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My bank shut down my account and banned me for life after trying to buy bitcoin from Kraken. What do I do?

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Hey guys, I will make this post short so it is quick and easy to read, I am asking advice because my bank (or rather credit union) recently did something to me that is really unfair and pissed me off, so I want to get some compensation for it or try to hold them accountable. I am pretty sure what did they is illegal/not allowed and I need some help or guidance from the community. Any help is greatly appreciated.

I live in Ontario, Canada and I do personal banking with Meridian Credit Union (I know, they're a crap company). I recently signed up for the bitcoin platform Kraken, after hearing about it here. I got verified, submitted my ID and went to make a purchase for some Bitcoin off their website. I was instructed to send a bank wire to their overseas account so I could complete the purchase. The next day I went to my local credit union (Meridian Credit Union), which is not technically a bank but for all intents and purposes works the exact same way. I had all the money lined up in my account (about 25K CAD) and was ready to buy a bitcoin (purchase was for about 0.6 BTC).

I sent out the wire and I chatted with the teller, told them I heard about Kraken and that I was buying bitcoin for the first time. Explained I saw it as an exciting opportunity and wanted to make some money off of my investment. The one teller was really nice but the other was being kind of nosey and rude. I don't want to assume things but she seemed like a Karen and kept asking where the money came from, how I got it and if it is mine, kept acting shocked that I had 25K of disposable income to spend, etc.

Anyways, fast forward a few days and the wire is not received by Kraken, despite all the info being correct. I call up my credit union and ask what's wrong, turns out the bank "flagged" the wire for "Security reasons" or suspicious activity. Eventually after a week of fighting with them over it, the wire was eventually reversed and bounced back into my account (minus a 50 dollar fee). I was not able to buy the bitcoin and my bank blocked me from sending a payment to Kraken.

That alone would be fine and I would have moved on, but it gets worse. About a week or two later, I got a call from my credit union (Meridian) and they called me to inform me I was permanently banned from Meridian and they would be closing down my account, and I had to come withdraw all my money so they could close it. I asked if I could be reinstated and they said no, I was banned for life and I wouldn't be allowed to reopen a new account. I asked why and they said over the phone there was "suspicious or illegal activity" coming from my bank account, and they could not work with me any further. I am not involved with any illegal activity whatsoever, my income is 100% legal (I work a regular mundane office job) and it was my first time ever buying bitcoin in my entire life. There is absolutely no way they traced anything illegal or fraudulent back to my account and this accusation was 100% a lie. The bitcoin was intended purely as an investment (I se it the same way as buying gold or a TFSA). It seems like the conversation I had with the teller about Kraken "tipped them off" and they misunderstood it as being something illegal.

Based on the harshness of the lady's tone over the phone, I am worried they possibly even alerted authorities or tried calling the cops on me because of this stupid Karen who works at the bank. I now have to switch banks to a new provider (eg BMO or RBC) and every time I go to Meridian now (for things like cancelling my cards or withdrawing my money) the Karen at the teller gives me a really hard time.

So what gives? This is absolutely ridiculous and I did not expect this to happen. What do I do? Is there any way I can try complain somewhere or demand some sort of compensation? Or should I just drop it and move on? I feel like the whole situation is extremely unfair and a big misunderstanding, and I also don't even think a bank or credit union is allowed to do this to someone, especially a paying customer. So what do I do? What are my options for demanding compensation? Is it possible to take legal action against them or is doing so a waste of my time?

Any help or advice is appreciated. Thanks

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