Consumer complaint received 2016-10-09
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: NY
Product: Credit card
Issue: Credit card protection / Debt protection

Complaint:
I am bringing to your attention the unfair practices of USAA Federal Savings Bank/Credit Card Services, of holding their members money hostage for 10 days although a transaction occurred in error as a result of their computer system glitch or error. 

On Tuesday, XX/XX/2016 I tried to pay my credit card online ( as I normally do on the USAA website every month ) and initially, their website had a glitch and would not allow me to process my payment of {$2600.00} ( red print message reading excessive transaction or something to that extent ). The XXXX account I use has a healthy balance so I did n't understand. I tried again ; same thing and it rejected the transaction. Finally, I reduced the payment to {$1800.00} and after a brief but uncertain wait, the transaction was accepted and confirmation # XXXX was issued. I was certain everything went well so I logged out of the USAA website. 

The very next day I receive an overdraft notice from my other bank ( XXXX ) indicating that USAA had withdrawn two credit card payments at the same time ; one for the intended amount of {$1800.00} and another at the same time and date for {$2600.00} ( the amount that had been rejected initially ). On Wed, XX/XX/XXXX, I called USAA credit card services and spoke to a young lady who consulted with someone in her department and assured me that the double payment should have never occurred and would refund the {$2600.00} back into the XXXX account within two days. Furthermore, she said a letter of the refund request would go out to me immediately. I waited patiently all day Thursday, XX/XX/XXXX, for the transaction to be completed. The refund was initiated because the balance on the credit card had been adjusted to reflect the refund but suddenly USAA reversed the refund request and placed the {$2600.00} back into the credit card as a double payment again. 

On Friday, XX/XX/2016, I contacted USAA numerous times and spoke to many customer assistance representatives but none of them would put me on the phone with a supervisor after I explained what transpired. Everyone I spoke with agreed that a large transaction like this one to occur on the same date and time was unusual. Finally, upon threatening to close all my accounts because of their payment system glitch, I was transferred to a senior specialist by the name of XXXX. This young lady also told me that there was no supervisor or manager available to explain the sudden reversal of the refund that was originally initiated on Wed, XXXX. This lady told me I only had XXXX choices, I could borrow my own money ( the {$2600.00} ) back as a cash advance and pay USAA interest and fees on the amount or they can hold the {$2600.00} for 10 days and then attempt a wire transfer back into my XXXX account for which I would incur a fee from XXXX XXXX. 

I continuously requested a supervisor with authority to resolve this error immediately and XXXX repeatedly stated that she was in the same department. I told her I understood she was in the same department but that she did not have the authority to resolve this matter. However, she continued like a preprogrammed parrot and stated over and over again that she was in the same department and a supervisor would not be able to help me. 

In the meantime, because of their credit card/computer system glitch, I have diminished funds in my XXXX Account to pay other bills that are now due. 

In my opinion, this is not only unfair but is a crime that a consumer should not be subjected to through no fault of their own. 
I would like an immediate refund of my {$2600.00} double payment back into my XXXX bank account. 
Thanking you in advance for your attention and consideration in this matter.

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