Consumer complaint received 2019-06-12
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: TX
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Funds not handled or disbursed as instructed

Complaint:
Today, XX/XX/2019, we received an email saying our checking account had been arbitrarily closed and we had a {$0.00} balance. There was no date given when. There was something mentioned about they had no signature card on file. No one has sent us any information requesting any such thing so we do not know what they are talking about. When we called them today they said we had a XXXX dollar balance and they did not know why they closed our account. I verified our account information to the USAA representative on the phone. 

My husband then got on the phone and told the lady, who would not give her name, that she could not just decide to close our account as we had done nothing wrong and the government had deposited two social security checks and one VA XXXX check this month into our joint checking account and we still had {$1500.00} in our account and how could we have a {$0.00} balance without our permission to close our account. That was fraud. He told her he wanted to talk to the supervisor. XXXX came on the line as the department supervisor. My husband explained all the above to her and wanted to know what was the amount in our checking account before all this and she refused to talk to him about anything until he verified the account information AGAIN and I had already done that. She told him a check for the balance was going to be mailed to us today for the balance. He told her she could not just decide to close our account as they had accepted our deposits from the government and the bank could not close our account as we did not give them permission to do so and that was fraud and we would turn them in to the Banking Commission and the Attorney General of Texas and anyone else we could. She hung up on him. 

We now have 13 to 15 automatic drafts coming out of our now closed checking account with checks out in the mail to some bills that will now bounce. We got no notice of any kind prior to them closing this account. It also takes 4-6 weeks to get our government checks deposits put into new bank accounts so we will be messed up for that long into next month to have next months money available to us. She said we would receive a check in the mail in 7to 10 days so we are also without any money for that long again. 

We have also not been able to access on line our bank account to see what is going on in the account nor can we call to find out what has gone on with the account over the phone since they closed the account. Also they do not send us a paper version. 

We switched banks because they advertise they are there to help veterans and we wanted to get a lower interest mortgage loan they advertise for veterans on TV for an IRRRL loan. My husband is a veteran and was impressed with their ads on TV as such. 

Then after we got house and vehicle insurance it nearly doubled our costs for them and in the IRRRL loan for veterans they were not supposed to rely on your credit score to get the loan. They did require a certain credit score and turned us down also for the IRRRL loan. My husband, as a veteran, felt the company is doing a great disservice to our veterans by advertising as a veterans  company who wants to help out the veterans. 

Now we will incur a bunch of bounced check fees for bounced checks since they closed our account with out our prior knowledge of permission. Not to mention being without any money available until their check gets here for up to 10 days, and the whole next month because our government deposit automatic checks take 4-6 weeks to change banks. This problem happened to us before when we changed banks when my wallet disappeared and we had to close another bank checking account and it cost is a lot of returned fees from other bills on Automatic Drafts not realizing it took so long to redirect the government deposit checks. This will make all our bills late and seriously affect our credit as well. Will they have to reimburse us for all these checks that start bouncing? 

What can be done about this and can they just close your account like this for no reason, isn't this fraud?

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