Consumer complaint received 2024-09-18 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Privacy issues
Company: NAVY FEDERAL CREDIT UNION
State: TX

Complaint narrative:
This was not sent in error, I am a consumer by law and my information was misused. Per the FCRA I am writing to file a formal complaint and report actions taken by Navy Federal Credit Union that I know constitute violations of the Gramm-Leach-Bliley Act ( GLBA ) and related privacy regulations outlined in 16 CFR 313.7, 16 CFR 313.9, 16 CFR 313.4, 15 U.S. Code 6801, 15 U.S.C. 6802, 15 U.S. Code 1681 and 16 CFR 313.10.

Per 16 CFR 313.10 financial institutions may not, directly or through any affiliate, disclose any nonpublic personal information about me, the consumer, to a nonaffiliated third party unless they have provided to me an initial notice as required under 16 CFR 313.4. Or unless they have provided to me an opt out notice as required in 16 CFR 313.7. Or unless they have given me a reasonable opportunity, before they disclose the information to the nonaffiliated third party, to opt out of the disclosure ; or unless I the consumer do not opt out given I was provided with a reasonable opportunity to opt out. Navy Federal Credit Union did not meet any of these requirements stated in 16 CFR 313.10 to lawfully disclose my nonpublic personal information to XXXX, XXXX and XXXX who are all nonaffiliated third parties. Therefore XXXX, XXXX and XXXX all acquired my nonpublic personal information by way of result of the unlawful practices of Navy Federal Credit Union. This has caused me great harm and has negatively impacted my credit report. 

Per 15 USC 6802 I understand that a financial institution may not, directly or through any affiliate, disclose to a nonaffiliated third party any nonpublic personal information, unless the financial institution provides or has provided to me, the consumer, a notice that complies with section 6803 of this title. Therefore Navy Federal Credit Union violated my rights as a federally protected consumer because they did not provide me an opt out notice that complies with section 6803 of title 15 of the USC, prior to disclosing my nonpublic personal information about my credit card account to XXXX, XXXX and XXXX. Furthermore, I was not given the opportunity, before the time that such information was initially disclosed, to direct that such information not be disclosed to such third party as XXXX, XXXX and XXXX. Neither was I given an explanation of how I, the consumer, can exercise that nondisclosure option. Therefore Navy Federal Credit Union totally disregarded the law and directly violated my privacy rights as a federally protected consumer per 15 USC 6802.

Per 16 CFR 313.4 I know that the financial institution must provide a clear and conspicuous notice that accurately reflects their privacy policies and practices to me, the consumer, before they disclose any nonpublic personal information about me to any nonaffiliated third party, if they make such a disclosure other than as authorized by 16 CFR 313.14 and 313.15. Navy Federal Credit Union have failed to comply with this federal code by not clearly and conspicuously providing me a notice other than as authorized by 16 CFR 313.14 and 313.15 prior to disclosing my information about my credit card account with them to XXXX, XXXX and XXXX. This was a violation of my privacy. 

Per 16 CFR 313.9 I know that it is the duty of Navy Federal Credit Union that they must provide any privacy notices and opt out notices, including short-form initial notices, that this part requires so that I, the consumer, can reasonably be expected to receive actual notice in writing or, if I agree, electronically. I did not receive reasonable expectation of actual opt out notice due to the fact that Navy Federal Credit Union did not : hand-deliver a printed copy of the opt out notice to me, mail a printed copy of the opt out notice to my last known address, or clearly and conspicuously post the opt out notice on the electronic site and require me to acknowledge receipt of the opt out notice as a necessary step to obtaining a particular financial product or service. Therefore they are in direct violation of my rights as a federally protected consumer per 16 CFR 313.9.

Per 16 CFR 313.7 I know that Navy Federal Credit Union must be careful to comply with this law by providing a clear and conspicuous notice to me, the consumer, that accurately explains the right to opt out under 16 CFR 313.10 ( a ). I understand that the notice must state that Navy Federal Credit Union disclose or reserve the right to disclose nonpublic personal information about me to a nonaffiliated third party, which concerning this part they did in fact comply. However, they have failed to completely comply with 16 CFR 313.7 as a whole, by failing to provide in the notice that I as a consumer have the right to opt out of that disclosure. Furthermore, they did not provide me with a reasonable means by which I may exercise the opt out right.

Per 15 U.S. Code 6801 I know that it is the policy of the Congress that each financial institution including : Navy Federal Credit Union, XXXX, XXXX and XXXX has an affirmative and continuing obligation to respect the privacy of its customers and to protect the security and confidentiality of those customers nonpublic personal information. However, this too is another law that was violated by Navy Federal Credit Union, XXXX, XXXX and XXXX due to the fact that the appropriate standards to ensure the confidentiality of my records and information was not upheld. 

I am greatly distressed and have suffered financial and economic harm and humiliation because of this. Now XXXX, XXXX and XXXX are reporting information about me that was not lawfully authorized for them to have or report. Therefore it is a violation of the FCRA. I know that the banking system, in which Navy Federal is included, is dependent upon fair and accurate credit reporting. I understand that inaccurate credit reports directly impair the efficiency of the banking system, and unfair credit reporting methods undermine the public confidence which is essential to the continued functioning of the banking system. Furthermore I understand and agree that there is a need to insure that consumer reporting agencies such as XXXX, XXXX and XXXX, exercise their grave responsibilities with fairness, impartiality, and a respect for the consumers right to privacy. The issue at hand therefore, is non-compliant with 15 U.S. Code 1681 due to the fact that Navy Federal Credit Union did not respect my right to privacy as federally protected consumer which is unfair, a violation of consumer reporting agencies ' grave responsibilities to fairness. XXXX, XXXX and XXXX did not acquire my nonpublic personal information from Navy Federal Credit Union in a manner that was fair and equitable to me, the consumer, with regard to confidentiality because my right to privacy was violated.

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