Consumer complaint received 2016-05-18
Company: PENTAGON FEDERAL CREDIT UNION
State: MD
Product: Bank account or service
Sub-product: Checking account
Issue: Account opening, closing, or management

Complaint:
I have been a member of Pentagon Federal Credit Union ( PENFED ) since 1999. During my tenure at the Penfed, I have often been offered many products and services ( i.e. Credit Cards ) ; but, each time I have applied I have been denied. As time went on, I began to notice a pattern and came to suspect blatant discrimination and began to challenge their quick denials. Four times I was turned down for a mere personal loan of XXXX before finally being approved after having to provide a number of documents, complain to the board, and speaking to high level managers. The loan was PAID IN FULL on time and early. Yet, when I asked for an additional loan, I was promptly denied. Yet, I began noticing how they would cater to the Latinos and Hispanics who were n't even born in this country, yet were able to get loans and anything else. Recently, I have also been noticing that PenFed is now starting to advertise : 'Great Rates for Everyone '. Yet, if this be true, then why do I continue to be denied products and services? Most recently, I was denied a car loan having been told : 'You have never had a loan like this before. ' What? Presumably, they were referring to an installment loan whereby, I had one from PenFed and a Student Loan. Prior to this, I was denied the {$500.00} Credit Protection on my Checking Account and then scolded when my account was depleted. If that were n't enough at one point, they serendipitously removed funds from my Savings into the Checking account in an futile attempt to bring the account current. I needed to stop a payment on a check whereby I was charged a fee. Unbeknownst to me, this fee could have been avoided if I had initiated the stop payment online. I was n't made aware of this until I called and was attempting to stop payment on another check. Much to my chagrin, I was not at all pleased. Truth is, I have been extremely unhappy and frustrated with PenFed for quite awhile because it is my firm belief and despite their denials, that I have been discriminated against and continues to this day. In terms of the car loan, I was expecting to take advantage of the low rates offered by Credit Unjons. Yet, as previously mentioned, I was denied. I did receive a car loan for the XXXX I had requested from PenFed ; but, at a much higher interest rate than is necessary. I also recently received a new XXXX Card. Hence, why am I not able to take advantage of all the products and services that as a member of this Credit Union offers? At this time, I am looking to refinance my vehicle ; but, extremely apprehensive about even applying due solely in part to the continued maltreatment. It is extremely frustrating to be a member of a Credit Union only to seek products and services outside of the CU in order to prove my credit worthiness before you will even consider taking a chance on me. That in itself is blatant discrimination because I have been told in the past that it is best that I find another creditor to take a chance before we do. Also, it is annoying to constantly hear how conservative they are. This fact is abundantly clear. It should be known that I initially took my concerns to NCUA whereby I have been referred to this agency for further assistance.

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