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Can A Bank Keep Your Money Indefinitely Saying They Have A Security Concern

2 10 September 5, 2023 at 11:33 AM in Finance (4)
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If a bank claims they have a security concern with your account and that they are reviewing it, there are reports that say these banks will actually try to keep your money indefinitely. Is this something a bank is actually allowed to do? Can they keep your money indefinitely if they say there is a security concern with your account?

At what point is a bank required to do due dilegence and report to authorities that they suspect wrong doing with someone's account? I can't imagine that they are just allowed to keep someone's money indefinitely at their discretion. At one point do the funds get turned over to authorities, and where do they go? Does the customer then have recourse to work with those authorities to continue resolving the security concern to eventually get their money back?
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Joined Jun 2005
Let Sleeping Dogs Lie
> bubble2 8,420 Posts
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komondor
09-07-2023 at 06:32 AM.
09-07-2023 at 06:32 AM.
You need to get something in writing from the bank as to the reason and what they have done.
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Joined Dec 2018
Master of my Own Domain
> bubble2 1,951 Posts
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HonestMammoth473
09-16-2023 at 03:33 PM.
09-16-2023 at 03:33 PM.
In most cases this can be resolved by going to the branch with ID, but failing that I would promptly file a complaint with the CFPB [consumerfinance.gov].
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Joined Dec 2014
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> bubble2 879 Posts
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BrianT1548
10-11-2023 at 05:53 AM.
10-11-2023 at 05:53 AM.
I don't know about a bank account, but the lock boxes that were raided in Beverly Hills by the FBI had their contents confiscated under suspicion of "unknown crimes". Items that were seized were not returned to many owners and they have a lawsuit going right now to try and get their property back. They took $86 million in cash and lots of coins, jewelry, etc. valuables.

Even though the founders tried to enshrine property rights into the constitution because they faced ordeals such these, unfortunately we now live in a world where possession is often 9/10ths of the law and the only recourse ends up being the courts.
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Last edited by BrianT1548 October 11, 2023 at 06:05 AM.
Joined Jun 2006
L7: Teacher
> bubble2 2,013 Posts
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jcrash
10-20-2023 at 09:17 AM.
10-20-2023 at 09:17 AM.
In short, yes, they can. If they have been told there is an issue by the government, they are not allowed to tell you WHY.
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