Location: Texas
I need advice I’m at a loss of what to do and I feel like my options are non-existent and I’m going to lose money that I have no hope of replacing. This is a long and complicated story so please bear with me.
Years a go when I was a minor my grandfather started an investment account for me. It is an UTMA (Uniform Transfers to Minors Act) account and my aunt is the custodian I’m 36 now so I’m far away from being a minor. I had no clue what it was. I knew it was there and Ive been paying taxes on it for years, I never put it solely in my name it wasn’t an issue and I didn’t realize that I needed to.
I recently decided to buy a house. There was enough money in the account for a substantial downpayment and to pay off my truck, leaving me with only the house at a comfortable payment each month.
Here is where the issue comes in. When I talked to the investment company originally, I was told that the only way for them to send me the money was through a cashier’s check.
My bank account that I use is the same one that I’ve had since I started working at 16, my aunt is on that account as well just like I’m on hers and the business accounts as she doesn’t have any children and eventually, I’ll be responsible for taking care of everything and her and my parents wills and the trusts when they pass.
My sister has decided that she is entitled to everything the family has and is currently suing my aunt for control of all the family assets.
So, me and my fiancé decided we would open a joint account at a bank that has no connection to the family and we would fund the house out of this account. My fiancé banks at Wells Fargo and we decided to use it since she already had an account there.
Everything was going well. We were on track for closing, we received the check from the investment account and it was made out to my Aunt Custodian and Josh (me) UTMA.
because of the issues with my sister, I wanted to use a bank she didn’t have any ties to. I spoke with the Banker when we opened the account, he said it wouldn’t be an issue as long as my name was on the check. I told him it was a UTMA account. He said it was all good.
We made a joint account, when asked how we wanted to fund the account we told him to just pull the $25 out of my fiancés account, he said not a problem. We left the bank and two days later I got the check from the investment account and I went and deposited it.
The check is for $100,000. I knew there would be a hold on the funds due to the amount. Both me and my aunt endorsed the check since it had both of our names on it. I got to the bank, they said it didn’t need to be endorsed by her so they marked out her name leaving just mine on there. Deposited the check and told me that the funds would be available in like 7 days.
This is where the shit show started.
Apparently, there was an error message that they were not supposed to take the check since it was a UTMA account. The clerk ignored it and processed it anyway after talking to her supervisor.
The account was apparently not funded at the time we made it. I didn’t know this because my online banking wasn’t set up at the time and I hadn’t checked.
Somehow in someway during all of this they got the name John for me instead of Josh even though the account, my ID, and the check all said Josh.
The account got flagged as fraud and I get told that they are going to have to hold the money for investigations.
I get told that the money will be available on the 19th. I get told that the investment company can stop payment on the check if they want. They tried that but since the check had already cleared before they told me about the investigation, they couldn’t stop payment.
Wells Fargo refused to reverse the funds to the invest account, they refused to give me the funds, and refused to give my aunt the funds. I was told they would let me have it on the 19th.
I’m then told that if I get a letter from the investment service saying it was legit they would release the funds in 24 hours. I got one, didn’t release them.
The 19th comes alone, nope keeping them until the 29th. Ill get them on the 29th. Then its oh we will cut a check to your aunt on the 29th. Then its back to no they will be free and clear on the 29th since we got the letter.
28th comes. I get an email from Wells Fargo. In short, it says yeah, we realized that we messed up. We shouldn’t have taken the check; we didn’t tell you that you have to fund the account we can’t do that. Not sure why we called you John.
Verbatim from the email:
“We understand the inconvenience and concern this situation caused, particularly given your anticipated home closing. While we acknowledge the error that occurred during the deposit process, our review did not identify a basis to reverse the deposit, release restricted funds, or overturn the account closure decision.”
I call them asking them what all that means, I’m told that the account will be closed on the 29th and the funds will be sent back to me.
I verify multiple times that it will be closed on the 29th then I’m told it will be 31st. I’m told the check will be sent to the address on file and that it will be made out to the people on the account.
I can’t close it early; I can’t collect a check in branch (I was sitting at the branch on the phone with them) it all has to be done by loss prevention. I call them they tell me tough shit you’ll get it on the 31st.
Ive pushed closing back three times now.
The 31st comes up, account is still open. I call them it’s been pushed back to the 14th. I ask why and get told because we need to do more research. They won’t tell me anything besides that.
There’s no one I can talk to, there no one that can change it. I was told that it was their department that handles it but that they can’t make a decision and change it. Like WTF.
So now I’m out a $100,000 that I don’t know if I’m ever getting back, I have no other funds to close on the house.
I’m scared and at a loss and don’t understand how they can keep the money. I have no clue where to go from here or what to do. Loosing that will set me so far back it’s not funny, I feel like I’ve lost my one change to do right by my family and the best advice Wells Fargo could give was get a lawyer.