Consumer complaint received 2020-12-30
Company: PENTAGON FEDERAL CREDIT UNION
State: CA
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: Card was charged for something you did not purchase with the card

Complaint:
To whom it may concern, I reported my PenFed CU Power Cash VISA # XXXX as lost on XX/XX/2020. 

There were a few charges on the card that I declared as unauthorized, which are as follows : XX/XX/2020 XXXX Boutique XXXX XXXX XXXX {$12000.00} XX/XX/2020 XXXX  Store # XXXX XXXX XXXX {$6300.00} XX/XX/2020 XXXX XXXX XXXX XXXX XXXX XXXX XXXX {$35.00} XX/XX/2020 XXXX Tire Store # XXXX XXXX XXXX {$530.00} Upon reporting of the unauthorized transactions, my card was promptly closed, and I was told a new card will be issued, and sent to me via mail, within 7 to 10 business days. I will also receive a document in the mail that I will need to sign, and send it back. 

On XX/XX/2020, I received a voicemail from the phone number ( XXXX ) XXXX from a person named XXXX, who claimed to be calling me from PenFed CU, and that I need to give him a call. 

I called XXXX, at around XXXX EST, and without asking me any security questions to verify my identity, he said he had called me to verify some of the recent activity on my credit card. He went through a charge or two. I said I do not recognize these charges, and I actually had called PenFed last week, reported my card as lost, and declared those charges as unauthorized. He kept asking me about different charges, and I told him, I am driving at the moment, and do not have access to my phone to go through the full list of the charges, however, I went through them all last week, when I spoke with one of his colleagues, and can call him back when I am no longer driving, and have time. 

With a very aggressive voice, he told me he is not buying it, and he is not gon na refer the transactions to their fraud department to investigate, and I get away with it. I reminded him that according to Reg E, the bank has a duty to investigate, which he replied to, very rudely, do not read me the bank act. 

I kept my composure, and asked if you look at my credit card statements, can you actually find instances of an authorized transaction that I paid for with those merchants? In other words, can you see, based on my credit card statements, and previous accounts history, that I have ever had a relationship with those merchants? He replied to me no. He said again he is " not buying any of it '' and this is such a lucky coincidence. 

I asked him. Are you accusing me of fraud? And he said Yes. I said Can you put that in writing? He said No. I asked for his last name, and he refused to tell me. I said, how do I even know you are from PenFed? You did not ask me any security questions regarding my account, or even provided me with my account numbers, and he replied How can I know all these information from you and the transactions, if I was not with PenFed? He told me He is very good at his job, and he believes these transactions are not fraud, and he is not gon na refer them to their investigation team. 

XXXX was very rude and unprofessional. I, again, reminded XXXX that according to Reg E, the bank has a duty to investigate on any charges that I declare as unauthorized, which he replied to with Yes. You are a real victim! with a very angry voice, and hung up the phone on me. Professional conduct at its best. 

After the call, when I logged into my PenFed online banking account, I noticed all my credit card accounts have been closed, and the available credit has gone down to zero. 

I contacted PenFed at ( XXXX ) XXXX an hour later from this incident to see if the guy I spoke to was even related to PenFed, and I was told, they can not find the number ( XXXX ) XXXX as either a direct line or a general line related to PenFed. To make sure, I asked the agent regarding the status of my claim, and I was told, it shows it is still in progress, and for information regarding the claim, contact XXXX, but the phone number they have of him on their notes is different. I was told this department is not related to PenFed, and they are the people who handle dispute claims on PenFed cards.

Reg E does not definitely give the bank the right to have a wanna-be-tough guy named XXXX call the customer, and try to force him into submission, and withdrawing his claim. According to Reg E, you can not just refuse to investigate a claim, because you are not buying it and you are good at your job. 

I am a XXXX XXXX at the XXXX XXXX XXXX at XXXX. I might be negligent or might misplace my card, however, I am not a fraudster. The fact that XXXX thinks he can just call a customer a fraudster since he is good at his job and is not buying my claim while yelling at me and being rude and offensive is not a good reflection on PenFed CU, can have legal implications, and expose the bank to liabilities beyond just violation of Reg E. 

I, hereby, request PenFed CU to re-instate my credit card accounts. I do believe XXXX closed all my credit card accounts, since it shows the available credit as zero. I understand I have not been a good customer, and have misplaced my card, however, I would appreciate it, if PenFed CU could reinstate my cards, give me one more chance, and if another instance of fraud occurred on my accounts, due to my negligence, then cancel out the accounts. 

Secondly, and most importantly, I, hereby, request PenFed CU to respect Reg E and the duties assigned to the financial institution by Reg E, do a through investigation of my claim, provide me with documentary evidence that was used by the bank to reach a conclusion on my claim ( if it is not in my favor ), and do not hold me liable for these unauthorized transactions that were reported promptly. I am protected by both VISA zero percent fraud protection guarantee, as well as Reg E. If you need me to sign an affidavit, saying, under penalty of perjury, that I have not made these charges or know of anyone who has made them, please email them to me at XXXX. 

Thank you for your time and consideration. 

-XXXX XXXX

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation