Consumer complaint received 2023-08-31
Company: NAVY FEDERAL CREDIT UNION
State: CO
Product: Checking or savings account
Sub-product: Other banking product or service
Issue: Closing an account
Sub-issue: Company closed your account

Complaint:
Dodd-Frank Act, Title X, Subtitle C, Sec. 1036 ; PL 111-203 ( XX/XX/XXXXXXXX   ). Sec. 1031 of the Dodd-Frank Act. The principles of unfair and deceptive practices in the Act are similar to those under Sec. 5 of the Federal Trade Commission Act ( FTC Act ). The Federal Trade Commission ( FTC ) and federal banking regulators have applied these standards through case law, official policy statements, guidance, examination procedures, and enforcement actions that may inform CFPB. The standard for unfairness in the Dodd-Frank Act is that an act or practice is unfair when : ( 1 ) It causes or is likely to cause substantial injury to consumers ; ( 2 ) The injury is not reasonably avoidable by consumers. It took 18 days to speak with someone from the security department on this matter initially and the exact words were mentioned : You will not lose your account. Every member has to go through this verification within the first 6 months. Go to your local branch and file an appeal, have them fax or email it to us and we will have your case solved once we verify your information to remove this 1st Party Fraud alert. I did so, and continuously called the banking security department for an update. As the days still go by, theres a credit card that i was APPROVED FOR that is due. No statements. No word from Navy Federal other than they were verifying my documents. After multiple tries and being on hold for 2-8 hours a day, they never gave me information. It went from 10 days to 30 days. I did manage to speak with someone that put a grace period on my payments for 60 days while the other department, whom no one can contact, fixed the issue. NO CUSTOMER SERVICE REPRESENTATIVE could access my account to send statements. I dont know anything charged on my account after XXXX XXXX XXXX Nothing. Although no one has sent me a statement to my address on file, means Im unaware of my status on payments, due dates, credit limit, etc. As of XXXX XXXX XXXX, my credit profile states that Im 30 days behind on my credit card bill but Navy Federal has failed to provide statements when asked which has produced harm to my financial well-being also marking my account as over credit limit, closed by credit guarantor for FRAUD. Navy federal opened my account without a problem and Im the person who actively opened the account. XXXX demeaned me during the conversation on every level. Didnt have any compassion for the XXXX I was going through because of the account closure nor did he display any value in fixing the issue. The Equal Credit Opportunity Act makes it illegal for a creditor to discriminate in any aspect of credit transaction based on certain characteristics. As of XXXX XXXX XXXX I have yet to receive a statement, my account is still frozen, the account is marked as late on the credit bureaus due to navy federal limiting my options and submitting this to collections.

Navy federal Credit Union completely froze my account in XX/XX/XXXX after a phone call with XXXX at XXXX XXXX. A customer service representative told me at XXXX XXXX navy federal fraud security team had VERIFIED my identity by the appeal form and submission of GA Identification and my account status was ACTIVE Upon talking to XXXX XXXX XXXX I informed him that I was going through a divorce, Navy Federal was in the loophole of adding to the crisis. Ive filed an Identity Fraud case with the FTC and no response from Navy Federal. AT XXXX my account is LOCKED FOR GOOD. My ex, XXXX XXXX XXXX XXXX, had access to my accounts and submitted numerous applications for a credit card or something else. The details were few and vague considering THIS ACCOUNT IN QUESTION WAS APPROVED WITH NO PROBLEM AND PAYMENTS MADE ON TIME. I have NOT received a CREDIT CARD statement from navy federal since losing access to my account. XXXX XXXX LOCKED my account for good because I specifically told him that while going through a divorce, I needed all of my financial documents to present to the court to have my balance on my credit card paid down or i would have to file identity theft charges and Ive done so. He neglected to tell me about the applications being processed until the end of the conversation and I could not confirm that I submitted anything else. Navy federal approved my account by account share through my brother, XXXX XXXX and everything was approved without a problem. Navy federal told me when my account was initially frozen that what I was experiencing was what EVERY member experiences during the first 6 months of a new account. She said all I had to do was submit my appeal and my account would be reopened. THAT WAS NOT THE CASE. They violated my consumer rights by failing to give me correct information concerning my financial well-being. My account was open, funded, operable without a problem. As a consumer, with an active account, I shouldve been made aware of these fraudulent applications that were being done. A judge ordered my financial documents from navy federal for the divorce proceedings in XX/XX/XXXXXXXX  and as a result, I was held in contempt of court and fined {$1500.00} or 30 days imprisonment due to Navy Federal NEGLECTING to provide financial documents. This has caused my XXXX  XXXX, XXXX XXXXXXXX XXXX XXXX XXXX XXXX all be closed because of rejected payments by Navy Federal.

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