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ComplaintsforCharles Schwab Corporation
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Complaint Details
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Initial Complaint
04/05/2024
- Complaint Type:
- Product Issues
- Status:
- Answered
Opened an online *** account on 3/26. Verified identity with a customer service representative on 3/29. Said account would be ready in 2-3 business days. Account still locked, called 4/3 and went through an extensive security interview with **** in ************. Said it is normally 3-5 business days, not 2-3 business days. Friday, 4/5, account still locked and money is inaccessible. Spoke to ****** in ****** who said account is in the queue for fraud and they will get to account when they get to it. Said they are backlogged due to tax season. Asked to close account so I can move to Fidelity. Schwab refuses to refund money and refuses to verify account so money is stuck in limbo. Cant give a timeline when Ill have my money back. Schwab is making money in interest off of my money. That is fraud. I want my money released so it can be moved to a more reputable company.Business response
04/15/2024
Please see attached response.Initial Complaint
04/03/2024
- Complaint Type:
- Billing Issues
- Status:
- Answered
I am writing to express my deep dissatisfaction and frustration regarding the recent handling of my checking account with ********************************************* Bank. Despite numerous attempts to understand the reasoning behind the extended hold placed on my mobile check deposit, I have been met with inconsistent explanations and a lack of transparency.On March 28, 2024, I made a mobile check deposit into my account, which was promptly subject to an extended hold. Since then, I have contacted your customer service representatives multiple times seeking clarification on the situation. Initially, I was provided with varying explanations regarding the hold and given conflicting information about the availability of my funds. Despite being assured of specific dates on which the hold would be lifted and funds would be made available, these promises were subsequently revoked without any valid explanation. The most recent update I received informed me that I would not have access to my funds until the 9th of April, which is an unacceptable delay for a matter that remains unexplained.The lack of transparency and consistency in communication from Charles Schwab Bank has caused significant inconvenience and financial hardship for me. As a customer, I expect clarity and honesty in all interactions with my banking institution, especially when it comes to matters affecting my access to funds.I urge you to review the handling of my account and provide me with a clear and specific explanation for the extended hold placed on my mobile check deposit. Additionally, I request immediate action to expedite the release of my funds in accordance with the terms and conditions of my account.Transparency, consistency, and accountability are essential components of a trusted banking relationship, and I trust that you will take my concerns seriously and address them promptly.Business response
04/11/2024
Please see the attached letter.Initial Complaint
04/02/2024
- Complaint Type:
- Service or Repair Issues
- Status:
- Answered
I transferred $1750.00 from my ***** Fargo Account to a ******* US Account that was since closed during the acquisition by Schwab. The money was never sent back and I have called several times to no avail. I have the account number and routing number of said account. I need someone that actually cares to investigate and transfer back the funds.Business response
04/03/2024
Initial Complaint
04/02/2024
- Complaint Type:
- Service or Repair Issues
- Status:
- Answered
Myself *****,I want to close the brokerage account- *********. I called Schwab and they are not closing it. I want them to close my account immediately. Its my right to get it closed as i don't want it anymore.Business response
04/10/2024
April 10, 2024
Dear Better Business Bureau,
Re:Case ID ********
I am writing in response to the April 3, 2024 correspondence to Charles Schwab & **** **** regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the person initiating the inquiry you forwarded in accordance with required regulatory guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,
*********************
Resolution Manager
Client Advocacy Team
************ / Fax **************
Charles Schwab & **** ****
***********
Mail Stop: PHXPEAK
*************, ** 94105
(1123-31MY)
Investment Products: Not FDIC-**************** Guarantee May **** ValueInitial Complaint
04/01/2024
- Complaint Type:
- Product Issues
- Status:
- Answered
I joined a new employer last October. A couple of months later, I noticed my paycheck was less than before. After investigation, I learned I had been enrolled in a payroll deduction plan without my knowledge or approval. I immediately reached out to SChwab to have the deductions stopped. I was told the money would be returned, but that I should wait a couple of weeks to ensure the deductions had stopped, to avoid more than one refund.I was told I would receive all my money with no deductions of any kind.I attempted a couple of weeks later to get my money and the phone rep acted like they had never heard of me. After a substantial, unproductive conversation he put me on hold for a long time and I finally was forced to hang up. He was trying to tell me he was required to withhold money for taxes by law and this is not the case. This is their problem/error and they need to fix it as originally promised. Worse case scenario is that i certify this as a hardship withdrawal and get all my money. The person I spoke to seemed completely unknowledgeable about this and other potential options. They have stolen from me and I want my money back.Business response
04/09/2024
See attached for resolutionCustomer response
04/12/2024
I am rejecting this response because: There is nothing new here. They took my money without my approval and failed to return it as promised. They are fully able to return the money without deduction and allow me to pay the taxes - if any - on my own. I'm a CPA and fully aware of all tax laws. Their argument that "you will pay taxes anyway" does not solve the issue of them taking my money without my express approval and it implies that they know my tax situation. Bottom Line: If I need to pay taxes I will pay them on my own. All they need to do is file with the *** that they made a distribution and I will deal with the ***.
They want to push this off on the employer, but they're out beating the bushes as we speak trying to sell this service - where they increase revenue with very little work - to other companies. It's dishonest and it needs to stop.
Business response
04/23/2024
Please see attached for resolutionCustomer response
06/12/2024
I am rejecting this response because: I have not been contacted as indicated. Nothing has been done. They still have money I never agreed for them to take. We are where we have always been. No action and no apparent interest in taking action. This is a scam.Initial Complaint
03/27/2024
- Complaint Type:
- Product Issues
- Status:
- Answered
I have a POA over my mother's Charles Schwab account which had $111K. CS sent my mother a letter in December 2023 and February 2024 (unknown to me) since there was no activity on the account. I called CS on 3/13/24 inquiring as to why there was a "restriction" on her account. I was told CS began the escheatment process since they did not hear back from my mother. I explained that my mother is 80 years old and that is why I have POA to handle her affairs. I asked that they stop the process. They told me to call back in 5 business days and that they opened an internal case. This was annoying as I was on the phone over an hour between hold time and being transferred to various people. I called back on 3/20/24 and was informed ALL of my mothers money had been transferred to the state of FL that morning even though I called a week ago. They said there was nothing they could do to stop it. I was told that I need to file an unclaimed property claim with the state of FL and file a claim to try and get the funds back. I called the state of FL and was told that claims can take over a YEAR to show up in their system. My mother is on a fixed income and now ALL of her money has disappeared. I will be closing my personal account with ********************************************* which I have had for over 30 years. I explained to the rude Charles Schwab representative that this was all of my mom's money and this will not only cost them her business but mine as well. ****** stated - yes I understand. Unacceptable. NEVER do business with Charles Schwab!!!!Business response
04/09/2024
Dear Better Business Bureau,
Re: Case ID ********
I am writing in response to the March 27, 2024, correspondence to Charles Schwab &
Co., **** regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the
person initiating the inquiry you forwarded in accordance with required regulatory
guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,
********************************************
Resolution Manager
Client Advocacy Team
************** / Fax **************
Charles Schwab & Co., ****
***********
Mail Stop: PHXPEAK
*************, ** 94105
(1122-2C31)
Investment Products: Not FDIC-**************** Guarantee May **** Value
NOTICE: All e-mail sent to or from the Charles Schwab corporate email system is subject to archiving, monitoring
and/or review by Schwab personnel.Initial Complaint
03/27/2024
- Complaint Type:
- Product Issues
- Status:
- Resolved
I have been trying since September 2023 to get a 401k distribution paid to the spouse of a partner with my firm who passed away in August. I have submitted numerous documents repeatedly through PCS Retirement and never get an answer. PCS claims Schwab does not provide a phone number for them to reach them and everything has to be done by email.Business response
04/05/2024
April 3, 2024
Dear Better Business Bureau,
Re:Case ID ********
I am writing in response to the April 1, 2024 correspondence to Charles Schwab & **** **** regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the person initiating the inquiry you forwarded in accordance with required regulatory guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,Customer response
04/09/2024
I have reviewed the business response and accept this resolution. The person who helped me, *****************, did an excellent job addressing my concerns and processing my request.Initial Complaint
03/25/2024
- Complaint Type:
- Product Issues
- Status:
- Resolved
On 2/9/24 Schwab sent out a Composite 1099 Year end summary for two accounts I have at Charles Schwab. Upon review by both myself and accountant, a certain liquidation was incorrectly reported. Schwab was immediately notified in writing and by phone explaining what the problem was. On 2/23/24 I received a corrected 1099 Form and once again, the transaction was incorrectly reported.On 3/8/24 and 3/14, phone calls to Schwab and another letter was sent inquiring about delays. The 3/14 response from Schwab said I would have another corrected copy within 5 to 7 business days. Its now 3/25/24 and still no corrected copy. Now I have to file an extension with the IRS.Its a shame Schwab, being a large institution in the finance market and acting like a fiduciary, does not have the quality controls in place to correctly address, review for correctness, and ultimately reissue corrected information time.Business response
04/02/2024
April 2, 2024
Dear Better Business Bureau,
RE: Case ID ********
I am writing in response to the March 26, 2024 correspondence to Charles Schwab & **** **** regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the person initiating the inquiry you forwarded in accordance with required regulatory guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,Client Advocacy Team
Tel ************ | Fax ************
Charles Schwab & **** ****
***********
Mail Stop: PHXPEAK
*************, ** 94105
Investment Products: Not FDIC-**************** Guarantee May **** ValueCustomer response
04/05/2024
I am rejecting this response because: Schwab finally sent a corrected form and explanation regarding that particular event transaction and apologized for the delay incurred. They have offered a $250 credit which they have not explained what that entails. My response was thanking them for explaining the events. However, based on a number of a phone calls to no avail and continued delays in providing correct info and a proper explanation, my accountant was forced to file income tax extension. The time accounting firm put into trying to figure out the statements and filing the extension cost me close to $1,000. needless to say I am expecting a large credit from the *** which is also delayed receiving. I asked Schwab for reimbursement, since I am out of pocket for those expenses. I have not received a response yet, but could only imagine would it will be.Business response
04/08/2024
April 8, 2024
Dear Better Business Bureau,
RE: Case ID ********
I am writing in response to the April 5th and March 26th, 2024 correspondence to Charles Schwab & Co.,Inc. regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the person initiating the inquiry you forwarded in accordance with required regulatory guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,
Client Advocacy Team
Tel ************ | Fax ************
Charles Schwab & Co., Inc.
***********
Mail Stop: PHXPEAK
*************, ** 94105
Investment Products: Not FDIC-**************** Guarantee May **** ValueCustomer response
04/08/2024
I have reviewed the business response and accept this resolution.Initial Complaint
03/18/2024
- Complaint Type:
- Product Issues
- Status:
- Answered
Schwab does not have sufficient security in place to protect against wire fraud. I was a a victim of real estate wire fraud. The *** told me the funds have been located and frozen. But Schwab has not returned my funds to me. Financial institutions should not be able to keep funds (and earn interest on them) that do not belong to them. It has been 45+ days and they have not provided me with my funds. They also have almost no security in place even though they are aware that wire fraud and cash/bank account mules is a massive issue for American citizens.Business response
03/20/2024
March 20, 2024
Dear Better Business Bureau,
Re:Case ID ********
I am writing in response to the March 19, 2024 correspondence to Charles Schwab & **** **** regarding the above-referenced matter.
Charles Schwab thoroughly researched the concern and responded directly to the person initiating the inquiry you forwarded in accordance with required regulatory guidelines.
Thank you for the opportunity to be of service in this matter.
Sincerely,Initial Complaint
03/16/2024
- Complaint Type:
- Customer Service Issues
- Status:
- Answered
Formerly had full access to funds on TD Ameritrade. They recently integrated with Charles Schwab. At the time I was 20, and TD Ameritrade provided me full access to my account. To be clear, it was a custody account when I was 17, but I then had full control at 18. However, Schwab requires account holders to be 21. Due to this policy with no grandfather clause, I was unable to access my stocks or funds during any of the transition period and was not notified that this would be an issue. I did not agree to any terms of service with Schwab.My funds were then TRANSFERRED WITHOUT MY PERMISSION to one of my parents who had the custody account when I was under 18. I had no direct access and I'm still trying to access my supposed Schwab account that was created for me during the transfer.Business response
03/21/2024
see attached
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Customer Complaints Summary
624 total complaints in the last 3 years.
194 complaints closed in the last 12 months.