Consumer complaint received 2024-12-12 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Problem when making payments — Problem during payment process
Company: NAVY FEDERAL CREDIT UNION
State: MO

Complaint narrative:
I have filed arbitration due to multiple failed attempts to resolve our issue. I have been told multiple times I have to pay in US dollars but that infringes upon the UCC to request just one form of payment ( US dollars ). In the payments section on my certificate of indebtedness it clearly says I can endorse the coupon which is what I did and had sent it into the location Navy Federal requires. Navy Federals didn't accept my security and kept the Secuity I sent in, and I have no idea what they are doing with it but according to UCC 3-604. DISCHARGE BY CANCELLATION OR RENUNCIATION - ( a ) A person entitled to enforce an instrument, with or without consideration, may discharge the obligation of a party to pay the instrument ( i ) by an intentional voluntary act, such as surrender of the instrument to the party, destruction, mutilation, or cancellation of the instrument, cancellation or striking out of the party 's signature, or the addition of words to the instrument indicating discharge, or ( ii ) by agreeing not to sue or otherwise renouncing rights against the party by a signed record. I have asked for the security back, but I have been ignored and continued to be told to pay in US DOLLARS. I had endorsed the certificate of indebtedness according to UCC 3-204. INDORSEMENT - ( a ) " Indorsement '' means a signature, other than that of a signer as maker, drawer, or acceptor, that alone or accompanied by other words is made on an instrument for the purpose of ( i ) negotiating the instrument, ( ii ) restricting payment of the instrument, or ( iii ) incurring indorser 's liability on the instrument, but regardless of the intent of the signer, a signature and its accompanying words is an indorsement unless the accompanying words, terms of the instrument, place of the signature, or other circumstances unambiguously indicate that the signature was made for a purpose other than indorsement. For the purpose of determining whether a signature is made on an instrument, a paper affixed to the instrument is a part of the instrument. 31 CFR 328.6 - Requirements for endorsement - ( a ) On bearer securities. The endorsement must be imprinted in the lefthand portion of the face of each security with the first line thereof parallel to the left edge of the security and in such manner as to be clearly legible and in such position that it will not obscure the serial number, series designation, or other identifying data, and cover the smallest possible portion of the text on the face of the security. The dimensions of the endorsement should be approximately 4 inches in width and 1 1/2 inches in height, and must be imprinted by stamp or plate of such character as will render the endorsement substantially ineradicable. The name of the Federal Reserve bank of the district must appear on the plate or stamp used for the imprinting of the endorsement, and presentation to the appropriate branch of the Federal Reserve bank named will be considered as presentation to the bank. When securities are to be presented to the Bureau of the Fiscal Service, the words United States Treasury should be used in lieu of the words Federal Reserve Bank of _______, Fiscal Agent of the United States. No subsequent endorsement will be recognized. If the form of endorsement on a security is different than that prescribed in 328.5, the provisions of 328.7 and 328.8 shall not apply to the security.

( b ) On coupons. Unmatured coupons attached to restrictively endorsed securities should be canceled by imprinting the prescribed endorsement in such manner that a substantial portion of the endorsement will appear on each such coupon. If any such coupons are missing, deduction of their face amount will be made in cases of redemption, and in cases of exchange, remittance equal to the face amount of the missing coupons must accompany the securities. All matured coupons, including coupons which will mature on or before the date of redemption or exchange ( except as otherwise specifically provided in an announcement of an exchange offering ), should be detached from securities upon which restrictive endorsements are to be imprinted. Also, 3-603. TENDER OF PAYMENT - ( a ) If tender of payment of an obligation to pay an instrument is made to a person entitled to enforce the instrument, the effect of tender is governed by principles of law applicable to tender of payment under a simple contract. ( b ) If tender of payment of an obligation to pay an instrument is made to a person entitled to enforce the instrument and the tender is refused, there is discharge, to the extent of the amount of the tender, of the obligation of an indorser or accommodation party having a right of recourse with respect to the obligation to which the tender relates. ( c ) If tender of payment of an amount due on an instrument is made to a person entitled to enforce the instrument, the obligation of the obligor to pay interest after the due date on the amount tendered is discharged. If presentment is required with respect to an instrument and the obligor is able and ready to pay on the due date at every place of payment stated in the instrument, the obligor is deemed to have made tender of payment on the due date to the person entitled to enforce the instrument. 18 USC 8 Obligation or other security of the United States defined - The term obligation or other security of the United States includes all bonds, certificates of indebtedness, national bank currency , Federal Reserve notes, Federal Reserve bank notes, coupons, United States notes, Treasury notes, gold certificates, silver certificates, fractional notes, certificates of deposit, bills, checks, or drafts for money, drawn by or upon authorized officers of the United States, stamps and other representatives of value, of whatever denomination, issued under any Act of Congress, and canceled United States stamps. Also, I have already revoked any POA and filed an updated one with the IRS 2848.

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