In a shocking development that has shaken the financial world, thousands of Americans have found themselves unable to access their hard-earned savings, with over $100 million frozen in accounts.

This unsettling scenario highlights the risks to our personal finances and underscores the urgent need to be vigilant about protecting our money.

At The GrayVine, we know how crucial it is to keep your nest egg safe—especially in retirement—so let’s break down what’s happening, why it matters, and, most importantly, what you can do to safeguard your savings.



Imagine waking up one day and discovering that your high-yield savings account, once a secure place for your savings, is now inaccessible.

This nightmare became a reality for customers of the fintech app Yotta, which partnered with the FDIC-insured Evolve Bank & Trust.

Since May 2024, numerous bank customers have found themselves unable to access their money, with over $100 million reportedly locked and inaccessible.


Konstantin Tarnorutskiy is among the affected bank customers caught in this financial snag. He had been using Yotta to deposit funds into his high-yield savings account (HYSA) through Evolve Bank & Trust.

Tarnorutskiy was drawn to Yotta’s unique feature of offering prize opportunities to save money.

“It was convenient,” he said. “There's usually a penalty with the high-yield savings. This one, as long as you had their debit or credit card, then there would be no penalty to withdraw money if you needed to use it."



But when a dispute arose between Evolve Bank & Trust and Yotta over missing funds, the situation quickly escalated.

In a lawsuit filed against Evolve Bank & Trust, Yotta alleged that around 85,000 customers deposited their money in good faith, only to find themselves unable to access their funds now.

Yotta also accused Evolve of holding onto customer deposits, while Evolve pointed to the financial collapse of Synapse Brokerage—a third-party service that managed transactions between fintech apps and banks—as the reason for the missing funds.



The whereabouts of the missing money are still unknown, fueling growing frustration among customers.

“The money doesn't exist,” Tarnorutskiy said.

“It's not held at Evolve. So they did an audit of all their transactional logs, and they're saying that the money doesn't exist."

Some customers have gotten partial refunds—but others, including Tarnorutskiy—haven’t seen a dime of their money returned.

Zack Jacobs, a former Illinois resident who started the “Fight For Our Funds” website, lost nearly $100,000 in the conflict.

“Yeah, I mean… it is like losing a house,” Jacobs lamented.

“It's terrible… I hadn't touched it in a while, so it was sort of out of sight, out of mind… it's almost an unfathomable amount of money to lose, especially to not lose it doing something risky."


As Evolve Bank & Trust continues its efforts to recover the missing funds, the crisis remains unresolved for many.

This incident serves as a powerful reminder of the risks that come with using fintech apps and emphasizes the importance of knowing where your money is held.

To prevent finding yourself in a similar predicament, consider these proactive tips to secure your finances:

• Stick with Traditional Banks: Fintech apps may partner with banks, but they aren’t banks themselves and lack the same protections. Whenever possible, open accounts directly with well-established, FDIC-insured banks.
• Understand Deposit Insurance: FDIC insurance covers up to $250,000 per depositor at insured banks, but using third-party fintech services can complicate coverage. Always confirm where your funds are held and stay within insured limits.
• Diversify Your Savings: Don’t keep all your money in one place—spread funds across multiple institutions to reduce risk, especially when using fintech apps that rely on various banking partners.
• Stay Vigilant and Take Action: Monitor your balance regularly and report issues immediately. If your bank or app can’t resolve a problem, escalate it to the FDIC, CFPB, or state regulators.

The Yotta/Evolve Bank & Trust crisis serves as a stark reminder of the need to be cautious when managing our finances.

High-yield savings accounts can be a good way to grow your savings, but it’s crucial to understand the risks and take steps to mitigate them.

As we continue to embrace the benefits of modern banking, it's essential to stay informed and proactive about our financial security.

By following the guidelines above, you can help ensure your money remains safe and accessible, no matter what challenges arise in the banking world.

Have you ever experienced issues accessing your bank accounts? What measures do you take to protect your financial assets? Share your insights and questions in the comments below. Your wisdom could be the key to helping fellow readers avoid financial distress.