Consumer complaint received 2024-11-01 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: NAVY FEDERAL CREDIT UNION
State: AL

Complaint narrative:
* NFCU canceled the required home owner insurance policy started XX/XX/XXXX at the point of purchased. When received notifications, I contacted the NFCU mortgage department, and was told the error is corrected, taken care off, and to ignore any further automated physical mail notifications. XX/XX/XXXX, the original third party-policy was cancelled - none payment. To pay inperson then and resume the old policy was not possible ; the only option is to start a new with a " None-Payment Cancelled Policy ' penalty, which would invoke a 5,000 % increase, from a $ XXXX to $ XXXX new policy for the exact same required coverages. There was no option but to accept NFCU 's forced policy w/ an additional {$1200.00} added on top of the old amount, nearly {$4000.00} per year. The major issue was/is, NFCU charged/held payments in escrow, then paied out to (!? ) for a NON-Existing home owner insurance policy, form XX/XX/XXXX through XX/XX/XXXX, which time when I was able to secure a new third party policy from XXXX at the current rate, $ XXXX per year. Repeatedly asked for record/s on this mater ; NFCU ignores my request for my own payment records. 
* My home had been in a major fire XX/XX/XXXX through XX/XX/XXXX. After more than two weeks of depositing the rebuilt/construction payment from XXXX, in phone inquiry, NFCU mortgage dept stated that the check is being held, wasn't being process, because I requested a mortgage close out- which was not true. Asked for the request that I signed and submitted- denied. Another agent said the the mortgage close out was not being process, she will cancel it, and the fund will be released after the construction is started, completed and got inspected. It needs to be the exact same square footage, same amount of rooms and measurements, as the burnt unit ... '' I asked for a written document of what I was told so that I can discuss it with XXXX, home builder, and navigate the arduous process. Denied, " No. We sent you a letter regarding this ( untruthful ). '' Knowing that I will not able to do anything without the funding, NFCU is deploying/weaponizing the law to hang on to XXXX issued rebuilding fund, {$310000.00} indefinitely, in the same way that it has done with nearly {$20000.00} XXXX paid into home owner insurance escrow during XX/XX/XXXX thru XX/XX/XXXX, for a fictitious/non-existing NFCU forced policy. These action are imposing unnecessary and extreme if not impossible barriers to my existing disaster condition. I and my service animals are currently and have been for the last six months, living under asbestos exposure form the burnt home, no access to warm water, no shower, no food prep area, no laundry, no sewage, and other daily basic essential. 
* NFCU is conducting wiretapping on its account holders without any federal court order, and thousand of targeted members are neither informed nor aware. I became aware of NFCU illegal via XXXX XXXX XXXX in XXXX though another incident. NFCU inserts fictitious document/s into official documents submitted by members, altering the content to manipulate the process and the case outcome. Denies member of theirs banking records via manipulating letters of the laws that may or may not exist. These questionable actions may resulted in the financial benefit to controlling interests.

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