Consumer complaint received 2024-08-12 00:00:00
Product: Checking or savings account — CD (Certificate of Deposit)
Issue: Managing an account — Problem with renewal
Company: SLM CORPORATION
State: AK

Complaint narrative:
In XXXX of XXXX  and today ( XXXX XX/XX/year> ), I have received an email from Sallie Mae Bank after my CD renews that it had renewed. Sallie Mae communicates by email that CDs have renewed ( past tense ). When I receive this email, I call Sallie Mae Bank to change the term/withdraw of the CD. I am told that the grace period has passed and I need to do that before the CD renews. 

In both instances, I then notified Sallie Mae that I am not receiving a renewal notice before the CD renews. In both instances I am told that they do not send this information and instead I have to find the notification on my own spontaneously. I have to perform the following steps to discover what is being renewed : 1. I have to go onto the Sallie Mae website and sign in. 2. I need to select the " notifications link '' or more specifically, go to the " Accounts '' drop down menu and then click on " Statements and Notices '' without any flag or indication that there is a notification. Please be aware, this is different from the " messages '' link that exists under my profile that many finance companies ( including Sallie Mae Bank ) use to communicate with customers because that is not where CD notifications go. Messages is where other communications from Sallie Mae bank goes. So if I check for messages, I will not find anything there.
3. After going to " Statements and Notices '' I have to select the specific account that is renewing, again without any flag or indication of which CD account is renewing.

4. Then I have to select the " View Notices '' link for that specific account in order to find information on the renewal or the fact that it is even renewing.

5. I then have to click on the notice among a list of notices for that account and it opens a pdf. Among the listed notices will be the past renewal pdf as well as the statement of renewal that was received in the original email described above. 

So Sallie Mae emails notices after a renewal but does not send a notice before the renewal. This causes the customer to pay a penalty for " early withdrawal '' after renewal or to be stuck in a term they did not want and they planned to change. The wrong term can impact interest rate earned as well lowering interest earned. They do not have a grace period after a CD renews like many banks do. 

I was able to get an " exception '' from a supervisor ( though the XXXX did not offer this ) but was told this is " only once '' and would be " noted on my account '' that it will not happen again. 

I do not believe that me having to go find information that my CD is renewing meets the standard of a bank being required to " send you a notice in writing before the CD matures '' as described on the CFPB website. The described standard requires the bank to reach out with the notification rather than requiring the customer to go and discover the notification.

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