Consumer complaint received 2021-03-11 00:00:00
Product: Debt collection — Auto debt
Issue: Attempts to collect debt not owed — Debt was already discharged in bankruptcy and is no longer owed
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: VA

Complaint narrative:
XX/XX/XXXX USAA sent me a 1099-C form canceling my debt to them they sent this form to a 100 % XXXX veteran who does not pay taxes a form in which showed up in my mailbox only 3 weeks before i recieved my back pay form the VA for the decision that was made on my XXXX status at the time i had no real knowledge of what the form meant but as i read the fine print it stated i received the form because the debt was cancelled and or forgiven by the creditor if USAA would have given me more time or instead sent me a charge-off notice like the one i receive from XXXX i could have paid the debt off in full because i knew i was about to have the funds available to do so for the first time money i didnt necessarily have in previous years due to me fighting for the correct XXXX rating from the VA something that took me 9 years to fight for after i got the 1099-C Form i thought it was a blessing that i was being forgiven for this debt that incurred due to my car being repoed XX/XX/XXXX but that was not the case as it turns out USAA was telling the credit bureau that it was a charge-off in an attempt to destroy my credit behind my back something i just discovered XX/XX/XXXX 3 plus years later. had i been giving the proper knowledge of this debt back in XX/XX/XXXX i could have payed it off in full that XXXX and i could have paid it in full also that following XXXX when i received my back pay from social security. Im righting this complaint because after purposely misleading me and ruining my credit behind my back they are now asking me to pay a debt that was " canceled " due to the 1099-C form and yes there is a precedent for this kind of issue as it did play out in a kentucky court room but under different circumstances. Its not fair and should be illegal for a bank to do this to anyone no matter if its personal or not i received 40 times a charge-off mark on my credit report keeping me from using my VA loan, getting a credit card, personal loan, and i also receive 18 % interest rates on anything i do get and i didnt know why until now. i found out about this incident through XXXX when i checked XXXX XXXX XXXXt did not show this information all it listed was repossession and a balance of XXXX dollars something i did inquire about last year and all i got from a USAA representative was " I dont know '' as of now if i have to pay the debt i will do so once the notice get to me later this month but i would like to know is there anything that can be done about the history created on my credit report? when companies do inquiries they will see the 40 charge off and deny me i did not serve my country to be XXXX  by it from a bank that gave me a poor car loan to began with on a used car something i regret and for the record had i not been fighting for the correct XXXX designation i would have never missed any payment or send them half of one in the form of a money order!

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