LOYAL3 Holdings, Inc.

Initial Business Response /* (1000, 5, 2015/12/08) */
According to our records, on November 15, a $2,reservation for the Square IPO was registered as was a transfer of funds from your checking accountOn November 18th another transfer request was initiatedDuring the chat communication
with our support staff on November 18th, the representative noticed this duplicate transaction and asked whether that was intentional and if you wanted it canceledSince it was a duplicate, the representative cancelled the 2nd transaction leaving the first transfer request intactAt that time, it did not appear there was any problem with that transfer
The IPO priced lower than the estimated range, which required a reconfirmationOur system received your electronic confirmation, funds appeared to be in good order, so you were eligible for an allocationShares were allocated the morning of the 19thAn additional buy order was placed with your remaining fundsHowever, later that morning we received a notice from your bank that the funds were actually rejected due to non-sufficient funds and they were debited from the account
An email was sent to the address on record indicating the fund transfer was declinedSince there was no evidence that funds were forthcoming in the days following the allocation, we were forced to reverse the transaction for non-payment
An email from our support team stated the following:
Dear ***,
Thank you for your email to ***Our records show that an allocation was made to your account, however we received notification from your bank that the initial transfer of funds to pay for them was rejectedWe sent you an email to notify of this and it appears this rejection was received after you had last spoken with a representative hereWhen this happens a user would need to make a new deposit of funds into their account to pay for the allocated sharesOur records show that no second deposit was initiated so the shares were liquidatedThis is why the balance would show as zero
Sincerely,
*** Support
We do apologize for the delay in responding to your last email; we have experienced an unprecedented number of inquiries related to the SQ IPO and we are working diligently to respond to them allI hope this information is sufficient to address your concerns
Sincerely,
*** ***
Initial Consumer Rebuttal /* (3000, 7, 2015/12/24) */
(The consumer indicated he/she DID NOT accept the response from the business.)
This is unacceptable, I asked what do I need to do and no one responded funds were thereLoyal3's inability to communicate the appropriate information is not my fault
Final Business Response /* (4000, 10, 2015/12/30) */
Hello Mr***,
As previously communicated to you, *** did in fact notify you that your funding request had failed early on Nov19thA copy this information is provided below:
"Hi ***,
We were unable to complete your checking account funds transfer
Please log into your *** account to verify your account information and, if necessary, update your informationIf your account information is correct, contact your bank to notify them of the transfer issue or to verify you have sufficient funds."
*** waited many days to see if a new fund transfer would be initiated, but after no such activity, and given it was well past trade settlement, for regulatory reasons the firm must reverse the purchase(s) that were not paid forAgain, as of today, there are no funds in your *** account as the fund transfer request was denied by your bank for non-sufficient funds
Given the initial and subsequent purchases were not paid for, *** cannot offer an adjustment to your account at this time
Sincerely,
*** ***
Final Consumer Response /* (4200, 12, 2016/01/05) */
(The consumer indicated he/she DID NOT accept the response from the business.)
***,
as stated previously I sent you a response asking what to do next and recieved no response
Also I notified your company and you said I was fine and canceled my transferYour inability to provide adequate customer service is what created this confusionI came to your company letting you know what my bank told me and was told I was fine and not to worry about it then I receive and email and respond and do not receive a response and I am told by your company well "that's because our support requests were high"
I fail to see how why I am missing out on potential money when you company is unable to handle basic questions of processes
In response to your statement of there is still not money in that accountWhy would I put money in an account if you will not reissue the shares that you liquidatedHow does that make sense?

Initial Business Response /* (1000, 5, 2015/12/22) */
According to our records an account was established on Nov16, and a $reservation for the Square (SQ) IPO was submittedAdditionally, $was transferred from your bank account to cover the reservation, in the event a full
allocation could be madePlease note that we offer a self-driven, fully electronic platform so all information is conveyed via your online account and emailWe do not send paper statements, confirmations, or physical certificates for your holdingsHowever, statements and confirmations are available in your account and can be printed for your records
The Square IPO priced the evening of Nov18, and priced below the range of $11-$at $9/shareBecause of this, we were required to reconfirm that you wished to continue with your reservationIf we did not receive a reconfirmation, those reservations would be canceledEmail and text messages were sent out at approximately 6:45pm PT notifying customers that they had until the end of the 2-hour decision window to confirm said ordersBecause we did not receive your electronic confirmation, the reservation was withdrawn and an allocation at $9/share could not be made in your account
On Nov19, another $transfer was initiated, but we have no record of a buy order being placed on that day or thereafterGiven this information, your LOYALaccount still holds $400, which can be used for other purchases or can be transferred back to your bank account
To transfer funds, log in to your account and find the blue bar labeled "Total Account Value" towards the top of the pageUnder this bar you will see "Available Funds" and a link that says "Transfer Funds." Click on the "Transfer Funds" link
On the next page you will enter in your transfer orderMake sure it reflects that you are transferring from LOYALto your checking account
Next, you may either select a specific amount or transfer your entire "Available for Withdrawal" balanceAfter making your selection, click "Review."
If your transfer details are correct, click "Transfer."
Your funds should be available in your checking account in - business days, depending on your bank
I hope this information addresses your questions, but if you need additional assistance please contact us at XXX-XXX-XXXX or ***@loyal3.com

Initial Business Response /* (1000, 5, 2015/11/24) */
To Whom it May Concern,
LOYAL3 recently offered IPO shares in the Square IPO. Due to regulatory reasons, we were required to obtain confirmation of customer orders because it priced below the estimated range. We emailed customers about this...

window of opportunity and that action was required between 6:45pm and 8:45pm PT.
In this particular instance, we did not receive this customer's confirmation and we were unable to allocate shares.
Given the unprecedented volume of inquiries related to this IPO, we have not maintained our 1-business day response times. For this we greatly apologize and we are working diligently to respond to all pending inquiries. A copy of our emailed response to this customer is attached.
Please feel free to contact me if you require additional information.
Initial Consumer Rebuttal /* (3000, 7, 2015/11/27) */
(The consumer indicated he/she DID NOT accept the response from the business.)
According to the email it was sent at 7:45 pm, not 6:45. I responded saying I still wanted to participate and nothing happened - I was just taken to your site. Perhaps it wouldn't have been a problem if the FIRST email a week prior to the IPO was answered. This is the first response I'm getting.

We have a further problem in that when I chatted on the 20th, I asked that the account be closed and the money transfer stopped and was assured it would be. Wednesday I found out that the $2500 was transferred from my account anyway, was not reversed and I was not contacted to let me know that it had been. It seems to me, that SOMEONE should have been aware that the account couldn't be closed, that the transfer couldn't be stopped and should have contacted me to inform me.

I'm sorry, but the customer service response has been HORRIBLE. Stating that you will respond the next business day and then not answering for over a week is the DEFINITION of poor customer service. I REALLY wanted to be a part of the IPO and I totally resent the ineptness that led to me NOT being able to participate and, thus, losing out on an apparent 40% increase in price shares. I don't expect Loyal to sincerely care or do anything about it. At this point, my only option is to file complaints with every government and consumer regulatory agency to make it well known to others what they can expect from Loyal.

PLEASE RETURN MY MONEY IMMEDIATELY AS ALREADY REQUESTED A WEEK AGO!

[redacted]
Final Consumer Response /* (3000, 17, 2016/01/04) */
That's pretty sad. They "answered" absolutely NOTHING of my complaint. Maybe you can explain WHY when I answered that I wanted to participate, NOTHING happened. Can you explain WHY it took more than a week to respond to the NUMEROUS messages I was sending asking for information??
(The consumer indicated he/she DID NOT accept the response from the business.)
They STILL fail to address WHY my request was not processed. The email was sent at 7:54 pm, NOT 6:45. I hit the confirm button within the 2 hour period and NOTHING HAPPENED. When I was FINALLY able to chat with someone on November 19th, he said he was closing the account and about 10 DAYS after my initial request, [redacted] TOLD ME he was closing the account and cancelling the deposit. Then the transfer went through anyway. They have yet to explain WHY their confirm button did not work or WHY it took 10 days to get through to someone or have them contact me.
Final Business Response /* (4000, 19, 2016/01/05) */
Mr. [redacted],
We believe we have answered all of your questions in these Revdex.com communications as well as emails and chats directly with LOYAL3, however we will provide an overall recap in this response.
As we stated, our usual service levels were not maintained during the Square IPO and we were unable to respond to emails within a day of receipt. Generally, contacting our service team will result in an almost instantaneous answer of your phone call or chat and emails are responded to within hours. Again, we apologize for this delay during an unprecedented level of customer inquiries.
On the night of Nov. 18th, emails notifying customers that a confirmation was required were sent beginning at 6:45pm PT and were completed at approximately 6:54pm PT. The 2-hour decision window was open from 6:45pm PT until 8:45pm PT. According to our electronic records, your particular email was opened at 9:13pm PT, almost a half hour past the 2-hour confirmation window. Our records also show the confirmation link imbedded in the email was clicked at 9:13pm PT and again at 6:36am PT on Nov. 19th. We show no account access or confirmation activity during the 2-hour decision window.
On Nov. 19th when you chatted with our associate, he clearly stated that 2 transfers had been initiated and that he was cancelling the duplicate. The one initiated on Nov. 15th had already settled in your account on Nov. 17th, which was reflected in your online account activity. Our team member did in fact cancel the duplicate account transfer and close the account. We did not respond to the other two emails sent that day because we could see you had already received information to address your questions during your chat session.
On Nov. 24th I responded to your last email directly with information discussed above as well as instructions on how to withdraw funds. We sent an additional follow-up email on Nov. 30th (copies of both emails were supplied through this site in our Dec. 1st response).
We vehemently disagree that the lack of a timely response or "ineptness" on our part was in any way relevant to why IPO shares could not be allocated. Your account was funded, the email communication was sent and received, however it was not opened until after the 2-hour deadline had expired. Given we did not receive a confirmation during that window of time, IPO shares could not be allocated.
Given the aforementioned information, we believe we have addressed why our service team could not respond within 24-hours, why your Confirm request was not processed, and why the initial transfer was not cancelled.

Initial Business Response /* (1000, 8, 2015/12/30) */
Dear Mr. [redacted],
We first want to apologize for the length of time it took for you to reach our Support team during what was an unprecedented number of inquiries related to the Square IPO. We apologize we did not maintain our normal service...

levels during this time.
According to our records, a LOYAL3 account was opened on Nov. 13, 2015 based upon Square's invitation to participate in their IPO. Additionally, $1,000 was transferred as required to be considered for a full allocation. Square was expected to price between $11-$13 p/share but instead the final price on the evening of Nov. 18, 2015 was $9. Because it priced below the range, we were required to reconfirm that customers wished to continue with their reservation. If we did not receive a reconfirmation, those reservations would be canceled. Email and text messages were sent out at approximately 6:45pm PT notifying customers that they had until the end of the 2-hour decision window to confirm said orders. Also according to our records, this email was delivered to the email address on file at approximately 6:54pm PT.
While this not ideal for our East Coast customers, LOYAL3 does not have control over the timing and we apologize for the negative impact it had in this case. While we understand your disappointment and sincerely apologize for any frustration this has caused, we strongly believe that LOYAL3 made all appropriate efforts to communicate the reconfirmation requirements and provide a window of time for response. Because we did not receive your electronic confirmation, the reservation was withdrawn and an allocation at $9 p/share could not be made in your account. The $1,000 deposit was withdrawn on Dec. 1, 2015 and the LOYAL3 account has a zero balance.
Lastly, we vehemently disagree with the claim that this offer or LOYAL3 is a "scam." Since LOYAL3's compensation is based upon the final allocation of shares, we absolutely strive to make the process as easy as possible so that the maximum number of people can participate. With that being said, the timing of this particular window obviously added complexities to what is normally a straightforward process.
Again, we apologize for your frustrations and experience with our firm.
Initial Consumer Rebuttal /* (3000, 10, 2016/01/06) */
(The consumer indicated he/she DID NOT accept the response from the business.)
Obviously Loyal 3 did not understand the nature of my complaint. The fact is I was never offered the opportunity to reconfirm my purchase of the SQ stock I initially hoped to get. It is very apparent that I as well as hundreds of other people who also shared the same experience were completely misled and as a result deprived of an excellent opportunity to purchase an opening stock in a company I actually use to process my small business transactions. It was a natural fit. I only regret that the company they chose to market thier stock was not up to the task Nothing against them but the customer service is below stamdards when it takes several days to get a response and have to be on hold on the phone for over an hour just to hear excuses. I just want others to be aware of the magnitude of their failures and the best I can I will warn others though whatever means it takes. I withdrew my account and have nothing else to do with this company and en courage others to do the same. The only power we have over big business is to finally say you are fired. That is what I chose to do.