Consumer complaint received 2026-01-23 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Notice to repossess
Company: NAVY FEDERAL CREDIT UNION
State: TX

Complaint narrative:
XXXX. I was explicitly told the vehicle would NOT be transported to auction during the redemption period. 
I relied on this statement while actively pursuing redemption, and I requested that my calls be tracked. 
XXXX. Despite this statement, the vehicle was transferred to auction on XX/XX/year>, during the redemption period and before the release note was approved on XX/XX/year>. 
This occurred without my knowledge or consent, and I was not notified before the transfer. This caused additional fees and damage. The vehicle was transported to XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX TX XXXX ) on XX/XX/year>, and was transferred to XXXX XXXX XXXX XXXX ( XXXX XXXX XXXX XXXX, XXXX, TX XXXX ) on XX/XX/year>. Navy Federal has indicated it does not know the date the vehicle was transferred to auction, suggesting a lack of proper tracking and chain-of-custody documentation. I request written documentation confirming the date/time of transfer, reason for transfer, and chain-of- custody records. 
XXXX. The additional fees would not exist if the vehicle had not been transported to auction during the redemption period. 
The transport directly caused the extra fees and made the redemption process more expensive and difficult. 
XXXX. When I requested an explanation for the auction transfer, I was not provided a clear reason. 
This lack of transparency raises concerns that the transfer was unnecessary and intentionally designed to increase fees and delay redemption.

5. The vehicle was damaged while in Navy Federals custody. 
The flat tire was not present prior to repossession and was discovered on XX/XX/year>. The flat tire would not have occurred if the vehicle had not been transported to auction during the redemption period. 
XXXX. Despite actively and rapidly trying to redeem the vehicle immediately after release approval, I was prevented from retrieving the vehicle sooner and was forced to schedule a pickup appointment for XXXXXXXX XXXX XXXX XXXXXX/XX/year>. This delay caused additional storage fees and prevented me from regaining possession during the redemption period. Additionally, my ability to redeem the vehicle was further delayed by weekend closures and federal holidays, which limited the available business days to complete the redemption process. 
XXXX. The primary cause of delay in my ability to redeem the vehicle was Navy Federals decision to transport the vehicle to auction during the redemption period. I believe this transport was unnecessary and intentionally designed to make redemption more difficult, despite my persistent efforts to redeem the vehicle. This unreasonable action prevented me from redeeming the vehicle earlier and directly resulted in additional fees and damages. 
8. I planned to pick up the vehicle on the same day the release note was approved and pay the storage fees upfront, as instructed. I confirmed this plan with a Navy Federal representative well before I was notified of the vehicle being transferred to auction. If Navy Federals policy allows vehicles to be transported to auction during the redemption period, I should have been provided clear instructions and advance notice, including the expected date/time of transfer, the amount of time I had before transport, and the reason for the transfer. This information is necessary to respond in a timely manner and avoid unnecessary and unexpected delays, fees, frustration, and confusion. 
9. Despite making multiple payments totaling over {$2200.00} ( excluding towing and storage fees ), Navy Federal still allowed the vehicle to be transported to auction, which prevented me from redeeming the vehicle sooner and caused additional costs. 
XXXX. I am being charged over {$350.00} in storage fees at XXXX XXXX XXXX to retrieve my personal belongings. 
Because the vehicle was transported to auction, I am now forced to pay these fees, and the additional charges at XXXX XXXX make it impossible for me to pay HNS. This places my personal belongings at risk of being discarded. This situation is a direct result of Navy Federals unreasonable decision to transport the vehicle and is not in the best interest of a customer trying to redeem their vehicle.

Fees Disputed I dispute the following charges because they were caused by an unnecessary auction transfer authorized by Navy Federal during the redemption period : Transportation : {$140.00} Caused by transfer to auction during redemption period Redemption Fee : {$50.00} Not applicable ; exists only because of auction transfer Storage XXXX XXXX XXXXXXXX Storage occurred due to transfer ; unreasonable after release approval XXXX XXXX XXXX : {$75.00} The flat tire was not present prior to repossession and occurred while the vehicle was in Navy Federals custody . The tire would not have been flat if the vehicle had not been transported to auction during the redemption period.

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