Consumer complaint received 2020-10-23
Product: Checking or savings account — Checking account
Issue: Managing an account — Problem accessing account
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION (TX)

RE : Member ID XXXX Consumer Lending and UDAAP Violations.

My USAA Member is XXXX, and I was the victim of identity theft. In response to this identity theft and fraudulent activity, USAA took adverse action which affected all my accounts held with USAA. This included 3 credit card accounts, a checking and savings account, auto and renters insurance, my auto loan, and a certificate of deposit account.

In a response dated XX/XX/XXXX, XXXX to my OCC complaint USAA states a thorough review of my accounts was completes and the investigation confirmed I was not a victim of identity theft or account takeover. I have repeatedly requested the associated documents used by USAA to determine the outcome and prove their belief I was not a victim of identity theft and no fraud was committed, despite a year prior investigating and confirming I was the victim of identity theft and refunded the associated charges.

In their reply, USAA states they were beyond the timeframe allowed to rever the charges previously credited and would not hold me liable for the transactions. Yet, USAA did hold me liable for the charges and reversed all previously credited transactions.  USAA states on XX/XX/XXXX credits totaling {$5900.00} were credited to my XXXX and {$1300.00} was credited to my Visa. These totals, however, do not represent the total of fraudulent charges or billing errors reported, which USAA has held me liable.

This reversal of previously credited transactions which were final, the failure to recredit the full amount of reversed transactions, failure to fully and adequately investigate billing disputes, and refusal to provide all documentation associated  with the reported identity theft are clear violations of FCBPA,  regulation Z, UDAAP, the member agreement as well as additional federal and state regulations. 
USAA further states on XX/XX/XXXX, an ACH transaction for {$4000.00} posted to my checking account. On XX/XX/XXXX, my checking account was closed, and the remaining balance was mailed to in the form of an official check. On XX/XX/XXXX, I provided the XXXX a Written Statement of Unauthorized Debits for the {$4000.00} transaction. The XXXX states it sent a letter advising that while we researched the dispute, a provisional credit of {$4000.00} was posted to my account. The letter stated if the dispute is resolved my your favor, the temporary credit will become permanent. If the dispute is not resolved in my favor, Id be notified before the credit was reversed. The XXXX claims another letter was sent advising me that my account would be temporarily opened to allow access to the {$4000.00}. The XXXX states the letter advised me I can't make any transactions with the account, and it was only opened to allow me to claim the funds. On XX/XX/XXXX, an official check for {$4000.00} was mailed via XXXX XXXX to your address of record. The checking account was then closed. 
In this response, USAA fails to address that as of XX/XX/XXXX my online and mobile account access was already restricted and my debit cards associated with my accounts had been canceled along with the accounts by USAA, without warning. As I was enrolled in paperless billing, notices, and statements any correspondence received from USAA was submitted on USAA.com which I was prevented from access.

Therefore, I never received the letter USAA states it provided, was never notified my account would be reopened, or notified I would be able to access these funds. Furthermore, as my online account access was removed I was unable to log onto usaa.com to transfer the funds elsewhere and I was never  provided with checks to this account to access the funds without occurring additional costs and limitations. USAA proceeded to close, reopen, and then once again close my checking account and closed the account without my knowledge or permission. This is an illegal practice USAA has been found USAA guilty of committing by federal regulators. In XXXX and XXXX USAA has faced several consent orders and hundreds of millions of dollars in fines, as well as having their rating lowered to needs improvement. This represents just another member USAA has taken predatory, abusive, illegal, and adverse actions towards. 
USAA further claims the decision to no longer do business with me was upheld per USAA 's policy that affects members who do not meet certain obligations. To the extent allowed by law, the XXXX business policy prohibits USAA and affiliates from doing business with a member when unacceptable behavior and activity occurs. When this basic principle is compromised, the XXXX removes access to view accounts on usaa.com and mobile.usaa.com. USAA continues to claim account information is available by mail or telephone. 
This response by USAA makes a general and broad accusation, as well as claims which do not match up with the documented timeline or legal requirements. While to date continues refusing to identify what certain obligations are and which I failed to meet. They have also failed to explain what unacceptable behavior or activity I exhibited which led to the decision to no longer do business with me. 
On XX/XX/XXXX on a call with XXXX XXXX at extension XXXX, informed me the single identity theft claim was repeatedly reentered by USAA agents attempting to correct the fraudulent transactions. This was most likely what caused my account restrictions and closures. He stated he would send a chain message to the associated managers explaining this and have it reinvestigated. 
On a second call on XX/XX/XXXX, I spoke with XXXX in the office of the CEO who admitted he could see the investigator assigned to this case XXXX had not contacted me. He sent her an email and CCed her boss asking why she had not contacted me despite the many messages I had left for her. 
He requested she contact me ASAP to answer questions. 
On XX/XX/XXXX I spoke with XXXX, who kept stating USAA was protected from consumer grievances by regulation Z. I asked her for more details about regulation Z, but she was unable to provide any additional information. XXXX stated it was in the credit card agreement. I asked where I could find it but she couldnt tell me where or what it stated. XXXX further stated she never received any of my previous voicemails, the messages sent by multiple previous USAA agents, or managers. She even denied receiving the messages, previously verified having been sent by XXXX XXXX, XXXX or XXXX in the CEOs office the previous days. She denied any knowledge of my verbal and written requests for documentation related to my identity theft claim and investigation.

Claiming she was even unaware of the complaints Id made with federal regulators. Upon demanding to speak with her manager, she denied my request and refused to provide her manager XXXX XXXX contact information. XXXX stated USAA did not need to give me notice of anything, but she did confirm I followed all their instructions provided by USAA and credits for the fraudulent transactions issued then charged back and closed out. She was unable to provide any details regarding the improper activities I was accused of. Or the reason for all of my accounts being closed without notice. She further stated all other agents shouldnt have said I need to speak to her, they could have handled the other aspects and my funds not held This pattern of false, misleading, and abusive behavior has continued by USAA. Including further violations such as refusing to provide required documents, failure to provide loan original documents, account ledgers, refusing to provide statements, refusal to accept payments from external accounts, repossession and debt collection on debts in violation of FCBA laws, selling fraudulent debts resulting from reported identity theft to 3rd party debt collectors, negatively reporting accounts in default which resulted from reported identity theft, and more.