Consumer complaint received 2023-07-21
Company: NAVY FEDERAL CREDIT UNION
State: NC
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Problem with the interest rate

Complaint:
On XX/XX/XXXX  I took out a boat loan with Navy Federal for the purchase of a XXXX XXXX XXXX boat with motor and trailer. The promissory note requires the information below : As promptly as possible and no later than three months, the Applicant/owner ( s ) will deliver to Navy Federal a Certificate of Title or other proof of ownership reflecting Navy Federal as the first lien holder . The Certificate of Title must also show the individual Applicant/owner ( s ) as the registered owner ( s ) of the collateral. Failure to comply with this request can result in Navy Federal converting this loans annual percentage rate to Navy Federals prevailing unsecured personal loan rate and can increase your monthly payment.

If Navy Federal exercises its right to file for the lien-recorded title, filing fees will appear as a debit on the Applicants savings account. 

The boat and trailer are registered and titled in the state of North Carolina. I verified, in XX/XX/2020 with the North Carolina XXXX  Department, who registers and titles boats, that a copy of title with Navy Federal as primary lean holder was sent in 2020. I had a duplicate copy sent to Navy Federal the same day XXXX XXXX. A receipt was emailed to Navy Federal to XXXX as I was instructed to do when I went to a branch office to fix this issue, along with the bill of sale with model and serial for the motor and trailer as well as XXXX for the boat via email on XXXX XXXX. A copy of the NC registration and tax was submitted in same email. 
My rate was corrected for the second time from 16.9 % back to the original 8.9 %. 
My rate was increased again a few months later saying they needed the same information. 

On XXXX at XXXX I called back again attempting to correct. I was informed that they never recieved any title copy from the state of North Carolina. They never recieved any emails from me. They them, after I provided date and time of email as well as each attachment, stated that no attachments were on the email. I forwarded the email back to Navy Federal. I was then told the attachments had to be in PDF format. 
I asked to speak with a supervisor who told I had to provide a copy of the title and US or foreign title or registration for the motor ( which does not exist as the motor is part of the boat ) as well as statement of origin from the manufacturer of the motor. None of this is in the promissory note as above. 
One again I was told they have not recieved anything from myself or the state of North Carolina. 
I have not missed payments. I am up to date on my loan. The information they request is not possible as it does not exist. By law, I can not obtain a copy of the title without authorization by the first lein holder which is Navy Federal, who will not authorize me to obtain. I was told no email correspondence is allowed by Navy Federal when i requested a copy of the note saying i had to provide a foreign title or registration or certificate of orgin fir the motor, so they will not provide anything to me in writing via email stating what is needed to clear this up. Each time I have sent information in the rate has been adjusted back down then raised months later. This is criminal fraud by Navy federal as I have provided and the state of North Carolina has provided the title with Navy Federal as first lein holder. 
I have a second personal loan for a golf cart that the same thing has happened with as well. The original rate was raised after purchase. The cart has no XXXX  # as it is does not exist and can not be registered. A bill of sale was provided with model and serial. The rate lowered and then raised again. 
Navy federal issued two loans, agreed to rates, after purchase raised rates and request information that is impossible to provide. Please help with these crminal financial breach of contract fraud issues. 
As I try to print my promissory note for the golf cart loan it os no longer available.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief