Why do we sometimes freeze accounts?
As a regulated financial institution, Tally must comply with different legislation and regulation regarding account holders and transactions. These regulations include anti-money laundering (AML) and counter-terrorist financing (CTF) legislation, which requires us to monitor and act when we identify suspicious or criminal activity.
There are several scenarios where we may freeze a customer’s access to their account. However, due to the legislation mentioned above, we cannot provide specific details as to why an account has been frozen, whether requested by the account holder or as a public query.
One reason we may freeze an account is if we believe that someone besides the named account holder has accessed it. This will be resolved once we contact the customer and verify it was not an attempt at fraud.
A customer's account can also be frozen if fraudulent or criminal activity is suspected. This can come as a result of our internal monitoring systems, a notification from the police, or a notification from another financial institution. In these cases, we freeze a customer's account in order to complete a full investigation with our banking partners. This is a crucial process that has already allowed us to recover funds for a number of victims of fraud already!
A common tactic used by fraudsters and criminals is to apply both private and public pressure on our team to try and obtain access to the fraudulently acquired funds. If you see any similar stories on our forums or other social media platforms, take them with a pinch of salt.