Consumer complaint received 2026-03-02 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Getting a credit card — Card opened without my consent or knowledge
Company: NAVY FEDERAL CREDIT UNION
State: MD

Complaint narrative:
In XX/XX/XXXX, a credit card account was opened in my name without my authorization. I did not apply for, request, or consent to this account. The account was allegedly opened on or about XX/XX/XXXX, with a credit limit of approximately {$20000.00}. I did not receive a signed credit application, signed agreement, or documentation showing my consent to open this account. Between XXXX and XX/XX/XXXX, multiple transactions occurred on the account. These transactions included digital gift card purchases, XXXX transactions, online marketplace activity, and an airline purchase. Several transactions reflected foreign or out-of-state activity inconsistent with my normal usage patterns. Examples of disputed activity include : Numerous {$200.00} digital gift card purchases Online marketplace transactions ( e.g., gaming or digital goods platforms ) One airline transaction in excess of {$1000.00} Various small online transactions are inconsistent with my prior spending history These transactions follow patterns commonly associated with identity theft and account takeover fraud. Upon discovering the account, I reported it as fraud and disputed the charges. I also filed identity theft documentation. The credit union denied my fraud claim. The denial relied primarily on internal authentication logs ( including references to online login activity and two-factor authentication ). The credit union did not provide : A signed application A signed cardholder agreement Proof of physical delivery of the card IP address or device geolocation records Proof that I p ersonally authorized the transactions Proof that I benefited from the transactions Despite the pending fraud dispute, the credit union pursued litigation and obtained a court judgment against me in XX/XX/XXXX in the amount of approximately {$52000.00}. The case is currently on appeal. I believe the investigation was inadequate and relied solely on internal system logs rather than meaningful proof of authorization. I also wish to bring to the CFPBs attention that Navy Federal Credit Union was recently the subject of a federal class action lawsuit alleging failures to properly investigate and document unauthorized electronic fund transfer and fraud claims. That case is : XXXX XXXX Navy Federal Credit Union Case No. XXXX United States District Court for XXXX XXXX XXXX XXXX California XXXX The case alleged that Navy Federal failed to adequately investigate fraud claims and failed to provide required documentation when denying such claims. The matter resulted in a settlement in XXXX. I was not included in that class action case, as my dispute involves a credit card account rather than a deposit account electronic fund transfer claim. However, I note that the settlement of that class action occurred during the same general timeframe that my state court litigation was proceeding, and the judgment in my case was entered on XX/XX/XXXX. I respectfully request that the CFPB consider whether the investigative deficiencies alleged in the federal class action reflect broader institutional practices that may also have affected my case. In my matter, the fraud determination similarly relied primarily on internal authentication logs without production of signed application documents, device geolocation records, or independent verification of authorization. I am not alleging that the class action directly controls my case. Rather, I raise it to illustrate a potential pattern of investigative practices that merit regulatory review. Top NFCU Complaints Despite Navy Federals extensive history and supposed commitment to providing servicemembers with excellence, the company has received thousands of online complaints in the last 10 years. The following are a few of the most common categories of complaint, though there are further allegations on the CFPB website. Unauthorized Transactions Recent lawsuits against Navy Federal Credit Union have been increasingly focused on fraudulent and unauthorized transactions. Under the Electronic Fund Transfer Act, financial institutions must investigate a customers claim and follow error-resolution procedures to limit a consumers liability for unauthorized activity. In XXXX, NFCU settled a {$1.00} million suit for failing to investigate fraud claims and refusing customer reimbursement. Additionally, the credit union has faced online scrutiny for denying fraud claims even if they were filed promptly.

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