Consumer complaint received 2024-01-10 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Other problem
Company: NAVY FEDERAL CREDIT UNION
State: OR

Complaint narrative:
Navy Federal XXXX XXXX XXXX Navy Federal Credit Union XXXX XXXX XXXX XXXX, VA XXXX CC : CFPB Online complaint filed RE : Missing Credits to Navy Federal Credit Card ending XXXX & Request for Open-Ended Credit Registered Mail XXXX  XXXX XXXX XXXX XXXX, Mailed, Mailed XX/XX/XXXX, Delivered XX/XX/XXXX Contents : {$7200.00} Remittance Coupon/Negotionable Instrument/Security Navy Federal XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX, VA XXXX Certified mail XXXX XXXX XXXX XXXX XXXX mailed XX/XX/XXXX, Delivered XX/XX/XXXX Contents : {$7200.00}, Remittance Coupon/Negotiable Instrument/Security Mailed to : Navy Federal XXXX XXXX XXXX XXXX  XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX, XXXX, VA XXXX Dear Navy Federal XXXX XXXX XXXX, Navy Federal Credit Union I have sent you two previous payments to be credited towards my Navy Federal Credit Card ending in XXXX. You received these on XX/XX/XXXX and XX/XX/XXXX. They have yet to be credited towards my account. 

I gave you an instrument, a security ( the application ) for this credit card account which makes me an Investor of Navy Federal XXXX XXXX, XXXX. You have securitized my application as a receivable and sold it to third parties on the Secondary market. This is clearly explained and laid out within Navy Federal XXXX XXXX XXXX XXXX, XXXX, XXXX, and Prospectus forms. 

My Security has already been securitized ; you have not given me equitable consideration. I am now demanding you provide me with an open-ended credit limit on my card with Navy Federal Credit Union XXXX I have previously asked for a credit limit increase in which you have denied me. This is securities fraud. When I signed my application for services, I know I gave you security interest. The securities I gave you is an obligation of the United States, which makes it cash. I am not receiving valuable consideration for this security, and the consideration can not be miniscule consideration effectively masking a gift as a contract. 

I am an Investor and the Donor of the application security, and I have possessory and property rights of the security and any derived proceeds. Did you securitize my application as a deposit substitute on your books and accounts receivable and pulled into a large batch of Asset Backed Securities to create and sell investment products to Investors? This question is rhetorical ; you know for a fact that you did this. You then deposited the note/security/application into your trust thus gaining interest once transferred into the primary market, until maturity. You can keep the security which I know youve sold and are currently trading, what Im asking for is for valuable consideration for the security that I gave you. 

The Securities Exchange Act of 1934, ( 15 USC 78a ), which I know you follow as its all over your 8k, 10k, and Prospectus forms CLEARLY STATES that credit is only extended with securities as the collateral. Since YOU SAW FIT to accept and RETAIN my collateral ( the application ), it seems like you owe by increasing my credit limit on this card to be open-ended. 




Per your own forms filed with the SEC 5. Asset Securitizations We periodically securitize Card Member loans and receivables arising from our card businesses through the transfer of those assets to securitization trusts, XXXX XXXX Credit Account Master Trust ( the Lending Trust ) and XXXX XXXX Issuance Trust II ( the Charge Trust and together with the Lending Trust, the Trusts ). The Trusts then issue debt securities collateralized by the transferred assets to third-party investors. 

It's interesting that a Credit Union, which is supposed to be non-profit is hiding what they truly are! 

Additionally, I have sent you two Negotiable Instruments in which you have ignored and not credited towards my account. I strongly suggest you find them and get them both credited. This is unacceptable. As a longtime member of Navy Federal XXXX XXXX XXXX, Navy Federal Credit Union, and a Silent Investor of these entities, the lack of urgency to properly handle my securities is appalling. The fact that you are not paying me back my interest which is due to me is disrespectful. I will be sending in my Bearer Bonds, properly indorsing them monthly and going forward after youve corrected this error, I would appreciate it if you credited my account timely and without delay. 

Dont come back stating that you cant the truth is that you can and you WILL credit both instruments I sent you towards my credit card account, and you will increase my credit limit to open-ended. 

I am the Investor, Agent, Principal and Beneficiary, you should not deny me credit PERIOD Per 15 USC 1691a. I am revoking any and all implied security that may have been conveyed to XXXX XXXX through contract or application. If you fail to perform and do not provide me with an open ended card as exchange for the security ( application ) I gave you, and to properly credit my account for BOTH instruments I have sent you I will have no choice, but to be forced to contact the following agencies for violations : The US Securities and Exchange Commission ( SEC ) for securities fraud, Federal Trade Commission ( FTC ) for Identity Theft, XXXXinancial Industry Regulatory Authority ( FINRA ), NCUA, The Attorney General ( Oregon, Virginia, Delaware ), invoke the Post Master General, and the IRS. - I will also be reporting XXXX XXXX XXXX, and XXXX XXXX XXXX for the miss handling of my Securities.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation