Consumer complaint received 2018-03-04
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: MI
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement
Sub-issue: Credit card company isn't resolving a dispute about a purchase on your statement

Complaint:
Starting XX/XX/XXXX, and continuing through XX/XX/XXXX, my husband and I have been fraudulently charged on my USAA Visa Signature credit card for three transactions via XXXX at least eleven separate times. The three transactions always have the same transaction ID - XXXX ( for {$13.00} ) and XXXX ( for {$11.00} ) and XXXX ( for {$13.00} ). It is important to note that neither I NOR MY HUSBAND have EVER used XXXX for any purpose. We have never provided card information to XXXX for any purpose. 

I called USAA immediately after seeing the fraudulent charges on or around XX/XX/XXXX. They cancelled both of my cards ( two cards with different numbers to same credit card account ). Both cards were used at XXXX in the same day. After I cancelled these cards, I did not activate the new cards that were sent to me by USAA because I continued through XXXX and XXXX to see " Declined-Unauthorized '' charges ( with same transaction IDs and amounts listed above ). I was nervous to activate my new cards. 

My husband and I decided to transfer our balance from this card to interest-free promotional cards through other banks in order to pay down the balance faster. So we had to activate the cards about two weeks ago. Today, on XX/XX/XXXX, I got text notifications that my NEW credit card number ( two credit cards with different numbers to same account, again ) had been used. I checked the charges, and it was again to XXXX with the same transaction IDs as before. 

I called my bank in a total rage, and was elevated to the " Executive Resolution Team ''. They told me that merchants such as XXXX participate in something called VAU - Visa Automated Update program. This allows XXXX to receive any new card information for an account with a recurring charge from Visa when a card is cancelled - EXCEPT we have NEVER provided information to XXXX and we have no recurring transaction accounts with them. To further illustrate this point, when I call XXXX to complain and try to make these charges stop ( which I have done four separate times ), I provide them with the transaction IDs, and I am unable to verify any of the account information they " require '' to assist me. My name and zip code do not match those on file ( BECAUSE IT'S NOT ME ) and they refuse to elevate my issue to a supervisor or to an account security specialist. 

I was basically told today, that it appears that XXXX, who is required to submit a packet of information to VAU on recurring payment accounts, to show that they qualify to receive our new credit card numbers - in order to update their system, and continue fraudulently charging us. Because we have never utilized XXXX services, the packet of information that they are providing has to be falsified. We have never had recurring payments through XXXX. 

Today on the phone with USAA ( card issuer ), I was told that I can not opt out of VAU through them ( my bank ). I was told to call XXXX directly to opt out by USAA. I was on hold with XXXX for approximately 20 minutes while someone 'worked on my issue ', was told that this is an issue for my bank to fix, and was hung up on. XXXX continues to tell me that I need to call my bank, and that because the charges are fraud and I'm not actually being charged, it's 'not a big deal ' and that I should continue cancelling my cards each time there is an unauthorized charge. 

I feel that my only course of action now is to pay off the card ( I will have it paid off next week ) and close the account. We are a young family, and this is our oldest credit card, so it will significantly harm our credit score if we get rid of it. 

I just want these charges to stop, and I am at a total loss of what to do. I feel like everyone is passing the buck. XXXX, and the California Attorney General ( because XXXX is HQ in CA ) have told us to " get an attorney ''. I am not hiring an attorney to fix a problem that I had nothing to do with. PLEASE, PLEASE, PLEASE help us!!!!

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