Consumer complaint received 2025-06-09 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Fees or interest — Problem with fees
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: AL

Complaint narrative:
Name of Complainant : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Complaint Against : USAA XXXX XXXX XXXXXXXX XXXX XXXX, XXXX XXXXXXXX XXXX XXXXXXXX Preamble : This complaint is brought and filed against USAA XXXX, USAA XXXX XXXX XXXXXXXX, XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX ( herein identified as USAA XXXX XXXX  ) This complaint concerns : i ) Insurance Product and Services, ii ) Fraudulent Charges, and iii ) Debt Collection Tactics To be specific, it is about : ( a ) Unauthorized charges imposed by USAA on my USAA Credit Card ending in XXXX and then USAA going forward to deleting this card from my USAA online account, transferring the fraudulent charges on a new credit card ending in XXXX. 
( b ) Malicious and inaccurate credit reports and other personal consumer reports against me to XXXX XXXX XXXX XXXX 
( c ) Abusive debt collection tactics by USAA XXXX XXXX XXXX XXXX led by XXXX XXXX XXXX and XXXX XXXX XXXX and other associates. 

Here Are the Steps I Have Taken To Resolve The Issue With USAA 1. I have disputed these charges more than 5 times in writing and over the phone and made uncountable written and phone correspondences and contacts with CEO of USAA, XXXX XXXX, the Bank Fraud Operations Manager ( XXXX XXXX XXXX ), and the Debt Solution Manager ( XXXX XXXX XXXX ), and other associates. These contacts were made through online document sharing, certified mail sent through USPO, and telephone conversations. I have evidence of all my communication with USAA. USAA and its Associates have refused to reveal the origin of this debt and to resolve this issue through amicable means. ( See Tab 1 - USAA Correspondences and Investigation Results ) 2. I have made uncountable amicable requests to USAA and the staff who have investigated this issue, asking them to define the origin of this debt and I tried to help them understand they are collecting debt on a non-existing insurance policy, contract, or property. I posted many responses through document sharing on my USAA online account. They returned verdict in favor of USAA.

3. USAA Returns Verdict In USAAs Favor. USAA has investigated these charges five times and USAA returned verdict in favor of USAA in all circumstances. ( See Tab 1 - USAA Correspondences and Investigation Results ) 4. The XXXXXXXX XXXX says, XXXXXXXX XXXX in cause sua No one can be a judge in their own case. I do not trust USAA to resolve this case with fairness, good faith, respect, and transparency without abusing their banking powers and position while dealing with a powerless customer.

5. Documents Collation to Prove. All documents attached to this complain range from Tab 1 Tab 10. They are all attached to this complaint.

Maam/Sir, I am filing this complaint against USAA and XXXX on the following grounds : 1. USAA has been fraudulent.

USAA charged homeowners/property insurance fraudulent charges on my credit card without my prior authorization or consent. This put debt of {$2200.00} against me with overdue payment fees and other fees to the tune of {$3000.00} since my attention was brought to this dispute.

2. USAA has been Unfair.

( a ) USAA has allowed these fraudulent charges to spiral from {$32.00} in XX/XX/XXXX to {$3000.00} in XX/XX/XXXX and currently {$3000.00}. 

( b ) USAA maliciously reported these fraudulent charges as overdue bills to XXXX XXXX XXXX XXXX while alleging that I refused to repay the charges. These malicious reports are unfair and have caused me grievous harm and emotional distress and destroyed my financial reputation with businesses. I have EXCEPTIONAL PAYMENT HISTORY. This malicious report has hurt me terribly. 

( i ) These malicious reports decreased my XXXX score by XXXX points, from an Exceptional XXXX to current XXXX. This fraudulent charge caused my credit card usage to increase significantly first time in 13 years to 33.27 % in XX/XX/XXXX and to 36.62 % in XX/XX/XXXX. This has negatively impacted my credit utilization ratio. ( See Tab 2 - Credit Card Report Statements from XXXX XXXX XXXX XXXX ) ( ii ) The reports damaged my credit worthiness with businesses. I only found out about this negative credit score status and information when I tried to purchase upgrade my current car to a new car while trading the current car I have paid off. I was told I own a huge debt on my credit report that caused negative credit utilization ratio, and I do not qualify to upgrade to a new vehicle.

3. USAA has been Deceptive and non-Transparent.

( a ) USAA has not been consistent in explaining the origin of this fraudulent charge. I have never charged any insurance premium on my credit card, and I have never charged my credit card to the tune of about {$3000.00} in any month. Please verify with my credit card End of Year Summary Statements for XXXX, XXXX, and XXXX. Documents, written and telephone responses and advice from USAA representatives show the most confusing customer service response I have ever received from USAA in decades as a member. USAA is deceptive because this alleged debt was originated by USAA, transferred and imposed from an alleged homeowner and valuable personal property overdue payment of {$32.00} underlying nonexistent property ( home, jewelry ).

( b ) USAA and the representatives I spoke with on phone are also confused about the origin and categorization of the debt and about USAA resolution decisions.

( i ) DOCUMENTS AND MONTHLY STATEMENTS : Monthly statements and other documents confuse the origin of Oklahoma homeowners insurance code 90A or 90C. One of the documents claimed that I set up Insurance billing with the credit card ending XXXX. This was inaccurate. I have never charged my homeowners or valuable property insurance on my card. Please verify with my credit card End of Year Summary Statements for XXXX, XXXX, and XXXX. 

( ii ) CONFUSING PHONE RESPONSES BY USAA : Each time I called USAA ( XXXX or XXXX ) every representative gave me a counter response to the one I received earlier. Some agree it is not a debt on me because I did not charge the card. Others told me the debt has been removed. Some others told me the debt is on me because I didnt respond timely. Still others told me I should wait for the decision from the investigation. Then some told me the decision is final and is against me. If you look at the different monthly statements, you can see chaos, confusion, inconsistency. USAA confusing responses about this debt have left a trail of confusing inquiries and responses from me. But I think I finally pieced together. Please, request USAA to provide all recorded conversations with me from XX/XX/XXXX till today. 

( b ) USAA deleted the original credit card ending in XXXX and switched it with another card ending in XXXX and transferred the fraudulent charges to new card which till date I have not received. This shocked me to my bones and sent chills down my spine. Till date, I have not understood why USAA removed the original card ending in XXXX under dispute and transferred this fraudulent charge to another credit card on my account. Is this normal banking procedure and practice in the middle of credit card charge dispute? How did I find out? I found out the switch when I tried to use my credit card to purchase grocery items but was denied access. I do not have any other card to use with USAA bank. As a XXXX XXXX XXXX, who has never owned any debt which I failed in meeting my financial obligations, this has caused me untold emotional pain, grief, a

nd terror. I have always met my financial obligations, and I am proud of my spotless and exceptional credit scores. I couldnt but seek for third party mediation through CFPB. MY COMPLAINT : For these reasons, I am filing this complaint against USAA to dispute the fraudulent charges, to redress the malicious and inaccurate credit report information on my record, and for inflicting intentional emotional distress by abusing me through malicious debt collection tactics, written correspondences, and phone calls. USAAs CLAIMS AND ARGUMENT USAA claims I did not provide notice to them about the sale and disposition of the underlying property ( Home and Jewelry ) and that I did not give cancellation notice to USAA and XXXX. MY SUBMISSION I hereby submit that I worked with USAA and
XXXX  to sell and dispose of the property. I also gave timely and due notice to USAA and XXXX, especially XXXX XXXX who was managing and corresponding with me regarding the underlying mortgage held in an escrow account. I called them after the sale and before the Mortgage Release at the Court and they told me that I was good to go. And I believe USAA, XXXX, and XXXX XXXX have that information. The escrow account held all taxes, insurance, and other fees. USAA asked me to provide evidence about the cancellation notification. But USAA does not have evidence that I did not provide the cancellation notice for XXXX XXXX and XXXX  who were working with me. 
Bu

t here is history about the origin of these fraudulent charges. They originate from insurance policy on non-existing home property and non-existing jewelry. HISTORY ABOUT THE ORIGIN OF FRAUDULENT CHARGES XXXX XX/XX/XXXX ( Sale of Property ) : From XXXX to XXXX, I owned a property at the address : XXXX XXXX XXXXXXXX XXXX XXXX XXXXXXXX. On XXXX XX/XX/XXXX I executed a sale and transferred ownership to XXXX XXXX and XXXX XXXX. ( See Tab 3 - Property Sale Settlement Agreement ). XXXX XXXX XXXX asked me to contact XXXX XXXX and USAA insurance and mortgage to notify them that I was selling the property and that I should request a valuation for the property. USAA, XXXX XXXX, XXXX XXXX XXXX XXXX cooperated with XXXX XXXX in all proceedings to evaluate the outstanding mortgage and sell the property. After the property was sold, I notified XXXX XXXX XXXX XXXX  that I had sold the property and was no longer the owner. I also asked them to cancel the property insurance. The representative who I spoke with told me I was good to go. These conversations were happening while I was transitioning from my XXXX XXXX in XXXX to XXXX  between XXXX and XX/XX/XXXX. I needed to sell the property in XXXX by XXXX XX/XX/XXXX to help me purchase another property in XXXX  which I bought, did closing on the house, and moved into the new home on XXXX XX/XX/XXXX here in XXXX. 

XXXX XX/XX/XXXX ( Release from Mortgage ) : On XXXX XX/XX/XXXX, I was released from the mortgage on this property ( XXXX XXXX XXXX, XXXXXXXX XXXX ) and the Release of Mortgage was issued by the XXXX XXXX, XXXX  and was recorded in XXXX XXXX, XXXX. XXXX XXXX, USAA, XXXX, and their successors and Assigns were duly notified. ( See Tab 4 - Release of Mortgage ).

Worthy of Note : The alleged Homeowners Insurance or Valuable Property were in an Escrow Account. All insurances on the property were escrowed in one account to include principal, taxes, homeowners and other alleged insurance. I never paid these premiums with my credit card ending in XXXX. When I was released from the mortgage and escrow that comes with it, USAA, XXXX XXXX XXXX were notified about the release, and they authorized the sale of the property. Why would USAA release me from the escrowed mortgage if I owed any outstanding premium? However, if USAA is collecting any premium on the homeowners insurance or on the valuable personal property insurance, it should be reasonable to collect for the monthly premium of {$32.00} for the month of XXXX or until when they receive cancellation notice as required by Oklahoma statute. It is fraudulent to recharacterize an insurance premium into a credit card debt to collect {$2900.00} by intimidation tactics. 

Past Credit Card Statements ( XXXX, XXXX, XXXX Statements ) : Worthy to note is that I have never used my credit card ending in XXXX to pay insurance. My past monthly credit card statements never showed payment of insurance premium with my credit card ending in XXXX. ( See Tab 5 XXXX, XXXX, and XXXX  Monthly Statements ). The following are attached : XXXX. XXXX  Monthly Statement Summary : This did not contain any insurance premium payment. This shows I never used this card to pay any insurance premium for XXXX XXXX XXXX. Also, I never owed USAA past due premiums. 

XXXX XXXX Monthly Statement Summary : XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, and XXXX statements in XXXX do not show a monthly premium of {$32.00}. Equally, I had sold and closed the home on XXXX XXXX and USAA me released from all mortgage obligations XXXX XX/XX/XXXX. 

XXXX. XX/XX/XXXX to XX/XX/XXXX Homeowners and Valuable Personal Property Insurance Renewal Documents : By XXXX XX/XX/XXXX, the property ( home and auto ) allegedly insured by USAA did not exist under my ownership. 

( a ) JEWELRY? My investigation revealed and I found that USAA for years has been charging me {$32.00} on my insurance pay for valuable personal property identified as Jewelry in the insurance document. I am a single man who does not own any jewelry that requires that amount of insurance monthly much more annually. I do not know how jewelry insurance came into my account. I hope USAA will pay me back {$32.00} for each month they have collected jewelry insurance for stark of jewelry I do not have. 

( b ) PROPERTY AT XXXX XXXX XXXX XXXX : I moved out XXXX XXXX XXXX, XXXX, XXXX and was XXXXXXXX XXXX XXXXXXXX United States and have never lived in the house since XXXX. That property has been rented since XXXX, and I have never lived in it. Neither did I have any valuable personal property in the house during that period. 

USAA renewed the Homeowners and Valuable Property Insurance for XXXX to XXXX as seen in the attached document. My question is : USAA issued a homeowners insurance package ( XXXX XX/XX/XXXX to XXXX XX/XX/XXXX ) to a holder who has sold a property by XXXX XX/XX/XXXX and was released from the escrowed mortgage on XXXX XX/XX/XXXX. This is where this gets interesting. What bank renews an insurance package for a property that does not exist and for a person that does not own a property? ( See Tab 6 - Homeowner and Valuable Property Policy Package Renewal Documents ) NOTE : As of the time I sold XXXX XXXX XXXX, 12 years have passed since I possessed and owned it. As XXXX XXXX XXXX, I had changed XXXX XXXX from XXXX XXXX XXXX XXXXXXXX XXXX, and got XXXX  in XXXX XXXX XXXX and XXXX  in those 12 years. Again, by the date these insurance packages were issued, I had sold the sold the property ( home ) on XXXX XX/XX/XXXX. Yet USAA was issuing insurance packages for XXXX XXXX XXXX and Valuable Personal Property that did not exist. 

( A ) XXXX, XXXX, and XX/XX/XXXX Statements : NOTE WELL. This was the first time a {$32.00} charge for insurance premium appeared on my credit card XXXX. ( See Tab 7 XXXX, XXXX, and XXXX XXXX Monthly Statement for Credit Card ending XXXX ). And XX/XX/XXXX was the first time a {$3000.00} charge for insurance premium appeared on my credit card XXXX. ( See Tab 7 XXXX, XXXX, and XXXX  XXXX  Monthly Statement for Credit Card ending XXXX ) What bank renews an insurance package for a property that does not exist and for a person that does not own or live on the property? 

XXXXXXXX XXXX XXXX XXXX XXXX XXXX

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