Complaints

The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

• Initial Complaint

  Date:10/26/2022

  Type:Customer Service Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I have several accounts with Betterment. One being a checking account which includes a debit card tied to it. Recently in attempting to use my debit card, it was declined twice by Betterment. Puzzled, because I know I have sufficient funds I called the companys customer service line. After some research the rep I talked with told me that their system has/had a glitch in it affecting debit cards due to expire in November 2022. Those cardholders, with November expiration dates, using their cards in October were subject to declination. The rep advised me that she would email me once the glitch was fixed, that was days ago with no email yet received. If true, Betterment dropped the ball - not only for the glitch, but also because no notification or warning to was given to customers about what may happen when using their card. The least Betterment could have done is to have advise customers accordingly. On a unrelated note, it also seems that it is taking Betterment is taking longer than usual to transfer funds out of accounts and to other financial establishments. Betterment needs to issue warnings/notifications when a specific group of customers may be subject to declination for no fault of their own.

  

  Business Response

  Date: 10/27/2022

  We will respond directly to the complainant about their options and consider the matter closed.
  
  

• Initial Complaint

  Date:10/21/2022

  Type:Product Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I agreed to the terms of Betterment's first email regarding this matter. I proceeded to initiate a deposit to my Betterment account on my own accord, however due to an incorrect return being submitted against my ***** ********** the funds in my account were placed on a hard hold and my account is now due for closure based on the fraud claim Betterment made.It seems there was a false report made on behalf of Betterment stating NOC code R06, a deposit was made in error to the ***** ***** account ending in ****. This deposit was not erroneously made, after some communication between Betterment and I, it was agreed to deposit my funds to ***** ********** therefore this report isn't substantiated. Initially there was over a 10 day delay before Betterment completed the deposit which I requested from them. Which is why a return was made on my behalf as it seemed as though my funds were wrongfully being held. I understand the confusion and I hope to resolve this amicably as my ***** ***** Account will be closed if this isn't settled between Betterment and ***** ***** via fax.I would like the opportunity to properly correct this issue, as requested in Betterment's initial email I am to be given 5 days to respond and return the funds, this was a false statement made by Betterment as they contacted my bank claiming fraud within 24 hours of that initial email circumventing my response. I hereby request a document be sent to ***** ***** in reference to the deposit made to the account ending in ****, stating the fact which is there was no fraud simply miscommunication between both parties. This being the fair resolution for all parties involved.

  

  Business Response

  Date: 10/21/2022

   

  We will respond directly to the complainant and consider the matter closed.
  

  
  

  Customer Answer

  Date: 10/24/2022

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID# ********, and have determined that my complaint has NOT been resolved because:

  I did not recieve any reponse. 

   

   

   

   

  In order for the BBB to appropriately process your response, you MUST answer the question above.

  
  Sincerely,
  
  *******************************
  
  
  
  
   
  

  

  Business Response

  Date: 02/21/2025

  Dear *** ******, 

  We are following up on your last correspondence on this matter. We understand it fell short of your expectations. While we addressed your comments directly and outside of the filing with the Better Business Bureau, we wanted to make sure we also responded more fully to this matter. 

  As previously communicated via email, your funding deposit transaction of $5,700 was returned by *****, which resulted in a debit balance in your Betterment account. Since these funds remained in your possession, we requested that you take action to resolve the balance. You informed us that you would proceed with depositing the funds once a Letter of Indemnification was submitted to *****************

  To support you in resolving the matter, we reached out to ***************** External Fraud Investigations team. However, we did not receive a response from ****************. While we understand your frustration, we provided all necessary guidance on the steps you could take, including working directly with **************** to redeposit the funds. Despite our explanations, you continued to demand additional outreach efforts beyond what we were able to facilitate or **************** would accept.

  During this process, we also encountered security concerns when you were unable to verify your identity by answering a required security question and inappropriate conduct toward our representatives. Given the nature of the transaction, we took appropriate action to lock your account in accordance with our security protocols and cease further correspondence regarding this matter.

  We regret that we were unable to reach a resolution that met your expectations. If you have any further concerns, we encourage you to refer to the information previously provided.

  Betterment LLC 
  

  
  

• Initial Complaint

  Date:10/11/2022

  Type:Billing Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I responded to Betterments request to add a funding account to my account in order to complete two transfers a $23 and an ~$800 transfer. They proceded to transfer the $23 and after contacting them twice still have not transferred the remaining and much more significan amount

  

  Business Response

  Date: 10/12/2022

   We will respond directly to the complainant and consider the matter closed.