So...our customer gets paid their tips through an app. The app had an error where they click to submit their tips for payment, but the app did not respond with confirmation and worse, when they click submit over and over again, they get paid over and over again. So our customer get this huge payment they know does not belong to them.

Our front line placed a non-descript, open-ended (read: infinite) hold on these funds. To make it more interesting, the tip app company has now stated that they received their credit back, but it didn't come from us! So now I am left with tens of thousands of dollars that doesn't seem to belong to anybody on hold for a unspecified amount of time.

Any advice? My gut reaction is to put an end date on this hold in short order respecting the prescribed availability timelines, then release to the customer. The customer would then need to work it out with the app company.

You created your own problem here. Placing a hold on an ACH deposit violates ACH rules - whether the sender meant to send the money or not. You have no dog in this hunt.

Let the customer work it out with the app provider.

Thanks fellas. And don't blame me Randy, I didn't create this problem!

In fact, I'm taking the win in that our controls identified a hold without description or end date as a huge red flag to be reviewed and corrected.

Well, I used the term "you" and really meant the bank. Poor choice of words on my part. Take the win - I would