If a bank does not respond to a complaint, the complaint can be escalated to federal regulators like the Consumer Financial Protection Bureau (CFPB), FDIC, or Office of the Comptroller of the Currency (OCC). These agencies will forward the complaint to the bank, which usually has 15 to 60 days to respond before a formal investigation may begin.
If bank is unable to redress the grievances of customer or customer is not satisfied with bank's response, in that case they have right to submit appeal application before Banking Ombudsman. Visit Reserve Bank of India for more Information about Banking Ombudsman.
The bank or building society must investigate your complaint and give you a clear answer within eight weeks. They may send you: an initial response. This gives you the chance to go back to the company if you are not satisfied with their answer.
If we think the organisation has not responded to your request as they should've done, we can give them advice and ask them to solve the problem. You can also seek to enforce your rights through the courts. If you decide to do this, we strongly advise you to seek independent legal advice first.
If funds are unjustly withheld, filing a formal complaint with the bank's customer service or banking regulator is advisable. Legal action may involve small claims court, requiring documentation of the account status, communications, and the bounced check details.
Yes, you can sue a bank for holding your money, especially if it's done unlawfully or without proper reason, under laws like the Electronic Fund Transfer Act (EFTA) and state unfair practices acts, potentially recovering damages and attorney fees; however, you must first understand why the bank is holding funds (e.g., fraud/legal holds), and it's best to start by complaining to regulators like the CFPB or the FDIC before escalating to a lawsuit, often with an attorney's help.
In general, banks or credit unions may hold deposits more than one business day if: The account has been open for less than 30 days. The account has been overdrawn too many times in the last six months (check your bank for specific policies) If you made a deposit at an ATM owned by another institution.
A clear, substantive response within 14 days of receiving the complaint. For complex issues, businesses should acknowledge receipt within 3 working days and provide an estimated timeframe for resolution.
An effective complaints process should:
While Bank of America often leads in total complaint volume to the CFPB, Wells Fargo frequently ranks high for its poor reputation and scandals (like fake accounts) alongside JPMorgan Chase, but some analyses show smaller banks like Capital One, Discover, or TCF National Bank (now part of Huntington) having higher complaint rates relative to deposits, indicating worse customer experience per dollar held.
If not satisfied write to the Controlling Office. If you still feel aggrieved write to the Nodal Officer for complaints of the concerned bank. If the Nodal Officer cannot redress your complaints and you still feel aggrieved approach Banking Ombudsman for a satisfactory resolution of the matter.
The RBI Ombudsman resolved 93.07 per cent of complaints in 2024-25, but it is lower than the previous year's 95.10 per cent. RBI is to launch a two-month campaign from January 1, 2026, to resolve pending complaints. The total complaints with RBI Ombudsman grew 13.5 per cent to 13.34 lakh in 2024-25.
The country's largest public sector lender, SBI, received more than 6,87,000 complaints in FY25, up from previous years. Notably, over 1,05,000 complaints were unresolved as of March 31, 2025.
Normally, when you make a complaint to a bank, they have 8 weeks to investigate and offer a final response. However, for authorised push payment fraud, different timescales apply. APP fraud is where you are tricked, as part of a convincing scam, to send money to a fraudster.
Information To Include in Your Letter
The 5 Top Reasons Customers Complain
Satisfactory quality – your goods shouldn't be faulty or damaged, and of at least satisfactory quality. For example, second-hand goods aren't held to the same standards as new. Fit for purpose – you should be able to use it for the purpose they were supplied for.
To respond to a rude customer professionally, you should remain calm, listen actively, empathize with their frustration, avoid arguing, apologize if necessary, and focus on finding a solution to their problem.
Be prepared to appeal – 99% of grievances are dismissed by the employer.
Protect Yourself And Prevent Unnecessary Conflict By Avoiding These Five Common Mistakes In Handling Workplace Complaints
Yes, a bank can refuse to give you your money, but usually under specific conditions like suspected fraud, large withdrawal requests needing verification (due to anti-money laundering laws for over $10,000), account holds for unconfirmed deposits, legal orders (like garnishments), or if your account has unresolved issues. While you generally have a right to your funds, banks can temporarily withhold them for compliance and security, though prolonged or unjustified refusal might allow you to take legal action.
According to banking regulations, reasonable periods of time include an extension of up to five business days for most checks. Under certain circumstances, the bank may be able to impose a longer hold if it can establish that the longer hold is reasonable.
Yes, you can sue a bank for holding your money, especially if it's done unlawfully or without proper reason, under laws like the Electronic Fund Transfer Act (EFTA) and state unfair practices acts, potentially recovering damages and attorney fees; however, you must first understand why the bank is holding funds (e.g., fraud/legal holds), and it's best to start by complaining to regulators like the CFPB or the FDIC before escalating to a lawsuit, often with an attorney's help.