Consumer complaint received 2025-05-13 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: NAVY FEDERAL CREDIT UNION
State: KY

Complaint narrative:
Subject : Formal Complaint Against Navy Federal Credit Union Alleged Violations of RESPA, FCRA, UDAAP, and TILA Introduction We are filing this complaint regarding serious concerns about the conduct of Navy Federal Credit Union in relation to Mortgage Account ending in XXXX. XXXX XXXX has failed to substantively respond to formal correspondence and has likely committed violations of federal consumer protection laws. Our communications included legal questions, document requests, and a dispute of the alleged debt obligation. Their delayed and vague response constitutes regulatory non-compliance and bad faith. 

XXXX of Communications XX/XX/year> : We issued a formal Notice of Contract containing legal citations, questions of tax liability, demand for documents, and terms requiring point-by-point rebuttal. 
XX/XX/year> : We sent a follow-up message requesting a response. 
XX/XX/year> : Navy Federal responded with a form letter that acknowledged receipt of documents but failed to address any specific points, provide any documentation, or substantiate the alleged debt. 
Summary of Violations Law / Regulation Alleged Violation Applicable Agency UDAAP ( 12 U.S.C. 5531 ) Deceptive/unfair conduct in denying a meaningful review CFPB FCRA ( 15 U.S.C. 1681s-2 ) Failure to mark the account as disputed ( if reported ) CFPB / FTC RESPA ( 12 U.S.C. 2605 ( e ) ) Delayed and vague response to a Qualified Written Request CFPB TILA / Common Law Unjust enrichment or misrepresentation of debt obligation CFPB / State Court Complaint Details 1. Navy Federal failed to substantively review or address the legal points and claims made in my written dispute.

2. Their response was delayed by nearly three months and failed to meet the timeline obligations of RESPA.

3. There is no indication that the mortgage account was marked as disputed when reported to credit bureaus, which would be a violation of FCRA.

4. We asserted that We are the creditor and that Navy Federal 's claim of debt was unsubstantiated unless they could prove their tax liability or exemptionthey failed to do so..

5. Their continued collection efforts on an account they did not defend or justify in writing constitutes unfair or deceptive conduct.

Violation of Credit Reporting Obligations We formally dispute the accuracy and validity of the mortgage account referenced in this complaint ( ending in 5359 ). As required under the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681s-2 ( a ) ( 3 ), Navy Federal Credit Union is legally obligated to notify all credit reporting agencies that the account is disputed. If they have continued furnishing credit data without noting this disputed status, they are in violation of federal law..

We respectfully request that the CFPB investigate whether Navy Federal has fulfilled its duty to : Properly flag the account as disputed with Experian, Equifax, and TransUnion ; Cease any reporting of the account during an unresolved dispute ; Furnish only verifiable, accurate data per FCRA requirements.

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We also reserve the right to file direct FCRA complaints against Navy Federal if continued reporting is discovered without proper dispute designation.

We are submitting this complaint in good faith, pursuant to applicable federal consumer protection laws, and We respectfully request regulatory review and intervention. However, We also hereby give formal notice that, in the event CFPB declines to investigate or take meaningful action, We will consider all administrative remedies exhausted. We reserve all rights to pursue lawful private enforcement through civil or commercial action, including but not limited to : a formal Notice of Default and Estoppel to Navy Federal Credit Union, administrative affidavits, and a complaint in court if necessary. This submission is part of my lawful effort to create a complete administrative record prior to further action.

NOTICE OF MATERIAL IMPACT AND NOTICE TO FIDUCIARIES By this submission to the Consumer Financial Protection Bureau, the undersigned hereby serves formal NOTICE to : XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  And the XXXX XXXX XXXX XXXX Navy Federal Credit Union. 
These individuals and governing bodies possess legal and fiduciary responsibility over all operations, contracts, representations, and risk exposure of Navy Federal Credit Union. Their roles require them to ensure compliance with federal consumer law, financial disclosure rules, fair lending practices, and dispute handling obligations. 
This NOTICE is issued with full effect and is binding pursuant to the doctrines of Notice to Agent is Notice to Principal, and Notice to Principal is Notice to Agent, and shall be understood to include all officers, agents, assigns, heirs, and successors in interest, whether known or unknown. 
This is a NOTICE OF MATERIAL IMPACT. Failure by Navy Federal Credit Union to properly respond to consumer disputes, to substantiate the legitimacy of contractual claims, and to maintain lawful credit reporting practices constitutes not only a violation of law but a breach of ethical and fiduciary duties. Willful ignorance of these matters by named executives shall be construed as active acquiescence and commercial default. 
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Violation of Credit Reporting Obligations.

We formally dispute the accuracy and validity of the mortgage account referenced in this complaint ( ending in 5359 ). As required under the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681s-2 ( a ) ( 3 ), Navy Federal Credit Union is legally obligated to notify all credit reporting agencies that the account is disputed. If they have continued furnishing credit data without noting this disputed status, they are in violation of federal law.

We respectfully request that the CFPB investigate whether Navy Federal has fulfilled its duty to : Properly flag the account as disputed with Experian, Equifax, and TransUnion ; Cease any reporting of the account during an unresolved dispute ; Furnish only verifiable, accurate data per FCRA requirements. 
We reserve all rights to file direct claims under FCRA and other federal statutes if this dispute is not resolved lawfully. 
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Preservation of Rights and Administrative Exhaustion This complaint is submitted in good faith for administrative remedy. If the CFPB declines to act or closes this case without adequate regulatory investigation, We shall consider all administrative remedies exhausted. We reserve all unalienable rights to pursue private enforcement via court of law, affidavit of truth, notice of default, or commercial lien, as lawfully permitted. No agency inaction shall waive or diminish these rights. We believe that CFPB has a ministerial duty to act through investigation and enforcement.

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