topic Re: AMEX Bank Foolishness in Personal Finance

AMEX Bank Foolishness

Anonymous — Mon, 04 Feb 2019 20:33:32 GMT

So, I opened a savings account at AMEX bank about a month ago to stash away some funds. I requested an ACH transfer from AMEX to my brokerage on Friday and noticed today that the transaction was cancelled. When I called to ask what's going on, I was informed that they could not verify my identity because the phone number that they have on file for me is registered to someone else. I was told I would need to have a notary certify an affidavit of identity form and submit it to them before they would allow me to move funds out of my account. Bear in mind that they already verified my identity when I opened the account and I happen to have TWO AMEX credit card accounts in good standing. They didn't even notify me that they were cancelling the transaction. They were quite eager to take my money but expect me to jump through hoops to get my money out. Needless to say, I closed the account. Has anyone else had a similar experience with AMEX bank? I'm considering moving to Ally.

Re: AMEX Bank Foolishness

Anonymous — Mon, 04 Feb 2019 21:42:06 GMT

Amex had me call to verify my withdrawls which I did when the interest rate dropped and I closed out the account. They have been a lower rate compared to competitors ever since and I wouldn’t use them again.

Many banks try to keep incoming deposits or withdrawls inside the bank. Some keep you hostage for 60 days like Popular Bank. Swapping banks for interest rates is something I do not do anymore. Keep a relationship at a bank you can trust and that has stable financials. One bank played games with me, which I got my money back from, and the bank afterwards wound up getting shut down by the FDIC, and deposits were acquired by another bank which obviously gave a lower interest rate after acquisition. Fortunately I got my funds back before the FDIC got involved. The lady I spoke with who corrected my issue kept saying the bank was around for many years. I wonder if the employees got axed when the new bank took over.

Re: AMEX Bank Foolishness

Anonymous — Mon, 04 Feb 2019 22:19:24 GMT

@Anonymous wrote:
Amex had me call to verify my withdrawls which I did when the interest rate dropped and I closed out the account. They have been a lower rate compared to competitors ever since and I wouldn’t use them again.

Many banks try to keep incoming deposits or withdrawls inside the bank. Some keep you hostage for 60 days like Popular Bank. Swapping banks for interest rates is something I do not do anymore. Keep a relationship at a bank you can trust and that has stable financials. One bank played games with me, which I got my money back from, and the bank afterwards wound up getting shut down by the FDIC, and deposits were acquired by another bank which obviously gave a lower interest rate after acquisition. Fortunately I got my funds back before the FDIC got involved. The lady I spoke with who corrected my issue kept saying the bank was around for many years. I wonder if the employees got axed when the new bank took over.

Why are they verifying accounts enough to take the money but then holding the funds hostage pending 'further verification'? What I find absolutely ridiculous is the fact that they are holding on to my money because they can't verify that I own my phone number. The same phone number that they gladly let me use for 2-factor authentication. The same phone number that's on ALL of my credit reports. It's mind boggling.

AMEX Cards and AMEX Bank

Anonymous — Mon, 04 Feb 2019 22:44:00 GMT

Hello All,

I just ragequit AMEX bank. Closed my savings account. I believe I read some where that the card division and bank division are completely separate, can anyone confirm that actions on the bank side don't affect things on the card side? I've really been enjoying my experience with my Amex cards and would like to keep them. My experience on the bank side has not been as pleasant.

Re: AMEX Cards and AMEX Bank

FinStar — Mon, 04 Feb 2019 23:47:47 GMT

Yes, they are separate entities from the parent American Express National Bank.

As per their FAQs:

Re: AMEX Bank Foolishness

Anonymous — Tue, 05 Feb 2019 00:37:09 GMT

All I had to do was call in to have the transfers made and it was approved. I don’t know why you had a different situation than mine.

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 01:18:47 GMT

I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though

Re: AMEX Bank Foolishness

Anonymous — Tue, 05 Feb 2019 01:32:06 GMT

My experience with American Express Bank: https://ficoforums.myfico.com/t5/Personal-Finance/Amex-High-Yield-Savings-Account/m-p/5278140#M24332

One thing to note is that American Express National Bank (the savings bank) and Travel Related Services ( the card issuer) are two entities that are both owned by the American Express Company but hey each have their own verification procedures.

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 02:26:08 GMT

@FinStar wrote:
Yes, they are separate entities from the parent American Express National Bank.

As per their FAQs:

Thanks. I find it difficult to believe though that they don't "share any personal information".

Re: AMEX Cards and AMEX Bank

FinStar — Tue, 05 Feb 2019 02:30:27 GMT

Well, to meet certain compliance requirements, they provide a privacy disclosure so that you know what specific elements are shared amongst affiliates.

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 02:33:37 GMT

@Anonymous wrote:
I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though

I too opened an account with them because of the AMEX name and because I was pleased with their card service. I'm sure many others will tell you they have no complaints about the bank but I had an issue that I found unacceptable. They refused to honor a withdrawal (without notifying me) because, get this: they could not verify that I am the owner of my phone number. Bear in mind that they took my account opening deposit and subsequent deposits with absolutely no issue. My identity was verified when I opened the account. Apparently they use a "third party service" to match the names of account holders with the phone number they have on file. This is one of the most ridiculous things I have heard in a long time. I've had my current number for only about three months but that should not even matter. Holding my money hostage over phone registration records from a "third party service" is nonsense. I closed the account immediately.

Re: AMEX Cards and AMEX Bank

Meanmchine — Tue, 05 Feb 2019 02:45:57 GMT

@Anonymous wrote:
@Anonymous wrote:
I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though
I too opened an account with them because of the AMEX name and because I was pleased with their card service. I'm sure many others will tell you they have no complaints about the bank but I had an issue that I found unacceptable. They refused to honor a withdrawal (without notifying me) because, get this: they could not verify that I am the owner of my phone number. Bear in mind that they took my account opening deposit and subsequent deposits with absolutely no issue. My identity was verified when I opened the account. Apparently they use a "third party service" to match the names of account holders with the phone number they have on file. This is one of the most ridiculous things I have heard in a long time. I've had my current number for only about three months but that should not even matter. Holding my money hostage over phone registration records from a "third party service" is nonsense. I closed the account immediately.

If they could not verify your phone number, it means one of the CRAs has an incorrect contact number on file. Instead of getting angry, pull your reports and clean up the mistake

Re: AMEX Cards and AMEX Bank

pizza1 — Tue, 05 Feb 2019 02:47:01 GMT

Ive had a savings acct with them for over a year now, and haven't had any issues at all. I did a withdrawal a few days ago with no problems, and was in my external act the next morning. They were quick, and painless! Im sorry you had a bad experience with the bank side.

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 02:49:30 GMT

@Meanmchine wrote:
@Anonymous wrote:
@Anonymous wrote:
I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though
I too opened an account with them because of the AMEX name and because I was pleased with their card service. I'm sure many others will tell you they have no complaints about the bank but I had an issue that I found unacceptable. They refused to honor a withdrawal (without notifying me) because, get this: they could not verify that I am the owner of my phone number. Bear in mind that they took my account opening deposit and subsequent deposits with absolutely no issue. My identity was verified when I opened the account. Apparently they use a "third party service" to match the names of account holders with the phone number they have on file. This is one of the most ridiculous things I have heard in a long time. I've had my current number for only about three months but that should not even matter. Holding my money hostage over phone registration records from a "third party service" is nonsense. I closed the account immediately.
If they could not verify your phone number, it means one of the CRAs has an incorrect contact number on file. Instead of getting angry, pull your reports and clean up the mistake

I have all three of my reports in front of me right now as of January 31. Each one of them correctly displays my current phone number.

Re: AMEX Cards and AMEX Bank

PDXoriginal — Tue, 05 Feb 2019 03:19:18 GMT

They are among the fastest if not the fastest of the online banks for outgoing transfers.

Never had a problem with them, and will continue to keep a little stashed away.

Re: AMEX Cards and AMEX Bank

FinStar — Tue, 05 Feb 2019 03:22:39 GMT

@Anonymous wrote:
@Meanmchine wrote:
@Anonymous wrote:
@Anonymous wrote:
I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though
I too opened an account with them because of the AMEX name and because I was pleased with their card service. I'm sure many others will tell you they have no complaints about the bank but I had an issue that I found unacceptable. They refused to honor a withdrawal (without notifying me) because, get this: they could not verify that I am the owner of my phone number. Bear in mind that they took my account opening deposit and subsequent deposits with absolutely no issue. My identity was verified when I opened the account. Apparently they use a "third party service" to match the names of account holders with the phone number they have on file. This is one of the most ridiculous things I have heard in a long time. I've had my current number for only about three months but that should not even matter. Holding my money hostage over phone registration records from a "third party service" is nonsense. I closed the account immediately.
If they could not verify your phone number, it means one of the CRAs has an incorrect contact number on file. Instead of getting angry, pull your reports and clean up the mistake
I have all three of my reports in front of me right now as of January 31. Each one of them correctly displays my current phone number.

Right, but have you checked the other 'alternate' bureaus which could potentially have incorrect information?

Re: AMEX Cards and AMEX Bank

Meanmchine — Tue, 05 Feb 2019 03:33:09 GMT

Did you check Chex Systems?

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 03:46:20 GMT

I've checked with no bureau or agency other than the 3 credit bureaus. I really don't see why I should have to. I think the entire thing is silly. I use this same number for 2-factor auth to get into my account. This number is on my credit reports. My linked bank accounts all have this same phone number. If there was a concern about the phone number why did I only hear about it when I tried to withdraw funds? Suppose I had an actual emergency? I've just been happily depositing funds there thinking all is well. Then they canceled the withdrawal without notifying me in any way then when I inquired told me I need to submit a notarized affidavit of identity form. Suppose I didn't attempt a withdrawal until 2025? It's a very poor way to handle the issue in my opinion. This could have been handled better. I believe I'm a very rational customer and tend to give companies the benefit of the doubt but their blase 'oh well' attitude really incensed me.

That being said, I'm not trying to launch a campaign against them or trying convince anyone not to do business with them. This is one of those YEMV situations. I've seen them get lots of positive reviews and I'm sure they have a great many happy, satisfied customers. I just feel that my situation was handled quite poorly.

Re: AMEX Cards and AMEX Bank

Anonymous — Tue, 05 Feb 2019 03:48:35 GMT

@FinStar wrote:
@Anonymous wrote:
@Meanmchine wrote:
@Anonymous wrote:
@Anonymous wrote:
I was thinking about opening an AMEX savings acct, should I avoid it?

I have ally and the interest rate has been pretty much the same, I’m very happy w ally in terms of customer service so maybe I should stick with it. Somehow the Amex name makes me feel safer though
I too opened an account with them because of the AMEX name and because I was pleased with their card service. I'm sure many others will tell you they have no complaints about the bank but I had an issue that I found unacceptable. They refused to honor a withdrawal (without notifying me) because, get this: they could not verify that I am the owner of my phone number. Bear in mind that they took my account opening deposit and subsequent deposits with absolutely no issue. My identity was verified when I opened the account. Apparently they use a "third party service" to match the names of account holders with the phone number they have on file. This is one of the most ridiculous things I have heard in a long time. I've had my current number for only about three months but that should not even matter. Holding my money hostage over phone registration records from a "third party service" is nonsense. I closed the account immediately.
If they could not verify your phone number, it means one of the CRAs has an incorrect contact number on file. Instead of getting angry, pull your reports and clean up the mistake
I have all three of my reports in front of me right now as of January 31. Each one of them correctly displays my current phone number.
Right, but have you checked the other 'alternate' bureaus which could potentially have incorrect information?

For my edification, what 'alternate' bureaus other than ChexSystems exist?

Re: AMEX Cards and AMEX Bank

Meanmchine — Tue, 05 Feb 2019 03:49:18 GMT

@Anonymous wrote:
I've checked with no bureau or agency other than the 3 credit bureaus. I really don't see why I should have to

I rest my case.

Good luck