away? I almost wish there was a major bank that was organized and competent enough to pull off intentionally evil plans like this.
Maybe they were, maybe they weren't. Why are they even paying the people who were on the phone with me who wouldn't help me, or who just hung up? This happens everywhere, businesses make it very difficult to cancel things, to pay out bonuses/offers. It is often by design. Few companies practice good customer service.
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