Webster Bank

‘Huge disruption': Some Webster Bank customers still dealing with system troubles

It's been more than two weeks since the bank made system updates to complete its merger with Sterling, leading to issues for some customers.

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Some Webster Bank customers say they are still dealing with disruptions after a service update more than two weeks ago.

The bank previously said the purpose of the update during the weekend of July 22 and 23 was to enhance the services it provides.

Webster's latest filing with the Securities and Exchange Commission, released Tuesday, says that additional system integrations was part of Webster's final step in the bank's merger with Sterling.

Our NBC CT Responds team has received around 20 complaints about Webster Bank since the bank updated its system.

Complaints vary.

We've heard from customers not being able to sign into their accounts, business and personal accounts merged, paycheck issues, deposit problems, and beyond.

A spokesperson for the Connecticut Office of the Attorney General tells NBC CT Responds it has also received 41 complaints so far.

That is not nearly as many as the 500-plus it received after M&T Bank’s transition last year.

But the AG’s Office says it’s monitoring the situation and has had multiple conversations with Webster Bank both before and after this recent system conversion.

Med-Essentials in New Hartford uses Webster for all of its business banking.

“We’ve been with them for a long time, so it’s very disappointing to have this just huge disruption. We were unable to log into our accounts for several days, I went about two weeks without being able to access online bill pay," said Erin Dolan, the company's vice president. "So I had future payments set up, I had pending payments and I had no idea if they transferred to the new system of not.”

Thankfully, Dolan says almost all issues have since been resolved.

A spokesperson for Webster Bank told NBC CT Responds that a majority of the complaints our team flagged have been resolved and they'll be following up with those customers.

Webster Bank continues to stand by its July statement that a majority of clients experienced a successful transition.

A spokesperson sent us this statement from Webster Bank Tuesday:

"The majority of our clients had a successful transition and our dedicated colleagues are actively working with them to ensure the smoothest experience possible. We are aware that some clients are still experiencing issues and we have representatives standing by to resolve them as quickly as possible. The service we provide is our top priority and we thank our clients for their continued trust and confidence in Webster."

She also directed clients with issues to call Webster's call center at 800-325-2424.

"We urge consumers to be patient and continue to work through any issues by calling Webster customer assistance or dropping by a branch," said Matt Smith, a spokesperson for the Connecticut Department of Banking.

He says the 17 complaints his department has received have been resolved, and while the state's Department of Banking does not regulate Webster, consumers can file a complaint with the department.

Additionally, the AG’s Office says any customer who continues to experience problems with Webster Bank systems to file a complaint with its office.

You can also reach out to NBC CT Responds.

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