Bank lost paperwork and RESP funds

[ruddstud]

Just wondering what I should do...

I called our bank yesterday to let them know that NO funds have been coming out of our account for our sons RESP. We spent 3 hours at the bank 4 months ago signing paperwork, choosing a mutual fund, handing over all of his $ (approx $2500 in cash and cheques) and being told that all the paperwork would follow. Its been almost 5 months and we have no paperwork other than a few handouts that the lady gave us when we left the bank. The kicker is..... I called the bank to talk to the advisor about the fact that NO money has been coming out of our account for his RESP and I was told that she is on a "break" of some sort and that they cannot contact her. The branch manager looked for a paper work trail and it cannot be located. THERE IS NO RESP, account, or even a file for my son. Its as though we never came in and all of HIS savings is missing..... What should we do????

[jeremywilhelm]

I sure hope you kept copies of all the paperwork. Or you are screwed.

[Cowperson]

Originally Posted by ruddstud

Just wondering what I should do...

I called our bank yesterday to let them know that NO funds have been coming out of our account for our sons RESP. We spent 3 hours at the bank 4 months ago signing paperwork, choosing a mutual fund, handing over all of his $ (approx $2500 in cash and cheques) and being told that all the paperwork would follow. Its been almost 5 months and we have no paperwork other than a few handouts that the lady gave us when we left the bank. The kicker is..... I called the bank to talk to the advisor about the fact that NO money has been coming out of our account for his RESP and I was told that she is on a "break" of some sort and that they cannot contact her. The branch manager looked for a paper work trail and it cannot be located. THERE IS NO RESP, account, or even a file for my son. Its as though we never came in and all of HIS savings is missing..... What should we do????

Well, you said "cash" in your description so that's a big deal. You'll have to be precise with them as to how much cash. Have the cheques been cashed? If so, where?

They should have a calendar indicating you were there, the date and time and whom you met with. Perhaps even the purpose of the meeting. You should demand that be investigated as a means of establishing your meeting took place.

It is actually possible she is on a "break" and they only need contact with her to resolve it so don't dismiss that as a potential outcome. Everyone takes a holiday at some point.

It's basically a matter of tracking it backwards, establishing you were there, that funds were handed over for a purpose and that they are in error for not processing.

They can backdate to your satisfaction. As this is a 2010 event, you haven't missed a grant deadline yet.

"Cash" is the key thing though. That can't be traced.

Be polite, professional but insistent.

Cowperson

[pylon]

Originally Posted by ruddstud

Just wondering what I should do...
The kicker is..... I called the bank to talk to the advisor about the fact that NO money has been coming out of our account for his RESP and I was told that she is on a "break" of some sort and that they cannot contact her.

This would make me very nervous. I would be pretty insistent on knowing if the "break" she is on is related to situations like yours, or any type of theft or fraud investigation. If they site privacy laws, then you site the fact that you will absolutely be going to the media with this and consumer and corporate affairs immediately, if they do not fill you in on why your money was stolen from you.

[The Yen Man]

If her "break" was related to some sort of fraud, then the bank should reimburse you for any lost amounts. Bring all the paperwork you have signed to the branch manager and tell them you don't care how they do it, but you want the issue resolved and your money where it belongs. If not, you'll be filing a complaint with their head office customer contact.

I've actually called that head office customer contact for TD, and they were really prompt in addressing my concerns. I hear any complaints go against the branch manager's file if not resolved, so they're usually quick to resolve any compaints to the head office.

[Slava]

cowperson gave the rational answer above. You shouldn't jump to conclusions about fraud and theft without having something to base that on here. Any advisor keeps notes about their meetings (we have to, for situations like this amongst others).

As he said in his post though no deadlines have been missed and they can backdate all of the trades and such to make this as though it never happened.

I'm not defending the bank here, but mistakes do happen. Give them a shot at rectifying this and hopefully it all works out. I'm glad for you that you caught this sooner rather than later though!

[Goalie1]

rudstud

I deal with these issues daily in the mutual fund business. If you need help PM me.

[pylon]

Originally Posted by Slava

cowperson gave the rational answer above. You shouldn't jump to conclusions about fraud and theft without having something to base that on here. Any advisor keeps notes about their meetings (we have to, for situations like this amongst others).

Unfortunately, I disagree with this assertion. I had a very large sum of money ($18,000) go missing at a bank due to an internal "electronic" theft. Essentially someone performed a wire transfer through my account to an offshore bank. They kept insisting it was a computing error, and they will have the funds back within 14 days. But it still made no sense since it was an actual money transfer that someone would have had to have manually performed.

The only way I found out was when I was closing my account (since I no longer trusted them) I told the Personal Banker "I can't trust a bank after someone stole money from me" She responded, "I am sorry, that was an isolated incident, you weren't the only victim, and everyones money was returned." I responded "So then it wasn't an internal computing "error" my money was stolen. Good to know." Her reaction to that comment was very telling. I could tell she wasn't supposed to tell me after I said that.

[Slava]

Originally Posted by pylon

Unfortunately, I disagree with this assertion. I had a very large sum of money ($18,000) go missing at a bank due to an internal "electronic" theft. Essentially someone performed a wire transfer through my account to an offshore bank. They kept insisting it was a computing error, and they will have the funds back within 14 days. But it still made no sense since it was an actual money transfer that someone would have had to have manually performed.

The only way I found out was when I was closing my account (since I no longer trusted them) I told the Personal Banker "I can't trust a bank after someone stole money from me" She responded, "I am sorry, that was an isolated incident, you weren't the only victim, and everyones money was returned." I responded "So then it wasn't an internal computing "error" my money was stolen. Good to know." Her reaction to that comment was very telling. I could tell she wasn't supposed to tell me after I said that.

Well I'm certainly not lumping in theft with my comment that mistakes happen!

All I'm saying is that if the account was opened with an investment advisor at the bank they will have notes regarding that meeting and the outcomes. From there it should be pretty easy to trace, as well as with the cancelled cheque from the bank account saying that the funds were payable the "ABC Bank Mutual Funds" or wherever on such and such a date.

[mykalberta]

So long as you have the copies it shouldnt be a big deal. Its like other have said, they can backdate the trades.

[ruddstud]

Tuscany Scotiabank branch. I will be meeting with the branch manager HOPEFULLY today, (he has not returned my calls today) as I will be dropping by to see him

[Slava]

Just another reason why you should steer clear of the banks and work with independent advisors IMHO

[Devil's Rule]

Originally Posted by ruddstud

Tuscany Scotiabank branch. I will be meeting with the branch manager HOPEFULLY today, (he has not returned my calls today) as I will be dropping by to see him

Reading through this thread, I was actually thinking of asking what Bank/branch you were dealing with, and was hoping it was not the one you mentioned.

We had bad experiences there too with one of their advisors related to RESP, RSP and other items...all caused by one of their advisors.

One time we had an appointment there to transfer large sum of money between RSPs and the documents were supposed to be prepared, but when we arrived all they had were blank documents and had asked us to sign them. Who does that?

[ruddstud]

was yours with girl named Anna??

[macker]

As long as they don't make you do all the paperwork again.....unreal how much paper work is involved to open an RESP.....KYC, CESG, Fund or Investment company application, Aces Grant, other Federal grants if you qualify not to mention internal disclosure documents.....So if they lost all of the above then your personal information is spread all over the place....How does the saying go...."It is worth switching banks over" "They are richer then we think" http://www.financialpost.com/story.html?id=3096669

[ricosuave]

Originally Posted by ruddstud

Tuscany Scotiabank branch. I will be meeting with the branch manager HOPEFULLY today, (he has not returned my calls today) as I will be dropping by to see him

You're poorer than you think! Scotiabank!

Sorry...