Consumer complaint received 2021-12-21
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Billing problem
Company: PENTAGON FEDERAL CREDIT UNION (NC)

I completed an auto loan with PenFed ( jointly with my Dad ) in XXXX. XX/XX/XXXX I totaled my truck due to Hurricane Florence. I immediately filed insurance and XXXX claim that I purchased through dealership. After no contact from PenFed, I called them in early XXXX to ensure my balance was satisfied and the rep assured me that my loan was settled IN FULL. XXXX ' of this year ( XXXX - 38 months following ) I was told by another lender that I had a delinquent loan with PenFed with a balance of around {$1500.00}. My fiance and I have called numerous times with countless broken promises of investigation. Multiple reps informed that I owed the balance but couldn't determine why. Meanwhile, my credit ( livelihood ) is deteriorating by the day. I finally spoke with one rep that encouraged me to contact the XXXX company. XXXX advised that my insurance compant did not add the towing/camper package to my settlement amount ( {$430.00} ) and they did not pay this portion ( of course I was never advised ). I then contacted my insurance company ( XXXX XXXXXXXX XXXX  ) and they stated that PenFed sent them a letter of guarantee that confirmed the amount that they offered to settle ( {$28000.00} ) -- They weren't ever notified that the towing package was not added properly to the settlement and we have now surpassed the three year period. The insurance agent sent me the Letter of Guarantee from PenFed and a copy of the cleared check that they negotiated for the total loss - PenFed cashed this check on XX/XX/XXXX but did not apply to my loan balance until XX/XX/XXXX until they received the XXXX settlement ( two reps advised me that they can not process the insurance check without XXXX -- So, I was charged 112 days of interest on {$28000.00} unnecessarily ). Today, after ANOTHER rep stated " Ma'am, you just owe the balance, you didn't pay it off completely and it's too far back for me to understand why '', I demanded to speak to management. " XXXX '' over collections advised that he did see notation that a rep advised me in early XXXX that my full balance was settled and apologized for this. I haven't been sent a statement since the end of XXXX - No knowledge of a left over balance or discrepancy with insurance/GAP. XXXX advised he is contacting his " management near the West Coast '' but no time frame of resolution. I just had a newborn son in XXXX and I plan to purchase a house for my family. This has significantly reduced my credit worthiness when I have worked so hard to improve it ( for my family ) over the last two years. I did not mind paying a balance if I truly owed it but over ten employees could not determine why and/or how I owed a remaining balance -- " I just did. '' I am hoping my disputes sent to XXXX, CFPB, and XXXX will ensure PenFed will contact me and make this right. I am truly at a loss of words of how unethical and poorly treated I have been since I was made aware of the remaining balance a couple months ago. This situation does not sit right with me and I want to ensure it does not happen to anyone else. 

Thank you in advance,