Consumer complaint received 2023-01-04
Company: MOUNTAIN AMERICA FEDERAL CREDIT UNION
State: ID
Product: Checking or savings account
Sub-product: Checking account
Issue: Managing an account
Sub-issue: Fee problem

Complaint:
I have multiple issues with Mountain America Credit Union. 
First issue is improper overdraft fee practices. They will charge an overdraft fee even when you have a positive balance. This is always done whenever there is another charge that would legitimately overdraft you. In the example of XX/XX/XXXX, they will process this fee even after you've made a deposit to cover the expenses before they process. I have reached out several times, in person and calling their service department, and they try to explain it away with something that doesn't make clear sense. A while back, in XXXX, I think I originally noticed this issue, and was refunded all of my overdrafts at the time, 5 in total. This is important since they also deny any attempt to resolve citing too many refunds. 
I have also noticed that they will try to draw out processing beyond what is reasonable, I'm assuming in an attempt to cause additional overdrafts. Often times this means something will be in " processing '' until the very end of the day. I have noticed this, as I try to avoid overdrafts that I can, and when I'm expecting to need to make one, I want to wait until the processing is complete. In one recent instance, I had gotten paid, and decided to splurge a bit and got burgers and ice cream, on XX/XX/XXXX, close to midnight. The two transactions didn't process until XX/XX/XXXX and XXXX. Additionally, since these issues I've been closely observing as of late, I have also noticed two " log-ins '' from IP addresses that trace to XXXX XXXX in XXXX XXXX, XXXX XXXX XXXX the transactions were made and the time they were processed. I'm making the assumption that these log-ins were related to the purchases ( as there was no other activity ), and further evidence of purposeful delay. I have changed my password, and will note no other log-ins have been recorded since that time, so perhaps this is rather a security issue. 
Another issue I have is the use of non-sufficient funds fee. I'm not a lawyer, so request that this matter be looked into professionally, but in XXXX Requirements for overdraft services, on the XXXX website, it indicates that : " the term overdraft service means a service under which a financial institution assesses a fee or charge on a consumer 's account held by the institution for paying a transaction ( including a check or other item ) when the consumer has insufficient or unavailable funds in the account '', and that the overdraft needs to be opt-in. The nonsufficient funds fee has no opt-in option, and on the Mountain America website , will be charged if there are insufficient funds and the overdraft fee was opted out. It is also exactly the same amount as the overdraft fee, so this additionally provides incentive to simply keep the overdraft selected " opt-in ''. 
Further, I upon making attempts to look into these matters, I have looked around online for specific details, as would be outlined in a membership agreement form. I have looked through my documents and online, and have seen no agreement documention, and only recently acquired one through asking my sister to aquire by inquiring about opening an account. She noted that she had to ask for it specifically, before any attempt to officially open one has been made. I will note I did not attempt to ask for one myself in branch. 
In the membership agreement form it gives detail about how they attempt to charge an overdraft fee when there is a positive balance. Additionally, and something I see as a major red flag, is a part where it says that Mountain America Credit Union will freeze an account when there is a dispute over an account. This would provide extreme pressure on the consumer to resolve the dispute quickly, and not in their best interest, with the additional effect of potentially harming a person 's credit. Does this include this complaint via CFPB? 
*Finally, upon researching these issues, I have noted and want to point out that Mountain America Credit Union uses the company XXXX XXXXXXXX for its financial services, including transactions ( which I'm assuming is including processing practices ). XXXX XXXX also services XXXX XXXX, which I am familiar was recently fined by CFPB for related practices, including how it process overdraft, and wonder if XXXX is the source of these issues.

Company response to consumer: Closed with explanation