Consumer complaint received 2020-07-31
Company: NAVY FEDERAL CREDIT UNION
State: TN
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
Navy Federal is violating the new CARES Act reporting requirements under 15 U.S.C. 1681s-2 ( a ) ( 1 ( F ) ( i ) ( I ) On XX/XX/XXXX Navy Federal agreed to make a payment arrangement and accept my {$400.00} payment, which was set to arrive from an external bank no later than XX/XX/XXXX. My payment to them was late due to a move across the country from XXXX  to XXXX that was caused SOLELY by the Covid-19 Pandemic. At the time of the XX/XX/XXXX phone call, I was NOT more than 30 days late on my payment. 

Instead of reporting my account as current as they should have after agreeing to a payment arrangement ( accommodation ) on XX/XX/XXXX they reported my account as late on XX/XX/XXXX 

This is a violation of 15 U.S.C. 1681s-2 ( a ) ( 1 ( F ) ( ii ) ( II ) ( bb ) as the Cares Act requires the following : If a delinquent consumer manages to catch up during the accommodation period, the creditor or other furnisher must then report the consumer as current.

Under the 15 U.S.C. 1681s-2 ( a ) ( 1 ( F ) ( i ) ( I ) CARES act, if my account was already delinquent and I make an agreement and bring my account current, the creditor must report that I am current on my account. My understanding of the CARES act is that any accommodation qualifies, and when Navy Federal made a payment arrangement ( accommodation ) on XX/XX/XXXX to accept my {$400.00} payment by XX/XX/XXXX, that was an agreement ( accommodation ) provided by a creditor voluntarily. This accommodation can relate to a mortgage loan, credit card account, a car loan, or any other agreement altering payment obligations. 

Navy Federal agreed ( made an accommodation ) to accept my payment arrangement of {$400.00} by XX/XX/XXXX. I explained that the payment was late DUE TO A MOVE CAUSED BY THE PANDEMIC and then I was still reported as late to the credit bureaus. 

On XX/XX/XXXX, I was less than 30 days delinquent on my account when a Navy Federal Payment Specialist contacted me by phone. I indicated I had moved in the middle of a pandemic, across the country by myself with XXXX kids and that I had forgotten to update my address directly with Navy Federal  although I did with USPS. This resulted in non-receipt of my bill which then caused my payment to be late. A Payment Arrangement of {$400.00} to be there by XX/XX/XXXX was made during this phone call, my account was noted and my address was updated. ( Payment arrangement notation on my account was confirmed with XXXX during XX/XX/XXXX phone call at XXXX ) There was a subsequent phone call on XX/XX/XXXX or XXXX where I called in to address why my account was reported late to the credit bureau XXXX when Navy Federal agreed to accept a {$400.00} payment arrangement per the XX/XX/XXXX phone call. I also requested removal of the {$20.00} late fee, which was subsequently approved. 

I have provided Navy Federal with a text message from myself to my boss, XXXX XXXX of XXXX XXXX XXXX  XXXX. This text message predates this issue by almost 3 months. In this text message, I am notifying my boss of the relocation from XXXX to XXXX  was for a XXXX XXXX  position my husband took, and I address that this move was caused solely by the pandemic. There is also a letter dated XX/XX/XXXX which substantiates the text and includes her contact information. 

I also provided Navy Federal with a letter from my real estate agent who indicates that we hired him to sell our home, so that we could relocate from XXXX  to XXXX  because of the pandemic. 

The multiple phone records with Navy Federal should reflect that I indicated I was not having trouble paying my bill due to Covid ( which is the truth, I am financially able to pay my bill ) but I disclosed several different times to Navy Federal that my payment was LATE due to Covid. As such, the CARES act provisions still apply as my ability to make a timely payment was affected solely by this pandemic. 

Per my XX/XX/XXXX recorded phone call with Supervisor XXXX, Navy Federal is offering covid relief to customers who make an agreement like I did in the form of bringing the account current plus 30 days. As such, my account should have been brought current plus allowing 30 days for the payment to be posted. Since I was not 30 days late at the time the agreement ( accommodation ) was made on XX/XX/XXXX, my account should have been reported as current to the credit bureaus on XX/XX/XXXX. 

Navy Federal refuses to correct this inaccurately reported information.

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