header banner
Default

Big bank customers struggle with delayed deposits What it implies for oneself


Table of Contents

    A man walks by the Bank of America headquarters in New York on July 18, 2023.

    Eduardo Munoz | View Press | Getty Images

    Customers at several big banks on Friday wrestled with direct deposit delays stemming from an industry-wide processing issue.

    There was a surge of "outages" reported by banking customers Friday morning, including Bank of America, Chase, Truist, U.S. Bank and Wells Fargo, according to Downdetector. But the site does not specify the nature of the complaints.

    All Federal Reserve Financial Services are operating normally, according to a Federal Reserve statement released Friday.

    More from Personal Finance:
    Social Security changes to help those not able work to full retire age
    Program gets 200,000 students automatic college acceptance
    What to know as open enrollment begins for ACA insurance

    The Fed reported a processing issue with the Electronic Payments Network, a private sector operator for Automated Clearing House, or ACH, a network that processes transactions.

    "There was a processing error with an ACH file last night; it was a manual error associated with the file," said Gregory MacSweeney, vice president and head of communications at The Clearing House, the banking association and payments company that owns the EPN processing system.

    Banks are now working to correct the errors in those payments, he said.

    "We're aware of an industry-wide technical issue impacting some deposits for Nov. 3," Lee Henderson, vice president of public affairs and communications at U.S. Bank, told CNBC in a statement. "Customer accounts remain secure, and balances will be updated when deposits are received."

    The economy is losing momentum, says Rosenberg Research founder

    "We do not have an estimate on timing at this point," Henderson added. "Customers do not need to take any action."

    "The originators of these deposits are working to resend the payment files, and we will post them as soon as we can," said a Chase spokesperson in a written statement. Bank of America, Truist and Wells Fargo did not provide commentary by publication time.

    Customers affected by the deposit delays can call their lenders and explain their late payments were due to an industry-wide issue, said Matt Schulz, chief credit analyst at LendingTree.

    "When money that we expect to be there on a Friday morning isn't there and your autopay is set up to pay a credit card or a buy now pay later loan, it can cause some real issues," he said.

    Don't miss these stories from CNBC PRO:

    • Bank of America's investment strategist says the S&P 500 correction could last until it hits this level
    • A 'panic spike' is possible late October into November, says Bank of America's chart analyst
    • The S&P 500 has entered a correction. Here's why Warren Buffett likely thinks that's good news
    • Morgan Stanley auto analyst Jonas says investors are 'waking up' to idea that Ford, GM are not a way to play EV boom

    Sources


    Article information

    Author: Aimee Baker

    Last Updated: 1702100281

    Views: 1111

    Rating: 4.8 / 5 (101 voted)

    Reviews: 81% of readers found this page helpful

    Author information

    Name: Aimee Baker

    Birthday: 1908-03-21

    Address: 302 Boyer Cove Suite 863, New Lindsey, KS 38142

    Phone: +3817340592347467

    Job: Article Writer

    Hobby: Stamp Collecting, Origami, Metalworking, Playing Guitar, Fishing, Playing Piano, Archery

    Introduction: My name is Aimee Baker, I am a dear, Adventurous, strong-willed, multicolored, unguarded, unwavering, receptive person who loves writing and wants to share my knowledge and understanding with you.