Consumer complaint received 2021-04-12
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: NJ
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a credit reporting company's investigation into an existing problem
Sub-issue: Their investigation did not fix an error on your report

Complaint:
I am a long-standing and loyal client of USAA. Based upon a credit card offer I received from them, I opened a credit card with USAA at the end of XX/XX/XXXX ( in or around XX/XX/XXXX ), right as COVID was hitting. They sent the card to me expedited and charged an {$8.00} fee onto the card for shipping the card to me. However, they sent me a message that the card was being processed and indicated that it would arrive within 10 days by regular mail. 

Then COVID hit. Because I had not affirmatively used the card ( and it is a no fee card ), I did not realize the {$8.00} balance was on the card. Also, because of the COVID 19 pandemic, I was concerned and preoccupied during that time with health and safety issues for myself and my children ( as we all were ) and did not open any mail ( or even bring it into the house ) for a short period of time. As soon as I became aware of the charge, I immediately called USAA ( which was on or about XX/XX/XXXX or XXXX ). I was told not to worry, I had contacted USAA on time, the account had not been reported to the credit bureau, and that it would not be reported because I had contacted them and the fee would be removed before it was late. At that time, I was told that USAA had removed the {$8.00} fee ( so I was never required to pay it ) and was told that it had not been reflected on my credit report. Despite these initial assurances by USAA, it was reflected on my credit report sometime thereafter. 

I understand that I in fact contacted them in time and relied on their assurance that the fee was removed from the account. Payment of the fee ( which was removed on XX/XX/XXXX ) would not have been late until after XX/XX/XXXX or so. I understood that I had rectified the issue by having the fee removed before the late date. 

I have never used the card for any purchases ; I still have not used the card ; the balance remains at {$0.00}. I am a USAA customer for 25 years, with four different insurance products. I hired a credit company ( for a significant sum ) to assist me in rectifying the situation. I also attempted to resolve this issue directly with USAA. I have requested a one time courtesy from USAA, which they have declined. They would not allow me to speak with a XXXX  and would not refer me anyone further ( beyond a person from escalation services ). I have been informed that they can not and will not assist me further. I also requested the recording or transcript of my conversation with USAA from on or about XX/XX/XXXX. I was informed that they did not keep the recording of my XX/XX/XXXX conversation and that they would not provide the call or a transcript to me. 

I also recently received a " Your Personal USAA Year-End Credit Card Summary '' that indicates that I requested a year end summary, which I did not. ( It states : " As you requested, enclosed is a Year-End Summary of your USAA Savings Bank credit card activity for XXXX. '' ) First - it is unclear why USAA would say that I requested this summary when I did not do so. Second, it shows that the expedited fee was removed on XX/XX/XXXX. Finally, it shows that there are no other charges on the account since its inception. 

Do USAA employees get paid more or get greater commissions when the cards are actually used and is that why they push to charge an expedited fee immediately onto the card? I did not need the card to be expedited and I did not specifically solicit them to expedite the card to me. Does USAA benefit in some way by this? This is a terrible practice, unnecessarily damaging to the consumer. 

I think this has been an extremely unfair and unjust outcome and it has had a terrible financial impact on my credit. By way of example, my mortgage interest is approx. {$200.00} per month more than it should be because of this report : Over a 30 year loan that is {$72000.00} -- for an {$8.00} fee that was timely removed ; on a card that I have never used.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation