Consumer complaint received 2020-03-20
Product: Vehicle loan or lease — Loan
Issue: Managing the loan or lease — Problem with the interest rate
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION (DE)

I purchased a new vehicle and financed it with a loan from USAA. I was confused about the specifics of a 0.5 % APR discount if I went to a dealer who particiapted in the USAA car buying program. I contacted the bank by phone to confirm the details of the specific discount. I confirmed verbally on a recorded line prior to purchasing my vehicle that I only needed to contact a auto dealer, verify that the dealer participated in the car buying program with USAA, then purchase a vehicle from that dealer and the 0.5 % APR discount would be applied to the rate of my loan. USAA has no physical bank branch locations so I had to rely on a verbal confirmation on my phone call. 

I went and purchased my vehicle in mid XX/XX/XXXX. I then received a APR billing form noting that I was being charged without the 0.5 % APR discount applied. 

I called USAA on Thursday XX/XX/XXXX approximately XXXX XXXX  until XXXX to attempt to sort it out. 

The bank let me talk to an executive dispute resolution person named XXXX. XXXX reviewed the recorded call when I called USAA to clarify the details of the program and he admitted to me that USAA had made an error and incorrectly explained the details that I needed to follow to qualify for the loan. He explained that I was misled and that USAA would fix the issue for me. He took some time to confirm the details with his boss before coming back on the line with me. He explained that USAA would require me to pay the same fixed amount for a monthly payment but they would reduce the APR with the rate that I was told I would qualify for which was ~2.8ish % not the 3.3ish % that I was incorrectly charged. 

He explained that I would continue to pay my fixed monthly amount but that the principle of the loan would be paid off earlier thus saving me the money I should have gotten because I would have paid off the loan earlier and saved the difference in interest that I was owed. 

He explained that I should receive a letter in mid XX/XX/XXXX detailing the specifics of this remedy. I specifically asked about the detailed amount I would save and that this I specifically asked that they would reduce the total loan interest rate and that they provide me written details of this remedy. XXXX confirmed to me on the phone that they would honor the 0.5 % decrease in my rate because the person I had talked to prior at USAA had misspoke and given me incorrect information. XXXX did explain the details of the USAA car buying program and what I would have to do to qualify for the discount in the future. 

Ultimately this resolution would shorten the life of the loan since I will be paying the old monthly payment at the 3.3ish percent over the life of the loan but the loan amount will remain the same. I did confirm that I would still be able to pay off the loan early still. 

I waited until XX/XX/XXXX after I got a letter from USAA rejecting XXXX XXXX   internal request. I contacted USAA and a representative told me that it was a sort of clerical error and that they would resubmit the paperwork through the proper channels. I stated to them that I was working on the assumption that what XXXX told me still stands on XXXX XXXX and USAA will have to figure out how to make it work for me. 

I received an email decline notice on or around XX/XX/XXXX from USAA. I called and spoke to a representative at USAA again and was told they would not honor the previous statements. I asked to speak to an executive resolutions specialist and was sent to talk with XXXX from their executive resolutions team. XXXX and I spoke and he reviewed the previous phone calls and notes in their system. He explained he would advocate for me and get the issue taken care of for me. He said he would resubmit and get back to me. 

XXXX and I talked again around XX/XX/XXXX, he explained it was not working and he was excalating to the car buying service and I should expect to hear back. 

On XX/XX/XXXX I received word that XXXX was sending something to the USAA advocacy team for me. He asked them to contact me. I have not received contact from Advocacy but did receive a call from a car buying service where I explained that this seemed to be a USAA issue and that they should contact USAA for details. 

On XX/XX/XXXX. I contacted USAA through their secure messaging app telling them I had not heard from XXXX and that I would file a complaint if I didnt hear back this week. Now on XX/XX/XXXX I'm filing.