Consumer complaint received 2026-02-17 00:00:00
Product: Checking or savings account — Other banking product or service
Issue: Closing an account — Company closed your account
Company: NAVY FEDERAL CREDIT UNION
State: NV

Complaint narrative:
I am submitting this complaint regarding serious account handling errors, lack of reasonable accommodation for a medically incapacitated member, improper account closures, credit reporting harm, and extremely distressing actions taken by Navy Federal Credit Union. I was an existing member of Navy Federal Credit Union and maintained a checking account, savings account, and credit card. In an effort to help manage family finances, I attempted to add my mother as a joint owner on my existing accounts. I followed the instructions provided through Navy Federals online banking system to complete this request. Approximately 34 days later, my mother received a welcome email indicating that Navy Federal had opened separate, individual accounts in her name, which was never requested or authorized by either of us. Our intent was only to add her as a joint owner to my existing accountsnot to create new standalone accounts. Although Navy Federal eventually placed my mother as a joint owner on my account, the unauthorized individual account remained open. Shortly thereafter, my mother obtained a {$14000.00} loan from Navy Federal. This loan was intended specifically to assist with my financial situation. However, Navy Federal deposited the loan proceeds into her individual account, not the joint account we shared. At the time this occurred, my mother was undergoing treatment for XXXX XXXX and was hospitalized for XXXX. Because she wanted me to have access to the loan funds as intended, she began transferring money from her individual account into our joint account. After approximately {$5000.00} was transferred, Navy Federal abruptly froze and closed her individual account without explanation. When we contacted Navy Federal, we were told that my mother would need to appear in person at a branch to resolve the issue. We repeatedly explained that this was impossible due to her active XXXX treatment and hospitalization. Despite being informed of her serious medical condition, Navy Federal refused to offer any reasonable accommodation.

Navy Federal then proceeded to : Close my mothers individual account with the remaining loan funds still inside Close our joint account Restrict all access to account information and balances Leave my credit card balance inaccessible, with no ability to make payments or even view what was owed As a result of Navy Federals actions, both my mother and I were placed in financial limbo with no access to funds, no way to make payments, and no visibility into our obligations. Despite this situation being entirely caused by Navy Federals account errors and closures, they began reporting negative information to the credit bureaus for both of us, causing significant damage to our credit reports. Most distressingly, Navy Federal escalated this matter by involving a social worker, who came to my residence looking for my mother. After I informed them that she was hospitalized and undergoing XXXX, Navy Federal ( or its agent ) proceeded to track her down at the hospital, subjecting her to extreme emotional distress during an already critical medical situation.

At no point did Navy Federal demonstrate compassion, offer reasonable medical accommodation, or take responsibility for their initial account setup errors. This situation has caused severe financial harm, credit damage, and emotional distress to a seriously ill individual and her family.

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