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  1. I put money in financial product A.

  2. The fine prints say that I should be able to do a lump-sum withdrawal within X days.

  3. I tried to do withdrawal.

  4. Then the financial institution says that "although it is denoted as A on the webbpage, it is actually not A but B. B does not allow a lump-sum withdrawal. So you cannot do a withdrawal."

  5. Please advise what will be the next step.

  • Because there are many regulations that override contract statements, you need to say what kind of product this is, to get a useful answer. For example: CD; annuity; IRA (what kind?); 401(k) – user6726 Jul 7 '18 at 2:00
  • How do they override contract statements? – 171124 Jul 7 '18 at 15:47
  • Every contract is always overridden by laws: a contract can never override the law. – user6726 Jul 7 '18 at 15:49
  • I am sure. But this is not their argument. – 171124 Jul 7 '18 at 15:53
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It is unclear what binding documents you signed and which may outweigh the webpage. Generally speaking, a financial institution is not allowed to suppress contract terms with that kind of sloppy "clarifications".

  1. Before the financial institution changes its webpage, take a screenshot that displays the fine print entitling you to the lump-sum withdrawal. It is preferable if you could notarize what the webpage contents at issue.
  2. Check what your contract says about dispute resolution.
  3. Depending on your jurisdiction, the previous step, and whether it is worth, you might want to file a complaint with the consumer protection agency (or its financial/banking equivalent) in lieu, or prior to, a lawsuit for injunctive relief.
  • 1. "A financial institution is not allowed to suppress contract terms with that kind of sloppy 'clarifications'" - what are the references? – 171124 Jul 6 '18 at 15:35
  • Can I send you a message to get more detailed advice? – 171124 Jul 6 '18 at 16:12
  • @171124 Sure, feel free to do so. I'm not an attorney, but I can take a look and hopefully share some insight. About a reference on contracts, see Morais v. Central Bev. Union Employee Supplemental Retirement Plan, 167 F.3d 709, 713 (1999) ("In no event may extrinsic evidence be employed to contradict explicit contract language"). Hence the relevance of what binding documents exist between you and the financial institution. – Iñaki Viggers Jul 6 '18 at 17:42
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Assuming that you have documentation that shows you reasonably believed your investment was in A, you should immediately contact the local trading standards office and any relevant Chamber of Commerce/Better Business Bureau type organization; they have a strong interest in preventing this kind of occurrence (whether it is in fact a misunderstanding or the company not having the cashflow to honour their promises).

But you should also consider that it may be a straightforward scam (showing enormous returns have been achieved right up to the point where you want to withdraw money is a common confidence trick), in which case the perpetrators when investigated will just shrug, close down with all their stolen money, and re-open in another city with a new name. My advice still holds (law enforcement will be glad of your ionformation, and you may save other victims), but don't expect to see your investment again.

  • Let me work on it. – 171124 Jul 7 '18 at 15:41

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