Consumer complaint received 2023-08-31
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: CA
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Problem with fees charged

Complaint:
My auto loan originated in XX/XX/XXXX on a 6-year term. During Covid, I ran into some financial difficulties and USAA agreed to move 6 of my monthly payments to end of my loan by extended my loan term by 6 months. Other than that, I made no additional changes to my loan. My original loan maturity date was XX/XX/XXXX. In XX/XX/XXXX my loan matured, all payments were paid according to the agreement and USAA is stating I still owe them {$3200.00}. 

I initially called about this matter on XX/XX/XXXX, During the call I spoke with three different representatives and all of them gave me three different answers as to why I supposedly owe USAA {$3200.00}. The third representative I spoke with agreed to email me a copy of the loan history. I calculated the payments I made to the best of my ability. The documents had different codes, which could be difficult to understand if you dont work for USAA . While calculating my payments from the loan history documents sent to me by the USAA rep ; I noticed on many of the entries the date the payments were posted and the last edited dates were different by about two years. From what it looks like, someone from USAA imputed late fees on my loan in some cases 2 years after the original payment was posted ; most of the entries which occurred during covid. 

I called USAA back on XX/XX/XXXX. I requested the total amount I paid in monthly payment so I can verify if the amount I calculated from the loan history documents were the same as what they have in their system. I have spoken with a total of nine representatives at USAA, some claiming to be managers and none of them could give me the information I requested ; which is how much have I paid in monthly payment and give me an itemized breakdown of the bill they sent me for {$3200.00}. 

What I found alarming is each of them could tell how much they say I owe but none of them could give a detailed breakdown on why I owe it other than its interest added to the back-end of my loan when the 6 monthly payments were moved during covid. I was told by a USAA rep that when USAA moved the payments to the back-end of my loan, they charged me 6 months in interest which USAA calculated by the day or 180 days of interest. No one disclosed this during the call when I initially spoke with USAA about moving the payments to the back-end of my loan. One rep said it was in a document that was uploaded to my USAA account. My understanding of contract law is that important items like fees and interest must be disclosed during the time of the transaction ; full disclosure. That is also the case with Truth In lending. According to the USAA rep, when the 6 monthly payments were added to the back-end of my loan USAA charged {$190.00} per month in interest charges; totaling approximately {$1200.00} which was added to the total amount owed. My original loan maturity date was XX/XX/XXXX which was extended to XX/XX/XXXX to compensate for the 6 monthly payments USAA moved to back-end of my loan during covid. Each of those payments included principal and interest. So, USAA moved the payments and charged me 6 months in interest which came to approximately {$1200.00} added to back-end of my loan increasing the total amount I owe. In addition, each of the monthly payments I made from XXXX a total of 6 payments consisted of Principal and Interest. These two factors together clearly show that USAA charged me interest twice on the principal amount owed or double interest. 

When I expressed the above items to the 9 USAA reps, I have spoken with none of them could give an answer for this. None of them could tell how much I paid in monthly payments. None of them could give me an itemized breakdown of the last bill they sent me ; after, I asked at least 50 times for both items. All of the information I requested is my legal right to know under the Fair Credit Billing Act. To reiterate, what each rep did know is how much they say I owe USAA ; however, none of them could tell me how much I paid in monthly payments other than the complex loan history they sent. Also, none of them would give me an itemized breakdown of the last bill they sent me. I need your help ; USAA is attempting to charge me double interest and erroneous late fees that were added two years after the original payments were posted.

Company public response: Company believes complaint represents an opportunity for improvement to better serve consumers
Company response to consumer: Closed with explanation