TD Bank botches IT system consolidation; Customer havoc ensues

TD Bank botches IT system consolidation; Customer havoc ensues

Summary: If you're a TD Bank customer and your balances are a mess here's the reason: IT issues are wreaking havoc on the bank.TD Bank, formerly Commerce Bank, told customers that balances, credits and debits may be inaccurate due to computer glitches.

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TOPICS: CXO, Banking, Hardware
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If you're a TD Bank customer and your balances are a mess here's the reason: IT issues are wreaking havoc on the bank.

TD Bank, formerly Commerce Bank, told customers that balances, credits and debits may be inaccurate due to computer glitches. The problems began appearing over the weekend, according to the Philadelphia Inquirer.

The Inquirer notes:

TD Bank's problems started over the weekend, when its Canadian parent company, Toronto-Dominion Bank, merged the computer systems of two acquisitions: Banknorth in Maine and Commerce Bank in Cherry Hill. Then the inevitable occurred.

The systems blew and TD Bank didn't have a fallback plan. Batch processing of transactions, which occur nightly, fell behind.

According to TD Bank's Web site the bank has been "working around the clock" to fix the problems. Here's the explanation from TD Bank's account FAQ:

We are experiencing a delay in updating certain account transactions. As a result, it is taking longer than usual for credits and debits to appear on your account, and the balance may temporarily be different from your records. Please be assured that your accounts and your money are safe, but we are running behind in processing. Your transactions will be processed and your balances will be updated once this processing is completed.

TD Bank will not charge any late fees, but given the number of automated transactions these days wrong balances can be a big headache for customers.

The bank also noted that its online banking and Quicken links have been down during the day as the company struggles to fix its computer woes. As a result the call center at TD Bank is also overwhelmed.

TD Bank says that customers deposits are safe, but that's only half the bank's job. The other half is getting you access to that money.

Topics: CXO, Banking, Hardware

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33 comments
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  • But hey, don't worry... TD's got you covered.

    As reported in the local news last night, a woman who went to withdraw money from her account to pay her rent found that the ATM would not let her. So after discussing the situation with TD bank employees at her branch, they allowed her to withdraw $50.

    So see? Don't worry about it. TD is going to do the stand up thing and give you access to ($50 of) your money.
    ejhonda
    • td-bank systems " upgrades " cause problems........

      greetings "ejhonda"..... was TOLD this AM//8:45 [[phone]] to my TD branch that I can get up to 3500.00 [[acct. normally has 3900.00 on this date every month]] in cash simply by ""writing a check payable to cash or td for up to $ 3500.00""....must go to any branch...ATM'S r down """. ""also will COVER any online checks""""

      raybdel@...
  • I despise of banks that merge.

    Luckily, I'm not a customer of TD Bank.
    Grayson Peddie
  • Behind the scenes

    Wow, I wonder what really took place when they merged these systems. Too bad those details will probably never see the light of day.
    mkrigsman@...
    • REPLY to ""mkrigsman"" ref. TD BANK mess !!!!!!!!

      GREETINGS !!!!! from RAY BURNSIDE, SR. DE. 19703 10'02/2009 >>>>>>>>>>>>>> deal with TD-ONLINE and two DE. CREDIT UNIONS....have **NEVER** ever experienced """systems down""// [[""glitchs""]] , """BECAUSE"" they failed to install proper BACK-UP systems[[""AVAILABLE""]]....GLITCHS that have been ""re-occuring"" for at least"" the last -six- days !!!!!!!!!! been; unable to speak[byphone]to any state BANKING COMISSIONER here, or in any of my three surrounding states; my TD chkg. acct. is showing a $111.00 balance...shud show $3801.00 !!!; have three automatic govt. pension deposits [[1st^2nd of each month]] ; we can only hope these problems at TD r compl-
      etely resolved b4 NOVEMBER 1ST!! Ray
      raybdel@...
      • Ray...please...come back to us.

        Buddy...try decaf in the morning.

        Maybe your meds need adjusting a little bit? Hmmm?
        ths40
        • Please don't be a jerk...

          ...unless it makes you feel better or something. The poster said he or she gets government disability checks. Perhaps you just made fun of a brain injury or stroke sufferer. Aren't you the big strong guy!

          What's next? Kitten torture?
          FrankleeMiDeer
  • RE: TD Bank botches IT system consolidation; Customer havoc ensues

    With all the gov't stimulus money to banks, we cnnot even get our direct deposit payroll. Folks like us are waiting for our money to live, TD bank says take $50.00, while we collect your interest as well as your paycheck. Good luck little guy. LT
    moneyhome
    • This Bank Did not take the handouts

      Commerce/TD bank did not take federal money. But I'm annoyed I can't check my balances online.
      But if Sam Waterson says it's a good bank, then it must be so.
      I'm not so sure about Regis and Kelly, though. Regis is flakey, I don't want him holding the door for me.
      mark-at-pirate-hill@...
      • " annoyed-can't check balances online ""



        " MARK " [ 1 ] am vet//disabled 90% //disabled/retired from JUSTICE DEPT. ON disability, age 67 ; because of close to 40 yrs.ofgovt.investigation experience with someVERYbadPEOPLE, THIS man, [[saved !!!, by acquireing 1st computer in 99']]....POINT is, am MOW well in mind&body and have the time to get some REALLY-REAL answers about TD BANK'S inside OPERATIONS and why their systems are not up-todate??; <<<<<<<<<<<<<< RAY B. DE. 19703.
        raybdel@...
  • RE: TD Bank botches IT system consolidation; Customer havoc ensues

    As a TD Bank customer, I am appalled at their lack of
    planning. They should have had a back up plan of some
    sort. I have been soooo angry at the bank over the last few
    days that I am considering leaving it.
    Janice Tverberg
    • Your only problem is, you can't leave WITH your money. (nt)

      ...
      IT_Guy_z
    • No Way to test backout plans

      The problem with consolidating systems (to save money by eliminating people and extra systems) is that there really is NO WAY to test the backout plan unless you COMPLETELY duplicate both the existing systems (and accounts, processes, people) and the new systems (and accounts, people, hardware, processes) at another completely new site and then test the merge and un-merge. Which means it really would take a year to build a complete exact duplicate of all systems before actually doing a valid test. Likley in their case, roughtly $50 million dollars to do a true test merge.
      What they likely did is build a few sytems, did a test merge on them using abstracted typical accounts until their test cases worked and then did the whole shebang at once and knew that if any problems occurred they would just work on them as they happenned. This way it costs only a few million or so to do the merg this way.
      This is fairly normal in all computer / business merges. It is cheaper and easier to let customers suffer problems than spend loads money to avoid it. Cost shifting. the next 6 months to a year will be bug swatting and updates to catch all the errors they never tested for. Again, cheaper to fix afterwards. Compare this to the Y2K where gobs of money were spent up front to ensure no problems occured - and pretty much none did since the money was spend over a three year period and was mandated by most governments to be done. here, no mandates so save the $ by skipping exhaustive tests.

      Tom Philo
      TAPhilo
      • It does depend on how the merge was handled

        were both systems being linked using a third computer system acting as a go between? Were both systems merged onto a new, third system, eliminating the older systems? Where they linked directly together with updated coding on each?

        The first two scenerios would be the least hassle and easiest to test, but more coastly; the third would be the least expensive option overall, but a nightmare waiting to happen had the merger develope issues.
        GuidingLight
      • But, Is This The Problem?

        That they're really not to blame. That's the way it's just done in the world of High Finance?
        That they're really in a catch 22 situation?
        No, if there were proper backups of the two systems BEFORE merger attempt, that would have simplified everything. They could keep tinkering, rolling back to business as usual for the affected clients.
        Is my supposition or take on it all, correct? In the sense that that's the Achilles's heel, that those backups weren't done properly?
        In my case, there'd be no excusing them as this poster seems wont to do.
        PreachJohn
        • it's either I or A

          I for Ignorance; they can't do the job, and they don't realise they can't... fire them - especially the bank CIO director who signed it off.

          A for Arrogance; they can't do the job, can't/won't admit it, still carry on... sue them then fire them - especially the bank CIO director who signed it off.

          Buck stops at the top. If said fired CIO takes out the incompetents below him/her, then that will count big time to them re:getting rehired... sometimes a CIO can get gutted like a fish when they are not top of their game and/or cunning as a weasel.

          End of day: merger = big challenge. Big challenge is painted the CYAN colour = cover your ar5e now.. not an ostrich moment, but an opportunity to nail the gotchas! in a major project early on, which doesn't appear to have been done on this TD merger. No excuses people, someone FARKd up big-time... no commitment, no homework; no homework, fail this class.
          muzza2005
      • complete or smarter testing

        Hi,
        I am a SW tester, It is definitely NOT cheaper to do limited testing first and fix big problems like this! The better plan is to analyze the 2 systems to be merged: try to find all modules and define their interfaces. IF/when they are not cleanly modularized now, them on a test system make a enclosure for each to prevent stray interaction of modules/systems. With knowledge of these modules then adequate testing can be done! Also, adding new capability/functions or 'merging' web sites or systems of databases can be done gracefully/predictably with these modules. Most of testing is not running code to find bugs: It is analyzing needs & goals, strategizing, checking designs and implimentations, and then doing final test to find little bugs.
        Jim atSunspotGlassesDotCom
        of Sunspot Systems
        cats44glory
    • Hmmm

      If this is way a merger of IT systems is managed, makes you wonder how the rest of the business is run. Some basic principles of major IT change management appear to have been ignored her, If I was the IT Mgr there, I'd be offering my resignation as soon as this is resolved, unless higher level managers intervened in the process in a way that casued this outcome (been there). Either way (and I am in Australia and we've had afew of these mergers go seamlessly) some one who is making decisions about this process needs to leave the banking industry and go manage something else for a while. SK - Ask Itee
      shane.kimg@...
  • Talk about computers are down

    This is a poor excuse for TD Bank. No fall backs no other plan to get everyhting back up online quick. Makes you wonder if they will help people if one of their bill s don't get paid or becuase of the problems it messes up someones credit rating becuase of their problem. Their excuse is that they are a big bank and the people don't count. Well as a customer of the bank myself, I know once this is fixed I wll be closing my account next week. This is why banks should not be allowed to merge into bigger banks.
    rupaa62
    • access to funds at TD-BANK [[ DE. ]]........

      do YOURSELF a BIG CHANGE .....DEXTA FEDERAL CREDIT UNION IS THE BEST place//depository//insured and GREAT to deal with...have my 1st mortgage with them [[4.75 ]], PLUS it is totally insured [ 48.00 mo. ]]....refinanced a loan with TD ....was told they WOULD get insurance on said loan FOR me...after 5+ yrs.,still have NO ins....DEXTA now has overdraft protection at 0 cost!!!...have haddealings//accounts with most banks of every kind in or around DELAWARE; U can't go wrong with DEXTA on FOULK RD. !!!! RAY B.
      raybdel@...