Posted by Chuck on January 18, 2019
Bank Account Bonuses

Published on January 18th, 2019 | by Chuck

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PSA: Don’t Use ACH for Chase Bank Account Fundings, Avoid Account Lockup

There are many recent reports of people who opened a new Chase checking or savings account and had their account locked up when attempting to fund it via ACH from an external bank.

Usually the fix is to have a 3-way call with Chase and the external bank and clear up your Chase account. Yet other times they require you to come in with 2 forms of ID or worse. Here are some of the reports of people who’ve bumped into this issue: 1, 2, 3, 4, 5.

From the comments of this post, it appears the issue affects:

  • even transactions as little as $1,500 (and possibly less)
  • both personal and business accounts
  • even Chase accounts which are many years old (not specific to new Chase accounts). It has been suggested, though, that the first 30 days is more of an issue.
  • whether you fund you Chase account with ACH-pull from an external bank or if you do an ACH-push from an external bank into your Chase account. Initially we wrote only to avoid ACH-pull from Chase’s end, but readers note that even pushing funders from an external bank to a Chase account might trigger the security alert.

It’s a big mistake in the system on Chase’s part because it’s normal for new accounts to transfer in large sums of money and because it gives a bad taste to new customers.

A few recommended options:

  • I’d recommend transferring large sums to fund your Chase account by depositing a check in-branch or via the mobile app.
  • Alternatively, you can try doing smaller transactions which is obviously a pain.
  • Zelle/Quickpay might be another option.
  • While there have been reports of lock-up for ACH-pushes from another account, most reports are of ACH-pulls from Chase’s end, so it might be a bit safe to try the external push method from the two options.
  • A reader suggests that You Invest accounts might not have the same sensitivity as checking and savings accounts. (In the case of You Invest, it may not be possible/easy to deposit a check, so you may have to either ACH-pull or ACH-push. ACH-push is probably a bit safer.)

A lot of us open Chase checking and savings account for the bonuses they offer, especially the current $600 offer and Sapphire Banking offer which many of us are doing. During account opening, you can fund the initial $25-$50 deposit with a debit card, and small amounts should be okay via ACH, regardless. It’s just when your doing the full account funding to trigger the bonus (usually it requires $15,000 or $25,000) that you trip into their security system.

Here are a few current Chase deposit bonuses:



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WZ
WZ

I did an ACH-push from an external bank for my upgraded Chase Sapphire Checking (because Chase didn’t allow me to ACH-pull more than $10000) and had the same issue. Had to call in and do a 3-way phone call.

Rob
Rob

Ditto (ACH-pull from another bank).

Ryan Goldstein

I ran into this as well, after initiating a $10,000 and $5,000 pull from an external bank to fund my new Chase savings account. I got a call from Chase, they already had a representative from my funding bank on hold, they verified me, then conferenced in the rep from the bank, who also verified me. The Chase rep then confirmed with my other bank rep that I have sufficient funds, then they approved the transfers. A bit annoying I guess, but not the end of the world.

TomJ
TomJ

The other side of this is when I accidentally once did a $10K transfer when all I intended to do was a $100. My checking account had a $7K negative balance when I discovered my mistake. At least with this system, mistakes like the one I made would not happen!! (To this day, I still wonder how in the world the bank let that transaction process.)

Electroman
Electroman

For the fees, of course. Yes, I’m serious.

Mike Advantage
Mike Advantage

This happened to me.. and I was fucking overseas at the time (for 4 months). And I had to call Chase on 15 different occasions and plea for them to unfreeze / unlock my account. Because at first they said I would need to come in person to a U.S branch. I even called my local branch, they couldn’t do anything because I opened the account online.

This happened last year.

Worse bank experience of my life. Never again with Chase.

Vk48
Vk48

Affects business accounts too, had the same happen to me when I opened the business checking and funded from an external bank. That was only for $1500 also

Ashton
Ashton

I did a ach push and got locked up. It was just $2600. Account is 7 yrs old.

Nick
Nick

Glad I pushed my two deposits totaling $15k to Chase. Wasn’t aware you could pull using Chase (surprised they don’t charge fees).

Andy
Andy

No bank charge for pulling, some do for pushing (boa).

Sevillada
Sevillada

Love banks…
“Bring your money”
“Wait a minute, why are you bringing that much?”
“Spend money on this CC”
“Wait a minute, are you really you the one using that CC you verified minutes ago?”
Facepalm

albert
albert

“Open a new account with us!”
“We think your account was opened under fraudulent situation, the reason your account has been closed will be given via mail”
Reason via mail: “we closed it by own decision”
SMH

Mike
Mike

I had no issues doing a pull from Chase. Pulled $10K from Capital One and it went through no problem. Pulled $5K from Bank of America, and this triggered a call from Chase Fraud Department. They told me they can verify with Capital One, but had issues with Bank of America. Chase told me it was best for them to cancel the transaction and then have me deposit a check from them or move money with Zelle. When she went to go cancel, she found out it processed. My money was in my account within 2 days. So it might just vary by bank

Mar
Mar

Opened a chase checking back in june, made a $1k deposit via check from my main checking at a different bank and they decided to hold it for about 10 days before posting to my account. Was pretty annoyed about that so I closed the account shortly after. Agree that things like this leave a bad taste

BB
BB

I did a $1500 push from Ally to Chase that locked my wife’s new account about 2 years ago. They wanted her to come in with two forms of ID, but the nearest branch is 150 miles away. They ended up unlocking her account over the phone after answering security questions.

My wife was not happy.

Alex
Alex

Did not know about this. Just completed $75k worth of transfers (across 4 banks) that posted today. Hoping that everything stays ok. No issues so far.

RAM
RAM

And don’t fund from too many sources, I got banned [all banking accounts] trying to meet the sign up bonus criteria funding from different sources,

lingua
lingua

Hey were you able to confirm that was the reason or just speculating?

They closed my checking account, then after I was allowed to open a business account in branch, they pulled the same closure with no reason given. Sucked because they would hold my funding for about 2 weeks while first “locking” my account and then giving the closure decision. No 3-way call option, just “they decided to end their banking relationship with me on both cases.

MisterBill
MisterBill

So what does this mean for the required direct deposit to get the checking bonus? Will it actually need to be a real DD and not an ACH?

josefismael
josefismael

Good looking out. Just opened the checking and savings for the $600 bonus and forgot to fund during the opening process. Pushed $100 from Ally to the checking account and it credited the very next day, but I’ll take it slow over the next week or so to get that 15k into the savings.

Johnny
Johnny

They locked my account over $100 coming in from Unify. Had to do 3 way call with Chase calling Unify. ABSOLUTELY RIDICULOUS.They are awful, never dealt with a bank like them

El Cheapo
El Cheapo

How did the Ally push show up on your statement? I want to use them to fund both accounts for the $600 but I’m worried Ally won’t trigger the checking bonus.

Dan
Dan

You Invest accounts seem to be OK.

Alex
Alex

Perhaps that’s why my transfer went through without issue. Bulk of my transfer went to You Invest account.

LastMiles
LastMiles

Completely mystified as to why anyone would open a new Chase savings account. Interest rate is %0.01, compared to 2% or better at many online banks. We have one only as a result of the WaMu acquisition, and have since moved our money out.

Jeremiah
Jeremiah

For the signup bonus.

bax
bax

Problem with mobile deposit is IIRC Chase limits your new account to some rather small aggregate sum like $5000 *total* within the first 30 days, so you won’t be able to fund the $15,000 for the savings account bonus that way. I had to go to a Chase branch to deposit a check for that reason.

Josh
Josh

I can confirm this happened to me when I opened an account in a Dallas branch while I was there in 2017. They initially wanted me to go to a branch with ID, but I wasn’t able to do that, so we ended up conference calling with all 5 banks I moved money from to confirm that either the transfer went through or that I had sufficient balance for the transfer.

Brian C
Brian C

I had no issues funding my Chase Savings with $15k+ a few weeks ago from external ACH push

Jeremiah
Jeremiah

Just this morning I initiated a $15k ACH transfer into a new Chase savings acct I’d opened for the $225 bonus. Would be nice not to need to call in.

Celia
Celia

Is this just for funding for new accounts? Can I still use Discover bank or 360 to transfer money into my Chase business or personal accounts? The newest one is almost a year old. Chase is my main bank for personal and business, but I keep most of money at 360 or Discover for higher interest.

Anonny Mous
Anonny Mous

That’s just totally ridiculous on many levels. We have a few savings accounts not associated with a checking account in any way. It makes complete sense to just EFT into the new accounts from those, otherwise you have to transfer to a separate checking account, wait for that, and then wait for the check deposit to clear in the new account. I guess that’s why they extended the deadline to get the funds into the savings account from 10 biz days to 20. Still ridiculous and yet another reason they’re only good for the bonus (and CCs. I like their cards, they can keep the bank accounts 🙂 ).

Harold
Harold

What’s a safe way to get $25,000 of new money into a You Invest account? I don’t think that you can ACH directly into the You Invest account. If I ACH $25,000 into my Chase checking and then transfer from checking to You Invest, will this still count as new money?

Dan
Dan

Yes, you can ACH directly. I just did it on two accounts. What you propose will NOT count as new money.

Harold
Harold

Did you ACH push into You Invest or did you do a ACH pull from the Chase website? I don’t know how to set up an ACH push because the account is neither checking nor savings. So, if you managed to do an ACH push, please explain how you did it.

Charlie
Charlie

I’m guessing he did a pull. That’s how most brokerages are set up to operate because they need to know what to do with the funds upon arrival.

Burton
Burton

Same thing happened to me about two weeks ago. Moved $9K from discover and $6k from Capone. They called me first and did threeway with discover, relatively painless. Tried CapOne on same call but she couldn’t get through and promised to try again first thing tomorrow. The next night, not receiving a call, I noticed my online account was locked. I called in and they were able to clear it without a 3way despite putting me on hold for a 3way.

Sad thing is the CapOne account was already linked to my other chase accounts and numerous other ACH transfers had been made previously.

Jason
Jason

This just happened to me, while doing the $75k transfer for the sapphire checking. I had to call in three times to get them to wait on hold to verify funds with ally. The first two times they wouldn’t wait the 15 minute hold time with ally. Finally did it on the third try. Very frustrating experience.

bugsgrandma
bugsgrandma

This happened to me too. Tried to pull $10k from Fidelity to fund a new Chase Savings account in mid December. Got a call that they needed to verify with Fidelity but I was on hold forever so I just had them cancel it. Ended up depositing a check at the branch.

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