Consumer complaint received 2024-10-31
Product: Checking or savings account — Savings account
Issue: Managing an account — Funds not handled or disbursed as instructed
Company: AMERICA FIRST FEDERAL CREDIT UNION (CA)

To Whom It May Concern, I am submitting this complaint regarding unauthorized loan payment reallocation and account mismanagement by XXXX XXXX XXXX XXXX XXXX, located in XXXX XXXX, California. I believe these actions were unethical and XXXX constitute predatory practices. 

On XX/XX/XXXX, I obtained a secured shared loan from XXXX XXXX XXXX XXXX XXXX for {$200000.00}, using my own liquidity as collateral. The monthly installment was set at {$2600.00}. Additionally, I have multiple auto loans with the XXXX XXXX and regularly used my savings account funds to cover both the secured loan and auto loan payments. 

In XX/XX/XXXX, I made a series of fully amortized monthly payments for future installments on my secured loan, with specific details as follows : XX/XX/XXXX : {$5300.00} ( XXXX payments of {$2600.00} for XXXX and XXXX installments ) XX/XX/XXXX : {$5300.00} ( XXXX payments of {$2600.00} for XXXX and XXXX installments ) XX/XX/XXXX : {$5300.00} ( XXXX payments of {$2600.00} for XXXX and XXXX installments ) XX/XX/XXXX : {$2600.00} ( XX/XX/XXXX installment ) Each of these payments was a monthly installment, not a principal or interest payment, and I received receipts from the teller for each transaction, with approvals showing my electronic signature. 

The XX/XX/XXXX statement, page XXXX of XXXX, for account XXXX Share Secured states a " Due Date of XX/XX/XXXX and a Scheduled Payment of {$2600.00}, '' reflecting that my payments were accepted for future installments. 

However, after the Credit Union merged with America First Federal Credit Union, a XXXX XXXXXXXX audited my account, reallocated all my fully amortized payments from XXXX as principal reductions without my consent or documentation supporting this reallocation. 

The XX/XX/XXXX statement, page XXXX of XXXX for account XXXX Share Secured states a " Due Date of XX/XX/XXXX for a Scheduled Payment of {$2600.00}, ' reflecting the egregious predatory practices. 

Upon discovering this, I contacted the XXXX of XXXX, XXXX XXXX, immediately, expressing my concerns about these practices. Shortly thereafter, XXXX XXXX, a representative from the XXXX XXXX, contacted me and stated, Since you do not like this loan, we will waive the interest and release the funds from your savings. When I requested that this statement be put in writing, she refused. XXXX later, without my written or verbal authorization, XXXX conducted a telephone transfer to pay off the secured loan, releasing the funds but disregarding the prior agreement to use these funds as a means to pay myself back. I immediately reached out to the CEO, XXXX XXXX, regarding this unauthorized and malicious transaction, feeling that my asset had been effectively stolen. 

On XX/XX/XXXX, I received an email from XXXX XXXX, XXXX XXXX, confirming they were reviewing the matter seriously. Despite several follow-up emails, I received no update until XX/XX/XXXX, when XXXX sent XXXX letter stating that an investigation had been conducted, and they would not reverse the transaction. Her letter also claimed the employee who accepted my payments was no longer with the company. However, upon speaking to XXXX at XXXX XXXX on XX/XX/XXXX, I was informed that no employees had resigned or been terminated in recent months. This discrepancy raised further concerns about the XXXX XXXX 's transparency and integrity. 

I am attaching bank statements, email correspondence, and a screenshot showing the unauthorized withdrawal of my funds for your review. 

I believe these actions by XXXX XXXX XXXX XXXX XXXX, including the unauthorized reallocation of my payments and refusal to reverse the transaction, constitute an egregious misuse of authority and lack of transparency. I am requesting that the Consumer Financial Protection Bureau investigate this matter and assist in reversing the unauthorized transaction, restoring my funds, and ensuring accountability. 

Thank you for your attention to this serious matter.