Consumer complaint received 2024-06-12 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Installment loan
Issue: Problem with a company's investigation into an existing problem — Problem with personal statement of dispute
Company: PENTAGON FEDERAL CREDIT UNION
State: MA

Complaint narrative:
I was unemployed XXXX and XX/XX/XXXX, and it got to a point where I needed to apply for a hardship. We didn't have extra money for bills, so I did not pay my PenFed monthly payment of $ XXXX while I was waiting for a decision on my hardship application. I applied in early XXXX, and figured I would get a decision within a few weeks, then I would try to budget for that lower amount. 

Here 's the timeline for my issue with PenFed Credit Union. 
- applied for financial hardship on XX/XX/XXXX - XX/XX/XXXX received an email saying submitted documents were missing one required doc, and I had submitted it originally ( I recall filling it out before! ) - on XX/XX/XXXX I sent an email inquiring on the status of my application - on XX/XX/XXXX I received an email saying a different document was missing ( this was sent to me in the Messages portion of their website which had been deleted months ago ... must have been about note below about XX/XX/XXXX ) - on XX/XX/XXXX I submitted the XXXX requested missing document again - on XX/XX/XXXX received email saying I needed to submit the following : Proof of unemployment occurring within the past 90 days Evidence establishing reduction of monthly household income Documentation to verify your hardship reason ( these documents were originally submitted in XXXX! ) - now that they got around to reviewing my info, the unemployment information I submitted fell out of the 90 day window - I emailed them on XX/XX/XXXX restating the reason for my application and how I already submitted the information they were asking for - I emailed XX/XX/XXXX inquiring about an update on my application - on XX/XX/XXXX my mother passed away, and I had to focus on my family and not deal with this ineptitude - on XX/XX/XXXX I received an email saying they reviewed my unemployment documentation but it's not within 90 days ( it was when I applied in XXXX ) - on XX/XX/XXXX I received an email requesting I submit the following 'TODAY '' or my application will be considered incomplete : Proof of unemployment occurring within the past 90 days - ( or show connection of previous job, unemplmnt, and underemplmnt fr present job ) Evidence establishing reduction of monthly household income Documentation to verify your hardship reason - on XX/XX/XXXX I emailed again saying this is not the first time I've been asked for information I have already submitted - XX/XX/XXXX I received an email saying I need to resubmit those documents and another showing proof of unemployment within 90 days ... it's now XX/XX/XXXX. 

- I called PenFed in XXXX to ask about my application and was told 'we 're busy ', did not get an answer or an update - When my mother passed away in XXXX, I knew I would be inheriting some money and would pay this loan off and be done with it, so I stopped dealing with them at this point and focused on grieving with my family - My inheritance came through to my bank on XX/XX/XXXX, and I immediately processed a payoff transaction with PenFed that day - I called PenFed to verify payment and they confirmed payment on XX/XX/XXXX - I was then informed by account was CHARGED OFF on XX/XX/XXXX, XXXX day before my payment- I never received information stating a Charge Off date, though they said a letter was sent to me electronically, but I have no record of it in my online account- I filed a complaint with them wanting to remove the charge off from my credit report as it is hampering my ability to get a loan to pay a very large tax bill and possibly hinder our new apartment rental applications- the PenFed rep ( XXXX XXXX told me in mid-XXXX, their investigation uncovered 'some inefficiencies on their end ' leading to me not getting timely updates on my application, and was 'sorry ' - I asked for someone to look at my original uploaded documents from XXXX to verify what I sent them - XXXX told me there is a file limit and sometimes not all uploads go through - I told her how is a customer supposed to know that, and where on the website does it even say that?? She had no answer. 
- I filed a dispute w/XXXX on my credit report to remove this and it was not successful In the end I did not make payments XX/XX/XXXX as I was waiting and waiting for an answer on my application ( had no money for the full amount ). I paid off the loan on XX/XX/XXXX, which was literally XXXX calendar day after being charged off ( still don't see any received notification about that charge off date, I don't trust them that it was even sent ). 

For the past 2 months we have needed to move out by XXXX the latest because our landlord is selling our townhouse, and the charge off is hindering my XXXX XXXX, and their sloppiness can realistically cause a problem for us finding a new place to live. 

Fortunately, as of last week, we found out we can stay in our townhouse rental, but for a while PenFed 's carelessness caused a lot of stress and worry about our ability for my family to qualify for a new rental. 

Today I received the letter showing the charge off date that I requested. It is dated XX/XX/XXXX relating to my delinquent account ( will attach later ), yet is does NOT mention a charge off date at all. 

Here is an email I sent to PenFed specialist XXXX XXXX just today, highlighting the issue to support the above information : " Again, that letter does NOT say what date my account will be 'charged off '. That is what I've been asking MULTIPLE PenFed specialists for a couple months now. I was told a letter was sent informing me the charge off date for my loan was XX/XX/XXXX ( give or take one calendar day ). I asked to see a copy of that communication, because I never recalled getting one, ever. If one was sent to me, then that is 100 % my responsibility, but no one can seem to send it to me. Again, the letter sent this morning does NOT state what my charge off date is. 

Around that time I inherited money due to the passing of my mother, and I was awaiting my inheritance to be deposited into my personal bank account ... and that account is what I used to pay PenFed. 

Had I KNOW the charge off date was approaching, I would have called in to say I am awaiting my inheritance money to clear to pay off my ENTIRE balance any day now. Coincidentally, it just happened to get processed the next calendar day AFTER that charge off date I was never informed of. 

I have now asked THREE times for a copy of the letter stating my specific XXXX charge off date. I assume that's basic consumer rights/federal law requirements to be notified of that in advance, yet NO ONE is able to show me PenFed documentation of that XXXX charge off date deadline, no one. That letter below certainly does not. 

I am left with no other conclusion other than that letter was never sent to me, and PenFed is trying to sidestep this oversight. I wouldn't think this oversight was possible for such an established organization, but the way PenFed stores and processes information... 

This is what I've encountered on this issue... I had applied for a Hardship Application after being unemployed for a couple of months in late XXXX. I waited one month then was told my application was incomplete. Here are just some samples of my frustrations and sloppiness I've experienced : - no way for me to view my uploaded documents for my Hardship Application [ I was told I did not upload one, couldn't verify ] - calling to check on my Hardship Application after 2 months only to literally be told 'well, we're busy ' - no way for me to view historical documents in my Inbox - no way for PenFed to resend them - I was told there's a file size limit on uploads for applications that might explain not receiving documents [ how is a customer supposed to know that??? ] - being told letters were sent but not received - asking XXXX to get a copy of the documentation stating my XX/XX/XXXX charge off date - receiving a letter that does NOT state my charge off date "

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation