The trend of bank accounts closing out of the blue is disconcerting, to say the least. Customers from several major financial institutions have come forward to allege that they were shut out of their accounts without warning, leaving them without their money or a way to access it. Bank of America customers have also come forward with allegations that the company suddenly closed their accounts, with one woman alleging she was shut out after 17 years. Read on to find out what customers are saying.
RELATED: Chase and Citi Customers Say Their Accounts Are Being Closed Without Warning.
Claims date back to 2022.
pogonici / ShutterstockThe New York Times recently examined over 500 cases of abruptly closed bank accounts, including several claims related to JPMorgan Chase and Citibank. However, Bank of America customers have been affected, too.
In June 2022, Christina Blanton, a Bank of America customer of 17 years at the time, spoke with CBC News Chicago about her experience with a closed account.
"I went to log on to my online banking and it kept saying 'account locked.' And so I thought I entered my password incorrectly," Blanton told the outlet. She was originally locked out in April, which resulted in a months-long back and forth with Bank of America's customer service.
"I was transferred to multiple people and finally spoke to them and the young lady said 'we decided to close your account," Blanton explained.
Bank of America allegedly told her that it was a "business decision" that led the company to close her account.
RELATED: Bank of America and Chase Are Closing Even More Branches—Here's Where.
She ended up getting her money back, but she was still frustrated.
ShutterstockMaking matters more complicated, Blanton said the ordeal occurred before she was supposed to have surgery for thyroid cancer.
"I was upset and frustrated," she said last year. "It was right before me having the surgery and to be able to not access your money, emotionally, I wanted to cry. I've just been dealing with it and this has been since April."
Following interference from CBS, Blanton got a call from someone who said they were the company's CEO, who apologized and said they would look into the situation. She did end up getting her money back, but that didn't ease all of her frustration.
"This is a corporation where someone should be taking the time out to least give the person the respect. How do you cut off someone's money and don't proceed to tell them why you cut their money off? And what if it is their last? Then they're just broke. With nothing. And that's an unfair practice to anyone," Blanton said.
Best Life reached out to Bank of America for comment and will update the story with its response.
RELATED: Wells Fargo Shutters 10 More Branches Amid Mass Bank Closures.
This isn't an isolated incident.
Shutterstock / Casimiro PTBank of America also came under fire this year, with several customers citing similar complaints.
In September, a customer took to X to air their grievances, writing, "Bank of America just closed my account because they say I owe Enterprise rental money from over 20 Years Ago!! I'm just venting but if anyone else had this happen to them you're in my prayers."
Other posts share similar stories, including one from August where a customer said Bank of America closed their account "after 9 years of perfect payment history." In January, another customer responded to a post from the Federal Reserve about bank issues, asking for assistance.
"Bank of America closed our checking account without providing any reason—what are our rights in this situation. Do you have any info/resources regarding this," they wrote.
Experts say that banks often close these accounts due to suspicious activity.
Ken Wolter / ShutterstockOver the summer, CBS News Los Angeles looked into the pattern of closed bank accounts, including another situation with Bank of America. The outlet spoke with Elad Nehorai, whose post on X about his experience with a closed Bank of America account went viral.
"I am with my wife & daughter in a @BankofAmerica office," he posted on July 11. "They shut down my account [without] any notice or explanation, and we won’t be able to feed our family or pay medical expenses. We are staying here until it’s fixed. So far they have refused to even explain why they did this."
Once CBS News showed up at the bank to interview him, the company did end up allowing him to transfer his money—and while Nehorai wasn't initially provided with additional information, Bank of America later told CBS that the Federal Bureau of Investigation (FBI) flagged the account after Nehorai reported his email being hacked by a scammer.
Nehorai told the outlet that he was "shocked to find out that this is relatively common"—and according to banking expert J.D. Koontz, banks do often shut down accounts that are flagged for suspicious behavior.
"Unfortunately, some good people are being caught in the net with the bad when they try to weed out who may be causing problems," Koontz told CBS News. "Banks are always under the watchful eye of the regulators, who will fine them for not doing their job or not protecting consumers. And so by freezing or closing someone's account, they don't necessarily get penalized for that, and so they probably tend to err more on the side of caution, which, unfortunately does create hardships for individuals."
