Los Angeles, CA asked in Banking, Consumer Law and Identity Theft for California

Q: How long can Charles Schwab hold my money legally after they close my account. They said I was in chex systems

They said I was in chex systems so they can't open my account due to fraud. I sent them my California ID along with a utility bill as a second proof of address. As a courtesy. To help expedite on proof of who I am. They keep telling me someone from fraud will call me. To tell me how I can go about getting my money. It has been a month and I wait on this call everyday. I have $14,000 that was wired to me from the sell of my RV. I dont know what to do. I have no money I m having problems with edd also that I m appealing there claims of not being able to verify my identity also. What do I do?

1 Lawyer Answer
Ian B. Lyngklip
Ian B. Lyngklip
Answered

A: If they are telling you that there is a problem with ChexSystems, there are two problems. The first problem is that ChexSystems is a credit reporting agency that publishes data relating to bank and checking accounts. The major banks report NSF checks to ChexSystems, and that agency regularly reports NSF checks as "fraud." You should immediately request a copy of your ChexSystems report along with the Early Warning report. You can find their addresses on my web site at https://www.consumerlawyers.com/most-important-credit-reports-to-order.

The second problem is the one you wrote about, which is the retention of your funds. Schwab is an investment house, but they may have set up an affiliated bank to allow you to receive and pay funds. You will need to contact a banking attorney for this, but if the funds have been wired to you they should be available almost immediately. You can find a referral to a consumer banking attorney at web site for the National Association of Consumer Advocates, www.consumeradvocates.org. Select the find a lawyer link in the center of the page and you can find a banking attorney near you. Best of luck.

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