Consumer complaint received 2024-02-14
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: RANDOLPH-BROOKS FEDERAL CREDIT UNION (TX)

XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Consumer Financial Protection Bureau XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX  : Complaint against RBFCU ultimately involving a member account. What starts as what appears to be a credit card dispute - - actually finalizes as a dispute regarding a personal member account. 

Ladies and Gentlemen : I first mention some details regarding my credit card which is linked to my personal account only to show that I had, or have, substantial credit ( a large positive balance of overpayment ), before I complete my case with details about my credit union personal member account. In this particular letter, I am not bringing forth a dispute over my credit card to your attention, the issue is with my personal account as a member of the credit union. 

I previously investigated/determined potential fraud on or about XXXX by telephone to the Randolph Brooks Federal Credit Union fraud / security center on my XXXX ending in XXXX ( which is the toll free number on the rear of the card ), whereupon their security dept informed me of four extemely high charges involving a XXXX XXXX which I did not make, yet to date, I still have not received any confirmation letter from them : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX 

In fact, this is the 3rd card I have been issued this year due to fraud with RBFCU, I can not recall having ever experienced such a high level of fraud with any of my other financial institutions before. 

As I understand, RBFCU is required to immediately credit my account for these 4 charges until this matter is investigated fully and a determination made. The agent I spoke to on or about XXXX instructed me that my local RBFCU branch would be able to look and see this credit on their end once the credit was applied. 

My personal account at RBFCU is linked to the XXXX XXXX and when paying my XXXX XXXX in person at my RBFCU branch, they bring up my personal member credit union account, and I am required to write checks directly to RBFCU. 

THEREFORE, based on the above I have or should have at least {$6700.00} credit balance to my XXXX XXXX - - and accordingly, my credit union member account. 

FURTHERMORE, as I was leaving town on XXXX XXXX XXXX to go overseas for about 2 weeks, and EVEN THOUGH MY CREDIT CARD BILL HAD NOT COME TO ME, SO I WAS NOT DUE TO MAKE A PAYMENT, I still felt it wise to pay a substantial portion of my XXXX balance down with a check I wrote to RBFCU for {$10000.00} and deposited before XXXX XXXX, XXXX. 

Unfortunately, I determined on XXXX XXXX, XXXX that I did not have sufficient funds in my XXXX account 40 miles away to cover this amount. I immediately drove up to RBFCU branch in my town of XXXX XXXX XXXX and spoke to the manager on duty, XXXX. 
The manager did not know and could not verify on a Saturday whether RBFCU would attempt to re-deposit that {$10000.00} check again ( so that I could merely raise up the funds in my XXXX XXXX  to cover this check ).

It was Saturday and RBFCU corporate offices were closed. Then I instantly came up with what I considered would be a valid plan. I wrote another check for {$8500.00} which I knew would clear, and handed it to the manager XXXX in an envelope after XXXX agreed with me to investigate on the following Monday and if she discovered that RBFCU policy was NOT to re-deposit the {$10000.00} check, she would then deposit the {$8500.00} check which would clear and reduce my credit card balance substantially - - - for example, in case I had an emergency while overseas. 

Upon returning from overseas I checked my mail and still had never received any confirmation letter regarding the report of fraud in XX/XX/XXXX. That had me concerned. In my XXXX years I have noticed that credit card companies have a reputation for dealing with customers only through postal mail and telephone. Unless you are performing a 3 way call with a witness, there is no record or witness on the consumer 's end on what transpired in the phone call. Since I had no postal mail confirmation from XXXX XXXX XXXX - - and only telephone calls with no witness on my end, I then mailed a U.S. Postal mail certified letter with return receipt requested detailing the fraud uncovered in XXXX ( attached ) and requesting a response from them. 

Also I decided it would be wise to visit my local RBFCU branch and learn how the situation with the {$10000.00} and the {$8500.00} check were handled. Upon visiting the XXXX XXXX branch on or about XXXX I was not able to speak with the manager XXXX, but 2 tellers were able to provide useful information. Their computer showed that indeed the {$10000.00} check was NSF, the {$8500.00} check had been deposited. But they also told me my personal check account was closed and had a negative balance of {$1400.00}, and any further discussions would have to be done with the RBFCU fraud dept. And that dept had a 30 minute hold time by telephone. They gave me the phone number of XXXX, select option 5, when prompted, enter ext. XXXX. 

I dialed this number and waiting 20 to 30 minutes on hold. Finally an agent named XXXX answered the phone. He researched my account and said I was minus {$1400.00} in arrears on my account and needed to pay up. I explained what had occurred with the {$10000.00} and the {$8500.00} checks, I also knew that BOTH had been deposited - - and that the {$10000.00} check could never clear and that I saw no problem paying the ~ {$30.00} fee for insufficient funds. I told him I could not understand the {$1400.00} negative amount in my RBFCU account, because I had, or should have over {$6700.00} + {$8500.00} = a total of {$15000.00} positive credit with my credit card account which is linked to my personal RBFCU member account. 

I had very little activity on my XXXX during late XX/XX/XXXX through XXXX XXXX, XXXX and knew there was no way I could have charged even {$3000.00} of goods and services during this period. 

It was then that this agent XXXX said that the {$1400.00} negative amount was money I still owed to RBFCU from the attempted {$10000.00} check payment. Upon further discussion, and I attempting to understand this situation, I then asked him : was RBFCU regarding my {$8500.00} check as a sort of down payment? He admitted that this amount of {$1400.00} negative amount was in essence a down payment towards the {$10000.00} payment that did not clear, and that I still owed the {$1400.00} amount in fees and balance due. 

Do what? Is this even LEGAL? 

Where does it say that RBFCU has the right to declare a check that never even cleared - - - - the invalid payment for {$10000.00}, that I still owed that full {$10000.00} amount? This feels almost like some form of EXTORTION...

I said no to him, it's simple, RBFCU will just take the {$10000.00} check off their ledger since it never cleared, and instead use the valid {$8500.00} check as payment towards my XXXX. 

Their agent XXXX claimed that RBFCU had already transferred the {$10000.00} payment to their subcontractor XXXX XXXX and so I owed the full amount. I responded that no financial institution following established common sense banking rules makes corresponding payments anywhere without first confirming that a deposited check cleared. Years ago I dated a young lady who managed the proof dept of a major bank, so I knew better. Something seemed FISHY here. 

Frustrated and beyond belief, starting to feel that RBFCU was bending me over a barrel, it seemed quite unreasonable what he proposed, but I responded that OK, I would be willing to consider ponying up the {$1400.00} amount in fees and balance due to settle the matter - - - IF RBFCU would email, fax or send by postal mail a written letter stating to protect myself, that in effect : 1 ) In effect, the {$8500.00} was merely a down payment on the {$10000.00} NSF check, 2 ) they would not attempt to hold me responsible for the full amounts of BOTH the 2 checks of {$10000.00} and {$8500.00}. 
3 ) After me submitting {$1400.00} into my personal RBFU account they would reinstate my personal member account. 

He responded rather vaguely that he would attempt to get some other dept. to send me a written letter to that effect : As some background, as a consumer I have been sucker punched and double crossed more than once before in my life, I do NOT get involved with online banking as it is infested with hackers, and RBFCU should have nothing to hide, of course, right?, and I was not about to cave without RBFCU issuing an email, fax, or a written letter to me detailing those 3 points, at least the 1st and second.

So, I ask you, is what I have described herein LEGAL for RBFCU to do to me? 
Have they violated any laws or regulations here? 

Can they force me to pay in full the NSF {$10000.00} check which never cleared - - - all the while disregarding the replacement check {$8500.00} check which did clear as the proper and valid payment? 

Respectfully, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  I was shocked to receive a letter to learn that RBFCU had gone full slash and burn mode and reported me to XXXX XXXX XXXX XXXX, a debt collector, so now they decided to ding my credit score. What is it with these people?, who needs enemies when you have friends like RBFCU? I am still waiting for the response to the written letter I requested. 

Also on XXXX I decided to call the XXXX XXXX folks to query them why they had not sent me written confirmation by postal mail regarding the 4 fraud charges mentioned above. Their agent said to give it more time, he also confirmed that my XXXX XXXX in fact had {$1300.00} positive credit on the account.