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I came here to look for suggested high yield savings and one suggestion was AXOS Bank that offers a 0.6% interest on their savings. So I signed up and I connected (or tried to) my credit union so I could transfer money.

I got an email asking me for more documentation. Odd. Other institutions don’t have this issue but, ok. I’ll send them a PDF of my last statement.

They liked it and verified the connection was valid. So I entered to transfer money (a second time — the first time was removed when they asked for verification).

Next day, I get another email — identical to the first, asking me for documentation to prove I owned the credit union account. I got irate at that point but also sent them the same document that I had sent before.

I also entered to transfer some money. Later, I got to thinking about it and I had lost all trust in their ability to be responsible so I removed the request to transfer money.

The next day, I was verified for the second time and shortly after that, the money was transferred — after I had asked it not to be.

Well, I say transfer but actually it wasn’t. The transfer was over 24 hours ago. My credit union was debited over 24 hours ago yet the money has now shown up in the AXOS account. Isn’t this illegal?

Contrast this with Fidelity. I requested to transfer money. They show it in my Fidelity account before it has even hit my credit union account

I plan to transfer the money out of AXOS as soon as possible and close the account.

The other bad thing is they obviously have support over seas and so the message exchanges are replied to at 2 a.m.. Thus, there is one exchange per 24 hours.
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I got an email asking me for more documentation. Odd. Other institutions don’t have this issue

This is a requirement by the Feds, and is necessary to open an account. Generally, they need identification proof, and so a statement would not be sufficient. This is to protect against identity theft and fraud.

Well, I say transfer but actually it wasn’t. The transfer was over 24 hours ago. My credit union was debited over 24 hours ago yet the money has now shown up in the AXOS account. Isn’t this illegal?

This is not illegal and is also not unusual. I know that when I transfer money to or from my Citizens bank account, it takes days to show up at the credit union. The issue is on the Citizens side and not on the credit union side.

Your issue could either be on the credit union side or AXOS bank side.

But nothing you have reported is unusual or illegal.
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So asking for the same document twice isn't unusual?
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So asking for the same document twice isn't unusual?

Not necessarily. What document did they specifically request? What did you provide? Did you provide what they requested?

There are a lot of reasons that you could be rejected or that the document you provided was not adequate. And they will not necessarily explain to you what is wrong as if you were someone trying to commit fraud, the last thing they need to do is provide the tools to successfully commit the fraud. This is all to protect you, and sometimes it makes it difficult for people who are not trying to commit fraud, but those tend to be few.

If you won't like the service or treatment you are receiving, then you could try another bank, but be prepared to provide proof of identity.
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"This is a requirement by the Feds, and is necessary to open an account. Generally, they need identification proof, and so a statement would not be sufficient. This is to protect against identity theft and fraud."

I'm confused with your reply. They asked me and accepted a PDF bank statement.

I just opened up an account at Coinbase (and a few other places but Coinbase is an excellent example). By the time I got finished with a few questions like SS#, phone#, address, Coinbase asked me questions... They knew my step son's name, the color of my son's car, and a previous address that was over 20 years ago. No... with today's tech, me sending PDFs that I got on line from one institution to another is absurd. i.e. if I had hacked into my checking account, Coinbase would have had a much higher probability of detecting the fraud than AXOS bank and it was no bother to me. You don't ask the suspect for proof that is trivial to forge. You get third party verification. Plus... asking me the second time is what tipped the scales. What excuse is there for that?

"This is not illegal and is also not unusual. I know that when I transfer money to or from my Citizens bank account, it takes days to show up at the credit union. The issue is on the Citizens side and not on the credit union side."

Sounds like I want to stay away from Citizens Bank.
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I'm confused with your reply. They asked me and accepted a PDF bank statement.

They really asked for a bank statement? That's an odd request. Or did they ask a more general question and that is what you chose to send? I cannot tell from the info you have provided so far.

I just opened up an account at Coinbase (and a few other places but Coinbase is an excellent example). By the time I got finished with a few questions like SS#, phone#, address, Coinbase asked me questions... They knew my step son's name, the color of my son's car, and a previous address that was over 20 years ago. No... with today's tech, me sending PDFs that I got on line from one institution to another is absurd. i.e. if I had hacked into my checking account, Coinbase would have had a much higher probability of detecting the fraud than AXOS bank and it was no bother to me. You don't ask the suspect for proof that is trivial to forge. You get third party verification. Plus... asking me the second time is what tipped the scales. What excuse is there for that?

I don't see why you think Coinbase would have a higher probability of detecting fraud. Did they provide you with all that info, or did they ask you for it, and you had to either provide or confirm from a list? There's a difference there.

You still have not said exactly what they asked for, so I can't tell if it was unreasonable as you seem to think.

I will say that I am involved in these sorts of things and so see quite an interesting variety of what people will attempt to do. It is still amazing to me how someone who is clearly trying to do something fraudulent will go great lengths to get the bank to give in. I see this a ridiculous amount of times.

Sounds like I want to stay away from Citizens Bank.

Yeah, this one is actually my son's account on which I have POA. For the life of me, I cannot convince him to switch to another bank or credit union given their abysmal service. For instance, it takes 3 days for an electronic transfer to go either to or from them and my credit union, but if I write a check and do it via mobile deposit, it hits the next day. I compare this to E-Trade transfers into my own credit union account which take 1 day. It is clearly on the Citizens end. Oh, and then there was the time he physically went into the bank and made a withdrawal, but he took out more money than he had in the account. So instead of the teller noting that and refusing to give him funds over what were in the account, they whacked him an overdraft fee. Yet if he had attempted to make that same withdrawal from the ATM, it would have said there were not sufficient funds and not let him do the overdraft.

I hate Citizens bank, but as long as he has that account there, I get to have some of this fun.
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