Consumer complaint received 2025-11-28 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Struggling to pay your loan — Denied request to lower payments
Company: NAVY FEDERAL CREDIT UNION
State: LA

Complaint narrative:
In XXXX, I began experiencing a significant loss of income due to health issues. Prior to this, I consistently paid my auto loan on time. I contacted Navy Federal multiple times to request assistance and was told by at least three different representatives that I had been placed on a payment plan and that this plan would prevent repossession.

I relied on this information.

However, when I later visited a Navy Federal branch, I was told that no payment plan had ever been entered into the system. When I called again, I was informed that what the reps called payment plans were actually verbal agreements only and were never formally set up. I was never told this earlier.

Because I believed a payment plan was in place, Navy Federal continued attempting to draft payments I could not afford, which resulted in returned payments. Those returned payments were later used to deny my refinancing request. 

Throughout XXXX, XXXX, and early XXXX, no one informed me that refinancing was an option. I only learned about refinancing in XXXX, from XXXX representative. By that time, my account had already deteriorated due to the misinformation I received. 

I applied for refinancing as soon as I learned about it, but the request was denied due to the same returned payments that occurred while I was under the impression that I was protected by a payment plan. 

In addition, last week I paid {$300.00} toward my balance after being told it would help prevent repossession. However, after making that payment, I was informed that it made no difference and that if I do not pay the full past due amount, my car will still be repossessed. I was told that no partial payment, regardless of the amount, would stop repossession. 

I repeatedly asked for : Clarification about why I was told I had a payment plan Documentation of the payment arrangements that were supposedly set up An explanation for why these plans were never entered into the system A review of the recorded calls Assistance due to documented financial hardship A hold on repossession while the misinformation was reviewed Approval for refinancing or a hardship arrangement These requests were not addressed or resolved. 

As of now, my vehicle is in the repossession process, and I am being told I must immediately pay the full past due amount ( ~ {$1900.00} ). I can not afford a repossession and am actively working again ( part-time ) to stabilize my income, but Navy Federal has declined to offer any solution other than full payment.

This situation was caused by inconsistent and misleading information from Navy Federal representatives, a lack of disclosure about refinancing options, failure to enter promised arrangements into the system, and ignoring the partial payment I was encouraged to make. I am requesting that this matter be investigated, that the calls be reviewed, and that Navy Federal provide an appropriate resolution such as reinstating refinancing or offering a formal hardship payment plan so that I can keep my vehicle and resume regular payments.

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