Consumer complaint received 2019-10-06
Product: Checking or savings account — Checking account
Issue: Managing an account — Deposits and withdrawals
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION (PA)

1. On XX/XX/XXXX XXXX I executed and returned {$5000.00} of HARDWOOD FLOORING, which I paid for upfront, using my USAA DEBIT CARD ending in XXXX, with XXXX XXXX XXXX   located at XXXX XXXX XXXX XXXX XXXX, PA XXXX ( ( XXXX ) XXXX ). These materials never left the warehouse of XXXX XXXX ; thus I was never in possession of items. I ultimately chose another product at a XXXX XXXX and XXXX XXXX, without question, allowed me to simply refund the debit transaction. 
2. Under the perception that I believed the {$5000.00} refund would just take a few days to reflect in my USAA account, I knew TWO weeks was too long for any amount to be credited back to me, let alone the significant amount of {$5000.00}. Obviously, I then submitted a DEBIT CARD DISPUTE, Dispute # XXXX, on XX/XX/XXXX, as referenced from the EMAIL from USAA on XX/XX/XXXX. 
XXXX. In this XX/XX/XXXX, XXXX AM EMAIL, USAA stated : Certain requirements must be met in order for us to help you obtain the credit. Unfortunately, were unable to help you obtain the credit for the disputed amount for the following reason : " The required time frame to dispute the transaction has elapsed. In the future, please notify us as soon as it appears on your statement so that we can assist you. '' Although were not able to help, you may still be able to pursue this matter directly with XXXX XXXX XXXX. 

4. This response was beyond absurd as I was not aware of any time frame to dispute a {$5000.00} refund transaction, especially since the DISPUTE was with USAA. The transaction was not disputed by XXXX XXXX, nor was I disputing any of their actions, as they had no problem processing the refund on XX/XX/XXXX. 

In fact, XXXX XXXX, from XXXX XXXX further assisted me by emailing me the receipt for the Refund Transaction on XX/XX/XXXX, XXXX PM, after I had to return back to XXXX XXXX to retrieve the receipt that USAA requested. 

If I would have paid in paper cash then yes my dispute would have been with XXXX XXXX and would not have submitted a dispute with USAA ; therefore since I paid {$5000.00} in CASH from my DEBIT CARD account, my dispute was with USAA for not refunding me the {$5000.00} that XXXX XXXX  AUTHORIZED. 

5. However, even after providing them with the receipt they requested over the phone, which I submitted using their online portal, I never received a response. 

6. Then on XX/XX/XXXX, after I was never responded to, I called USAA to ask about the dispute and I was notified via their internal messaging system, as seen from my screenshot taken at XXXX XXXX, XX/XX/XXXX. ( I took a screenshot ( fortunately ) as I had no ability to save USAA internal message. ) 7. In this XX/XX/XXXX message, they asked for the following doc/info by XX/XX/XXXX : The date service was expected to be received Just as their XX/XX/XXXX email response was absurd, this XX/XX/XXXX Internal Message was equally absurd and baffling as I was not expecting, nor did I ask for any SERVICE to be received. The transaction was for HARDWOOD FLOORING, not a service.

8. Strangely, on XX/XX/XXXX, XXXX XXXX, USAA notified me via EMAIL now, that they have begun investigating a yet another dispute, now purportedly dated XX/XX/XXXX, clearly conflicting with the Internal Message merely two days prior. In this EMAIL, they stated they issued a {$5000.00} TEMPORARY credit, while they pursue a resolution. 

9. On XX/XX/XXXX, XXXX XXXX, USAA notified me via email that In order to pursue a resolution of your dispute, we need you to provide the following documentation by XX/XX/XXXX - Copy of your contract with the merchant - Copy of the purchase receipt - Copy of the merchants terms and conditions 10. I then contacted USAA shortly thereafter, via phone, and was asked for XXXX XXXX ' contact information and address, which I provided. 

11. I was asked to submit the Refund Receipt and transaction number using their Internal Message portal, which I promptly did so. 

12. On XX/XX/XXXX, XXXX, AS SEEN FROM THE screenshot of their INTERNAL MESSAGE and after numerous calls with USAA between XX/XX/XXXX and this date, and after submitting the receipts requested, I responded stating I already submitted the documentation and information requested and learned from one of their representatives that they were in contact with XXXX XXXX, in which Im sure they found the {$5000.00} REFUND to be valid.

13. Merely 45 MINUTES later at XXXX XXXX, USAA contacted me via EMAIL, referring to the same XX/XX/XXXX dispute and message above, stating : We've completed our investigation of the dispute and find the transaction is valid for the following reason : -- Without receipt of requested contract documentation and/or purchase receipt to provide detailed information to prove service/merchandise were not as agreed upon, our investigation determined that no error occurred. 

-- Your temporary credit will be REVERSED. The temporary credit posted to your account for the disputed amount above will be debited from your account on XX/XX/XXXX. 

14. On XX/XX/XXXX, at XXXX XXXX, using their INTERNAL MESSAGING system I stated I once again uploaded the receipt for the return from XXXX XXXX, as well as my STATEMENT showing the transaction to XXXX XXXX. 

15. USAA responded on XX/XX/XXXX thanking me for my email regarding a dispute and that they have forwarded my inquiry to the Dispute Resolution department.

16. My response, as seen in that screenshot speaks for itself. After sending them all the required information, after they spoke with XXXX at XXXX XXXX and after I even provided them with my bank statement, they still REVERSED the transaction and locked my account. 

XXXX7. This Reversal over-drafted my account and subsequently resulted in nearly {$330.00} in NSF transactions.

18. I then ceased all communication and started using another bank for my checking. Unfortunately, I forgot to change my VA XXXX Direct Deposit to my new account, thus it was direct deposited to USAA, out of my reach. 

19. Whichever funds I had while they reversed the account in addition to my VA XXXX payment of {$1500.00}, my account reflected a negative amount of {$4500.00} 20. Only upon returning to my account almost a year and a half later to retrieve my mortgage statements, which I wanted to review pertaining to their foreclosure which I also have an open CFPB claim about, I then found that USAA had issued a 1099-C for {$4500.00} on XX/XX/XXXX. Not only that, but they deleted ALL OF MY XXXX documents, ALL of my bank statements for account # XXXX and ALL OF MY MORTGAGE STATEMENTS. 

21. Upon further researching my claims about their foreclosure I came across the CEASE AND DESIST issued from The Office of Comptroller of the Currency, XXXX, # XXXX. 

22. Clearly this 1099-C they issued a mere day prior than the OCC Cease and Desist Orders effective date, was to evade the reporting requirements the OCC outlined, specifically Paragraph 61 ( a ) Respondent must treat the civil money penalty paid under this Consent Order as a penalty paid to the Government for all purposes. Regardless of how the Bureau ultimately uses those funds, Respondent may not : CLAIM, ASSERT, OR APPLY for a TAX CREDIT, or any other TAX benefit 23. Thus, USAA is clearly in violation of this Consent Order.