Consumer complaint received 2025-07-13 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Problem accessing account
Company: NAVY FEDERAL CREDIT UNION
State: CA

Complaint narrative:
Dear CFPB, I am writing to file a formal complaint against Navy Federal Credit Union regarding their unjustified restriction and eventual closure of my account, despite multiple attempts on my part to verify my identity and resolve the matter in good faith. 

Recently, my account with Navy Federal was restricted without warning or explanation. I was suddenly unable to log in or access my account. I later found out that Navy Federal believed the account was opened fraudulently, though I was never officially notified or given the opportunity to respond before the restriction. 

In response, I submitted an appeal through the process they provided, attaching the exact documentation they requested, including : A photo of my government-issued ID A copy of my Social Security card My Access Number Proof of employment Despite sending a complete and accurate appeal, I received a denial, with no clear explanation. I even followed up by submitting the documents again in case anything was missed. Still, my appeal was not accepted. At no point did Navy Federal offer clarification on what was supposedly missing or incorrect. 

Its important to note that my birth certificate was recently stolen during a car robbery. Unfortunately, because I was born in XXXX XXXX, I can not order a new one online and must go in person to request a replacement. That particular birth certificate was recently reissued, so its loss has made the process of verifying my identity even more difficult. I explained this in my appeal, yet it was seemingly disregarded. 

In addition to the account restriction and closure, Navy Federal also allowed me to apply for two credit cards through their system, which resulted in four hard credit inquiries on my credit report. These inquiries remain even though my account was shut down after the fact, further damaging my credit without any wrongdoing on my part. This is completely inappropriate and financially harmful. 

To date, I have received no direct communication from Navy Federal stating that my account was under investigation, nor was I ever informed that my appeal was being reviewed until I was outright denied. I had to piece together what was happening after being locked out of my account. I have done everything I could to confirm my identity, submitting the exact information requested, and still I am being denied access to my own financial accounts and reputation. 

This entire process has been handled in a disrespectful, unprofessional, and negligent manner. I am a real person who has acted in good faith. I have been transparent and cooperative, and yet I have been treated as if I do not exist, denied without cause, and left with a damaged credit report and restricted access to financial tools. 

I am asking the CFPB to investigate Navy Federal Credit Union for the following : Failing to properly process my appeal and identity verification despite complete documentation Restricting and closing my account without proper notification or cause Failing to notify me of any investigation or status of my appeal Processing multiple hard inquiries before shutting down my account Causing unnecessary emotional distress, confusion, and financial disruption I hope the CFPB will hold Navy Federal accountable for the mishandling of this matter and help ensure that this type of unfair treatment does not continue for me or others.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief