Personal Finance

Bank is closing my account for no reason

  • Last Updated:
  • Oct 18th, 2020 8:53 pm
[OP]
Newbie
Oct 14, 2020
1 posts
1 upvote

Bank is closing my account for no reason

i have tangerine bank account which consist of checking and saving account a Mastercard and line of credit
i have money in both checking and saving account i never paid late on my credit card i never had nsf fee but
tangerine bank sent a letter they will be closing my account they gave no reason
why are they doing this has this happen to anyone before.
78 replies
Sr. Member
User avatar
May 18, 2019
747 posts
363 upvotes
Do you deposit a lot of cash? Also are they closing all of your accounts? Have you tried contacting them?
Deal Addict
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Jan 16, 2007
1078 posts
1109 upvotes
There is always a reason, but it doesn't mean they will tell you what it is and the reason to terminate their relationship with you (if it's everything) may not be the same as others.
Deal Addict
Jun 11, 2016
1448 posts
2079 upvotes
Banks dont close accounts for no reason.

For example, you might be a stellar Tangerine customer, but having either too much debt or bad credit could be a factor in them closing your accounts.
Best just call them.

Cheers, KH
Jr. Member
Apr 25, 2020
140 posts
40 upvotes
Try to contact them first. There must be a reason why. Haven't experienced this before though but it's only them who could give you the right answer :)
Deal Fanatic
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Jan 9, 2011
9296 posts
10845 upvotes
Vancouver
MoF125 wrote: i have tangerine bank account which consist of checking and saving account a Mastercard and line of credit
i have money in both checking and saving account i never paid late on my credit card i never had nsf fee but
tangerine bank sent a letter they will be closing my account they gave no reason
why are they doing this has this happen to anyone before.
Have you ever wired money to a relative who was sitting in the same Karachi restaurant two tables away from a known terrorist's second cousin's hairdresser?
Deal Addict
Jan 21, 2018
3652 posts
3732 upvotes
Vancouver
There are many previous threads in this forum with people complaining about the same thing with other Canadian banks. The general message is that banks will occasionally do this for reasons that are mysterious to the customer, and they will neither explain nor reconsider. Likely some flunky in the back office has decided that your business is not worthwhile to them, or some transaction(s) on your account are considered suspicious, or there is some concern about your credit rating by their method of calculation (if you have credit card or chequing account). Banks do not have a very good track record of being accurate with such things - their reasoning often seems laughable and way off base if customers ever find out what was behind it. For example my 90-year-old mother got a call from HSBC, where she has been a Premier customer for 30 years, to ask about the suspicious transaction when she moved $50K back from RBC after moving it from HSBC to RBC to take advantage of an interest rate promo 6 months earlier.

Don't waste your time worrying about it, just move on. Tangerine's loss.
Deal Addict
Jan 2, 2015
1536 posts
533 upvotes
Toronto, ON
I don't know if calling the bank will help. When people get their accounts closed, the bank becomes closed-mouthed.

Banks usually close accounts due to suspected fraud (by the account holder) or not following the banking agreement, such as using a personal account as a business account. When people ask this question, they usually don't answer questions such as "did you use that account to buy Bitcoin?" or stuff like that.
Deal Fanatic
Aug 5, 2006
5457 posts
2651 upvotes
Global Village
KravenHead wrote: Banks dont close accounts for no reason.

For example, you might be a stellar Tangerine customer, but having either too much debt or bad credit could be a factor in them closing your accounts.
Best just call them.

Cheers, KH
Say your credit score has dropped this year but you haven't been late or delinquent with any Tangerine products. How would Tangerine know? Do they check your credit score automatically every certain # of months if you're a client?
All day I dream about sports
Deal Addict
Feb 17, 2017
1122 posts
892 upvotes
Calgary
scoper wrote: Say your credit score has dropped this year but you haven't been late or delinquent with any Tangerine products. How would Tangerine know? Do they check your credit score automatically every certain # of months if you're a client?
Most banks do a soft pull every month.
Member
Jan 24, 2004
460 posts
60 upvotes
You'll need to contact them to know why they cancelled. All of us here can only speculate..

Also, you'll want to know if the account was frozen so you can get back your money. Sucks you'll lose a credit card and LOC though..
Deal Fanatic
Apr 16, 2007
7870 posts
3137 upvotes
Financial District B…
There's is ALWAYS a reason and they are not obligated to tell you or explain why.
Suspicious deposits, transactions, etransfers, all could be reasons to cease your banking relationship.
----------------------------Licensed Credit Bureau member, S1, FI Automotive, CCP forums most banned = x 13 and counting, guess who that is?... stomped to the curb once again
Deal Expert
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Aug 18, 2005
19766 posts
4365 upvotes
Burlington-Hamilton
mikeymike1 wrote: There's is ALWAYS a reason and they are not obligated to tell you or explain why.
Suspicious deposits, transactions, etransfers, all could be reasons to cease your banking relationship.
True enough. Similarly, you could choose not to do business with them and close your accounts, and you're not obligated to give them a reason.
What if there were no hypothetical questions?
Deal Fanatic
Apr 16, 2007
7870 posts
3137 upvotes
Financial District B…
Jucius Maximus wrote: True enough. Similarly, you could choose not to do business with them and close your accounts, and you're not obligated to give them a reason.
Of course.... but he may find he may be is similar situations with other banks and FI's if his banking transactions/behaviours are the same from the one that ceased doing business with him.
He is doing something to cause the closure. He will have to figure that out himself.

Moreover, why is it that people with these kinds of thread starts are always new forum ID's with 1 or 2 posts? What's their other ID on here?
OP doesn't need to hide their name, as soon as his bank acct was closed his full real name and entire profile is transferred to a list
----------------------------Licensed Credit Bureau member, S1, FI Automotive, CCP forums most banned = x 13 and counting, guess who that is?... stomped to the curb once again

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