In October 2013 I interviewed Pat, who shared her story of Chase shutting down her banking relationships based upon her transaction habits. In the past few days I have been hearing more about this happening at other institutions, and readers have mentioned that US Bank and Wells Fargo are now aggressively closing accounts that have a large number of Money Order deposits. Chase at the time was focused on closing accounts with large Cash deposits, if you are manufacturing spend I highly recommend you read that post again, and look at the comments section for more reader insights.
One thing a reader mentioned there that struck me as something that we should clearly never do is taint other accounts with the same institution. Reader Eric explained that when he was notified that they were closing him down he asked for the money in his account to be wired to his daughters account at the same bank – which they then shut down also. I think we should note that if you are flagged, even wrongly, for being suspicious transferring that money internally is going to flag any new account for closer observation at the very least.
This of it like this, when you are persona non grata your money is dirty to the bank, you need to take it out of the system and put it back into the system in a clean manner, I would certainly recommend to get a cashiers check rather than ACH even to an external bank if at all possible. Read the interview here if you haven’t already, I included her thoughts on why it happened, and some recommendations on what to do if it does happen to you.
For now it seems, watch cash deposits into Chase, and watch your MO deposits into WF and US Bank. And at the very least, if you get the notice, act faster than their deadlines, get your points out first – all your points. Even if they are only going after your checking account it is very likely that your credit cards will be next. Then follow the steps in the interview to sort out your accounts.